Financial Intelligence Units in Malta Sign Historic Memorandum of Understanding
Combating Money Laundering and Terrorism Financing
The Malta Financial Services Authority (MFSA) has announced a significant milestone in its efforts to prevent money laundering and terrorism financing, signing a Memorandum of Understanding with the country’s Financial Intelligence Analysis Unit (FIAU). The agreement was signed on March 18, 2014, and will enable the two entities to conduct joint on-site inspections aimed at ensuring the financial services sector is properly supervised.
Shared Goal: Safeguarding Malta’s Financial System
The MFSA and FIAU share a common goal of safeguarding Malta’s financial system by preventing money laundering and terrorism financing. Both parties have supervisory functions over persons and entities providing financial services that are required to be licensed, authorized, enrolled, recognized or registered by the MFSA.
Prevention of Money Laundering Act
The Prevention of Money Laundering Act enables cooperation between the FIAU and supervisory authorities such as the MFSA in the supervision of anti-money laundering and combating the financing of terrorism.
Objectives of the Memorandum of Understanding
- Enhance cooperation between the parties, including rendering assistance to each other
- Exchange information
- Conduct joint on-site inspections
Signing of the Memorandum of Understanding
The agreement was signed by Professor Joe V. Bannister, Chairman of the MFSA, on behalf of the Authority, and Dr. Peter Grech, Chairman of the FIAU, on behalf of the Unit.
About the Financial Intelligence Analysis Unit (FIAU)
The FIAU is a government agency established under the Prevention of Money Laundering Act to:
- Collect, collate, process, analyze, and disseminate information with the aim of combating money laundering and terrorism financing
- Monitor compliance with relevant legislative provisions
Conclusion
This Memorandum of Understanding marks an important step forward in Malta’s efforts to combat financial crime and ensure the integrity of its financial system.