Title: Maltese Companies Warned of Financial Sanctions on Libyan Arab Jamahiriya and Designated Individuals & Entities

Maltese Financial Services Authority Issues Warning

The Maltese Financial Services Authority (MFSA) has issued a warning to Maltese company directors and secretaries regarding financial sanctions imposed on Libyan Arab Jamahiriya and designated individuals and entities by the United Nations (UN) and the European Union (EU).

Regulations and Effective Dates

• The Maltese regulations: Legal Notice 69 of 2011 and Legal Notice 77 of 2011
• EU regulations: Council Regulation (EU) No 204/2011 and Council Implementing Regulation (EU) No 233/2011
• Adopted by the UN under Resolution 1970/2011 (February 26, 2011)
• EU regulations took effect on March 10, 2011

Sanctions Overview

Restrictive measures include:

1. Arms embargo
2. Travel ban for certain individuals
3. Asset freeze for designated individuals and entities

These sanctions apply to:

• Financial sector entities
• Any person, company, or entity
• Professional practitioners
• Individual citizens holding designated funds or assets

Consequences for Violating Sanctions

• Criminal offense
• Imprisonment
• Hefty fines

Freezing Assets

Directors and secretaries must:

1. Freeze the assets of designated entities
2. No transfers, disposals, or liquidations
3. No payments, including dividends, profits, interests, income, or loans

MFSA’s Advice

• Stay informed on new or additional sanctions
• Consult with professional advisors
• Report held, identified, or frozen funds, financial assets, or economic resources to the Ministry of Foreign Affairs’ Sanctions Monitoring Board

Importance of Compliance

The MFSA urges continued vigilance and commitment to upholding international financial standards.

Ref: MFSA 16-2011