Appeals Tribunal rejects BoV pleas in Property Fund case

The Financial Services Tribunal has rejected a request by Bank of Valletta for proceedings in its appeal from the preliminary decisions by the MFSA in connection with the La Valetta Property Fund to be held behind closed doors.

The MFSA in its decisions in June had directed the bank to ensure that acceptance by the property fund investors of its conditional offer of 75c per share did not prejudice their right to file a complaint to the MFSA   for compensation for the difference between the value of the BOV Conditional Offer and the entire capital invested, plus capital.

Some 100 investors had submitted an application to the tribunal asking to be able to intervene in the appeal and objecting to Bank of Valletta’s plea. BOV resisted the request.

The Tribunal rejected the bank’s request for the case to be heard behind closed doors, noting that any court proceedings had to be held in public unless a court ordered otherwise in particular circumstances, which circumstances did not apply in this case.

The investors' request to intervene in the case was also upheld because of the direct interest of the investors.