Maltese residents who held investments in ARM Asset Backed Securities SA will soon be able to submit claim forms in an attempt to get compensation.

Last month, the UK’s Financial Services Compensation Scheme (FSCS) determined that Maltese investors who hold securities issued by ARM would be treated in the same way as UK investors.

The FSCS has now advised that it will be sending investors the claim forms against Catalyst Investment Group by the end of this month.

Investors will have to provide key information to support their claim, such as the details of the bonds they invested in and the firm that advised them to invest in ARM.

FSCS expects to process the majority of claims and pay compensation to eligible investors within six months of receiving a completed application form.

The FSCS said that it had analysed Catalyst’s role as a distributor of the ARM bonds and the financial promotions for which it was responsible, and concluded that Catalyst may be liable for losses in many cases. It also looked at the way in which the bonds were distributed and sold in Malta.

The Financial Conduct Authority (FCA) confirmed that Catalyst was in default last October. ARM Asset Backed Securities SA was set up in Luxembourg but was never authorised by its regulator. The bonds were sold between 2006 and 2010 but have been suspended since 2011.

FSCS is the UK’s compensation fund of last resort for customers of authorised financial services firms.

For claims against Catalyst, FSCS can pay compensation to eligible claimants up to a maximum of £50,000 (€60,254)per person.