A court has ordered the liquidation of failed investment firm Maltese Cross Finance Services Limited following a successful application filed by two of its directors.

In August last year the financial watchdog had suspended the firm’s licence after it established that it was not in a position to meet its obligations, after going some €6-7 million in the red. Subsequently one of the company directors Jean Claude Bugeja was charged with fraud and misappropriation exceeding €4 million. He pleaded not guilty and the case is still pending.

Meanwhile in March of this year, Stephen Spiteri and Robert Cutajar who had become company directors and shareholders in January 2013, filed an application in court requesting it to declare the company bankrupt and appoint a liquidator.

The court presided by Mr Justice Joseph Zammit Mckeon noted that it was of grave concern for society, that whoever was trusted to managed this firm is now facing criminal proceedings before a court.

It also noted that the two company directors filing the application, were not aware of the real financial situation of the company as these were “seemingly” kept hidden from them, and that the audited accounts from 2008 to 2012 did not reflect its real state.

In view of this this Judge upheld the request to liquidate Maltese Cross Financial Services Limited and appointed an independent liquidator who shall filed a report, and verify its assets and debts.

In addition the liquidator shall also assume full control of the firm and take all necessary measures to safeguard its remaining assets. The court said that the report must be presented in three months’ time.