The Malta Financial Services Authority has urged investors who hold an investment in ARM Asset Backed Securities to seek independent advice in order to make any claims after a Luxembourg court of appeal upheld a decision by the financial regulator in Luxembourg, CSSF, to refuse to grant ARM a licence.
The decision is expected to affect hundreds of Maltese who invested millions in securitiesbut who now face getting back a fraction of their money since the CSSF has requested the Luxembourg Courts to order the dissolution and the liquidation of ARM. This would mean any refunds lose precedence to things like legal fees.
The securities were not licensed in Malta but were sold here through two financial intermediary firms.
The MFSA said that it would inform the public as soon as the judgement ordering the dissolution and the liquidation is published as this will indicate the time period during which creditors of ARM may file their claims.
The press release and Frequently Asked Questions issued by the CSSF are available from
www.cssf.lu/publications/communiques/news-cat/108/