Global Capital’s shares on the Malta Stock Exchange were suspended yesterday by the financial services watchdog after the company’s major shareholder was put under the control of conservators in Mauritius.

The Malta Financial Services Authority also suspended the listing and trading of Global Capital’s 5.6 per cent bonds that expire in 2016.

The suspension was intended “to prevent any false market being created in the securities of Global Capital”, the MFSA said.

“The decision was taken after the major shareholder in Global Capital plc, BAI Co (Mtius) Ltd, which is the owner of 48.45 per cent of the issued share capital of Global Capital, was put under the control of conservators by the authorities in Mauritius,” the regulator said.

The suspension would be in effect for 10 working days and any further action, should it be necessary, would be communicated before the end of the suspension, the MFSA added.

The decision comes on the back of news that Global Capital’s former chairman, Dawood Rawat, could be issued with an international arrest warrant on suspicions of money laundering by officials in Mauritius.

Mr Rawat resigned the Global Capital chairmanship recently following developments in Mauritius. He was replaced by Joseph Aquilina.

Global Capital had said its business and operation were totally separate and distinct from those of any of its shareholders, including BAI.

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