A Bill to bring Malta in line with the latest EU anti-money-laundering legislation will be tabled in Parliament today for its first reading, a Finance Ministry spokesman confirmed.
Malta, in addition to several other European Union countries, missed the June 26 deadline to adhere to the fourth anti-money-laundering directive.
The objective of the directive is to strengthen the fight against tax evasion, money laundering and the financing of terrorism.
The European Commission has sent a formal letter to the Maltese government asking why the new rules had not been implemented.
A spokesman for the Finance Ministry told the Times of Malta that the transposition of the fourth anti-money laundering directive into Maltese law was taking place through a number of legislative measures.
The European Commission should take over where local institutions failed
One of the most significant changes brought about by the directive is the requirement that EU countries establish a beneficial ownership registry.
The registry seeks to introduce more transparency in company ownership, as well as facilitate information sharing with anti-money-laundering agencies.
In July, the Financial Intelligence Analysis Unit (FIAU) published a consultation document about the new directive in which information about the beneficial ownership registry was conspicuously absent.
The Finance Ministry spokesman explained that additional subsidiary legislation was being drafted to pave the way for setting up the registry, and that it would be published for consultation shortly.
The spokesman said it was important to point out that the authorities involved in the transposition process were not limited to the FIAU but also included the Malta Financial Services Authority, the registry of companies and the registrar for legal persons.
In June, the European Greens asked the European Commission to open infringement procedures against Malta in view of the “serious suspicions” of money laundering by government officials.
Making reference to leaked FIAU reports which requested that the police investigate potential money laundering by the Prime Minister’s chief of staff, Keith Schembri, the Greens accused the government of breaking a raft of EU laws.
Green MEP Sven Giegold has expressed his belief that the European Commission should take over where local institutions have failed.
The Times of Malta has previously reported how the police failed to investigate Mr Schembri after receiving the FIAU’s reports.
Former FIAU official Jonathan Ferris told this newspaper that the reports were not even registered by the police. The police deny the claim.