The release of funds to some depositors at Satabank will start on Monday, the MFSA  said on Thursday, a month since business at the bank was frozen.

"As part of the controlled release of deposits, and further to the MFSA’s directive, EY as competent person will start the return of deposits to the first group of Satabank customers," the Authority said.  

The first customers will be selected from those who have balances between €50 and €15,000, and who have been through a review procedure. They will receive the
entire balance held in their account.

The bank will be contacting customers resident in Malta to fix an appointment in order to arrange for payment. Customers will be able to choose whether to provide account details of a credit or payment institution or receive a bank draft. Alternative arrangements are being put in place for those customers who are not
resident in Malta.

"This is the first step in the process and more information will be provided in respect of future return of deposits," the MFSA said.

On October 20, the MFSA had ordered the bank to 'refrain, cease and desist' from taking further deposits into the accounts of its current customers.

It followed a joint inspection and audit by the MFSA and FIAU that reportedly found shortcomings in the bank’s anti-money laundering procedures.

READ: Satabank clients living ‘on bread and cheese’