ACT No. VII of 2005 AN ACT to make provision for the promotion, development and support of the audiovisual industry, including the film servicing industry, in Malta, and for the establishment of the Malta Film Commission and of the Film Commissioner, to determine their (attdwarit-taxxa)

I assent.

E DWARD F ENECH A DAMI

(L.S.)

President

14th June, 2005

ACT No. VII of 2005

AN ACT to make provision for the promotion, development and

support of the audiovisual industry, including the film servicing

industry, in Malta, and for the establishment of the Malta Film

Commission and of the Film Commissioner, to determine their

respective functions and powers and to provide for matters ancillary

or incidental thereto.

BE IT ENACTED by the President, by and with the advice and

consent of the House of Representatives, in this present Parliament

assembled and by the authority of the same, as follows –

PART I

PRELIMINARY

(1)

The short title of this Act is the Malta Film Commission Short title and

coming into force.

Act, 2005.

(2) This Act shall come into force on such date as the

Minister responsible for the film industry may by notice in the Gazette

establish, and different dates may be so established for different

purposes and different provisions thereof.

Interpretation.

In this Act, unless the context otherwise requires –

(Article 25)

An audiovisual production shall be deemed to be a “qualifying production” as

mentioned in article 25 of this Act if it satisfies the following conditions>

1. the audiovisual work concerned is produced wholly or partially in Malta on a

commercial basis with a view to profit, and

2. the audiovisual work concerned is produced wholly or principally for

exhibition to the public in cinemas or through television broadcasting; and

3. the audiovisual work concerned is

a.

a feature film<

b.

a television drama<

c. an animation (whether computer generated or otherwise, but excluding

computer games)< or

d. a creative documentary, where the project is based on an original theme

which contains a certain “timeless” element so that there is no loss of interest

when the event with which it may be linked has passed and contains significant

original filming and does not merely report information>

Provided that an audiovisual work shall not be deemed to be a “qualifying

production” if the audiovisual work concerned comprises or is substantially based on

(i) any public or special performances staged for filming or otherwise<

(ii) any sporting event<

(iii) games or competitions<

(iv) current affairs or talk shows<

(v) demonstration programmes for tasks, hobbies or projects<

(vi) review, magazine-style, or lifestyle programmes<

(vii) unscripted or “reality”- type programmes<

(viii) advertising programmes or advertisements<

(ix) pornographic or sexually explicit content.

Passed by the House of Representatives at Sitting No. 273 of 30th May, 2005.

A NTON T ABONE

Speaker

R ICHARD J. C AUCHI

Clerk to the House of Representatives

Mitbug[ fl-Istamperija tal-Gvern — Printed at the Government Printing Press

“audiovisual industry” means natural and legal persons

carrying on activities in relation to the development, production,

distribution and promotion of audiovisual works<

“audiovisual production” means the development and

production of an audiovisual work<

“audiovisual work” means a work that consists of a series of

related images which impart the impression of motion, with or

without accompanying sounds, susceptible of being made visible

and, where accompanied by sounds, susceptible of being made

audible<

the “Commissioner” means the Film Commissioner appointed

under article 5(1) and includes any officer or employee of the

Commissioner authorised by him in that behalf<

the “Commission” means the Malta Film Commission

established by article 3<

“co-producer” means a cinematographic production company

or producer bound by a co-production contract<

“co-production contract” means a co-production agreement

between a co-producer established in Malta and one or more co-

producers established abroad in accordance with any bilateral,

multilateral or international treaty, convention or agreement to

which Malta is a party, but shall not include a co-production

agreement between two or more co-producers established in Malta<

“film” includes a photographic film or a recording on magnetic

tape or on any other material or medium, digital or otherwise, from

which a series of images, with or without associated sounds, may

be produced and which is intended for international distribution

and exhibition <

“film servicing industry” means all natural and legal persons

whose principal purpose of business is to provide facilities and, or

equipment to the audiovisual industry or such other purpose as

may be prescribed by the Minister<

“financial year” means any period of twelve months ending

on the 31 st December of each year or such other date as may be

determined by the Minister>

Provided that the first financial year of the Commissioner

shall commence on the coming into force of this Act and shall end

on the 31 st day of December of the next following year<

“Malta” has the same meaning as is assigned to it by article

124 of the Constitution<

“the Minister” means the Minister responsible for the film

industry or any other Minister designated by the Prime Minister

by notice in the Gazette<

“prescribed” means prescribed by regulations made by the

Minister under the provisions of this Act<

“public officer”, in relation to Part III of this Act, has the

same meaning as is assigned to it by article 124 of the Constitution.

PART II

ESTABLISHMENT, FUNCTIONS AND CONDUCT OF

AFFAIRS OF THE MALTA FILM COMMISSION

(1) There shall be a Malta Film Commission, appointed by Establishment and

composition of the

the Minister, to act as an advisory body to the Minister on an audiovisual Malta Film

policy for the promotion, development and support of the audiovisual Commission.

and film servicing industry, to determine the level of fiscal and other

benefits in accordance with the provisions of Part V of this Act, and to

assist the Commissioner in the exercise of his functions.

(2) The Commission shall be composed of not more than

five members, appointed by the Minister, one of whom shall be appointed

as Chairman. The members shall be appointed from amongst persons

who are knowledgeable in matters relating to audiovisual or film

productions, the services, marketing or financial sectors, public service

procedures or in other areas related to the audiovisual or film servicing

industries. One of the members of the Commission shall be appointed

upon nomination by the Minister responsible for culture.

(3) The Minister shall appoint the Film Commissioner as

one of the members of the Commission, but the Film Commissioner

may not be appointed as Chairman of the Commission.

(4) The members of the Commission shall be appointed for

a term of three years, but shall be eligible for re-appointment on the

expiration of their term of office. Any member may, before the expiration

of his term of office, resign by letter addressed to the Minister.

(5) A person shall not be qualified to hold office as a member

of the Commission if he –

(a) is a Minister, Parliamentary Secretary or a Member of

the House of Representatives, or

(b) is a Judge or Magistrate, or

(c) has a financial or other interest in any enterprise or

activity which is likely to affect the discharge of his functions as a

member of the Commission>

Provided that the Minister may waive the disqualification of

a person under paragraph (c) if such person declares the interest

and such declaration and waiver are published in the Gazette.

(6) Subject to the provisions of this article, the office of a

member of the Commission shall become vacant –

(a) at the expiration of his term of office, or

(b) if any circumstances arise that, if he were not a member

of the Commission, would cause him to be disqualified for

appointment as such.

(7) A member of the Commission may be removed from

office by the Minister if, in the opinion of the Minister, such member is

unfit to continue in office or has become incapable of properly

performing his or her duties as a member.

(8) If a member resigns or if the office of a member of the

Commission is otherwise vacant or if a member is for any reason unable

to perform the functions of his office, the Minister may appoint a person

who is qualified to be appointed to be a temporary member of the

Commission. Any person so appointed shall, subject to the provisions

of sub-articles (6) and (7) cease to be such a member when a person has

been appointed to fill the vacancy or, as the case may be, when the

member who was unable to perform the functions of his office resumes

those functions.

(9) Any member of the Commission who has any direct or

indirect interest in any contract or decision made or proposed to be

made by the Commissioner or in any decision of the Commission in

terms of article 4(j) of this Act, not being an interest which disqualifies

such member from remaining a member, shall disclose the nature of his

interest at the first meeting of the Commission after the relevant facts

have come to his knowledge. Such disclosure shall be recorded in the

minutes of the Commission, and the member having an interest as

aforesaid shall withdraw from any meetings at which such contract or

decision is discussed. Any such disclosure shall be communicated to

the Minister without delay. Where the interest of the member is such as

to disqualify him from remaining a member, he shall report the fact

immediately to the Minister and tender his resignation.

(10) The members of the Commission shall receive such

remuneration as the Minister may decide.

The Commission shall not be an executive body and it shall Functions of the

Commission.

not have any executive functions except for the function provided for

in sub-paragraph (j) of this article. The functions of the Commission

shall be to>

(a) advise the Minister on policy matters relating to the

promotion, development and support of the audiovisual and film

servicing industry including, but not limited to, the introduction

of fiscal, tax and other incentives<

(b) advise the Minister on how best to structure and integrate

local resources, at both Government and Local Council levels, in

order to facilitate the promotion of Malta as a location, ensuring

that competitiveness and minimal bureaucracy are essential

elements to be achieved<

(c) advise the Minister on the signing of any bilateral,

multilateral or international treaty, convention or agreement that

may encourage local participation in audiovisual productions and

lead to further international collaboration in the audiovisual

industry<

(d) advise the Minister in the development of a

comprehensive skills training strategy which is flexible and

responsive to industrial and technological change in collaboration

with the audiovisual industry and other interested parties<

(e) advocate the educational importance of film and the role

it plays in fostering citizenship, creativity and innovation, as well

as to encourage and promote, for the benefit of the Maltese

audiovisual industry, the study and appreciation of films and

filmmaking and to support initiatives to promote media literacy

and developing the links between literacy and film<

(f) support the development of opportunities for access to

cinema history and heritage and the use of film history in

understanding identity, representation, culture and creativity<

(g) encourage excellence and innovation particularly

through the use of new digital technologies<

(h) generally promote Malta as a destination for the shooting

of audiovisual works and for the setting up of audiovisual and film

servicing enterprises<

(i) recommend to the Commissioner the adoption of

measures aimed at ensuring that approved policies and initiatives

are translated into concrete action plans<

(j) to determine the level of fiscal and other benefits in

accordance with the provisions of Part V of this Act,<

(k) generally assist the Commissioner in the exercise of his

functions<

(l) to carry out any function as may from time to time be

assigned to it by the Minister.

(2) The Minister may, from time to time, as he may deem

appropriate give in writing and publish such directives as regards the

policies and plans of the Government to be adopted and followed by

the Commission, and the Commission shall, as soon as practicable, adopt

and follow such directives.

(1) There shall be a Film Commissioner who shall be

appointed by the Minister.

(2) The Commissioner shall hold office for a term of three

years, but shall be eligible for re-appointment on the expiration of his

term of office.

(3) A person shall not be qualified to hold office as

Commissioner if he –

(a) is a Minister, Parliamentary Secretary or a Member of

the House of Representatives, or

(b) is a Judge or Magistrate, or

(c) has a financial or other interest in any enterprise or

activity which is likely to affect the discharge of his functions as

Commissioner>

Provided that the Minister may waive the disqualification of

a person under paragraph (c) if such person declares the interest

and such declaration and waiver are published in the Gazette.

(4) Subject to the provisions of this article, the office of the

Commissioner shall become vacant –

(a) at the expiration of his term of office, or

(b) if any circumstances arise that, if he were not a

Commissioner, would cause him to be disqualified for appointment

as such.

(5) If the Commissioner resigns or if his office is otherwise

vacant or if the Commissioner is for any reason unable to perform the

functions of his office the Minister shall appoint a person who is qualified

to be appointed as a temporary Commissioner, if such person is qualified

to be a Commissioner. Any person so appointed shall cease to be such

a Commissioner when a Commissioner is appointed to fill the vacancy

or, as the case may be, when the Commissioner who was unable to

perform the functions of his office resumes those functions or, in the

case of a temporary purpose, the temporary Commissioner has

performed the function assigned to him.

(6) The Commissioner may be removed from office by the

Minister if, in the opinion of the Minister, such member is unfit to

continue in office or has become incapable of properly performing his

or her duties as a Commissioner.

(7) The Commissioner shall receive such remuneration as

the Minister may decide.

(1) It shall be the function of the Commissioner to adopt Functions of the

Commissioner.

and implement measures for the development, support and promotion

of the audiovisual industry in Malta, and, in general, to implement

Malta’s audiovisual policy.

(2) Without prejudice to the generality of the provisions of

sub-article (1) of this article and to any other functions attributed to the

Commissioner by this Act, the Commissioner shall in particular have

the function –

(a) to assist and encourage by any means he considers

appropriate, the production of films in Malta and the set up of

industries for the production of films in Malta<

(b) to market the locations, facilities, skills, talent and

expertise available in Malta in order to attract inward investment

in the form of international audiovisual productions shooting in

Malta<

(c) to analyse, assess and certify the eligibility of projects

and, or beneficiaries for tax or other incentives provided by the

Government of Malta according to the criteria established by or

under this Act or any other enactment and to make

recommendations to the Commission for the determination of the

level of fiscal and other benefits in accordance with the provisions

of Part V of this Act<

(d) to make recommendations to the Commission for

advances, loans, grants or awards of money to any natural or legal

person in connection with audiovisual works according to criteria

established by or under this Act or any other enactment<

(e) to encourage and promote cohesion within the local

audiovisual industry, in particular>

(i) to encourage and promote the exchange of

information amongst persons engaged in the film industry,

(ii) to encourage and promote the efficient use of

available resources within the Maltese film servicing industry,

and

(iii) to co-operate with other interested or affected

bodies and organisations in order to encourage and promote

employment in the Maltese audiovisual industry and the

productivity of that industry<

(f) to approve co-productions between a co-producer

established in Malta and one or more co-producers established

abroad in accordance with any bilateral, multilateral or international

treaty, convention or agreement to which Malta is a party and to

issue any relevant certificate which grants “nationality” to such

co-productions<

(g) to participate and promote participation in international

collaborative projects and to enter into agreements with similar

foreign and international bodies<

(h) to represent Malta and its audiovisual industry on

international film bodies and events<

(i) to coordinate the effort to combat copyright abuse in the

film industry, including but not limited to film piracy on the Internet

or other electronic networks, or on physical media<

(j) to deal, negotiate and enter into agreements of permanent

or temporary nature or establish codes of conduct with any public

body, public authority, government department, public corporation,

local council, or private entity or person on any matters pertaining

to the audiovisual industry<

(k) to advise the Minister on any matter connected with the

Commission’s functions under and for the purposes of this Act<

(l) to carry out such other functions as may from time to

time be assigned to him by the Minister.

(3) The Commissioner may, if he so deems appropriate –

(a) monitor, keep under review and evaluate operations,

activities and matters in relation to the audiovisual or film servicing

industry<

(b) carry out studies, research and investigations relating to

any matter regarding the audiovisual industry<

(c) provide information and issue guidelines, to the public

and relevant entities, regarding film, the audiovisual industry, the

film servicing industry and audiovisual policy in general<

(d) acquire, sell or otherwise dispose of or lease land, plant,

machinery and equipment, and other property, and to otherwise

make available property for use by other persons<

(e) manage land, and to develop land, and to carry out works

on land, and to maintain works or assist in their maintenance<

(f) provide advisory or other services or facilities in relation

to any of his functions, or to assist in their provision< and

(g) generally, do all such things as may be incidental or

conducive for the proper discharge of his functions under this Act.

The Minister may make, vary or revoke regulations for the Conduct of the

proper conduct of the business of the Commission and the affairs

Commission and the

Commissioner. Subject to the provisions of such regulations and of this Commissioner.

Act, the Commission and the Commissioner may regulate their own

procedures.

(1) The Commissioner shall have a distinct legal personality Legal

and representation

and shall be capable, subject to the provisions of this Act or any of the

Commissioner.

regulations made there under, of entering into contracts, of acquiring,

holding and disposing of any property for the purposes of its functions,

of suing and being sued, and of doing all such things and entering into

all such transactions as are incidental or conducive to the exercise or

performance of its functions under this Act, including the lending or

borrowing of money.

(2) Any document purporting to be an instrument made or

issued by the Commissioner and signed by him shall be received in

evidence and shall, until the contrary is proved, be deemed to be an

instrument made by the Commissioner.

(3) Judicial acts and actions by means of which a decision

or anything done by the Commission is impugned or contested shall be

filed against the Commissioner.

PART III

OFFICERS AND EMPLOYEES OF THE COMMISSIONER

Subject to the provisions of the Constitution and of any other

enactment applicable thereto, and without prejudice to the other

provisions of this Act or any regulations made thereunder, the

Commissioner shall appoint such officers and other employees as may

from time to time be necessary for the due and efficient discharge of

the functions of the Commissioner. The terms and conditions of

employment shall be established by the Commissioner following the

approval of the Minister.

(1) The Prime Minister may, at the request of the

Commissioner, from time to time direct that any public officer shall be

detailed for duty with the Commissioner in such capacity and with effect

from such date as may be specified in the direction.

(2) The period during which a direction as referred to in

sub-article (1) of this article shall apply to any officer specified therein,

shall, unless the officer retires from the public service, or otherwise

ceases to hold office at an earlier date, or a different date is specified in

the direction, end on the happening of any of the following events, that

is to say>

(a) the acceptance by such officer of an offer of transfer to

the service of, and permanent employment with the Commissioner

made pursuant to article 12 of this Act< or

(b) the revocation by the Prime Minister of any direction

made by him under this article in relation to such officer.

(3) Where a direction as referred to in sub-article (1) of this

article is revoked by the Prime Minister in relation to any officer, the

Prime Minister may, by further direction, detail such officer for duty

with the Commissioner in such capacity and with effect from such date

as may be specified in the further direction and the provisions of sub-

article (2) of this article shall thereupon apply to the period of duration

of such further direction in relation to such officer.

(1) Where a public officer is detailed for duty with the Status of public

officers detailed for

Commissioner under any of the provisions of article 10 of this Act, duty with the

such officer shall, during the time in which such direction has effect in Commissioner.

relation to him or her, be under the administrative authority and control

of the Commissioner but shall for other intents and purposes remain

and be considered and treated as a public officer.

(2) Without prejudice to the generality of the provisions of

sub-article (1), an officer detailed for duty as aforesaid –

(a) shall not during the time in respect of which he or she is

so detailed –

(i) be precluded from applying for a transfer to a

department of the Government in accordance with the terms

and conditions of service attached to the appointment under

the Government held by him or her at the date on which he or

she is so detailed for duty< or

(ii) be so employed that his or her remuneration and

conditions of service are less favourable than those which

are attached to the appointment under the Government held

by him or her at the date aforesaid or which would have

become attached to such appointment, during the said period,

had such officer not been detailed for service with the

Commissioner< and

(b) shall be entitled to have his or her duty with the

Commissioner considered as service with the Government for the

purposes of any pension, gratuity, or benefit under the Pensions

Ordinance and the Widows’ and Orphans’ Pensions Act and of

any other right or privilege to which he or she would be entitled,

and liable to any liability to which he or she would be liable, but

for the fact of his or her being detailed for duty with the

Commissioner.

(3) Where an application is made as provided in sub-article

(2)(a)(i) the same consideration shall be given thereto as if the applicant

had not been detailed for service with the Commissioner.

(4) The Commissioner shall pay to the Government such

contributions as may from time to time be determined by the Minister

responsible for finance in respect of the cost of pensions and gratuities

earned by an officer detailed for duty with the Commissioner as aforesaid

during the period in which he is so detailed.

(1) The Commissioner may, with the approval of the Prime

Minister, offer to any officer detailed for duty with the Commissioner

under the provisions of article 10 of this Act permanent employment

with the Commissioner at a remuneration and on terms and conditions

not less favourable than those enjoyed by such officer at the date of

such offer.

(2) The terms and conditions comprised in any offer made

as aforesaid shall not be deemed to be less favourable merely because

they are not in all respects identical with or superior to those enjoyed

by the officer concerned at the date of such offer, if such terms and

conditions, taken as a whole, in the opinion of the Prime Minister offer

substantially equivalent or greater benefits.

(3) Every public officer who accepts permanent employment

with the Commissioner offered to him under the provisions of sub-

article (1) shall, for all purposes other than those of the Pensions

Ordinance and the Widows’ and Orphans’ Pensions Act, and saving

the provisions of sub-article (6), cease to be in service with Government

and shall enter into service with the Commissioner on the date of his

acceptance, and for the purposes of the said Ordinance and of the said

Act, insofar as applicable to him, service with the Commissioner shall

be deemed to be service with the Government within the meanings

thereof respectively.

(4) Any officer as referred to in sub-article (3) who,

immediately before accepting permanent employment with the

Commissioner was entitled to benefit under the Widows’ and Orphans’

Pensions Act, shall continue to be entitled to benefit under the said Act

as if his or her service with the Commissioner were service with the

Government.

(5) The Commissioner shall pay to the Government such

contributions as may from time to time be determined by the Minister

responsible for finance in respect of the cost of pensions and gratuities

earned by an officer who has accepted permanent employment with the

Commissioner as aforesaid during the period commencing on the date

of such officer’s acceptance.

(6) (a) For the purposes of the Pensions Ordinance the

pensionable emoluments of such public officer on retirement shall be

deemed to be the pensionable emoluments payable to an officer in

Government service in a grade and at an incremental level corresponding

to the post and incremental level at which the officer retires from the

Commissioner.

(b) The classification referred to in paragraph (a) above

shall be carried out by a board composed of a chairperson appointed by

the Minister responsible for finance and two other members, one

appointed by the Minister responsible centrally for personnel policies

in the public service and one appointed by the Commissioner. The

classification shall be subject to the final approval of the Minister

responsible for finance.

(c) The classification shall take place within three

months of any adjustment of salaries of employees in Government

service and, or of employees of the Commissioner.

(d) No post shall be classified in a grade higher than

that of a Grade 3 in the service of the Government or such other grade

that the Minister responsible for finance may from time to time by notice

in the Gazette determine.

(e) Without prejudice to article 113 of the Constitution,

no person may, following a classification as aforesaid, be entitled to

rights under the said Pensions Ordinance less favourable than those to

which he or she would have been entitled prior to such classification.

PART IV

FINANCIAL PROVISIONS

(1) Without prejudice to the following provisions of this Commissioner to

article, the Commissioner shall so conduct his affairs that the expenditure meet

out of revenue.

required for the proper performance of his functions shall, as far as

practicable, be met out of the Commissioner’s revenue.

(2) For purpose mentioned in sub-article (1) of this article,

the Commissioner shall levy all fees, rates and other payments as

prescribed by or under this Act or any other law.

(3) The Commissioner shall also be paid by Government

out of the Consolidated Fund such sums as Parliament may from time

to time authorise to be appropriated to meet any of its expenditure that

cannot be covered by its revenue.

(4) Any excess of revenue over expenditure shall, subject

to such directives as the Minister, after consultation with the Minister

responsible for finance, may from time to time give, be applied by the

Commissioner to the formation of reserve funds to be used for the

purposes of the Commissioner. Without prejudice to the generality of

the powers given to the Minister by this sub-article, any direction given

by the Minister as aforesaid may order the transfer to the Government,

or the application in such manner as may be specified in the direction,

of any part of the fees, rates and other payments levied in accordance

with sub-article (2) of this article or any such excess as aforesaid.

(5) Any funds of the Commissioner not immediately

required to meet expenditure may be invested in such manner as may

from time to time be approved by the Minister.

The Minister responsible for finance may, after consultation

with the Minister, make advances to the Commissioner of such sums as

he may agree to be required by the Commissioner for carrying out any

of his functions under this Act, and may make such advances on such

terms and conditions as he may, after consultation as aforesaid, deem

appropriate. Any such advance may be made by the Minister responsible

for finance out of the Consolidated Fund, and without further

appropriation other than this Act, by warrant under his hand authorising

the Accountant General to make such advance.

(1) The Commissioner may also receive from Government

out of the Consolidated Fund such sums as may be required for the

allocation of funds in terms of articles 27 and 29 of this Act.

(2) Without prejudice to any other provision of this Act,

the Minister may give to the Commissioner directives as to the

application of those sums as referred to in sub-article (1) of this article.

(1) For the purpose of carrying out any of its functions under

this Act, the Commissioner may, with the approval in writing of the

Minister given after consultation with the Minister responsible for

finance, borrow or raise money in such manner, from such person, body

or authority, and under such terms and conditions as the Minister, after

consultation as aforesaid, may in writing approve.

(2) The Commissioner may also, from time to time, borrow,

by way of overdraft or otherwise, such sums as he may require for

carrying out his functions under this Act>

Provided that for any amount in excess of fifty thousand liri,

there shall be required the approval of the Minister in writing.

(1) The Minister responsible for finance may, for any Borrowing from

Government.

requirements of the Commissioner of a capital nature, contract or raise

loans, or incur liabilities, for such periods and on such terms and

conditions as he may deem appropriate< and any sums due in respect of

or in connection with any such loan or liability shall be a charge on the

Consolidated Fund.

(2) Notice of any loans, liabilities or advances made or

incurred under the sub-article (1) shall be given to the House of

Representatives as soon as practicable.

(3) Pending the raising of any such loan as is mentioned in

sub-article (1), or for the purpose of providing the Commissioner with

working capital, the Minister responsible for finance may, by warrant

under his hand, and without further appropriation other than this Act,

authorise the Accountant General to make advances to the Commissioner

out of the Treasury Clearance Fund under such terms as may be specified

by the Minister upon the making thereof.

(4) The proceeds of any loan raised for the purposes of

making advances to the Commissioner, and any other moneys to be

advanced to the Commissioner under this article, shall be paid into a

fund specially established for the purpose and which shall be known as

the “Malta Film Commission Loan Fund”.

(5) Sums received by the Accountant General from the

Commissioner in respect of advances made to the Commissioner under

sub-article (3) shall be paid, as respects of amounts received by way of

repayment into the Treasury Clearance Fund, and as respects of amounts

received by way of interest into the Consolidated Fund.

(1) The Commissioner shall, by the end of September of Estimates of the

Commissioner.

each year or such other month as the Minister may prescribe, submit to

the Minister, a business plan for the following three financial years

together with an estimated capital and recurrent expenditure and income

for the following year>

Provided that the estimates for the first financial year of the

Commissioner shall be prepared and adopted within such time as the

Minister may by notice in writing to the Commissioner specify.

(2) In the preparation of the estimates referred to in sub-

article (1) the Commissioner shall take account of any funds and other

moneys that may be due to be paid to it out of the Consolidated Fund

during the relevant financial year, whether by virtue of this Act or an

appropriation Act or any other law. The Commissioner shall prepare

the said estimates so as to ensure that the total revenues of the

Commissioner are at least sufficient to meet all sums properly chargeable

to the Commissioner’s revenue account including, but without prejudice

to the generality of that expression, depreciation.

(3) The estimates shall include the estimates for the

Commission.

(4) The estimates shall be made out in such form and shall

contain such information and such comparisons with previous years as

the Minister and or the Minister responsible for finance may direct.

(5) A copy of the estimates shall, upon their adoption by

the Commissioner, be sent forthwith by the Commissioner to the

Minister and to the Minister responsible for finance.

(6) The Minister shall at the earliest opportunity and not

later than six weeks after he has received a copy of the estimates from

the Commissioner approve the same with or without amendment, after

consultation with the Minister responsible for finance.

(1) No expenditure shall be made or incurred by the

Commissioner unless it has been approved by the Minister as provided

in article 18.

(2) Except for funds generated by the Commissioner or

received from non-State sources, the Commissioner shall remain within

the parameters of capital and recurrent expenditure allocated to him by

the Minister as authorised by the Minister responsible for finance.

(3) Notwithstanding the provisions of sub-articles (1) and

(2) –

(a) until the expiration of six months from the beginning of

a financial year, or until the approval of the estimates for that year

by the Minister, whichever is the earlier date, the Commissioner

may make or incur expenditure for carrying on his functions under

this Act not exceeding in the aggregate one-half of the amount

approved by the Minister for the preceding financial year<

(b) expenditure approved in respect of a head or sub-head

of the estimates may, with the approval of the Minister given after

consultation with the Minister responsible for finance, be made or

incurred in respect of another head or sub-head of the estimates<

(c) in respect of the first financial year, the Commissioner

may make or incur expenditure not exceeding in the aggregate

such amounts as the Minister responsible for finance may, after

consultation with the Minister, allow<

(d) if in respect of any financial year it is found that the

amount approved by the Minister is not sufficient or a need has

arisen for expenditure for a purpose not provided for in the

estimates, the Commissioner may adopt supplementary estimates

for approval by the Minister, and in any such case the provisions

of this Act applicable to the estimates shall apply to the

supplementary estimates mutatis mutandis.

All estimates and supplementary estimates of the Publication of

approved estimates.

Commissioner approved by the Minister shall, as soon as practicable,

be laid on the Table of the House Representatives.

(1) The Commissioner shall cause to be kept proper accounts Accounts and audit.

and other records concerning its operations and transactions, and shall

cause to be prepared a statement of accounts on a quarterly basis and

another in respect of each financial year.

(2) The accounts of the Commissioner shall be audited by

an auditor or auditors to be appointed by the Commissioner and approved

by the Minister>

Provided that the Minister responsible for finance may, after

consultation with the Minister, require the books and accounts of the

Commissioner to be audited or examined by the Auditor General who

shall for such purpose have power to carry out such physical checking

and any other certifications as he may deem necessary.

(3) After the end of each financial year, the Commissioner

shall cause a copy of the statement of account duly audited to be

transmitted to the Minister and to the Minister responsible for finance

together with a copy of any report made by the auditors on that statement

or on the accounts of the Commissioner.

(4) The Minister shall, as soon as practicable, cause a copy

of every such statement and report to be laid on the Table of the House

of Representatives.

The Commissioner shall follow procurement procedures as

regulated by the Public Contracts Regulations, or any amendment

thereto.

The Commissioner shall, not later than six weeks after the

end of each financial year, send to the Minister a copy of its audited

statements of accounts, a copy of the report made by the auditor or

auditors about the statements or on the accounts of the Commissioner,

together with a report dealing generally with the activities of the

Commissioner during that financial year and containing such information

relating to the proceedings and policy of the Commissioner. The Minister

shall cause a copy of every such report to be laid on the Table of the

House of Representatives and to be presented to the Minister responsible

for finance and to the Auditor General as soon as practicable.

The Commissioner shall be deemed to be a public authority

for the purposes of the Value Added Tax Act.

PART V

INCENTIVE SCHEMES AND FINANCIAL SUPPORT

In this Part V of the Act, unless the context otherwise requires –

“qualifying production” means an audiovisual production

satisfying the criteria and conditions as laid down in the Schedule

to this Act or as prescribed by the Minister, and that is certified as

a qualifying production in accordance with article 26 of this Act<

“qualifying company” means any natural or legal person

which carries on, or intends to carry on in Malta, a trade or business

which consists in the production of film, or such other natural or

legal persons as may be prescribed by the Minister and who are

certified as a qualifying company in accordance with article 26 of

this Act.

(1) The Minister may, after consultation with the Minister

responsible for finance, by regulations prescribe>

(a) the criteria and procedure for the certification of

qualifying companies and qualifying productions<

(b) measures granting fiscal and other benefits to qualifying

companies and qualifying productions< and

(c) the criteria and other measures to regulate the provision,

by the Commissioner, of assistance, guarantees and grants under

articles 27, 28 and 29.

(2) The Commission shall be responsible to determine the

amount of aid to be given to any qualifying production or qualifying

company, such determination to be made after the Commission has

received the recommendation in writing of the Commissioner. Provided

that the Commission may adopt guidelines for the determination of the

level and, or the amount of fiscal or other benefits.

(3) The Commissioner shall be responsible for making

recommendations to the Commission regarding the amount of aid to be

given to any qualifying production or qualifying company and, following

the determination of the Commission, for the certification of persons as

qualifying companies and of productions as qualifying productions for

the purposes of fiscal and other benefits as may be provided for by or

under this Act or by or under any other enactment.

(4) Where regulations are prescribed in accordance with sub-

article (1), the powers and functions of the Commission and the

Commissioner under this article shall be exercised in accordance with,

and subject to, the provisions of any such regulations.

(1) Subject to prior approval of the Commission on a project Assistance by the

Commissioner.

basis, the Commissioner may invest in, or make a loan or a grant to

defray in whole or in part the cost of a qualifying production wholly or

partly made in Malta.

(2) The making of an investment, loan or grant under this

article shall be subject to such terms and conditions as the Commissioner

may think appropriate and expedient, including terms and conditions

relating to the repayment to the Commissioner of any moneys paid by

it and payment of interest on any such money.

(1) Subject to prior approval of the Commission on a project Guarantees by the

Commissioner.

basis, the Commissioner may guarantee the due repayment of the

principal of any moneys borrowed in respect of a qualifying production

wholly or partly made in Malta or by a qualifying company or the

repayment of interest on such moneys, or both the repayment of the

principal and the payment of such interest, and may provide other

financial guarantees in respect of a qualifying production.

(2) A guarantee under this article shall be in such form and

manner and on such terms and conditions as may be specified in a scheme

governing the giving of such guarantees prescribed by the Minister, in

concurrence with the Minister responsible for finance.

(3) Moneys required by the Commissioner to meet sums

which may become payable by the Commissioner under a guarantee

shall be paid out of the Commissioner’s revenue or the sums paid by

Government in accordance with article 13.

(1) Subject to prior approval of the Commission, the

Commissioner may, subject to such terms and conditions as he thinks

appropriate and expedient, make grants to be used to defray in whole or

in part the cost of providing training for persons in all aspects of the

production of film.

(2) Subject to prior approval of the Commission, the

Commissioner may provide moneys, subject to such terms as he thinks

appropriate and expedient, for activities, events and initiatives in

accordance with his functions as specified in article 6.

Where a term or condition subject to which an investment,

term or condition of

grant, loan or guarantee is made or given by the Commissioner under

this Part of the Act is contravened by the person to whom or on whose

behalf the investment, grant, loan or guarantee is made or given, any

amount owed to the Commissioner in respect of the investment, grant

loan or guarantee, together with the interest payable on it, as the case

may be, shall be deemed to be a debt payable forthwith to the

Commissioner and may be recovered by the Commissioner as a

contractual debt in any court having jurisdiction>

Provided that this article shall apply if the Commissioner requests

repayment of the whole or part of the amount and that the amount owed

to the Commissioner shall be deemed to be a debt payable forthwith

and recoverable by the Commissioner to the extent of such request.

(1) The aggregate amount of any investment, grant or loan

provided by the Commissioner under articles 27 and 29, together with

the aggregate amount of principal and interest which the Commissioner

may at any time be liable to repay on the basis of any guarantee under

article 28, together with the amount of principal and interest, if any,

which the Commissioner has previously paid on the basis of any

guarantees and which has not been repaid to the Commissioner, shall

not exceed such sum as may be prescribed by the Minister, in

consultation with the Minister responsible for finance.

PART VI

MISCELLANEOUS

The Commissioner, the members of the Commission and all Persons deemed

officers and employees of the Commissioner shall be deemed to be public officers.

public officers within the meaning of the Criminal Code.

(1) The Minister may make regulations generally to give Power to make

effect to the provisions of this Act and, in particular, but without regulations.

prejudice to the generality of the foregoing>

(a) to provide for any matter which is required or authorised

by the Act to be prescribed<

(b) to establish the administrative and organisational

procedures to be followed by the Commission and the

Commissioner <

(c) to establish schemes for the purpose of funding or

subsidising programmes, initiatives and events concerning the

audiovisual or film-servicing industry<

(d) to deal with any matter related to officers and employees

of the Commissioner<

(e) to deal with any matter related to the expenditure and

income of the Commissioner, the Commissioner’s estimates and

accounts, and their verification.

(2) The Minister may also by regulation amend the Schedule

to this Act.