MT
ACT No. V of 2020 AN ACT to amend various financial services laws and to provide for matters ancillary or incidental thereto.
Table of Provisions (85)
Statutory Text (85 Articles)
I assent.
(L.S.)
DOLORES CRISTINA
Acting President
3rd March, 2020
ACT No. V of 2020
AN ACT to amend various financial services laws 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:-
(1) The short title of this Act is the Various Financial
commencement.
Services Laws (Amendment) Act, 2020.
(2) The provisions of this Act shall come into force on such date
as the Minister responsible for the regulation of financial services may
by notice in the Gazette establish, and different dates may be so
established for different provisions of this Act.
PART I
AMENDMENTS TO THE MALTA FINANCIAL SERVICES
AUTHORITY ACT
This Part amends the Malta Financial Services Authority Act Amendments to
and it shall be read and construed as one with the Malta Financial the
Financial
Services Authority Act, hereinafter in this Part referred to as "the Services
Authority Act.
principal Act".
Article 16 of the principal Act shall be amended as follows
Amendment of
article 16 of the
principal Act.
(a) sub-article (3) thereof shall be substituted by the
following
"(3) Without prejudice to any other powers that may
be exercised by the Authority in terms of this Act or of any
other law, where any person contravenes or fails to comply
with any provision of this Act or any other Act
administered by the Authority, with any regulations or
Rules issued thereunder, with any of the conditions
imposed in a licence issued by the Authority or with any
directives issued by the Authority, the Authority may by
notice in writing and without recourse to a court hearing
impose on any such person an administrative penalty
which may not exceed one hundred and fifty thousand euro
(€150,000) for each infringement or failure to comply, as
the case may be."; and
(b)
in sub-article (4) thereof
(i) for the words "Where a notice as referred to in
sub-article (3) has not been appealed," there shall be
substituted the words "Where a notice as referred to in sub-
article (3) or as referred to in any other Act administered
by the Authority or in any regulations or Rules issued
thereunder, has not been appealed,"; and
(ii) for the words "Upon the service of a copy of
the notice of the decision," there shall be substituted the
words "Upon the service of a copy of the notice or the
decision,".
In sub-article (3) of article 17 of the principal Act, for the Amendment of
words "confidential information to the European Securities and article
principal Act.
Markets Authority (ESMA)," there shall be substituted the words
"confidential information to the European Central Bank (ECB), the
European Securities and Markets Authority (ESMA),".
Article 20A of the principal Act shall be amended as follows
(a) in sub-article (1) thereof, for the words "that have
been or may be issued thereunder" there shall be substituted the
words "that have been or may be issued thereunder and relating
to licence holders and others as may be specified therein;
regulations made under this paragraph, and strictly related to
transposition or implementation as aforesaid, may provide that
any provision of this Act or of any other law shall not apply to
matters falling under the regulations, and that in so far as any of
the provisions of the regulations are inconsistent with the
provisions of this Act or of any other law, said provisions in any
such regulations shall prevail";
(b) immediately after sub-article (2) thereof there shall
be added the following new sub-articles
"(3) Where regulations have been made in terms of
this article, the Authority may issue Rules for the better
carrying out of, and to better implement, the provisions of
the regulations.
(4)
Regulations made under this article may
impose
(a) administrative penalties which may not
exceed one hundred and fifty thousand euro
(€150,000) for each infringement or failure to
comply, as the case may be;
(b) punishments or other penalties in respect
of any offence, not exceeding a fine (multa) of one
hundred and fifty thousand euro (€150,000) or
imprisonment for a term not exceeding one year, or
both such fine and imprisonment; and
(c) administrative penalties and fines higher
than one hundred and fifty thousand euro (€150,000),
where deemed necessary or appropriate for any
contravention of or failure of compliance with any
EU Directive or EU Regulation or of any regulations
made under this article to transpose or to give effect
to any EU Directive or EU Regulation.".
In article 28 of the principal Act, for the words "but not later
than four months after the close of each financial year," there shall be
substituted the words "but not later than six months after the close of
each financial year,".
Article 29 of the principal Act shall be substituted by the Substitution of
following
" Exemption
(1) The Authority, including the members of the
Board of Governors when acting in any function assigned
to the Board under any provision of this Act, any body or
other organ, including any committee or sub-committee,
established under this Act, and any member or officer of that
body or organ, and the officers and employees of the
Authority, shall not be liable in damages for anything done
or omitted to be done in the discharge or purported
discharge of any such function or otherwise in the exercise
of their official duties, unless the act or omission is shown
to have been done or omitted to be done, as the case may
be, through wilful misconduct.
(2) For the purposes of this provision, the phrase "this
Act" shall include any other Act administered by the
Authority and any regulations or Rules made thereunder.".
PART II
AMENDMENTS TO THE TRUSTS AND TRUSTEES ACT
8. This Part amends the Trusts and Trustees Act and it shall be Amendments to
read and construed as one with the Trusts and Trustees Act, hereinafter the
in this Part referred to as "the principal Act".
9. Immediately after paragraph (s) of sub-article (1) of article 57 Amendment of
of the principal Act there shall be added the following new paragraphs: article
"(sA) regulate the conduct, duties and other obligations of
administrators, trustees, directors or similar functionaries
exercising control over the assets of a private foundation, as
defined in article 43(12), including the returns, statements and
other information they are to submit to the Authority, and
establish the maximum amount which, notwithstanding any
provision of this Act, may be charged as fees by such
functionaries;
(sB) regulate the conduct, duties and other obligations of
persons acting as administrators of private foundations for
persons with disability;".
PART III
AMENDMENTS TO THE FINANCIAL MARKETS ACT
10. This Part amends the Financial Markets Act and it shall be
read and construed as one with the Financial Markets Act, hereinafter
in this Part referred to as "the principal Act".
11. In paragraph (i) of the definition "company" of sub-article (1)
of article 2 of the principal Act, for the words "a public company
formed and registered" there shall be substituted the words "a
company formed and registered".
12. Article 52 of the principal Act shall be deleted.
PART IV
AMENDMENTS TO THE INVESTMENT SERVICES ACT
13. This Part amends the Investment Services Act and it shall be
read and construed as one with the Investment Services Act,
hereinafter in this Part referred to as "the principal Act".
14. In sub-article (1) of article 16A of the principal Act, for the
words "as the case may be." there shall be substituted the words "as the
case may be. The provisions of article 16 (4) of the Malta Financial
Services Authority Act shall apply mutatis mutandis.".
15. In sub-article (4) of article 17F of the principal Act, for the
words "article 17(11)" there shall be substituted the words "article
17(13)".
16. Paragraph (b) of sub-article (1) of article 26 of the principal
Act shall be substituted by the following
"(b) where the information is disclosed by the competent
authority with a view to the institution of, or otherwise for the
purposes of any proceedings before any court or tribunal;".
17. Article 27 of the principal Act shall be deleted.
PART V
AMENDMENTS TO THE COMPANIES ACT
18. This Part amends the Companies Act and it shall be read and
construed as one with the Companies Act, hereinafter in this Part
referred to as "the principal Act".
19. Article 2 of the principal Act shall be amended as follows
(a)
in sub-article (1) thereof
(i) immediately before the definition "annual
accounts" there shall be added the following new
definition
" "Agency" means the agency
established by the Malta Business
Registry (Establishment as an Agency)
S.L. 595.27. Order;";
(ii) the definition ''approval'' shall be substituted by
the following
'' "approval", in relation to a prospectus, means
the positive act at the outcome of the scrutiny of the
completeness of the prospectus by the Malta
Financial Services Authority or the regulatory
authority;'';
(iii) the definition ''court'' shall be substituted by the
following
" "court" means the Civil Court (Commercial
Section);";
(iv) in the definition ''equity securities'' the
words '', and the term ‘non-equity securities’ shall be
construed as referring to all securities that are not equity
securities'' shall be deleted;
(v)
the definition ''home Member State'' shall be
deleted;
(vi) the definition ''host Member State'' shall be
deleted;
(vii) the definition ''offering programme'' shall be
deleted;
(viii) the definition ''person making an offer'' shall be
deleted;
(ix) the definition ''the Prospectus Directive'' shall
be deleted; and
(x) the definition ''securities issued in a continuous
or repeated manner'' shall be deleted;
(xi) immediately after the definition "system of
interconnection of registers" there shall be added the
following new definition
" "third country" means a country that is not
a Member State or an EEA State;"; and
(b) sub-article (3) thereof shall be amended as follows
(i) paragraph (a) of sub-article (3) of article 2 of
the principal Act shall be deleted;
(ii) in paragraph (b) thereof, for the words "offers
made to the public:" there shall be substituted the words
"offers of securities made to the public:"; and
(iii) paragraph (e) thereof, including sub-paragraphs
(i) to (iii) and the paragraph following sub-paragraph (iii),
shall be deleted.
20. Article 66A of the principal Act shall be amended as follows
(a) in sub-article (2) thereof, for the words "the
provisions of this Part of this Act, other than this article, shall not
apply to any such partnership" there shall be substituted the
words "the provisions of this Part of this Act, other than this
article, and articles 13 to 18, article 21 and Part III of the
Commercial Code, shall not apply to any such partnership"; and
(b) in paragraph (e) of sub-article (3) thereof, for the
words "or of this Act which may otherwise be applicable
thereto," there shall be substituted the words "or of this Act or of
any other law which may otherwise be applicable thereto,".
21. Article 84A of the principal Act shall be amended as follows
(a) in paragraph (b) of sub-article (1) thereof, for the
words "as may be specified;" there shall be substituted the words
"as may be specified; and that in so far as any of the provisions
of such regulations are inconsistent with the provisions of this
Act or of any other law, such provisions in any such regulations
shall prevail;"; and
(b)
immediately after paragraph (f) of sub-article (1)
thereof there shall be added the following new sub-article
"(1A)Where any such regulations have been
issued, the competent authority as defined in the
Insurance Business Act may issue rules in terms of
Cap. 403. article 4 of the Insurance Business Act as may be
required for the better carrying out and to better
implement the provisions of any such regulations.".
22. Article 84C of the principal Act shall be amended as follows
Amendment of
article 84C of
the principal
(a) in sub-article (2) thereof, immediately after
Act.
paragraph (b) thereof there shall be added the following new
paragraph
"(bA) provide for the applicability or inapplicability
of any provision of this Act or of any other law to matters
falling under such regulations, subject to such
modifications, variations and conditions as may be
specified, and that in so far as any of the provisions of such
regulations are inconsistent with the provisions of this Act
or of any other law, such provisions in any such regulations
shall prevail;"; and
(b) immediately after sub-article (2) thereof there shall
be added the following new sub-article
"(2A)Where any such regulations have been
issued in terms of this article, the competent
authority as defined in the Securitisation Act may
issue rules in terms of article 20 of the
Securitisation Act as may be required for the better
carrying out and to better implement the provisions
of any such regulations.".
23. Immediately after article 84D of the principal Act there Addition of
article 84E to
shall be added the following new article
the principal
Act.
'' Power to make
84E. (1)
(a)
The Minister may make regulations
in order to
regarding cell
companies carrying
(i) provide for the formation,
on or engaged in
constitution, authorisation and regulation of
shipping or aviation
cell companies carrying on or engaged in
shipping or aviation business;
(ii) make it possible for a company
carrying on or engaged in shipping or
aviation business to convert into a cell
company;
(iii) provide for all other matters that
may arise in connection therewith; and
(iv) provide for the better carrying
out of the provisions of this sub-article,
and, without prejudice to the generality of the
foregoing, may, by such regulations, in particular
regulate the matters referred to in article 84A(1)(a)
to (f), which shall apply also to this article.
(b) For the purposes of this article, the
term "shipping or aviation business" shall mean
all or any of the following
(i) the ownership, operation (under
charter, lease or otherwise), administration
and management (including personnel
engagement, employment or management
whether on board or otherwise) of any ship
or of any aircraft or aircraft engine and the
carrying on of all ancillary financial,
security, commercial and other activities in
connection therewith; or
(ii) the holding of shares or other
equity interests in any undertaking, whether
Maltese or otherwise, established solely or
mainly for the carrying on or carrying out of
any one or more of the activities referred to
in this definition and the carrying on of all
ancillary financial, security, commercial and
other activities in connection therewith; or
(iii) the activities of a parent
company which holds shares or other equity
interests in undertakings, whether Maltese
or otherwise, where any one or some of
these undertakings is established solely or
mainly for the carrying on or carrying out of
any one or more of the activities referred to
in this definition and the carrying on of all
ancillary financial, security, commercial and
other activities in connection therewith; or
(iv) the raising of capital through
loans, the issue of guarantees or the issue of
securities by an undertaking when the
purpose of such activity is to achieve the
objects or activities stated in the preceding
sub-paragraphs for the undertaking itself or
for any other undertaking within the same
group; or
(v) the carrying on of such other
objects or activities within the maritime or
the aviation sector and related or connected
matters which the Minister may, on the
advice of the Authority, from time to time
prescribe by regulations.
For the purposes of this paragraph the terms "group",
"parent company" and "undertaking" shall have the
same meaning as is given to them in article 2.
(c) For the purposes of this article the
terms "cell", "cellular assets" and "cell company"
shall have the same meaning, mutatis mutandis, as
is given to them in terms of article 84A(2)
Provided that for the purposes of this
article references to a "company" shall also
include references to a partnership en commandite
or similar or equivalent body corporate, the capital
of which is divided into shares.
(2) The Minister may furthermore make
regulations which provide for the formation,
constitution, authorisation and regulation of
incorporated cell companies and incorporated cells as
limited liability companies with separate legal
personality under this Act, and which make it possible
for such companies to carry on or be engaged in
shipping or aviation business, and for all other matters
related, connected or ancillary thereto or that may arise
in connection therewith.
(3) Regulations made in terms of this article may
also provide for the applicability or inapplicability of, or
the total or partial exemption from, any of the
provisions of this Act or of any other law in force to
incorporated cell companies and incorporated cells
subject to any modifications, variations or conditions as
may be specified.".
24. In article 89 of the principal Act, for the words "It shall not be Amendment of
lawful for a public company to issue any form of application for its article
principal Act.
shares or debentures unless the company is registered and the form is
issued with a prospectus which complies with the requirements of
article 90:" there shall be substituted the words
"It shall not be lawful for a company to make an
offer of securities to the public in a Member State or
EEA State unless the company is a public company and
the offer is made in the form of a prospectus which
complies with the requirements of the Financial
Markets Act and any applicable regulations made
thereunder, and the provisions of articles 91 to 96 shall
apply to such offers:".
25. Article 90 of the principal Act shall be deleted.
26. In article 91 of the principal Act, for the words "in
contravention of any of the provisions of article 89 or of article 90(1)
shall be liable to a penalty:" there shall be substituted the words "in
contravention of article 89 shall be liable to a penalty:".
27. Article 92 of the principal Act shall be deleted.
28. Article 93 of the principal Act shall be substituted by the
"93. (1) A copy of the prospectus signed in
accordance with the provisions of the Financial
Markets Act shall be delivered to the Registrar for
registration within five days from the date of its
publication.
(2) If default is made in complying with the
provisions of this article, every officer of the company
who is in default shall be liable to a penalty, and, for
every day during which the default continues, to a
further penalty.".
29. Immediately after article 96 of the principal Act there shall be
added the following new article
96A. (1) Where a public company makes an offer of
securities to the public in a third country, its directors shall,
within one month of the registration of the issued securities
with the company, deliver to the Registrar for registration a
notice specifying the following information, together with
a copy of the offering document, if any
(a)
the country or countries where the offer is
made;
(b)
the purpose of the offer;
(c)
the amount of the offer;
(d)
the type of securities offered;
(e) the name of the authority or other body in
the third country which was responsible for the
approval of the offering document, if any.
(2) In default of complying with the provisions of
sub-article (1), every officer of the company who is in
default shall be liable to a penalty, and for every day during
which the default continues, to a further penalty.
(3) It shall be the responsibility of the issuer and the
directors of the company to comply with the laws and
regulations of the third country in which the securities are
offered to the public.
(4)
For the purpose of this article
(a) "an offer of securities to the public in a
third country" shall mean an offer of securities in
such third country
(i) to more than one hundred and fifty
persons; or
(ii) where the total consideration of the
offer exceeds one hundred thousand euro
(€100,000), calculated over a period of twelve
months;
(b) "offering
document"
includes
a
prospectus or other invitation to acquire securities.".
Article 99 of the principal Act shall be deleted.
Articles 100 to 102, both inclusive, of the principal Act shall Deletion of
be deleted.
Sub-article (12) of article 122 of the principal Act shall be Amendment of
amended as follows
(a) in paragraph (a) thereof
(i) for the words "in a public company which are
quoted on a Maltese regulated market" there shall be
substituted the words "in a company which are listed on a
Maltese regulated market"; and
(ii) in sub-paragraph (ii) thereof, for the words "the
company whose quoted securities" there shall be
substituted the words "the company whose listed
securities"; and
(b) in paragraph (b) thereof, for the words "in a public
company which are quoted on a regulated market" there shall be
substituted the words "in a public company which are listed on a
regulated market".
In sub-article (1) of article 225 of the principal Act, for the
words "The Minister, acting on the advice of the Malta Financial
Services Authority, shall appoint a senior official of the said
Authority" there shall be substituted the words "The Minister shall
appoint a senior official of the Agency".
Article 388 of the principal Act shall be deleted.
Articles 390 to 398, both inclusive, of the principal Act shall
be deleted.
In sub-article (1) of article 400 of the principal Act, for the
words "The Minister, acting on the advice of the Malta Financial
Services Authority, shall appoint a senior official of the said
Authority" there shall be substituted the words "The Minister shall
appoint a senior official of the Agency".
Paragraph (l) of sub-article (1) of article 425 of the principal
Act shall be deleted.
The Second Schedule to the principal Act shall be deleted.
The Eleventh Schedule to the principal Act shall be amended
as follows
(a)
the item
"91 Contravention of articles 89 or
90(1) in respect of the obligation
to issue a prospectus
€2,329.37 None"
shall be substituted by the following
"91 Contravention of article 89 in
respect of the obligation to issue
a prospectus
€2,329.37 None";
(b)
the item
"92(2) Issue of prospectus in
contravention of article 92(1) €2,329.37 None"
shall be deleted;
(c)
immediately after the item
"93(2) Issue of a prospectus before
registration thereof
€2,329.37 €46.59"
there shall be added the following new item
"96A(2) F a i l u r e o f o f f i c e r s t o
provide Registrar with
notice that the company
issued an offer of securities
to the public in a third
€500
€25"
country
; and
(d)
the item
Person responsible
"397(1)
for
issuing,
circulating or
distributing a
prospectus, etc.,
for an oversea
company
in
contravention of
None"
articles 391 to 396 €2,329.37
shall be deleted.
PART VI
AMENDMENTS TO THE INSURANCE BUSINESS ACT
This Part amends the Insurance Business Act and it shall be
read and construed as one with the Insurance Business Act, hereinafter
in this Part referred to as "the principal Act".
In sub-article (1) of article 2 of the principal Act, the
definition "reinsurance" shall be substituted by the following
" "reinsurance" means one of the following
(a) the activity consisting in accepting risks ceded
by an insurance undertaking or third-country insurance
undertaking, or by another reinsurance undertaking or
third-country reinsurance undertaking; or
(b) the provision of cover by a reinsurance
undertaking to an institution that falls within the scope of
Directive (EU) 2016/2341 of the European Parliament and
of the Council;".
In sub-article (6) of article 27 of the principal Act, for the
words "shall notify EIOPA of any revocation of authorisation in terms
of articles 25 and 26." there shall be substituted the words "shall notify
EIOPA of any revocation of authorisation in terms of the Act.".
Article 28 of the principal Act shall be amended as follows
(a) in paragraph (e) of sub-article (1) thereof, for the
words "or part thereof, as the competent authority may direct;"
there shall be substituted the words "or part thereof, including to
take the necessary action for the undertaking to be dissolved and
wound up, as the competent authority may direct;";
(b)
sub-article (2) thereof shall be amended as follows
(i) in paragraph (c) thereof, for the words "or by
any other person, including the legal and judicial
representation of the undertaking" there shall be
substituted the words "or by any other person, including for
the purposes of the dissolution and winding up of the
undertaking as well as the legal and judicial representation
of the undertaking";
(ii) in paragraph (d) thereof, for the words "to the
exclusion of any other person." there shall be substituted
the words "to the exclusion of any other person:" and
immediately thereafter there shall be added the following
new proviso
"Provided that the competent person shall
not take any decision for the purpose of the
dissolution and winding up of the undertaking, unless
the competent authority issues a directive to that
effect in terms of article 31A of the Act, and any such
directive may contain such instructions, requirements
and conditions as the competent authority may
consider necessary, including with regard to the
mode of winding up.";
(c) immediately after sub-article (2) thereof there shall
be added the following new sub-article
"(2A) Without prejudice to the powers of the
competent authority in terms of sub-article (1), the
competent authority may also submit an
application to the court for the dissolution and
winding up by the court of an undertaking, where
it appears to the competent authority that an
undertaking should be dissolved and wound up by
the court for the reason set out in article
214(2)(b)(iii) of the Companies Act, and where the
court accedes to the application, the relevant
provisions of the Companies Act in relation to the
dissolution and winding up by the court and any
other applicable provisions of any other law shall
apply."; and
(d) immediately after sub-article (5) thereof there shall
be added the following new sub-article
"(6) Any measure adopted in terms of sub-article (1)
shall remain in force notwithstanding that an undertaking
ceases to hold an authorisation licence for whatever reason,
unless the competent authority otherwise directs.".
In sub-article (2) of article 31 of the principal Act, for the Amendment of
words "any information or documents specified in the authority, being article
principal Act.
information or documents" there shall be substituted the words "any
information or documents specified in the notice, being information or
In sub-article (1) of article 31A of the principal Act, for the
words "or any further directive." there shall be substituted the words
"or any further directive:" and immediately thereafter there shall be
added the following new provisos
"Provided that the competent authority may give any such
directive even where an undertaking, for whatever reason, ceases
to hold an authorisation granted in terms of this Act
Provided further that any directive given in terms of this
article shall, unless the competent authority otherwise directs,
continue to apply even when an undertaking, for whatever
reason, ceases to hold an authorisation granted in terms of this
Act.".
Article 66 of the principal Act shall be deleted.
In sub-article (6) of article 67 of the principal Act the second
proviso shall be deleted.
PART VII
AMENDMENTS TO THE PREVENTION OF FINANCIAL
MARKETS ABUSE ACT
This Part amends the Prevention of Financial Markets Abuse
Act and it shall be read and construed as one with the Prevention of
Financial Markets Abuse Act, hereinafter in this Part referred to as
"the principal Act".
In sub-article (1) of article 2 of the principal Act, the
definition "the Minister" shall be substituted as follows
" "the Minister" means the Minister responsible for the
regulation of financial services;".
PART VIII
AMENDMENTS TO THE SECURITISATION ACT
This Part amends the Securitisation Act and it shall be read
and construed as one with the Securitisation Act, hereinafter in this
Part referred to as "the principal Act".
In article 2 of the principal Act, the definition "the Minister"
shall be substituted as follows
" "the Minister" means the Minister responsible for the
regulation of financial services;".
Sub-article (1) of article 20 of the principal Act shall be Amendment of
article 20 of the
substituted by the following
principal Act.
"(1) For the better carrying out of the provisions of this
Act or of the provisions of any regulations relating to
securitisation vehicles or securitisation transactions, the
competent authority may, from time to time, issue and publish
rules as may be necessary or appropriate in connection therewith.
The rules shall be binding on securitisation vehicles and
securitisation creditors and other persons as may be specified
therein.".
Immediately after sub-article (1) of article 23 of the principal Amendment of
article 23 of the
Act there shall be added the following new sub-article
principal Act.
"(1A) Without prejudice to the generality of the foregoing,
the Minister, acting on the advice of the competent authority,
may make regulations to provide for and regulate the payment by
any person, body, company or securitisation vehicle, as the case
may be, of fees and such other charges in respect of any request,
application or other matter that may be submitted to the
competent authority under this Act including the fees and
charges in respect of any permission, licence, authorisation,
registration, recognition, exemption or other benefit, as well as
fees and charges in respect of the competent authority’s
regulatory, supervisory or investigative functions, payable to the
competent authority in respect of any matter provided for, by or
under this Act or any regulations made under this article, as may
be prescribed.".
PART IX
AMENDMENTS TO THE INSURANCE DISTRIBUTION ACT
This Part amends the Insurance Distribution Act and it shall Amendments to
be read and construed as one with the Insurance Distribution Act, the
Distribution
hereinafter in this Part referred to as "the principal Act".
Act. Cap. 487.
In paragraph (a) of sub-article (2A) of article 3 of the Amendment of
principal Act, the words "and in such a case, a penalty imposed under article
principal Act.
this paragraph, whether in the form of a fixed amount, a daily penalty,
or both, may in no case, exceed one hundred and fifty thousand euro
(€150,000);" shall be deleted.
Article 19 of the principal Act shall be amended as follows
Amendment of
article 19 of the
principal Act.
(a) in paragraph (d) of sub-article (1) thereof, for the
words "or part thereof, as the competent authority may direct;"
there shall be substituted the words "or part thereof, including to
take the necessary action for the intermediary to be dissolved and
wound up, as the competent authority may direct;";
(b)
sub-article (2) thereof shall be amended as follows
(i) in paragraph (c) thereof, for the words "or by
any other person, including the legal and judicial
representation of the intermediary" there shall be
substituted the words "or by any other person, including for
the purposes of the dissolution and winding up of the
intermediary as well as the legal and judicial representation
of the intermediary";
(ii) in paragraph (d) thereof, for the words "to the
exclusion of any other person." there shall be substituted
the words "to the exclusion of any other person:" and
immediately thereafter there shall be added the following
new proviso
"Provided that the competent person shall
not take any decision for the purpose of the
dissolution and winding up of the intermediary,
unless the competent authority issues a directive
to that effect in terms of article 31A of the
Insurance Business Act, made applicable by
article 54 of the Act, and any such directive may
contain such instructions, requirements and
conditions as the competent authority may
consider necessary, including with regard to the
mode of winding up.";
(c) immediately after sub-article (2) thereof there shall
be added the following new sub-article
"(2A) Without prejudice to the powers of the
competent authority in terms of sub-article (1),
the competent authority may also make an
application to the court for the dissolution and
winding up by the court of an intermediary, where
it appears to the competent authority that an
intermediary should be dissolved and wound up
by the court for the reason set out in article
Cap. 386. 214(2)(b)(iii) of the Companies Act, and where
the court accedes to the application, the relevant
provisions of the Companies Act in relation to the
dissolution and winding up by the court and
any other applicable provisions of any other
law shall apply."; and
(d) immediately after sub-article (3) thereof there shall
be added the following new sub-article
"(4) Any measure adopted in terms of sub-article (1)
shall remain in force notwithstanding that an intermediary
ceases to be enrolled for whatever reason, unless the
competent authority otherwise directs.".
Article 51 of the principal Act shall be deleted.
Deletion of
article 51 of the
principal Act.
PART X
AMENDMENTS TO THE RETIREMENT PENSIONS ACT
This Part amends the Retirement Pensions Act and it shall be Amendments to
read and construed as one with the Retirement Pensions Act, the
Pensions Act.
hereinafter in this Part referred to as "the principal Act".
Sub-article (1) of article 2 of the principal Act shall be Amendment of
article 2 of the
amended as follows
principal Act.
(a) in the definition "competent authority", for the words Cap. 330.
"established by article 3 of the Malta Financial Services
Authority Act, which body shall act as the competent authority
for the purposes of this Act and also for relevant purposes of the
Occupational Pensions Directive;" there shall be substituted the
words "established by the Malta Financial Services Authority
Act;";
(b) immediately after the definition "investor" there shall
be added the following new definition
" "key function" within a system of governance,
means a capacity to undertake practical tasks comprising
the risk management function, the internal audit function,
and the actuarial function;";
(c) immediately after the definition "licence holder"
there shall be added the following new definition
" "main administration" means the place, located in
Malta, where the main strategic decisions of a retirement
scheme and a retirement fund are made;";
"Malta’s
(d)
in
the
definition
international
commitments"
(i) for the words "arising out of membership of, or
affiliation" there shall be substituted the words "arising out
of membership of the European Union and membership of,
or affiliation"; and
(ii) for the words "whether bilateral or multilateral,
to which Malta is a party;" there shall be substituted the
words "whether bilateral or multilateral, including
Memoranda of Understanding, to which Malta is a party;";
(e) in the definition "the Minister", for the words
"Minister responsible for finance;" there shall be substituted the
words "Minister responsible for the regulation of financial
services;";
(f) the definition "Occupational Pensions Directive"
shall be substituted by the following
" "Occupational Pensions Directive" means Directive
(EU) 2016/2341 of the European Parliament and of the
Council of 14 December 2016 on the activities and
supervision of institutions for occupational retirement
provision (IORPs) (recast), as may be amended from time
to time, and includes any implementing measures,
implementing technical standards, regulatory technical
standards and similar measures that have been or may be
issued thereunder;";
(g)
the definition "occupational retirement scheme"
shall be substituted by the following
" "occupational retirement scheme" means a
retirement scheme, irrespective of its legal form, operating
on a funded basis, established separately from any
sponsoring undertaking or trade, for the purposes of
providing retirement benefits in the context of an
occupational activity on the basis of an agreement or a
contract agreed
(a) individually or collectively between the
employer or employers and the employees or their
respective representatives; or
(b) with self-employed persons, individually or
collectively,
and which carries out activities directly arising therefrom;";
(h)
immediately after the definition "occupational
retirement scheme" there shall be added the following new
definition
" "officer", in relation to a licence holder, includes a
director, manager or company secretary or any person
effectively acting in such capacity, whether formally
appointed or not;";
(i) the definition "Pension Rule" shall be substituted by
the following
" "Pension Rules" means rules issued by the
competent authority, under various articles of this Act and
under any regulations made thereunder;";
(j) in the definition "prescribed" for the words "made
under this Act in accordance with article 37;" there shall be
substituted the words "made under this Act;";
(k)
the definition "recognition" shall be deleted;
(l)
the definition "recognised person" shall be deleted;
(m) in the definition "service", for the words "provided in
relation to an instrument; and, or any back-office administrative
activity as established by Pension Rules;" there shall be
substituted the words "provided in relation to an instrument;";
(n) in the definition "service provider", for the words
"the services listed in the Schedule and, or recognised to provide
any one or more of the back-office administrative activities
established by Pension Rules;" there shall be substituted the
words "the services listed in the Schedule;";
(o) in the definition "Solvency II Directive", for the
words "(Solvency II), as may be amended from time to time, and
includes any implementing measures that may be issued
thereunder;" there shall be substituted the words "(Solvency II)
(recast), as may be amended from time to time and includes any
delegated acts and any technical standards that have been, or
may be issued thereunder;"; and
(p) immediately after the definition "Solvency II
Directive" there shall be added the following new definition
" "sponsoring undertaking" means any undertaking or
other body, regardless of whether it includes or consists of
one or more legal or natural persons, which acts as an
employer or in a self-employed capacity or any
combination thereof and which offers an occupational
retirement scheme or pays contributions to an occupational
retirement scheme;".
In the heading of Part II of the principal Act, for the words
"Licensing and Recognition Requirements" there shall be substituted
the words "Licensing Requirements".
Paragraph (b) of sub-article (2) of article 3 of the principal
Act shall be amended as follows
(a) for the words "age of fifty, or not later than that
specified in Pension Rules," there shall be substituted the words
"age of fifty, or later than that specified in Pension Rules,"; and
(b) the proviso thereof shall be substituted by the
following
"Provided that a scheme or arrangement described in
paragraph (a) may, by written notice to the competent
authority, apply to be considered as a scheme for the
purposes of this Act, and such a scheme shall comply with
the provisions of Articles 32 to 35 of the Occupational
Pensions Directive.".
Article 4 of the principal Act shall be amended as follows
(a) in sub-article (1) thereof, for the words "unless such
retirement scheme is situated in Malta and is duly licensed under
this Act." there shall be substituted the words "unless the main
administration of such retirement scheme is located in Malta and
is duly licensed under this Act.";
(b) in sub-article (3) thereof, for the words "unless such
retirement scheme is situated in Malta and is duly licensed under
this Act." there shall be substituted the words "unless the main
administration of such retirement scheme is located in Malta and
is duly licensed under this Act."; and
(c) paragraph (a) of sub-article (4) thereof shall be
substituted by the following
"(a) located in Malta; or".
Article 5 of the principal Act shall be amended as follows
Amendment of
article 5 of the
principal Act.
(a) in sub-article (1) thereof, for the words "an overseas
retirement scheme unless such retirement fund is situated in
Malta and is duly licensed under this Act." there shall be
substituted the words "an overseas retirement scheme unless the
main administration of such retirement fund is located in Malta
and is duly licensed under this Act."; and
(b) paragraph (a) of sub-article (3) thereof shall be
substituted by the following
"(a) located in Malta; or".
Article 7 of the principal Act shall be deleted.
Deletion of
article 7 of the
principal Act.
In the heading of Part III of the principal Act, for the words Amendment of
"Application, Grant, Cancellation, Suspension, of Licences and Part
principal Act.
Recognitions" there shall be substituted the words "Application, Grant,
Cancellation and Suspension of Licences".
Article 8 of the principal Act shall be amended as follows
Amendment of
article 8 of the
principal Act.
(a) in the marginal note thereto, for the words
"Application for a licence and, or recognition." there shall be
substituted the words "Application for a licence.";
(b) for the words "a licence or recognition, as the case
may be," there shall be substituted the words "a licence";
(c) for the words "shall be made in the form and manner"
there shall be substituted the words "shall be made in writing in
such form and manner";
(d) in paragraph (a) thereof, for the words "may require
or as may be prescribed;" there shall be substituted the words
"may require by means of Pension Rules;"; and
(e) in paragraph (b) thereof, for the words "by the
competent authority or as may be prescribed." there shall be
substituted the words "by the competent authority as may be
established by means of Pension Rules.".
Article 9 of the principal Act shall be amended as follows
Amendment of
article 9 of the
principal Act.
(a) in the marginal note thereto, for the words "to refuse
or grant a licence or recognition." there shall be substituted the
words "to refuse or grant a licence.";
(b) in sub-article (1) thereof, for the words "grant a
licence or recognition, as the case may be, applied for under"
there shall be substituted the words "grant a licence applied for
(c)
in sub-article (2) thereof
(i) for the words "grant a licence or recognition, as
the case may be, applied for under" there shall be
substituted the words "grant a licence applied for under";
(ii)
in paragraph (a) thereof
(aa) immediately after sub-paragraph (i)
thereof, there shall be added the following new sub-
paragraph
"(iA) the activities of the retirement
scheme are limited to retirement benefit related
operations and activities arising therefrom;";
(bb) in sub-paragraph (ii) thereof, for the
words "the retirement scheme and, or Retirement
Scheme Administrator, as the case may be, will
comply with and observe the provisions" there shall
be substituted the words "it submits evidence that it
shall be in a position to comply with and observe the
provisions;";
(cc) in sub-paragraph (iii) thereof, for the
words "fit and proper persons" there shall be
substituted the words "fit and proper";
(dd) in sub-paragraph (vi) thereof, for the
words "does not raise any regulatory concerns;" there
shall be substituted the words "does not raise any
regulatory concerns; and";
(iii) immediately after sub-paragraph (vi) of
paragraph (a) thereof there shall be added the following
new paragraph
"(aA)in addition to the requirements in
paragraph (a), in the case of an occupational
retirement scheme
(i) the
Retirement
Scheme
Administrator shows evidence that it will be in
a position to comply with the system of
governance provided for in article 13A;
(ii) the
Retirement
Scheme
Administrator shows evidence that, where the
sponsoring undertaking guarantees the payment
of the retirement benefits, the employer is
committed to regular financing;";
(d) in sub-article (3) thereof, for the words "a licence or
recognition granted by the competent authority" there shall be
substituted the words "a licence granted by the competent
authority";
(e)
in sub-article (4) thereof
(i) for the words "When considering whether to
grant or refuse to grant a licence and, or recognition as the
case may be, the competent authority shall," there shall be
substituted the words "When carrying out its functions
under the Act, the competent authority shall,"; and
(ii) in paragraph (c) thereof, for the words "or
retirement fund, the persons responsible thereof," there
shall be substituted the words "or retirement fund, the
Retirement Scheme Administrator and, or the persons
responsible thereof,";
(f)
sub-article (6) thereof shall be deleted;
(g)
in sub-article (7) thereof
(i) for the words "the Rules to which the
competent authority" there shall be substituted the words
"the Pension Rules to which the competent authority";
(ii) for the words "shall subject a licence and, or
recognition may be made" there shall be substituted the
words "shall subject a licence, may be made"; and
(iii) paragraph (a) thereof shall be substituted by the
following
"(a) all licences granted;";
(h) in sub-article (8) thereof, for the words "grant a
licence or recognition; and in the case of a refusal it shall inform
the applicant of the reasons" there shall be substituted the words
"grant a licence; and in the case of a refusal it shall inform the
applicant in writing of the reasons";
(i) in paragraph (b) of sub-article (10) thereof, for the
words "by means of a Pension Rule issued" there shall be
substituted the words "by means of Pension Rules issued"; and
(j) in sub-article (11) thereof, for the words "a register of
all holders of a licence and, or recognition. The register, which
shall be publicly available, shall also indicate the services and, or
activities in relation to which each licence and, or recognition
was issued." there shall be substituted the words "a register of all
holders of a licence. The register, which shall be publicly
available, shall also indicate the services and, or activities in
relation to which each licence was issued.".
Article 10 of the principal Act shall be amended as follows
(a) in the marginal note thereof, for the words "to cancel
or suspend a licence or recognition." there shall be substituted
the words "to cancel or suspend a licence.";
(b) in sub-article (1) thereof, for the words "suspend a
licence and, or recognition in accordance with" there shall be
substituted the words "suspend a licence in accordance with";
(c)
in sub-article (2) thereof
(i) in paragraph (c) thereof, for the words "false,
inaccurate or misleading, or if the Retirement Scheme
Administrator" there shall be substituted the words "false,
inaccurate or misleading in any material particular, or if the
Retirement Scheme Administrator"; and
(ii) in paragraph (d) thereof, for the words
"licensed to carry on within the time provided for in the
licence or has ceased to" there shall be substituted the
words "licensed to carry on within the time provided for in
the licence or if no such time is specified, within twelve
months of its issue, or has ceased to";
(d) in paragraph (d) of sub-article (3) thereof, for the
words "not commenced the activities it has been licensed to carry
on within the time provided for in the licence or has ceased to"
there shall be substituted the words "not commenced to provide
the activities within the time provided for in the licence or if no
such time is specified, within twelve months of its issue, or has
ceased to"; and
(e)
in sub-article (4) thereof
(i) for the words "cancel or suspend a licence and,
or recognition as the case may be:" there shall be
substituted the words "cancel or suspend a licence:";
(ii) in paragraph (a) thereof, for the words "he is
licensed and, or recognised to provide; or" there shall be
substituted the words "he is licensed to provide; or";
(iii) in paragraph (d) thereof
(aa) for the words "has been licensed and, or
recognised to provide within the time provided for in
the licence and, or recognition" there shall be
substituted the words "has been licensed to provide
within the time provided for in the licence";
(bb) for the words "or has ceased to provide
such service; or" there shall be substituted the words
"or if no such time is specified, within twelve months
of its issue, or has ceased to provide such service;
or";
(iv) in paragraph (e) thereof, for the words "suspend
the licence and, or recognition for the protection of
beneficiaries," there shall be substituted the words
"suspend the licence for the protection of beneficiaries,";
and
(v) in paragraph (g) thereof, for the words
"precluded from issuing the licence and, or recognition as
the case may be, or where" there shall be substituted the
words "precluded from issuing the licence, or where".
Article 11 of the principal Act shall be amended as follows
Amendment of
article 11 of the
principal Act.
(a) in the marginal note thereof, for the words
"suspension of a licence and, or recognition." there shall be
substituted the words "suspension of a licence.";
(b)
in sub-article (1) thereof
(i) in paragraph (a) thereof, for the words "to
which a licence and, or recognition is subject or to impose
a condition thereon;" there shall be substituted the words
"to which a licence is subject or to impose a condition
thereon;";
(ii) paragraph (b) thereof shall be substituted by the
following
"(b) to refuse an application for a licence or to
cancel or to suspend a licence,"; and
(iii) in the paragraph
immediately
following
paragraph (b) thereof
(aa) for the words "to the licence holder and,
or recognised person, or in the case of a retirement
scheme" there shall be substituted the words "to the
licence holder, or in the case of a retirement scheme";
and
(bb) for the words "setting out the reasons for
its proposed action." there shall be substituted the
words "setting out detailed reasons for its proposed
action.";
(c) in sub-article (3) thereof, for the words "The
competent authority shall as soon as practicable notify its final
decision" there shall be substituted the words "The competent
authority shall notify its final decision"; and
(d) sub-article (4) thereof shall be substituted by the
following
"(4) The competent authority shall notify EIOPA of
any restriction, suspension or cancellation of a licence of
an occupational retirement scheme under article 10.".
In sub-article (1) of article 13 of the principal Act, for the
words "the best interests of the retirement scheme and may not use the
assets" there shall be substituted the words "the best interests of the
retirement scheme, its members and beneficiaries, and may not use the
Immediately after article 13 of the principal Act there shall be
added the following new article
13A. (1) A Retirement Scheme Administrator shall
governance for
occupational be required to have in place an effective system of
governance which provides for sound and prudent
management of its activities in connection with the overall
operation and administration of an occupational retirement
scheme. The system of governance requirements shall be
laid down in Pension Rules.
(2)
A Retirement Scheme Administrator shall
(a) ensure that persons carrying out a key
function, and where applicable, persons or entities to
which a key function has been outsourced, are fit
and proper, in accordance with criteria set out in the
Pension Rules;
(b) have in place the following key
functions
(i) an effective risk management
system, including a risk management function;
(ii) an effective internal audit function;
and
(iii) where applicable, an effective
actuarial function;
(c) as part of the risk management system,
conduct its own risk assessment and the risk
assessment of the occupational retirement scheme;
(d) have in place an effective internal
control system;
(e) if it outsources any of its functions or
activities, remain fully responsible for discharging
all of its obligations under this Act and the
regulations and Pension Rules issued thereunder.
(3) The systems and functions referred to in sub-
article (2) shall be determined by Pension Rules.
(4) The system of governance shall be proportionate
to the nature, scale and complexity of the operations of the
occupational retirement scheme.".
Article 16 of the principal Act shall be amended as follows
(a)
sub-article (1) thereof shall be substituted by the
following
"16. (1) Every retirement scheme or retirement
fund shall appoint an auditor to carry out the duties as may
be specified by Pension Rules.
(1A) Every retirement scheme which provides cover
against biometric risks or guarantees an investment
performance or a given level of benefits, shall also appoint
an actuary to carry out the duties, as may be specified by
regulations and Pension Rules."; and
(b)
in sub-article (2) thereof
(i) for the words "a licence holder or recognised
person, as the case may be, shall have the right" there shall
be substituted the words "a licence holder shall have the
right"; and
(ii) for the words "from that licence holder or
recognised person as the case may be." there shall be
substituted the words "from that licence holder.".
In the heading of Part V of the principal Act, the words "Other
Requirements and General Provisions" shall be substituted by the
words "Other Requirements".
Paragraph (a) of article 18 of the principal Act shall be
substituted by the following
"(a) the rates of contributions payable towards the
retirement scheme, as may be prescribed;".
Article 20 of the principal Act shall be substituted by the
following
"20. Every retirement scheme and Retirement Scheme
Administrator shall forward to the competent authority a copy of
its audited financial statements within the periods stipulated in
the Pension Rules and shall comply with any reporting
requirements, as may be required by Pension Rules.".
Immediately before article 26 of the principal Act the heading
"Defined Benefit Occupational Retirement Schemes" shall be
substituted by the heading "Quantitative Requirements".
Article 26 of the principal Act shall be substituted by the
following
26. (1)
Every retirement scheme shall
(a) establish at all times an adequate
amount of liabilities corresponding to the
financial commitments which arise out of their
portfolio of existing pension contracts; and
(b) where it provides cover against
biometric risks or guarantees either an investment
performance or a given level of benefits, establish
sufficient technical provisions.
(2) The manner in which technical provisions shall
apply to retirement schemes licensed under the Act may
be determined by regulations prescribed for this
purpose.".
In article 28 of the principal Act, for the words "as the case Amendment of
may be, shall produce such annual accounts," there shall be substituted article
principal Act.
the words "as the case may be, and comply with any reporting
requirements such as annual accounts,".
In article 30 of the principal Act, for the words "Every licence Amendment of
holder and recognised person under this Act" there shall be substituted article
principal Act.
the words "Every licence holder under this Act".
Article 31 of the principal Act shall be amended as follows
Amendment of
article 31 of the
principal Act.
(a) for the words "A licence holder or recognised person,
or any person having responsibility," there shall be substituted
the words "A licence holder or any person having
responsibility"; and
(b) for the words "the information provided under this
Act as soon as such person or its delegate" there shall be
substituted the words "the information provided under this Act,
and any regulations made thereunder, or any Pension Rules, as
soon as such person or its delegate".
Article 32 of the principal Act shall be amended as follows
Amendment of
article 32 of the
principal Act.
(a) in sub-article (1) thereof, for the words "No person
shall acquire," there shall be substituted the words
"Notwithstanding anything contained in any other law, no person
shall acquire,";
(b) in sub-article (4) thereof, for the words "mentioned in
sub-article (1)(b) shall state the reasons" there shall be
substituted the words "mentioned in sub-article (1)(c) shall state
the reasons";
(c) sub-article (10) thereof shall be substituted by the
following
"(10) Without prejudice to the provisions of articles
46 and 48, where a shareholding in a service provider is
acquired despite the objection of the competent authority,
the competent authority shall have the power to make an
order
(a)
restraining
such
person
or
service
provider from taking, or continuing with such action;
(b)
declaring such action to be null and void;
(c) requiring such person or service provider
to take such steps, as may be necessary, to restore the
position existing immediately before the action was
taken;
(d) restraining such person or service
provider from exercising any rights which such
action would, if lawful, have conferred upon them,
including the right to receive any payment or to
exercise any voting rights attached to the shares
acquired;
(e) restraining such person or service
provider from taking any similar action or any other
action within the categories set out in sub-articles (1)
and (6)."; and
(d) immediately after sub-article (11) thereof there shall
be added the following new sub-article
"(12) The requirements set out in this article
shall apply to a retirement scheme set up as an
investment company with variable share capital
("SICAV") under the Companies Act.".
In article 33 of the principal Act, for the words "from time to
time by the Commissioner of Inland Revenue." there shall be
substituted the words "from time to time by the Commissioner for
In article 34 of the principal Act, for the words "The
competent authority may, by a Pension Rule made for" there shall be
substituted the words "The competent authority may, by Pension Rules
Article 35 of the principal Act shall be amended as follows
(a)
in sub-article (1) thereof
(i) for the words "a licence holder or recognised
person, as applicable, shall have the duty" there shall be
substituted the words "a licence holder shall have the
duty";
(ii) for the words "any fact or decision of which it
becomes aware" there shall be substituted the words "any
fact or decision concerning that licence holder of which it
becomes aware";
(iii) for the words "such licence holder or
recognised person" there shall be substituted the words
"such licence holder";
(iv) for the word "which –" there shall be
substituted the words "which relates to any matter which
may be prescribed or is likely to bring or has brought about
the following:";
(v) paragraphs (a), (b) and (c) thereof shall be
substituted by the following
"(a) a serious qualification, or refusal of the
auditor’s or actuary’s report on the accounts of such
licence holder;
(b) a material breach of the provisions of this
Act and regulations or any Pension Rules which lay
down the legal or regulatory requirements applicable
to a license holder in or under this Act; or
(c) a grave impairment of the licence
holder’s ability to meet the current or future
liabilities attributable to it; or";
(b)
in sub-article (2) thereof
(i) for the words "a licence holder or recognised
person, as applicable, shall report" there shall be
substituted the words "a licence holder shall report";
(ii) for the words "any facts or decisions as
specified in sub-article (1)" there shall be substituted the
words "any facts or decisions of which he becomes aware
of in the course of carrying out his duties, which relate to
or have a serious adverse effect, upon the members or
beneficiaries, as specified in sub-article (1),"; and
(iii) for the words "of the licence holder or
recognised person or of the person having such close
links." there shall be substituted the words "of the licence
holder or of the person having such close links.";
(c) in sub-article (3) thereof, for the words "the services
listed in the Schedule and, or back-office administrative
activities as established by Pension Rules." there shall be
substituted the words "the services listed in the Schedule.";
(d) immediately after sub-article (3) thereof there shall
be added the following new sub-article
"(3A)Without prejudice to any provision contained in
this Act, the competent authority may request the auditor
or the actuary, as the case may be, to provide it with such
information and documentation relating to any fact or
decision as specified in sub-articles (1) or (2) concerning
the licence holder."; and
(e) in sub-article (4) thereof, for the words "a licence
holder or recognised person, as applicable, to change its
appointed auditor," there shall be substituted the words "a
licence holder to change its appointed auditor".
Article 37 of the principal Act shall be amended as follows
(a)
in sub-article (1) thereof
(i) in paragraph (b) thereof, for the words "provide
for the safekeeping and custody of the property of retirement
schemes" there shall be substituted the words "provide for
the safekeeping and oversight duties, and custody of the
property of retirement schemes";
(ii) in paragraph (f) thereof, for the words "other
licence holders or recognised persons, or advertisement
from" there shall be substituted the words "other licence
holders or advertisement from";
(iii) immediately after paragraph (h) thereof there
shall be added the following new paragraph
"(ha) regulate the restriction or prohibition of
the free disposal of the assets of a retirement scheme
falling within such description as may be prescribed,
when in particular
(i) that retirement scheme has failed to
establish sufficient technical provisions in
respect of the entire business or has insufficient
assets to cover the technical provisions;
(ii) that retirement scheme has failed to
hold any regulatory own funds as may be
applicable.";
(iv) in paragraph (i) thereof, for the words "the
manner in which a defined benefit retirement scheme deals
with surplus funds" there shall be substituted the words
"the manner in which a scheme which provides cover
against biometric risks or guarantees an investment
performance or a given level of benefits deals with surplus
funds";
(v) in paragraph (k) thereof, for the words "as the
case may be, of licence or recognition fees or other fees"
there shall be substituted the words "as the case may be, of
licence fees or other fees";
(vi) in paragraph (l) thereof, for the words "and any
other legislative measures of the European Union requiring
transposition and, or implementation as may be amended
from time to time, and including any implementing
measures issued thereunder as may be applicable to
retirement schemes;" there shall be substituted the words
"and including any implementing measures, implementing
technical standards, regulatory technical standards and
similar measures issued thereunder as may be applicable to
retirement schemes that have or may be issued
thereunder;";
(vii) paragraph (n) thereof shall be substituted by the
following
"(n) transpose, implement and, or give effect
to the provisions and requirements of Directives,
regulations and any other legislative measures of the
European Union requiring transposition and, or
implementation, as they may be amended from time
to time, including any implementing measures that
have been or may be issued thereunder and relating
to licence holders and others as may be specified
therein; any such regulations strictly related to the
transposition or implementation as aforesaid may
contain provisions which are inconsistent with the
provisions of this Act or of any other law, and for this
purpose may provide that any provision in this Act or
in any other law shall not apply to matters falling
under the regulations, and in case of such
inconsistency, such provisions
in
any
such
regulations shall prevail;";
(viii) paragraph (o) thereof shall be substituted by the
following
"(o) provide for the application of specific
provisions of the Occupational Pensions Directive
to the occupational pensions provision business
carried out by insurance undertakings authorised
under the Insurance Business Act carrying on long
term business;"; and
(b)
sub-article (2) thereof shall be deleted.
Sub-article (2) of article 38 of the principal Act shall be
amended as follows
(a) for the words "binding on licence holders and, or
recognised persons under this Act" there shall be substituted the
words "binding on licence holders under this Act";
(b) for the words "may relate to a particular class of
retirement scheme and, or retirement fund" there shall be
substituted the words "to a particular category of retirement
scheme and, or retirement fund";
(c) for the words "activities of that licence holder or
recognised person, the conduct of" there shall be substituted the
words "activities of that licence holder, the conduct of";
(d) in paragraph (b) thereof, for the words "management
of the retirement scheme and, or fund;" there shall be substituted
the words "management of the retirement fund;";
(e) in paragraph (c) thereof, for the words "management
of the retirement scheme and, or retirement fund" there shall be
substituted the words "management of the retirement fund";
(f) in sub-paragraph (ii) of paragraph (e) thereof, for the
words "that retirement scheme has failed to hold any regulatory
own funds as may be applicable, in accordance with the procedure
established under article 17B of the Malta Financial Services
Authority Act with respect to freezing of assets;" there shall be
substituted the words "that retirement scheme has failed to hold
any regulatory own funds as may be applicable;";
(g)
paragraph (g) thereof shall be substituted by the
following
"(g) the provision of specific requirements for
personal retirement schemes;";
(h) in paragraph (h) thereof, for the words "for licensing
or recognition or other purposes" there shall be substituted the
words "for licensing or other purposes";
(i)
paragraph (i) thereof shall be deleted;
(j) in paragraph (j) thereof, for the words "applicable to
licence holders and, or recognised persons as the case may be;",
there shall be substituted the words "applicable to licence
holders;";
(k) paragraph (o) thereof shall be substituted by the
following
"(o) establishing conditions and requirements
regarding the payment to a member in the event that the
member is no longer employed by the employer;";
(l)
in paragraph (p) thereof
(i) for the words "licence holders and, or
recognised persons or providing that the persons" there
shall be substituted the words "licence holders or providing
that the persons"; and
(ii) for the words "licence holders and, or
recognised persons as applicable and the duty of a licence
holder or recognised person to make documents available
to the auditors of such licence holder or recognised person
as applicable;" there shall be substituted the words "licence
holders and the duty of a licence holder to make documents
available to the auditors of such licence holder;";
(m) in paragraph (t) thereof, for the words "retirement
schemes." there shall be substituted the words "retirement
schemes;"; and
(n) immediately after paragraph (t) thereof, as amended,
there shall be added the following new paragraphs
"(u) issuing Pension Rules in relation to
occupational retirement schemes transferring all or part of
their liabilities, technical provisions and other obligations
and rights, as well as corresponding assets or cash
equivalent to another retirement scheme;
(v) issuing Pension Rules to enable a member,
beneficiary, contributor and generally any person who has
entered or offered to enter into a retirement scheme, to
rescind the agreement or withdraw the offer within such
period and in such manner as stipulated in the said Rules.".
Article 39 of the principal Act shall be amended as follows
(a)
in sub-article (1) thereof
(i) for the words "The competent authority may,"
there shall be substituted the words "Without prejudice to
anything contained in any other provision of this Act which
requires a Retirement Scheme Administrator, a retirement
scheme and a retirement fund to furnish to the competent
authority any information or documentation, the competent
authority may,";
(ii) in sub-paragraph (i) thereof, for the words "as it
may require, with respect to any service," there shall be
substituted the words "as it may require, including existing
telephone and existing data traffic records, with respect to
any service,"; and
(iii) in sub-paragraph (ii) thereof, for the words
"verified in such manner as it may specify; or" there shall
be substituted the words "verified in such manner and in
such language as it may specify; or";
(b) in sub-article (2) thereof, for the words "under this
article." there shall be substituted the words "under this article or
extracts from them.";
(c) in sub-article (8) thereof, for the words "a holder of a
licence or recognition may be required to submit" there shall be
substituted the words "a holder of a licence may be required to
submit"; and
(d) immediately after sub-article (8) thereof there shall
be added the following new sub-article
"(9) The powers to obtain information available to
the competent authority pursuant to this article with regard
to the persons listed in sub-article (1), shall also be
available with regard to the service providers of outsourced
key functions or any other activities at any time.".
In sub-article (1) of article 40 of the principal Act, for the Amendment of
words "referred to in article 39(1)(a) to (c)." there shall be substituted article
principal Act.
the words "referred to in article 39(1)(a) to (c) and to report thereon to
Article 41 of the principal Act shall be amended as follows
Amendment of
article 41 of the
principal Act.
(a) in sub-article (1) thereof, for the words "or further
directive." there shall be substituted the words "or further
directive:", and immediately thereafter there shall be added the
following new provisos
"Provided that the competent authority may give any
such directive, even where a licence holder, for whatever
reason, ceases to hold a licence granted in terms of this
Act
Provided further that any directive given in terms of
this article shall, unless the competent authority otherwise
directs, continue to apply even when a licence holder, for
whatever reason, ceases to hold a licence granted in terms
of this Act.";
(b)
in sub-article (2) thereof
(i) in paragraph (a) thereof, for the words "or any
other requirement, and confer powers," there shall be
substituted the words "or any other requirement, including
any requirement emanating from European Union
legislation, and confers powers,";
(ii) paragraph (c) thereof shall be substituted by the
following
"(c) require that any officer or any person
having functions in relation to the holder of a licence
be prohibited, temporarily or otherwise, suspended
from carrying out activities licensable under the Act,
or be removed, or removed and replaced by another
person acceptable to the competent authority;"; and
(iii) in paragraph (d) thereof, for the words
"management of the retirement scheme or retirement fund"
there shall be substituted the words "management of the
retirement fund".
Immediately after article 41 of the principal Act, as amended,
there shall be added the following new articles
41A. (1) The competent authority shall review the
strategies, processes and reporting procedures which are
established by a Retirement Scheme Administrator or an
occupational retirement scheme to comply with the
provisions of this Act and any regulations and Pension
Rules issued thereunder taking into account the size,
nature, scale and complexity of the activities of the
scheme.
(2) The review carried out by the competent authority
pursuant to sub-article (1), shall take into account the
circumstances in which the occupational retirement
scheme is operating, and where relevant, the parties
carrying out outsourced key functions or any other
activities for them. The review shall comprise of an
assessment of the following elements
(a) an assessment of the qualitative
requirements relating to the system of governance;
(b) an assessment of the risks which the
occupational retirement scheme faces;
(c) an assessment of the ability of the
occupational retirement scheme to assess and
manage those risks.
(3) Where the competent authority identifies any
weakness or deficiency as a consequence of the
supervisory review process, it shall request the Retirement
Scheme Administrator or an occupational retirement
scheme to remedy such weakness or deficiency within
such period and in such manner, as it may deem necessary
or appropriate in the circumstances.
(4) The reviews, evaluations and assessments referred
to in sub-articles (1) and (2), shall be conducted regularly
and the competent authority shall establish the minimum
frequency and the scope of the review referred to in sub-
article (1) having regard to the nature, scale and
complexity of the activities of a Retirement Scheme
Administrator or the occupational retirement scheme.
41B. Without prejudice to the provisions of the Act, an
Information to
be provided
occupational retirement scheme shall submit to the
supervisory
competent authority the information which is necessary for
purposes.
the purposes of supervision, as may be specified by means
of regulations or Pension Rules which shall also specify
the period within which such information is to be
submitted.".
Article 42 of the principal Act shall be amended as follows
Amendment of
article 42 of the
principal Act.
(a) in sub-article (1) thereof, for the words "Any officer,
employee or agent" there shall be substituted the words "Without
prejudice to the provisions of the Companies Act, relating to the Cap. 386.
entry and search of premises, any officer, employee or agent";
(b) in sub-article (2) thereof, for the words "on
producing, if required, evidence of his authorisation, enter any
premises referred to in sub-article (1) for the purpose of
obtaining there any information or documents, being information
or documents" there shall be substituted the words "on producing
if required, evidence of his authority, enter any premises referred
to in sub-article (1) for the purpose of obtaining from there any
information or documents, specified in the notice, being
information or documents"; and
(c) in sub-article (3) thereof, for the words "enforcement
of law and order." there shall be substituted the words
"enforcement of law and order:", and immediately thereafter
there shall be added the following new proviso
"Provided that, where an entry as is mentioned in this
article involves premises that are occupied for the purpose
of habitation, such entry shall be carried out in the presence
of an officer of the Police of a rank not below that of
inspector and shall moreover not take place between nine
in the evening and five in the morning.".
Sub-article (1) of article 43 of the principal Act shall be Amendment of
article 43 of the
amended as follows
principal Act.
(a) in paragraph (a) thereof, for the words "on the licence
or recognition granted" there shall be substituted the words "on
the licence granted"; and
(b) in paragraph (b) thereof, for the words "suspend a
licence or recognition under article 10(1);" there shall be
substituted the words "suspend a licence under article 10(1);".
Article 44 of the principal Act shall be amended as follows
(a)
in sub-article (1) thereof
(i) immediately after paragraph (a) thereof there
shall be added the following new paragraph
"(aA) any condition imposed in a licence in
terms of article 9(3);";
(ii) in paragraph (c) thereof, for the words
"suspension of a licence or recognition under articles"
there shall be substituted the words "suspension of a
licence under articles";
(b) in the proviso to sub-article (2) thereof, for the words
"a licence or recognition shall not become operative" there shall
be substituted the words "a licence shall not become operative";
(c) immediately after sub-article (3) thereof there shall
be added the following new sub-article
"(4) The Financial Services Tribunal shall have
exclusive competence to hear appeals on the matters listed
in sub-article (1).".
Article 46 of the principal Act shall be amended as follows
(a)
in sub-article (1) thereof
(i) for the words "where a licence holder or
recognised person" there shall be substituted the words
"where a licence holder";
(ii) for the words "or the manager, secretary,
director or any other person responsible" there shall be
substituted the words "or an officer, or any other person
responsible";
(iii) for the words "responsible for a licence holder
or recognised person contravenes or fails to comply with
any of the conditions imposed in a licence or recognition,
and, or where the competent authority" there shall be
substituted the words "responsible for a licence holder
contravenes or fails to comply with any of the conditions
imposed in a licence and, or where the competent
authority";
(iv) for the words "impose on the licence holder or
recognised person," there shall be substituted the words
"impose on the licence holder,";
(v) for the words "manager, secretary, director,
and, or any other person, as the case may be, an
administrative penalty which may not exceed ninety-three
thousand and two hundred euro." there shall be substituted
the words "officer and, or any other person, as the case may
be, an administrative penalty which may not exceed one
hundred and fifty thousand euro (€150,000) in respect of
each infringement or failure to comply, as the case may be
and, where such infringement or failure to comply
continues, a further penalty not exceeding one hundred and
sixteen euro (€116) for each day during which the
infringement or failure to comply continues.";
(b)
in sub-article (2) thereof
(i) for the words "on licence holders, recognised
persons or others, as may be specified," there shall be
substituted the words "on licence holders or others, as may
be specified,"; and
(ii) for the words "whether in the form of a fixed
penalty, a daily penalty, or both, for any breach of the
rules." there shall be substituted the words "whether in the
form of a fixed penalty, a daily penalty or both, for any
breach of the said Pension Rules.";
(c) sub-article (4) thereof shall be substituted by the
following
"(4) The competent authority shall, without undue
delay, publish in such medium and in such manner and for
such duration, as it may determine, any administrative
penalty or other measure which is imposed for breaches of
the provisions of this Act, any regulations or Pension Rules
issued thereunder, and with regard to which no appeal was
filed within the time limit prescribed by law. Such
publication shall include information on the type and
nature of the breach and the identity of the natural or legal
person responsible for the breach."; and
(d) immediately after sub-article (4) thereof there shall
be added the following new sub-article
"(4A) Notwithstanding sub-article (1), the competent
authority may decide to defer publication, not to publish,
or to publish on an anonymous basis, any administrative
penalty or other measure imposed, in any of the following
circumstances
(a) where the publication of the identity of legal
persons, or the identity or personal data of natural persons,
is considered by the competent authority to be
disproportionate, following a case by case assessment
conducted on the proportionality of the publication of such
data; or
(b) where the publication jeopardises the stability
of financial markets or an ongoing investigation.".
Article 48 of the principal Act shall be substituted by the
48. Any person who
(a) for the purposes of obtaining a licence
under this Act, or pursuant to any of the provisions of
this Act, any regulations or Pension Rules issued
thereunder, or any condition, obligation, requirement
or Pension Rules or directive made or given as
aforesaid, furnishes information or makes a statement
or a declaration which he knows to be inaccurate,
false or misleading in any material respect, or
recklessly furnishes information or makes a
statement or a declaration which is inaccurate, false
or misleading in any material respect;
(b) is knowingly a party to the carrying out of
any retirement scheme or retirement fund or
licensable activity with an intent to defraud or for a
fraudulent purpose;
(c) by any statement, promise or forecast
which he knows to be misleading, false or deceptive,
or by any dishonest concealment of material facts, or
by the reckless making (whether dishonest or
otherwise) of any statement, promise or forecast
which is misleading, false or deceptive, induces or
attempts to induce another person to enter into, or
offer to enter into a retirement scheme or retirement
fund;
(d) with intent to avoid detection of the
commission of an offence under this Act, any
regulations or Pension Rules issued thereunder
removes, destroys, conceals or fraudulently alters
any book, document or other paper; or
(e) intentionally
obstructs
a
person
exercising rights conferred by this Act or any
regulations or Pension Rules issued thereunder,
shall be guilty of an offence.".
In article 49 of the principal Act, for the words "of article 48 Amendment of
shall, unless another penalty is prescribed, be liable on conviction to a article
principal Act.
fine (multa) not exceeding four hundred and sixty-six thousand euro or
to" there shall be substituted the words "of article 48 shall, be liable on
conviction to a fine (multa) not exceeding four hundred and sixty-six
thousand euro (€466,000) or to".
Article 50 of the principal Act shall be amended as follows
Amendment of
article 50 of the
principal Act.
(a) in sub-article (1) thereof, for the words "under this
Act shall be commenced without the consent of" there shall be
substituted the words "under this Act and any regulations made
thereunder, shall be commenced without the sanction of"; and
(b) in sub-article (2) thereof, for the words "this Act shall
not affect any criminal liability that may be incurred by any
person under any other law." there shall be substituted the words
"this Act and any regulations made thereunder shall not affect
any criminal proceedings that may be competent under any other
Article 51 of the principal Act shall be deleted.
Deletion of
article 51 of the
principal Act.
Article 52 of the principal Act shall be substituted by the Substitution of
article 52 of the
principal Act.
52. (1) Information obtained by the competent
"Confidentiality.
authority or its officers, employees, agents, including
former officers, employees or agents, as well as by
inspectors, auditors, actuaries and experts acting on
behalf of the competent authority for the purposes of, or
pursuant to any of the provisions of this Act, or any
regulations or Pension Rules issued thereunder, or in the
discharge of any functions under any of the said
provisions, shall be treated as confidential and protected
by the duty of professional secrecy.
(2) Without prejudice to cases covered by criminal
law, the persons referred to in sub-article (1) shall not
disclose information obtained, from a retirement
scheme, a retirement fund and a service provider
licensed under the Act, unless such disclosure of
information is done in summary or aggregate form, so as
not to enable the identity of such scheme, to whom such
information relates, to be ascertained
Provided that such persons may disclose
confidential information in civil or commercial
proceedings where a retirement scheme, a retirement
fund or a service provider is being compulsorily wound
up.
(3) The competent authority, when processing
personal data for the purposes of the Act and any
regulations and Pension Rules issued thereunder, shall
do so in accordance with Regulation (EU) 2016/679 of
the European Parliament and of the Council of 27 April
2016 on the protection of natural persons with regard to
the processing of personal data and on the free
movement of such data, and repealing Directive 95/46/
EC (General Data Protection Regulation), as amended
from time to time.".
Immediately after article 52 of the principal Act, as
substituted, there shall be added the following new articles
52A. (1) Where the competent authority receives
confidential information under this Act and any regulations
or Pension Rules issued thereunder, it may only use such
confidential information in the course of its duties and for
the following purposes
(a) to verify that conditions for taking up the
activity for the provision of retirement benefits are
met by the retirement scheme before commencing its
activities;
(b) to facilitate the monitoring of activities of
the retirement scheme, including the monitoring of
technical provisions, the solvency, the system of
governance and the information provided to members
and beneficiaries, as applicable;
(c) to impose corrective measures, including
administrative sanctions;
(d) to publish key performance indicators for
all individual occupational retirement schemes which
may assist members and beneficiaries in taking
financial decisions regarding their pension where
permitted by national law;
(e) in appeals filed from decisions of the
competent authority under article 44;
(f) in judicial proceedings relating to the
provisions of the Act, any regulations and, or Pension
Rules issued thereunder.
(2) Articles 52 and 52A of the Act shall be without
prejudice to the right of inquiry conferred on the European
Parliament by Article 226 of the Treaty on the Functioning
of the European Union, pursuant to Article 54 of the
Occupational Pensions Directive.
52B. (1) Notwithstanding the provisions of articles
52 and 52A, the competent authority
(a) in the discharge of its supervisory
functions, shall exchange information with
(i) overseas regulatory authorities;
(ii) authorities responsible for the
supervision of the financial sector entities and
other financial organisations and the authorities
responsible for the supervision of financial
markets;
(iii) authorities or bodies charged with
the responsibility for maintaining the stability
of the financial system in Member States
through the use of macro-prudential rules;
(iv) bodies involved in the winding up
of retirement schemes and in other similar
procedures;
(v) reorganisation bodies or authorities
aiming at protecting the stability of the
financial system;
(vi) persons responsible for carrying out
statutory audits of the accounts of retirement
schemes, insurance undertakings and other
financial institutions;
(vii) authorities
responsible
for
overseeing the bodies involved in the winding
up of retirement schemes and other similar
procedures;
(viii) authorities
responsible
for
overseeing the persons charged with carrying
out statutory audits of the accounts of
retirement schemes, insurance undertakings
and other financial institutions;
(ix) independent actuaries of retirement
schemes carrying out supervision of those
schemes and the bodies responsible for
overseeing such actuaries;
(b) shall disclose to bodies which administer
the winding up of a retirement scheme the
information necessary for the performance of their
duties.
(2) Any information provided by the competent
authority to authorities, bodies or persons referred to in
sub-article (1)(a)(i) to (vi), shall be subject to the duty of
professional secrecy.
(3) Notwithstanding the provisions of articles 52 and
52A, the competent authority may transmit information for
the purposes of the exercise of their respective tasks to the
following
(a) the Central Bank of Malta, the central
banks of the European System of Central Banks
(including the European Central Bank) and other
bodies with a similar function in their capacity as
monetary authorities;
(b) where appropriate, other national public
authorities responsible for overseeing payment
systems; and
(c) the European Systemic Risk Board,
EIOPA, the European Supervisory Authority
(European Banking Authority) established by
Regulation (EU) No. 1093/2010 of the European
Parliament and of the Council and the European
Supervisory Authority (European Securities and
Markets Authority) established by Regulation (EU)
No. 1095/2010 of the European Parliament and of the
Council.
(4) Without prejudice to the provisions of this article
and articles 52C and 52D, the authorities or bodies referred
to in sub-article (4) shall communicate to the competent
authority any information which the competent authority
requires for the purposes of article 52A.
(5) Any information provided by the competent
authority in accordance with sub-article (4) or received by
the competent authority in accordance with sub-article (5)
shall be subject to the duty of professional secrecy.
52C. (1) Notwithstanding the provisions of articles
Disclosure of
information in 52(1), 52(2), 52A and 52D(1), the competent authority may
occupational exchange information with other departments of central
government administration responsible for the enforcement
of legislation on the supervision of occupational retirement
schemes, credit institutions, financial institutions,
investment services and insurance undertakings, or
inspectors acting on behalf of those departments, provided
that
(a) such disclosures shall be made only
where necessary for reasons of prudential control and
prevention and resolution of failing occupational
retirement schemes; and
(b) without prejudice to sub-article (3),
persons having access to such information shall be
subject to the duty of professional secrecy.
(2) Any information obtained by means of an on-site
verification may be disclosed to the departments referred to
in sub-article (1), only with the express consent of the
competent authority from which the information originated
from, or the overseas regulatory authority of the country in
which the on-site verification was carried out.
(3) The competent authority may disclose confidential
information relating to the prudential supervision of an
occupational retirement scheme to national parliamentary
enquiry committees or national courts of auditors and other
national entities in charge of enquiries, where all the
following conditions are satisfied
(a) the entities have competence under
national law to investigate or scrutinise the actions of
authorities responsible for the supervision of
occupational retirement schemes or for laws on such
supervision;
(b) the information is strictly necessary for
satisfying the competence referred to in paragraph
(a);
(c) the persons with access to the information
are subject to the duty of professional secrecy
requirements;
(d) if the information originates from another
Member State, that information is disclosed with the
explicit agreement of the originating overseas
regulatory authorities and solely for the purposes for
which those authorities gave their agreement.
52D. (1) For exchanges of information under articles
(1) to (3) of article 52B of the Act, transmission of
information under sub-articles (4), (5) and (6) of article
52B and the disclosure of information under article 52C,
the following conditions shall be satisfied
(a) the information shall be exchanged,
transmitted or disclosed for the purpose of carrying
out oversight or supervision;
(b) the information received shall be subject
to the duty of professional secrecy;
(c) where the information originates from
another Member State, it shall not be disclosed
without the express agreement of the overseas
regulatory authority from which it originates and
where appropriate, solely for the purposes for which
that authority gave its agreement.
(2) Notwithstanding the provisions of article 52A, the
competent authority may exchange information with
authorities or bodies responsible for the detection and
investigation of breaches of company law applicable to
sponsoring undertakings, for the purposes of strengthening
the stability and integrity of the financial system, provided
that
(a) the information is intended for the
purpose of detection, investigation and scrutiny as
referred to in article 52C(3)(a);
(b) the information received shall be subject
to the duty of professional secrecy;
(c) where the information originates from
another Member State, it shall not be disclosed
without the express agreement of the overseas
regulatory authority from which it originates and,
where appropriate, solely for the purposes for which
that authority gave its agreement.
(3) Where the authorities or bodies referred to in sub-
article (2) perform their tasks of detection or investigation
with the assistance of persons appointed in view of their
specific competence and for that purpose, and who are not
e m p l o y e d i n t h e p u b l i c s e c t o r, t h e p o s s i b i l i t y o f
exchanging information provided for in article 52C(3),
shall apply.
52E. (1) The competent authority shall co-operate
Co-operation
with EIOPA in accordance with Regulation (EU) No. 1094/
Commission. 2010 and with the European Commission for the purposes
of the Occupational Pensions Directive and to facilitate
supervision of the operations of retirement schemes.
(2) The competent authority shall provide EIOPA
with all information necessary to carry out its duties under
the Occupational Pensions Directive and Regulation (EU)
N o . 1 0 9 4 / 2 0 1 0 , i n a c c o r d a n c e w i t h Ar t i c l e 3 5 o f
Regulation (EU) No. 1094/2010.
(3) The competent authority shall inform EIOPA and
the European Commission of any major difficulties which
the application of the Occupational Pensions Directive
gives rise to and the European Commission, EIOPA and the
competent authority shall examine such difficulties as
quickly as possible in order to find an appropriate
solution.".
Article 53 of the principal Act shall be deleted.
Article 54 of the principal Act shall be amended as follows
(a) in the marginal note thereof, for the words "Notices."
there shall be substituted the words "Service of notices.";
(b) in the English text of paragraph (a) thereof, for the
words "delivered to it;" there shall be substituted the words
"delivered to him;";
(c) in the English text of paragraph (b) thereof, for the
words "address furnished by it to the competent authority, or to
its last known address;" there shall be substituted the words
"address furnished by him to the competent authority, or to his
last known address;"; and
(d) in paragraph (c) thereof, for the words "sent to it by
post, e-mail or by telefax at any of" there shall be substituted the
words "sent to it by post or e-mail at any of".
Immediately after sub-article (3) of article 56 of the principal
Act, there shall be added the following new sub-article
"(4) The Minister, acting on the advice of the competent
authority may, by regulations, make transitional provisions in
respect of such persons who were granted a recognition by the
competent authority under article 7 of the Retirement Pensions
Act and, without prejudice to the generality of the foregoing
may, by such regulations, in particular, prescribe a period within
which back office administrators are to surrender their
recognition, subject to such conditions and requirements as may
be prescribed.".
PART XI
AMENDMENTS TO THE COMPANY
SERVICE PROVIDERS ACT
This Part amends the Company Service Providers Act and it
shall be read and construed as one with the Company Service
Providers Act, hereinafter in this Part referred to as "the principal
Act".
In sub-article (5) of article 5 of the principal Act, for the
words "as may be prescribed, which is payable annually upon the
anniversary of the date of such registration." there shall be substituted
the words "as may be prescribed.".
Passed by the House of Representatives at Sitting No. 302 of the
26th February, 2020.
ANĠLU FARRUGIA
Speaker
RAYMOND SCICLUNA
Clerk of the House of Representatives
€5.04