SPECIAL FUNDS (REGULATION) ACT

SPECIAL FUNDS (REGULATION)

*

CHAPTER 450

SPECIAL FUNDS (REGULATION) ACT

To make provision regulating retirement funds.

1st October, 2002

ACT XVII of 2002 , as amended by Act IX of 2003 ; Legal Notices 181 and 186 of 2006;

Act XII of 2006 ; and Legal Notice 426 of 2007 .

The short title of this Act is the Special Funds (Regulation)

(Article 43(3))

Information to be included in the annual report of a registered retirement fund

Statement of assets and liabilities

Assets

-

Immovable property

-

Transferable securities;

-

Debt Instruments;

-

Other securities;

-

Bank balances;

-

Other assets; and

-

Total assets.

Liabilities

-

Borrowings;

-

Other amounts payable; and

-

Total liabilities.

Net asset value

Number of shares issued

Net asset value per share

Portfolio Description

-

Transferable securities listed on an official stock exchange;

-

Transferable securities transacted on another organized market;

-

Other transferable securities;

-

Debt Instruments; and

A statement of the principal developments which have occurred in the

composition of the portfolio during the reference period.

Statement of changes in the assets and liabilities of the retirement fund during

the reference period, including the following

Income

-

Income from investments;

-

Other income; and

-

Total income.

Charges

-

Management/investment advisor charges;

-

Depository’s charges;

-

Taxes;

-

Other charges; and

-

Total charges.

SPECIAL FUNDS (REGULATION)

Net investment income

Appreciation or depreciation of investments;

Changes in the ''capital'' account; and

Any other changes affecting the assets and commitments of the retirement

fund.

A comparative table covering the last three financial years (where applicable)

and including, for each financial year, at the end of the financial year

The total net asset value; and

The net asset value per share.

Details, by category of transaction carried out by the pension fund, on financial

derivatives (e.g., options, futures, swaps), of the resulting amount of commitments at

the year end date.

A summary of the compliance by the fund with its provisions and with the law.

A summary of the compliance by the fund with its memorandum of association

and with the law.

Specific Rules for Multiple Compartment Retirement Funds.

The financial reports of multiple compartment pension funds shall contain

separate information on each of the compartments, as well as consolidated

information on all of those compartments.

(1) In this Part and in Parts II and III of this Act and in the

Schedules thereto unless the context otherwise requires -

''advertisement'' means any form of advertising, whether verbal,

in written or by electronic means and, without prejudice to the

generality of the foregoing, includes advertising in a publication,

the display of notices, signs, labels or show cards, by means of

letters, circulars, prospectuses, catalogues, price lists or other

documents, by the exhibition of pictures or photographic or

cinematographic films, by way of sound, television or other

broadcast, by the distribution of recordings or in any other manner,

and references to the issue of an advertisement shall be construed

accordingly;

''affiliate'' with respect to a person (hereinafter ''the relevant

person'') means

(a) any person who owns directly or indirectly 25% or

more of the total combined voting power or 25% or

more of the total value of the stock or ownership

interests of the relevant person (hereinafter referred to

as ''an owner'');

(b) any person where the relevant person directly or

indirectly owns 25% or more of the total combined

voting power or 25% or more of the total value of

stock or ownership interest of such person (hereinafter

referred to as ''the sub-person'');

(c) any two or more persons where an owner directly or

indirectly, in the case of each such person owns 25%

or more of the total combined voting power or 25% or

more of the total value of the stock or ownership

interest of such person (each of such two or more

persons, hereinafter referred to as ''a sister-person'');

(d) any person where a director, or officer of a relevant

person, an owner, a sub-person or a sister-person owns

25% or more of the total combined voting power or

25% or more of the value of the stock or ownership

interests of such person;

(e) any person that in the opinion of the Authority -

(i) is under the de facto or effective control of a

relevant person; or

(ii) exercises de facto or effective control of the

relevant person;

''ancillary cash'' means cash used in connection with a registered

scheme to pay expenses, to pay retirement benefits, and to fulfil

similar requirements of the scheme;

''asset manager'' means a person who provides the investment

SPECIAL FUNDS (REGULATION)

service of managing investments of a retirement fund or scheme;

''Authority'' means the Malta Financial Services Authority

established by article 3 of the Malta Financial Services Authority

Act;

''beneficiary'' means an individual who is to receive current or

future payments under the applicable scheme or overseas

retirement plan; and, where relevant, the estate of such individual;

''Commissioner'' means the Commissioner of Inland Revenue;

''contributor'' shall mean -

(a) the individual, in the case of a retirement scheme to

which contributions are made solely or partly by the

individual for the benefit of that same individual; and

(b) the employer, in the case of a scheme to which

contributions are made solely or partly by an employer

for the benefit of employees; and for the purpose of

this Act, a partnership shall be treated as the employer

of each of its partners, and a company shall be treated

as the employer of each of its officers and directors;

and ''employee'' and ''employment'' shall be construed

accordingly;

''defined benefit scheme'' means a scheme other than a defined

contribution retirement scheme which has as its primary purpose

that of providing for the payment of fixed or determinable

retirement benefits;

''defined contribution retirement scheme'' means a scheme which

has as its primary purpose that of providing for the payment of

retirement benefits, which are established by reference to the

contributions paid into such scheme, the accumulation of profits,

gains and other income, after the deduction of expenses and losses

in relation thereto;

''directive'' means a directive issued by the Authority in

accordance with article 51(3);

''Income Tax Acts'' means collectively the Income Tax Act and

the Income Tax Management Act;

''investment service'' means any service falling within the Second

Schedule, when provided in relation to an instrument;

''instrument'' shall have the same meaning as assigned to it in the

Investment Services Act;

''Malta's international commitments'' shall have the same

meaning as assigned to it in the Investment Services Act;

''Minister'' means the Minister responsible for finance;

''overseas retirement plan'' means a bona fide scheme or

arrangement, organized under the laws of a country outside of

Malta, which govern the rights and responsibilities of the parties

thereto, and under which payments are made to beneficiaries for the

principal purpose of providing retirement benefits;

''occupational scheme'' means a scheme to which contributions

SPECIAL FUNDS (REGULATION)

are made solely or partly by an employer for the benefit of

employees;

''permanent invalidity'' means a medically-determined disability

of a permanent nature, which as certified by a medical doctor

approved by the retirement scheme administrator, has rendered the

employee incapable of meeting the requirements of the

employment he had been performing at the onset of such disability;

''prescribed'' means prescribed by regulations or directives made

under this Act;

''registration'' in relation to a scheme or retirement fund or to a

retirement fund administrator, retirement scheme administrator or

asset manager, or to a matter connected therewith or ancillary

thereto, means a registration under this Act, and ''register'' and

''registered'' shall be construed accordingly;

''retirement benefit'' means pension or other benefits that are

payable to a beneficiary after retirement, permanent invalidity or

death;

''retirement fund'' means a company established for the principal

purpose of holding and investing the contributions made to one or

more schemes or to one or more overseas retirement plans and shall

be construed in accordance with article 4(2);

''retirement fund administrator'' shall be construed in accordance

with article 17;

''retirement scheme administrator'' shall be construed in

accordance with article 17;

''scheme'' means a scheme or arrangement which is registered

under this Act under which payments are made to beneficiaries for

the principal purpose of providing retirement benefits. a scheme or

arrangement shall not constitute a scheme under this Act if it

provides for

(a) the payment of retirement benefits to five or fewer

beneficiaries; or

(b) solely the payment of proceeds from the surrender or

maturity of a long term contract of insurance effected

by an insurance company authorised under the

Insurance Business Act; or

(c) the commencement of payment of retirement benefits

to a beneficiary on a date that is earlier than that on

which such beneficiary has attained the age of fifty, or

later than that on which the beneficiary attains the age

of seventy, except in those cases where the scheme or

arrangement provides that

(i) the payment is made by reason of the permanent

invalidity or death of a beneficiary; or

(ii) the payment is made by means of a cash lump

sum to the beneficiary without the necessity of

the beneficiary’s consent in such amount as the

Authority may prescribe in the event that the

SPECIAL FUNDS (REGULATION)

beneficiary is no longer employed by the

contributor of the scheme or arrangement

Provided that a scheme or arrangement described

in paragraphs (a) or (b) may by written notice to the

Authority elect to be considered a scheme for purposes

of this Act;

''scheme document'' means the written instrument evidencing a

registered scheme;

''tax'' means the tax imposed by the Income Tax Acts;

''technical funding requirement'' has the meaning given by article

(Article 2)

1. Buying, selling, subscribing for or underwriting instruments.

2. Giving or offering to a retirement fund or a scheme

advice on the merits of their purchasing, selling, subscribing for or

underwriting an instrument, or exercising any right conferred by an

Instrument to acquire, dispose of, underwrite or convert an instrument; or

advice in relation to a collective investment scheme or arrangement

involving an instrument

3. Managing Investments.

(1) Ebda persuna ma tista’ tipprovdi jew tippreżenta lilha

nnifisha bħala li tipprovdi skema sitwata f ’Malta kemm-il darba

dik l-iskema ma tkunx skema reġistrata li tikkonforma mal-ħtiġiet

tal-artikoli 4(1) u 5.

(2) Ebda persuna ma tista’ taċċetta flus jew xi konsiderazzjoni

oħra mingħand kontributur dwar skema sitwata f ’Malta kemm-il

darba dik l-iskema ma tkunx skema reġistrata li tikkonforma mal-

ħtiġiet tal-artikoli 4(1) u 5.

(3) Ebda persuna ma għandha żżomm jew tippreżenta ruħha li

qed iżżomm fond għal min jirtira sitwat f’Malta kemm-il darba dak

il-fond ma jkunx fond reġistrat li jikkonforma mal-ħtiġiet tal-

artikoli 4(2) u 6.

(4) L-Awtorità tista’ b’direttivi taħt dan l-artikolu tiddikjara

dawk l-iskemi jew arranġamenti oħra li ssir riferenza għalihom fid-

direttivi li ma jkunux skema għall-finijiet ta’ dan l-Att, jew

tiddikjara li dawk il-fondi li ssir riferenza għalihom fid-direttivi li

ma jkunux għal min jirtira għall-finijiet ta’ dan l-Att.

(5) L-Awtorità tista’, b’avviż bil-miktub lil xi persuna,

tiddeċiedi li

(a) attività taqa’ taħt l-artikoli 17, 18, 19 jew 24, meta

provdut dwar fond għal min jirtira jew dwar skema;

jew

(b) servizz jaqa’ taħt it-Tieni Skeda; jew

(ċ) għall-finijiet ta’ dan l-Att, xi skema jew arranġament

ieħor jkunu skema sitwata f’Malta, jew fond ikun fond

għal min jirtira sitwat f’Malta,

u bla ħsara għal xi appell li jista’ jsir taħt l-artikolu 54, dwar dik il-

persuna d-deċiżjoni tal-Awtorità tkun konklussiva għall-finijiet

kollha ta’ dan l-Att sakemm it-Tribunal imsemmi f’dak l-artikolu

ma jiddeċidix xort’oħra.

FONDI SPEĊJALI

(1) Skema ma tkunx reġistrata taħt id-disposizzjonijiet ta’

dan Att kemm-il darba d-dokument tal-iskema ma jkollux

kondizzjonijiet u disposizzjonijiet bil-miktub li jgħidu

(a) li l-għan ewlieni tal-iskema huwa li jipprovdi

benefiċċji għal min jirtira;

(b) li l-kontribuzzjonijiet kollha għall-iskema jistgħu

jkunu nvestiti esklużivament f’fond jew fondi għal

min jirtira, ħlief għal flus anċillari;

(ċ) li l-iskema tkun imfassla u mħaddma għall-benefiċċju

esklużiv tal-benefiċjarji speċifikati f’dik l-iskema;

(d) il-mezzi speċifiċi li jkunu se jintużaw biex ikunu

identifikati l-kontributuri tal-iskema kollha, preżenti u

futuri, flimkien mal-obbligi rispettivi tagħhom;

(e) il-mezzi speċifiċi li jkunu se jintużaw biex ikunu

identifikati l-benefiċjarji tal-iskema kollha, preżenti u

futuri, flimkien mal-mezzi speċifiċi li jkunu se

jintużaw sabiex jiġi stabbilit l-ammont tal-benefiċċju

għal min jirtira rispettivi tagħhom, u ż-żmien meta

jitħallsu dawk il-benefiċċji għal min jirtira;

(f) l-isem, l-indirizz u n-numru tat-telefon u l-indirizz ta’

e-mail, jekk ikun hemm, tal-ewwel l-amministratur tal-

iskema għal min jirtira maħtur biex iwettaq il-ħtiġiet

amministrattivi tal-iskema;

(g) ir-regoli jew kriterji oħra li jirregolaw il-valutazzjoni

tal-attiv u tal-passiv tal-iskema u ż-żmien li fih isiru

dawk il-valutazzjonijiet;

(h) ir-regoli li jirregolaw kull kost u l-ispejjeż ammissibbli

li jistgħu jitħallsu mill-iskema;

(i) il-metodu tal-ħatra, tneħħija u bidla tal-amministratur

tal-iskema għal min jirtira u, meta l-każ, tal-manager

tal-assi, tal-uditur, l-attwarju tal-Iskema jew xi parti

oħra fl-Iskema;

(j) ir-regoli li jirregolaw iċ-ċessjoni, it-terminazzjoni jew,

meta l-każ, it-telf ta’ benefiċċju għal min jirtira;

(k) ir-regoli applikabbli fil-kaz ta’ inabbiltà jew nuqqas

ta’ kontributur li jissodisfa l-obbligi tiegħu;

(l) ir-regoli li jirregolaw l-emendi għad-dokument tal-

iskema;

(m) iċ-ċirkostanzi li jwasslu għax-xoljiment tal-iskema,

barra minn dawk iċ-ċirkostanzi stabbiliti bil-liġi; u

(n) li, kemm-il darba ma jkunx preskritt xort’oħra taħt dan

l-Att ma tkun teżisti ebda disposizzjoni statutorja għal

kumpens meta skema jew fond għal min jirtira ma

jkunx jista’ jissodisfa l-passiv tiegħu, u li

reġistrazzjoni tal-iskema jew tal-fond għal min jirtira

ma tkunx konferma mill-Awtorità tas-sitwazzjoni

finanzjarja tal-iskema jew tal-fond għal min jirtira.

(2) Fond għal min jirtira ma jkunx reġistrat taħt dan l-Att

kemm-il darba ma jissodisfax il-ħtiġiet li ġejjin

FONDI SPEĊJALI

(a) il-fond għal min jirtira jkun reġistrat bħala kumpannija

ta’ investiment b’kapital azzjonarju fiss jew bħala

kumpannija ta’ investiment b’kapital azzjonarju

varjabbli taħt l-Att dwar il-Kumpanniji;

(b) il-memorandum ta’ assoċjazzjoni tal-fond għal min

Jirtira jgħid li l-għanijiet tiegħu jkunu limitati għal -

(i) ir-riċeviment ta’ kontribuzzjonijiet magħmula

minn skema waħda jew iktar, u, jew minn pjan

barrani jew pjanijiet barranin għal min jirtira, u

l-investiment ta’ dawk il-kontribuzzjonijiet u d-

dħul kollu minn dawk il-kontribuzzjonijiet fi

strumenti jew proprjetà mmobbli bil-għan li

jkun massimizzat id-dħul minn dawk il-

kontribuzzjonijiet;

(ii) il-ħlas ta’ benefiċċji għal min jirtira lill-

benefiċjarji tal-iskemi jew tal-pjanijiet barranin

għal min jirtira li jkunu nvestew f’dak il-fond

għal min jirtira; u

(iii) it-twettiq ta’ kull ħaġa jew funzjoni li għandha

x’taqsam jew li hi anċillari għall-oġġettivi

msemmija fis-sub-paragrafi (i) u (ii); u

(ċ) l-isem tal-fond għal min jirtira ikun wieħed li, fil-

fehma tal- Awtorità ma jkunx li jiżgwida; u

(d) l-uffiċċju prinċipali tal-kumpanija jkun sitwat u operat

f’Malta.

(3) L-assi tal-fond għal min jirtira ma jkunux għall-benefiċċju

ta’ xi investitur fil-fond għal min jirtira, iżda jintużaw

esklusivament sabiex jipprovdu benefiċċji għal min jirtira lill-

benefiċċjarji tal-iskemi jew tal-pjanijiet barranin għal min jirtira li

jkunu nvestew f ’dak il-fond għal min jirtira, u sabiex jitħallsu l-

ispejjeż li jistgħu jitħallsu taħt dan l-Att, ta’ dik l-iskema, jew tal-

ispejjeż bona fide tal-pjan barrani għal min jirtira, skont kif

applikabbli.

(4) Kemm-il darba ma jkunx provdut xort’oħra taħt dan l-Att,

id-disposizzjonijiet tal-Att dw ar il -Kumpannij i għandhom

japplikaw għal fond għal min jirtira.

(5)

Ma jkun hemm ebda ħtieġa ta’ liċenzi taħt l-Att dwar

Servizzi ta’ Investiment għal skema jew fond għal min jirtira li

jkunu reġistrati taħt dan l-Att.

Applikazzjoni għar-reġistrazzjoni ta’ skema għandha ssir

fil-forma u bil-mod meħtieġ mill-Awtorità u għandha -

(a) ikun fiha jew ikollha magħha kopja tad-dokument tal-

iskema li jkun fih id-dikjarazzjonijiet elenkati fl-

artikolu 4(1);

(b) ikollha magħha dak id-dritt jew dawk id-drittijiet li

jistgħu jiġu preskritti;

(ċ) tispeċifika n-natura tal-iskema;

(d) ikun fiha jew ikollha magħha dik l-informazzjoni u

dawk il-partikolaritajiet l-oħra, li l-Awtorità tista’

FONDI SPEĊJALI

teħtieġ jew kif ikun preskritt; u

(e) ikun fiha l-indirizz f’Malta fejn ikun notifikat l-

applikant b’kull avviż jew dokument ieħor meħtieġ

jew awtorizzat li jkun notifikat lilu b’dan l-Att jew

taħtu jew skont xi liġi oħra.

Applikazzjoni għar-reġistrazzjoni ta’ fond għal min jirtira

g ħ a n d h a s s i r f i l - f o r m a u b i l - m o d m e ħ t i e ġ m i l l - Aw t o r i t à u

(a) ikun fiha jew ikollha magħha kopja tal-memorandum u

ta’ istatut ta’ assoċjazzjoni tal-fond għal min jirtira li

jissodisfaw il-ħtiġiet tal-artikolu 4(2);

(b) tispeċifika l-isem u l-indirizz u n-numru tat-telefon u l-

indirizz ta’ e-mail, jekk ikun hemm, tal-fond għal min

jirtira, tad-diretturi u tal-amministratur tal-fond għal

min jirtira ta’ dak il-fond;

(ċ) ikollha magħha dak id-dritt jew dawk id-drittijiet li

jistgħu jiġu preskritti;

(d) ikun fiha jew ikollha magħha dik l-informazzjoni u

dawk il-partikolaritajiet l-oħra, li l-Awtorità tista’

teħtieġ jew kif ikun preskritt;

(e) ikun fiha l-indirizz f’Malta fejn ikun notifikat l-

applikant b’kull avviż jew dokument ieħor meħtieġ

jew awtorizzat li jkun notifikat lilu b’dan l-Att jew

taħtu jew skont xi liġi oħra; u

(f) ikun fiha deskrizzjoni ġenerali tal-għanijiet tal-

investiment, il-karatteristiċi tar-riskju u tar-ritorn tal-

fond għal min jirtira, kif ukoll tagħrif dwar ix-xorta u

d-diversifikazzjoni tal-assi li jkunu antiċipati fil-

portafol tal-investiment tal-fond għal min jirtira.

(1) L-Awtorità tista’ tirreġistra jew tirrifjuta li tirreġistra

skema li għaliha tkun saret applikazzjoni taħt dan l-Att.

(2) L-Awtorità ma għandix tirreġistra skema kemm-il darba ma

tkunx sodisfatta li-

(a) l-amministratur tal-iskema għal min jirtira jkun

idoneju u xieraq li jipprovdi l-iskema konċernata;

(b) l-amministratur tal-iskema għal min jirtira jkun se

jħares u josserva d-disposizzjonijiet ta’ dan l-Att u ta’

kull regolamenti jew direttivi preskritti taħtu; u

(ċ) l-iskema proposta tkun se tħares id-disposizzjonijiet

ta’ dan l-Att u ta’ kull regolamenti jew direttivi

preskritti taħtu.

(3) Meta tirreġistra skema, l-Awtorità tista’ tissoġġettaha għal

kull kondizzjoni li jidhrilha xierqa, u wara li tkun irreġistratha, l-

Awtorità tista’ minn żmien għal żmien tvarja jew tirrevoka kull

kondizzjoni hekk imposta jew timponi kondizzjonijiet ġodda.

(4) Meta tkun qed tikkonsidra jekk tirreġistrax xi skema taħt

dan l-Att, l-Awtorità għandha b’mod partikolari tqis -

(a) il-ħarsien ta’ investituri u tal-pubbliku in ġenerali;

FONDI SPEĊJALI

(b) il-ħarsien tar-reputazzjoni ta’ Malta meta jkunu

kkunsidrati l-obbligi internazzjonali ta’ Malta;

(ċ) il-promozzjoni ta’ kompetizzjoni u għażla; u

(d) ir-reputazzjoni u l-idonjetà tal-amministratur tal-

iskema u ta’ kull parti oħra li jkollha x’taqsam mal-

iskema.

(5) (a) Meta jkunu jeżistu rabtiet mill-qrib bejn applikant u xi

persuna oħra, l-Awtorità għandha

(i)

tirreġistra skema biss jekk ikun jidhrilha li dawk

ir-rabtiet mill-qrib ma jfixkluhiex milli teżerċita

b’mod effettiv il-funzjonijiet ta’ sorveljanza

tagħha; u

(ii) tirrifjuta li tirreġistra skema jekk tikkunsidra li l-

liġijiet, ir-regolamenti u d-disposizzjonijiet

amministrattivi ta’ xi pajjiż barra minn Malta li

jiggvernaw persuna waħda jew iżjed li miegħu l-

applikant ikollu rabtiet mill-qrib , jew l-infurzar

tagħhom, ifixklu l-eżerċizzju effettiv tal-

funzjonijiet ta’ sorveljanza tagħha.

(b) L-Awtorità tista’ minn żmien għal żmien, permezz ta’

direttivi taħt dan l-Att tiddefinixxi ċ-ċirkostanzi fejn

rabtiet mill-qrib għandhom jitqiesu li jeżistu bejn żewġ

persuni jew aktar.

(6) Meta skema, l-amministratur ta’ skema għal min jirtira, il-

manager tal-assi jew persuna oħra responsabbli tikser jew tonqos li

tħares xi waħda mill-kondizzjonjiet imposti f’liċenza maħruġa taħt

dan l-artikolu l-Awtorità tista’ b’avviż bil-miktub u mingħajr rikors

għal smigħ minn qorti timponi fuq l-iskema, l-amministratur ta’

skema għal min jirtira, il-manager tal-assi jew persuni oħra, skont

il-każ, penali amministrattiva li ma tistax tkun iżjed minn tlieta u

disgħin elf u mija u erbgħa u sebgħin euro u erbgħa u disgħin

ċenteżmu (93,174.94).

(1) L-Awtorità tista’ tirreġistra jew tirrifjuta li tirreġistra

fond għal min jirtira li għaliha tkun saret applikazzjoni taħt dan l-

Att.

(2) L-Awtorità ma għandhix tirreġistra fond għal min jirtira

kemm-il darba ma tkunx sodisfatta li -

(a) il-promoturi, id-diretturi u l-amministratur tal-fond

għal min jirtira jkunu persuni idoneji u xierqa biex

joffru l-fond għal min jirtira konċernat;

(b) id-diretturi u l-amministratur tal-fond għal min jirtira

jkun se jħares u josserva d-disposizzjonijiet ta’ dan l-

Att u ta’ kull regolamenti jew direttivi preskritti taħtu;

u

(ċ) il-fond għal min jirtira propost ikun se jħares id-

disposizzjonijiet ta’ dan l-Att u ta’ kull regolamenti

jew direttivi magħmula taħtu.

(3) Meta tirreġistra fond għal min jirtira, l-Awtorità tista’

tissoġġettah għal kull kondizzjoni li jidhrilha xierqa, u wara li tkun

FONDI SPEĊJALI

irreġistratu, l-Awtorità tista’, minn żmien għal żmien, tvarja jew

tirrevoka kull kondizzjoni hekk imposta jew timponi

kondizzjonijiet ġodda.

(4) Meta tkun qed tikkonsidra jekk tirreġistrax xi fond għal

min jirtira taħt dan l-Att, l-Awtorità għandha b’mod partikolari

tqis -

(a) il-ħarsien ta’ investituri u tal-pubbliku in ġenerali;

(b) il-ħarsien tar-reputazzjoni ta’ Malta meta jkunu

kkunsidrati l-obbligi internazzjonali ta’ Malta;

(ċ) il-promozzjoni ta’ kompetizzjoni u għażla; u

(d) ir-reputazzjoni u l-idonjetà tal-amministratur tal-fond

għal min jirtira u ta’ kull parti oħra li jkollha x’taqsam

mal-fond għal min jirtira.

(5) (a) Meta jkunu jeżistu rabtiet mill-qrib bejn applikant u xi

persuna oħra, l-Awtorità għandha -

(i)

tirreġistra fond għal min jirtira biss jekk ikun

jidhrilha li dawk ir-rabtiet mill-qrib ma

jfixkluhiex milli teżerċita b’mod effettiv il-

funzjonijiet ta’ sorveljanza tagħha; u

(ii) tirrifjuta li tirreġistra fond għal min jirtira jekk

tikkunsidra li l-liġijiet, ir-regolamenti u d-

disposizzjonijiet amministrattivi ta’ xi pajjiż

barra minn Malta li jiggvernaw persuna waħda

jew iżjed li miegħu l-applikant ikollu rabtiet

mill-qrib, jew l-infurzar tagħhom, ifixklu l-

eżerċizzju effettiv tal-funzjonijiet ta’ sorveljanza

tagħha.

(b) L-Awtorità tista’ minn żmien għal żmien, permezz ta’

direttivi taħt dan l-Att tiddefinixxi ċ-ċirkostanzi fejn

rabtiet mill-qrib għandhom jitqiesu li jeżistu bejn żewġ

persuni jew aktar.

(6) Meta fond għal min jirtira, l-amministratur tal-fond għal

min jirtira, il-manager, segretarju, direttur jew persuna oħra

responsabbli tikser jew tonqos li tħares xi waħda mill-

kondizzjonjiet imposti f ’liċenza maħruġa taħt dan l-artikolu l-

Awtorità tista’ b’avviż bil-miktub u mingħajr rikors għal smigħ

minn qorti timponi fuq il-fond għal min jirtira, l-amministratur tal-

fond għal min jirtira, il-manager, segretarju, direttur jew persuni

oħra, skont il-każ, penali amministrattiva li ma tistax tkun iżjed

minn tlieta u disgħin elf u mija u erbgħa u sebgħin euro u erbgħa u

disgħin ċenteżmu (93,174.94).

Kull skema u fond għal min jirtira għandhom iħallsu lill-

Awtorità dawk id-drittijiet perjodiċi u għall-applikazzjoni, u f’dak

iż-żmien, kif jista’ jiġi preskritt.

Amministratur ta’ skema għal min jirtira jew amministratur

ta’ fond għal min jirtira, jew kull persuna oħra li jkollha r-

responsabbiltà għall-amministrazzjoni jew maniġġar ta’ kuljum ta’

s k e m a j e w f o n d , g ħ a n d h a t i p p r o v d i l i l l - Aw t o r i t à b i l -

partikolaritajiet ta’ kull tibdil fl-informazzjoni provduta taħt dan l-

FONDI SPEĊJALI

Att malli dik il-persuna jew id-delegat tagħha jsir jaf b’dak it-

Bla ħsara ghal xi disposizzjoni oħra ta’ dan l-Att u ta’ xi

regolamenti jew direttivi magħmula taħtu, l-Awtorità tista’ tħassar

jew tissospendi r-reġistrazzjoni ta’ skema jekk

(a) tikkonsidra li l-amministratur ta’ skema għal min

jirtira ma jkunx persuna idoneja u xierqa biex twettaq

il-funzjonijiet meħtieġa minnha dwar l-iskema; jew

(b) tikkonsidra li l-iskema li għaliha tirreferi r-

reġistrazzjoni ma tkunx tħares id-disposizzjonijiet ta’

dan l-Att jew ta’ xi regolamenti u, jew, direttivi

magħmula taħtu, jew li jkun hemm ksur ta’ xi waħda

minn dawk id-disposizzjonijiet, jew ta’ obbligu jew

kondizzjoni li għaliha tkun suġġetta l-iskema jew ir-

reġistrazzjoni tagħha b’dan l-Att jew taħtu; jew

(ċ) informazzjoni li tkun ingħatat lill-Awtorità minn,

f’isem jew dwar l-iskema tkun falza, mhux preċiża jew

tiżgwida.

Bla ħsara għal kull disposizzjoni oħra ta’ dan l-Att jew

direttivi magħmula taħtu, l-Awtorità tista’ tħassar jew tissospendi r-

reġistrazzjoni ta’ fond għal min jirtira, jekk

(a) tikkonsidra li direttur jew amministratur ta’ fond għal

min jirtira ma jkunx persuna idoneja u xierqa biex

twettaq il-funzjonijiet meħtieġa minnha dwar il-fond

għal min jirtira; jew

(b) tikkonsidra li l-fond għal min jirtira li għalih tirreferi

r-reġistrazzjoni ma jkunx iħares id-disposizzjonijiet ta’

dan l-Att jew ta’ xi regolamenti u, jew direttivi

magħmula taħtu, jew li jkun hemm ksur ta’ xi waħda

minn dawk id-disposizzjonijiet, jew ta’ obbligu jew

kondizzjoni li għaliha jkun suġġett il-fond għal min

jirtira jew ir-reġistrazzjoni tiegħu b’dan l-Att jew

taħtu; jew

(ċ) informazzjoni li tkun ingħatat lill-Awtorità minn,

f’isem jew dwar il-fond għal min jirtira tkun falza,

mhux preċiża jew tiżgwida.

(1) Meta l-Awtorità tipproponi -

(a) li tvarja xi kondizzjoni li tkun suġġetta għaliha

reġistrazzjoni jew li timponi kondizzjoni fuqha; jew

(b) li tirrifjuta applikazzjoni għal reġistrazzjoni jew li

tħassar jew li tissospendi reġistrazzjoni,

għandha tagħti lill-amministratur tal-iskema għal min jirtira jew

lill-amministratur tal-fond għal min jirtira avviż bil-miktub dwar il-

fehma tagħha li tagħmel hekk, liema avviż għandu jagħti r-

raġunijiet għall-azzjoni proposta.

(2) Kull avviż mogħti taħt is-subartikolu (1) għandu jgħid li

min jirċievi l-avviż jista’, f ’dak iż-żmien raġonevoli wara li jiġi

notifikat kif jingħad fl-avviż (li jkun perijodu ta’ mhux inqas minn

tmienja u erbghin siegħa u mhux iktar minn tletin jum), jagħmel

FONDI SPEĊJALI

rappreżentazzjonijiet bil-miktub lill-Awtorità fejn jagħti r-

raġunijiet għaliex id-deċiżjoni proposta ma għandix tittieħed, u l-

Aw t o r i t à g ħ a n d h a t i k k o n s i d r a k u l l r a p p r e ż e n t a z z j o n i h e k k

magħmula qabel ma tasal għal deċiżjoni finali.

(3) L-Awtorità għandha kemm jista’ jkun malajr tinnotifika d-

deċiżjoni finali tagħha bil-miktub lil kull waħda mill-persuni li

lilhom għandu jingħata avviż taħt is-subartikolu (1).

(1) Kull kumpannija, li tkun ifformata bħala fond għal min

jirtira, għandu jkollha mill-inqas tliet diretturi.

(2) Bla ħsara għad-disposizzjonijiet ta’ dan l-Att u għall-

iskema applikabbli, tkun ir-responsabbiltà tal-bord tad-diretturi jew

direttament jew permezz ta’ manager tal-assi li tinvesti l-flus kollha

u kull attiv ieħor riċevuti mill-fond għal min jirtira skont il-

memorandum tal-assoċjazzjoni tiegħu.

(1) Kull fond għal min jirtira għandu jkollu amministratur

tal-fond għal min Jirtira biex jaqdi dawk id-dmirijiet mogħtija lil

dawk l-amministraturi taħt dan l-Att jew taħt xi liġi oħra.

(2) Ikun id-dmir tad-diretturi tal-fond għal min jirtira li jaħtru

amministratur tal-fond għal min jirtira, u dawk id-diretturi

jkollhom is-setgħa li jneħħu l-amministratur tal-fond għal min

jirtira fid-diskrezzjoni tagħhom.

(3) Meta l-post ta’ amministratur tal-fond għal min jiritra isir

vakant, id-diretturi tal-fond għal min jirtira għandhom, fi żmien

erbatax-il jum mid-data tal-vakanza, jaħtru persuna oħra biex timla

l-post.

(4) Meta d-diretturi jonqsu li jimlew dik il-vakanza fiż-żmien

ta’ erbatax-il jum kif jingħad hawn fuq, l-Awtorità tista’, fuq

applikazzjoni li ssir minn xi wieħed mid-diretturi jew minn

kontributur jew benefiċjarju, taħtar persuna biex timla dik il-

vakanza hi stess.

(5) Matul kull perijodu fejn ma jkunx hemm amministratur tal-

fond għal min jirtira u matul kull perijodu ta’ inkapaċità tal-

amministratur tal-fond għal min jirtira, kull uffiċjal tal-fond għal

min jirtira hekk awtorizzat b’mod ġenerali jew speċifiku mid-

diretturi għandu jaqdi l-funzjonijiet tal-amministratur tal-fond għal

min jirtira.

(1) Kull skema għandu jkollha amministratur tal-iskema

għal min jirtira biex jaqdi dawk id-dmirijiet mogħtija lil dawk l-

amministraturi taħt dan l-Att jew taħt xi liġi oħra.

(2) Ikun id-dmir tal-kontributuri tal-iskema li jaħtru

amministratur ta’ skema għal min jirtira, u dawk il-kontributuri

jkollhom is-setgħa li jneħħu l-amministratur ta’ skema għal min

Jirtira fid-diskrezzjoni tagħhom.

(3) Meta l-post ta’ amministratur ta’ skema għal min jirtira jsir

vakanti, il-kontributuri tal-iskema għandhom, fi żmien erbatax-il

jum mid-data tal-vakanza, jaħtru persuna oħra biex timla l-post.

(4) Meta l-kontributuri jonqsu li jimlew dik il-vakanza fiż-

żmien ta’ erbatax-il jum kif jingħad qabel, l-Awtorità tista’, fuq

a p p l i k a z z j o n i l i s s i r m i n n x i wi e ħ e d m i l l - k o n t r i b u t u r i j e w

FONDI SPEĊJALI

benefiċjarji, taħtar persuna oħra biex timla dik il-vakanza hi stess.

(5) Matul kull żmien fejn ma jkunx hemm amministratur ta’

skema għal min jirtira u matul kull perijodu ta’ inkapaċità tal-

amministratur ta’ skema għal min jirtira kull uffiċjal tal-iskema

hekk awtorizzat b’mod ġenerali jew speċifiku mill-kontributuri

għandu jaqdi l-funzjonijiet tal-amministratur ta’ skema għal min

jirtira.

(1) Ebda persuna ma għandha tipprovdi fond jew skema

għal min jirtira bis-servizzi amministrattivi deskritti fl-artikoli 18 u

19, servizzi ta’ trustee jew xi servizzi oħra skont ma l-Awtorità

tista’ tispeċifika, kemm-il darba dik il-persuna ma tkunx reġistrata

taħt dan l-Att biex taġixxi bħala amministratur ta’ fond għal min

jirtira jew amministratur ta’ skema għal min jirtira, skont il-każ,

jew kemm-il darba dik il-persuna ma tkunx mod ieħor reġistrata

mal-Awtorità biex tipprovdi dawk is-servizzi.

(2) Ebda persuna ma tkun reġistrata bħala amministratur ta’

fond għal min jirtira jew amministratur ta’ skema għal min jirtira

taħt dan l-Att kemm-il darba -

(a) dik il-persuna ma tkunx kumpanija li topera f’Malta

li -

(i) ikollha l-uffiċċju prinċipali tagħha f’Malta, jew

(ii) fil-każ ta’ kumpannija li l-uffiċċju prinċipali

tagħha jkun barra minn Malta, tkun stabbilita

f’pajjiż li fil-fehma tal-Awtorità tkun suġġetta

għal livell adegwat ta’ superviżjoni regolatorja;

(b) fil-każ biss ta’ amministratur ta’ fond għal min jirtira

dik il-persuna tkun fil-pussess ta’ liċenza xierqa taħt l-

Att dwar is- Servizzi ta’ Investiment jew kif jista’ jiġi

xort’oħra preskritt.

(3) L-applikazzjoni għar-reġistrazzjoni ta’ amministratur ta’

fond għal min jirtira jew ta’ amministratur ta’ skema għal min

jirtira għandha ssir fil-forma u bil-mod kif jista’ jiġi preskritt, u

għandha -

(a) tispeċifika l-isem, l-indirizz u n-numru tat-telefon u l-

indirizz ta’ e-mail, jekk ikun hemm, tal-amministratur

tal-fond għal min jirtira jew tal-amministratur ta’

skema għal min jirtira, skont il-kaz;

(b) ikollha magħha dawk id-drittijiet li jistgħu jiġu

preskritti;

(ċ) ikun fiha jew ikollha magħha dik l-informazzjoni u

dawk il-partikolaritajiet l-oħra, li l-Awtorità tista’

teħtieġ jew kif ikun preskritt;

(d) ikun fiha l-indirizz f’Malta fejn ikun notifikat l-

applikant b’kull avviż jew dokument meħtieġ jew

awtorizzat li jkun notifikat lilu b’dan l-Att jew taħtu

jew skont xi liġi oħra; u

(f) tispeċifika n-natura tan-negozju tal-applikant u l-

esperjenza rilevanti tiegħu.

FONDI SPEĊJALI

(4) L-Awtorità tista’ tipprovdi għar-reġistrazzjoni awtomatika

ta’ amministraturi ta’ fond għal min jirtira jew ta’ amministraturi

ta’ skema għal min jirtira li diġà jkollhom fil-pussess tagħhom

liċenza għal servizzi ta’ investiment valida skont kif imfisser fl-Att

dwar is-Servizzi ta’ Investiment jew li diġà jkunu reġistrati taħt dik

il-liġi l-oħra kif l-Awtorità tista’ tispeċifika.

(5) Ir-reġistrazzjoni ta’ amministratur ta’ fond għal min jirtira

jew ta’ amminstratur ta’ skema għal min jirtira, tista’ tkun suġġetta

għal dawk il-kondizzjonijiet li l-Awtorità jidhrilha xierqa, u wara r-

reġistrazzjoni l-Awtorità tista’, minn żmien għal żmien, tvarja jew

tirrevoka kull kondizzjoni hekk imposta jew timponi

kondizzjonijiet ġodda.

(6) Meta amministratur ta’ fond għal min jirtira jew

amministratur ta’ skema għal min jirtira jikser jew jonqos li jħares

xi waħda mill-kondizzjonijiet imposti taħt dan l-artikolu, l-

Awtorità tista’ mingħajr rikors għal smigħ quddiem qorti, timponi

penali amministrattiva li ma tistax teċċedi tlieta u disgħin elf u mija

u erbgħa u sebgħin euro u erbgħa u disgħin ċenteżmu (93,174.94).

(7) Id-disposizzjonijiet ta’ dan l-Att li huma applikabbli għal

amministraturi ta’ skema għal min jirtira u għal amministraturi ta’

fond għal min jirtira, skont il-każ, għandhom jgħoddu mutatis

mutandis għal persuni li jipprovdu servizzi ta’ trustee jew xi

servizzi oħra skont is-subartikolu (1) kemm-il darba l-Awtorità ma

tiddeċidix xort’oħra. L-Awtorità tista’ toħroġ direttivi biex

tirregola l-attivitajiet ta’ trustees li jipprovdu servizzi ta’ trustee

taħt dan l-Att u tista’ timponi dawk il-kondizzjonijiet li jidhrilha

xierqa rigward is-servizzi provduti minn trustee jew trustees fil-

kuntest ta’ Skema.

(1) L-amministratur ta’ fond għal min jirtira għandu jaqdi

d-dmirijiet kollha li għandhom x’jaqsmu mal-operat ordinarju jew

ta’ kuljum tal-fond għal min jirtira, inkluż, u mhux limitat għal, dan

li ġej

(a) jirċievi l-attiv ta’ investituri eliġibbli, u jżomm jew

jagħmel arranġamenti għall-kustodja ta’ dak l-attiv;

(b) jiżgura li l-fond għal min jirtira jirċievi l-ħlasijiet

kollha dovuti lilu bl-ammonti dovuti u fil-ħin;

(ċ) jiżgura li l-income u d-dħul kollu riċevuti mill-fond

għal min jirtira jkunu applikati skont il-memorandum

u l-istatut ta’ assoċjazzjoni tal-fond għal min jirtira;

(d) jiżgura li l-ħruġ kollu jsir skont il-memorandum u l-

istatut ta’ assoċjazzjoni;

(e) iżomm records preċiżi dwar il-valur nett tal-assi tal-

fond għal min jirtira skont dan l-Att, il-memorandum u

l-istatut ta’ assoċjazzjoni;

(f) iżomm records preċiżi dwar l-investituri tal-fond għal

min jirtira;

(g) iħares il-ħtiġiet kollha statutorji u ħtiġiet oħra tal-fond

għal min jirtira, magħduda dawk li jolqtu l-kxif ta’

informazzjoni, operazzjonijiet finanzjarji ammissibbli

u t-tħejjija ta’ kull verifika finanzjarja;

FONDI SPEĊJALI

(h) iħares kull ħtiġiet tal-Atti dwar it-Taxxa fuq l-Income

biex ikun jista’ jikkwalifika għal eżenzjoni mit-taxxa

jew approvazzjoni tat-taxxa;

(i) jiżgura li l-istruzzjonijiet u d-deċiżjonijiet kollha tal-

fond għal min jirtira jkunu konformi mal-liġi u mal-

memorandum u l-istatut ta’ assoċjazzjoni; u

(j) jipprovdi jew jagħmel l-arranġamenti kollha meħtieġa

għas-servizzi ta’ konteġġi jew servizzi oħra.

(2) Amministratur ta’ fond għal min jirtira għandu jaġixxi fl-

aħjar interessi tal-fond għal min jirtira u ma jistax juża l-assi tal-

fond għal min jirtira għalih stess jew għal għanijiet oħra.

(3) Ikun id-dmir tal-amministratur tal-fond għal min jirtira li

b’xi mod ikollu jew direttament jew indirettament, interess f ’xi

operazzjoni jew operazzjoni proposta li tolqot il-fond għal min

jirtira, li immedjatament jiddikjara x-xorta tal-interess tiegħu lill-

bord tad-diretturi tal-fond għal min jirtira.

(1) L-amministratur ta’ skema għal min jirtira għandu

jaqdi d-dmirijiet kollha li għandhom x’jaqsmu mal-operat ordinarju

jew ta’ kuljum tal-iskema, inkluż u mhux limitat għal dan li ġej

(a) jinvesti

l-kontribuzzjonijiet

kollha

skont

il-

kondizzjonijiet tad-dokument tal-iskema;

(b) jiżgura li l-iskema tirċievi l-ħlasijiet kollha dovuti

lilha minn xi kontributur jew fond għal min jirtira bl-

ammonti dovuti u fil-ħin;

(ċ) jiżgura li l-income u d-dħul kollu riċevuti mill-iskema

jkunu applikati skont il-kondizzjonijiet tad-dokument

tal-iskema u li l-ħruġ kollu jsir skont id-dokument tal-

iskema;

(d) żamma tal-kustodja tal-attiv;

(e) iżomm records preċiżi dwar il-valur nett tal-iskema

skont dan l-att u d-dokumemnt tal-iskema;

(f) jiżgura li, dwar skema għal min jirtira b’benefiċċju

definit, l-iskema tissodisfa l-ħtieġa għal fondi tekniċi

f’kull intervall preskritt;

(g) jiżgura

li,

dwar

skema

għal

min

jirtira

b’kontribuzzjoni definita, kull attiv tal-Iskema li

jeċċedi l-passiv kurrenti, jew li dwar skema għal min

jirtira b’beneficcji definit, il-passiv li jirrappreżenta l-

obbligi ta’ ħlas futur lil benefiċjarji, ma għandux

jitħallas lil xi parti li ma tkunx benefiċjarju tal-iskema,

ħlief b’dak il-mod li jista’ jiġi preskritt;

(h) jiżgura li l-interessi f’sigurtà li fiha l-iskema tista’ tiġi

investita, inklużi l-ishma ta’ fond għal min jirtira jew

fondi, skont ma jista’ jkun japplika, miżmuma għall-

benefiċċju ta’ individwu li għandu jirċievi ħlasijiet

taħt dik l-iskema, għandhom, meta dak l-individwu

jirtira, ikollu invalidità permanenti jew imut, ikunu

mifdija jew xort’ohra likwidati mill-iskema minn dak

il-fond għal min jirtira u l-valur ta’ dak il-fidi jew

FONDI SPEĊJALI

likwidazzjoni għandu jitqiegħed għad-disposizzjoni

tal-benefiċjarju jew kif provdut fid-dokument tal-

iskema;

(i) iżomm records preċiżi dwar il-kontributuri u l-

benefiċjari tal-iskema;

(j) iħares il-ħtiġiet kollha statutorji u ħtiġiet oħra tal-

iskema, magħduda dawk li jolqtu l-kxif ta’

informazzjoni, transazzjonijiet finanzjarji ammissibbli

u t-tħejja ta’ kull verifka finanzjarja;

(k) iħares kull ħtiġiet tal-Atti dwar it-Taxxa fuq l-Income

biex ikun jista’ jikkwalifika għal eżenzjoni mit-taxxa

jew approvazzjoni tat-taxxa;

(l) jiżgura li l-istruzzjonijiet u d-deċiżjonijiet kollha li

għandhom x’jaqsmu mal-iskema jkunu konformi mal-

liġi u mad-dokument tal-iskema; u

(m) jagħmel l-arranġamenti kollha meħtieġa għas-servizzi

ta’ konteġġi, ta’ attwarju jew servizzi oħra.

(2) Amminsitratur ta’ skema għal min jirtira għandu jaġixxi fl-

aħjar interessi tal-iskema u ma jistax juża l-assi tal-iskema għalih

stess jew għal għanijiet oħra.

(3) Ikun id-dmir ta’ amministratur ta’ skema għal min jirtira li

b’xi mod ikollu, sew direttament jew indirettament, intesss f ’xi

operazzjoni jew operazzjoni proposta li tolqot l-iskema, li

immedjatament jiddikjara x-xorta tal-interess tiegħu lill-

kontributuri tal-iskema, jew lir-rappreżentant maħtur tagħhom.

(1) Ir-rimunerazzjoni li għandha titħallas lil amministratur

ta’ fond għal min jirtira jew ta’ amministratur ta’ skema għal min

jirtira għandha tiġi stabbilita b’kuntratt bil-miktub bejn dik il-

persuna u l-fond jew l-iskema għal min jirtira, kif applikabbli, u

tkun approvata mill-bord tad-diretturi tal-fond għal min jirtira jew

b’maġġoranza skont il-valur tal-kontribuzzjonijiet fid-data rilevanti

fl-iskema, tal-kontributur tal-iskema, skont il-każ, u għandha

tingħata fir-rapport annwali tal-fond għal min jirtira jew tal-

iskema.

(2) Għall-fini ta’ dan l-artikolu "rimunerazzjoni" tinkludi

somom li jitħallsu dwar spejjeż.

(3) Id-disposizzjonijiet ta’ dan l-artikolu għandhom japplikaw

dwar benefiċċji f’korrispettiv kif ukoll ħlasijiet bi flus, u dwar kull

benefiċċju b’korrispettiv, riferenzi għall-ammont tiegħu għandhom

jittieħdu bħala riferenzi għall-valur tiegħu stmat bi flus. Ix-xorta ta’

kull benefiċċju bħal dak għandha wkoll tingħata.

(1) Bla ħsara għal kull ħtiġiet li jistgħu jiġu preskritti, il-

bord tad-diretturi ta’ fond għal min jirtira jista’ jibdel lill-

amministratur tal-fond għal min jirtira b’amministratur tal-fond

għal min jirtira ġdid.

(2) Bla ħsara għal kull ħtiġiet li jistgħu jiġu preskritti,

maġġoranza skont il-valur tal-kontribuzzjonijiet fid-data fl-iskema

tal-kontributur tal-iskema tista’ f ’kull żmien tibdel lill-

amministratur tal-iskema għal min jirtira b’amministratur tal-

FONDI SPEĊJALI

iskema għal min jirtira ġdid skont id-dokument tal-iskema

rilevanti.

(3) Ikun id-dmir tal-amministratur li jinbidel li jikkopera bis-

sħiħ mal-amministratur tal-fond għal min jirtira jew mal-

amministratur tal-iskema għal min jirtira l-ġdid, sabiex ikun żgurat

trasferiment ta’ dmirijiet b’mod xieraq, ordnat u komplet, u li jieħu

l-miżuri kollha raġonevoli u prattiċi biex jinżammu u jkunu mħarsa

l-interessi tal-fond għal min jirtira u l-benefiċjarji.

Fil-qadi tad-dmirijiet tagħhom, u bla ħsara ta’

responsabbiltà għal danni taħt xi liġi oħra, l-amministratur tal-fond

għal min jirtira u l-amministratur ta’ skema għal min jirtira jkunu

responsabbli għal kull telf jew danni li jirriżultaw minħabba xi

frodi, nuqqas bir-rieda jew negliġenza min-naħa tagħhom.

(1) L-Awtorità jkollha s-setgħa li tivverifika u tinvestiga

amministratur ta’ fond għal min jirtira jew lill-amministratur ta’

skema għal min jirtira jew lil kull parti oħra li tipprovdi servizzi lil-

fond għal min jirtira.

(2) L-Awtorità tista’ f’kull żmien tħassar jew tissospendi r-

reġistrazzjoni tal-amministratur ta’ fond għal min jirtira jew tal-

amministratur ta’ skema għal min jirtira jekk -

(a) l-Awtorità tikkunsidra li dik il-persuna ma tkunx iktar

xierqa u idoneja li taqdi l-funzjoni meħtieġa minnha

dwar il-fond jew l-iskema għal min jirtira; jew

(b) ikun ingħata tagħrif lill-Awtorità mill-amministratur

jew f’ismu li jkun falz, mhux preċiż jew jiżgwida.

(3) L-Awtorità għandha, fl-eżerċizzju tas-setgħat tagħha taħt

is-subartikolu (2), tikkunsidra l-ħwejjeġ kollha rilevanti u taġixxi

fl-aħjar interess tal-benefiċjarji.

(1) Ebda persuna ma tista’ tipprovdi jew tippreżenta lilha

nnifisha li timmaniġġa investimenti ta’ xi fond jew skema għal min

jirtira, kemm-il darba dik il-persuna ma tkunx reġistrata bħala

manager tal-assi, jew amministratur ta’ skema għal min jirtira

debitament awtorizzat biex jipprovdi servizzi ta’ maniġġar ta’

investimenti, skont dan l-Att.

(2) Persuna ma tkunx reġistrata bħala manager tal-assi taħt id-

disposizzjonijiet ta’ dan l-Att kemm-il darba ma tkunx kumpannija

-

(a) li topera f’Malta u jkollha fil-pussess tagħha l-liċenza

xierqa taħt l-Att dwar is-Servizzi ta’ Investiment jew

kif jista’ jiġi preskritt; jew

(b) fil-kaz ta’ kumpanija li topera barra minn Malta, tkun

stabbilita f’pajjiż fejn fil-fehma tal-Awtorità l-

kumpannija tkun suġġetta għal livell adegwat ta’

superviżjoni regolatorja.

(3) L-applikazzjoni għal reġistrazzjoni bħala manager tal-assi

għandha ssir fil-forma u bil-mod meħtieġ mill-Awtorità u għandha -

(a) tispeċifika l-isem u l-indirizz u n-numru tat-telefon u l-

indirizz ta’ e mail, jekk il-każ tal-manager tal-assi;

FONDI SPEĊJALI

(b) ikollha magħha dawk id-drittijiet li jistgħu jiġu

preskritti;

(ċ) ikun fiha jew ikollha magħha dak it-tagħrif l-ieħor jew

dawk il-partikolaritajiet l-oħra li l-Awtorità tista’

teħtieġ jew kif jista’ jiġi preskritt; u

(d) tispeċifika x-xorta tan-negozju tal-applikant u l-

esperjenza rilevanti tiegħu.

(4) L-Awtorità tista’ tipprovdi għar-reġistrazzjoni awtomatika

ta’ managers tal-assi jekk diġà jkollhom fil-pussess tagħhom

liċenza għal servizzi ta’ investiment valida taħt l-Att dwar is-

Servizzi ta’ Investiment jew diġa’ jkunu reġistrati taħt dik il-liġi l-

oħra kif l-Awtorità tista’ tispeċifika.

(5) Manager tal-assi jista’ jiġi reġistrat mill-Awtorità suġġett

għal dawk il-kondizzjonijiet li l-Awtorità jidhrilha xierqa, u wara r-

reġistrazzjoni l-Awtorità tista’, minn żmien għal żmien, tvarja jew

tirrevoka kull kondizzjoni hekk imposta jew timponi

kondizzjonijiet ġodda.

(6) Meta manager tal-assi jikser jew jonqos li jħares xi waħda

mill-kondizzjonijiet imposti taħt dan l-artikolu, l-Awtorità tista’

mingħajr rikors għal smigħ quddiem qorti, timponi penali

amministrattiva li ma tistax teċċedi tlieta u disgħin elf u mija u

erbgħa u sebgħin euro u erbgħa u disgħin ċenteżmu (93,174.94).

(1) Ir-rimunerzzjoni li għandha titħallas lil manager tal-

assi ta’ fond għal min jirtira għandha tiġi stabbilita b’kuntratt bil-

miktub bejn il-fond għal min jirtira u l-manager tal-assi, tkun

approvata mill-bord tad-diretturi, u għandha tingħata fir-rapport

annwali tal-fond għal min jirtira.

(2) Ir-rimunerazzjoni li għandha titħallas lil Manager tal-assi

ta’ skema għandha tiġi stabbilità b’kuntratt bil-miktub bejn l-

amministratur tal-iskema għal min jirtira f ’isem l-iskema u l-

manager tal-assi, u għandha tingħata fir-rapport annwali tal-

iskema.

(3) Għall-fini ta’ dan l-artikolu "rimunerazzjoni" tinkludi

somom li jitħallsu dwar spejjeż.

(4) Id-disposizzjonijiet ta’ dan l-artikolu għandhom japplikaw

dwar benefiċċji b’korrispettiv, kif ukoll ħlasijiet bi flus, u dwar kull

benefiċċju b’korrispettiv, riferenzi għall-ammont tiegħu għandhom

jittieħdu bħala riferenza għall-valur tiegħu stmat bi flus. Ix-xorta

ta’ kull benefiċċju bħal dak għandha wkoll tingħata.

(1) Bla ħsara għal kull ħtiġiet li jistgħu jiġu preskritti, u

għal kull kondizzjonijiet u disposizzjonijiet tad-dokument tal-

iskema, il-bord tad-diretturi ta’ fond għal min jirtira jew

b’maġġoranza skont il-valur tal-kontribuzzjonijiet fid-data fl-

iskema tal-kontributuri tal-iskema għal min jirtira jista’ jibdel lill-

manager tal-assi b’manager tal-assi ġdid f’kull żmien.

(2) Ikun id-dmir tal-manager tal-assi li jinbidel li jikkopera

bis-sħiħ mal-manager tal-assi l-ġdid, jew jekk ma jkunx maħtur

manager tal-assi ieħor, mal-amministratur, sabiex ikun żgurat

trasferiment tad-dmirijiet b’mod xieraq, ordnat u komplet, u li jieħu

FONDI SPEĊJALI

l-miżuri kollha raġonevoli u prattiċi biex jinżammu u jkunu mħarsa

l-interessi tal-fond jew l-iskema għal min jirtira, tal-kontributuri u

tal-benefiċjarji.

(1) Manager tal-assi jkun responsabbli għas-servizzi ta’

investiment kollha li jkun ftiehem li jipprovdi lill-fond jew l-

iskema għal min jirtira li tkun ħatritu.

(2) Manager tal-assi għandu jaġixxi fl-aħjar interessi tal-fond

jew l-iskema għal min jirtira li taħtru u ma jistax juża l-assi tal-

fond għal min jirtira jew tal-iskema, skont il-każ, għalih stess jew

għal għanijiet oħra.

(3) Ikun id-dmir tal-manager tal-assi li b’xi mod ikollu, sew

direttament jew indirettament, interess f ’xi operazzjoni jew

operazzjoni proposta li tolqot il-fond għal min jirtira jew tal-

iskema, skont il-każ, li immedjatament jiddikjara x-xorta tal-

interess tiegħu lill-bord tad-diretturi tal-fond għal min jirtira jew

lill-kontributuri tal-iskema.

Fil-qadi tad-dmirijiet tiegħu, u bla ħsara ta’ responsabbiltà

għal danni taħt xi liġi oħra, il-manager tal-assi jkun responsabbli

għal kull telf jew danni li jirriżultaw minħabba xi frodi, nuqqas bir-

rieda jew negliġenza min-naħa tal-manager tal-assi.

(1) Kull awditur jew attwarju ta’ fond jew skema għal

min jirtira jkollu d-dmir li jirrapporta minnufih lill-Awtorità kull

fatt jew deċiżjoni li jsir jaf bih fil-kariga tiegħu ta’ awditur jew

attwarju ta’ dak il-fond jew tal- skema għal min jirtira li -

(a) jista’ jwassal għal kwalifika serja ta’, jew rifjut li

joħroġ, ir-rapport tal-awditur jew tal-attwarju ta’ dak

il-fond jew ta’ dik l-iskema għal min jirtira; jew

(b) jikkostitwixxi jew x’aktarx jikkostitwixxi ksur

materjali tal-ħtiġiet legali jew regolatorji applikabbli

għal fond għal min jirtira jew għal skema f’dan l-Att

jew taħtu; jew

(ċ) ifixkel b’mod serju l-abbiltà tal-fond għal min jirtira

jew tal-iskema li tonora l-obbligi li jkollha kurrenti u

futuri; jew

(d) jirreferi dwar kull ħaġa kif jista’ jiġi preskritt.

(2) Awditur jew attwarju ta’ skema jew ta’ fond għal min

jirtira għandu jirrapporta lill-Awtorità kull fatt jew deċiżjoni kif

speċifikat fis-subartikolu (1) ta’ kull persuna li jkollha rabtiet mill-

qrib ma’ dik l-iskema jew il-fond għal min jirtira kif imfisser fl-

artikoli 7 u 8, jew li jsir jaf bih fil-kapaċità tiegħu ta’ awditur jew

attwarju ta’ skema jew ta’ fond għal min jirtira jew tal-persuna li

jkollha dawk ir-rabtiet mill-qrib.

(3) Il-ħwejjeġ li jistgħu jiġu preskritti għall-fini tas-

subartikolu (1)(d) jistgħu jinkludi ħwejjeġ li għandhom x’jaqsmu

ma’ persuni jew entitajiet barra minn fond jew skema għal min

jirtira, magħduda iżda mhux limitati għall-amministratur ta’ fond

jew skema għal min jirtira, jew għall-manager tal-assi.

(4) Kull skema għal min jirtira b’benefiċċju definit, li tkun

skema dwar xogħol, barra minn waħda li taqa’ taħt klassi jew

FONDI SPEĊJALI

deskrizzjoni kif jista’ jkun preskritt, għandha taħtar awditur u

attwarju.

(5) Bla ħsara għad-disposizzjonijiet

tal-Att

dwar

il-

Kumpanniji l-Awtorità tista’ b’direttiva -

(a) tippreskrivi l-klassi ta’ persuni li jistgħu jaġixxu bħala

awdituri jew attwarji ta’ fond jew skema għal min

jirtira; jew

(b) tipprovdi li l-persuni li jistgħu hekk jaġixxu għandhom

ikunu -

(i) persuni li jkollhom dawk il-kwalifiki jew

esperjenza kif jista’ jiġi preskritt; jew

(ii) dik il-klassi jew dawk il-klassijiet l-oħra ta’

persuni li jkunu approvati mill-Awtorità.

(6) Bla ħsara għad-disposizzjonijiet tal-Att dwar

il-

Kumpanniji, l-Awtorità tista’ b’direttivi tipprovdi dwar -

(a) il-ħatra, ir-riżenja u t-tneħħija ta’ awdituri u attwarji

ta’ fond jew ta’ skema għal min jirtira;

(b) id-dmir ta’ amministratur ta’ fond jew ta’ skema għal

min jirtira li jagħti tagħrif lil, u li jqiegħed dokumenti

għad-dispozizzjoni ta’, l-awdituri jew l-attwarji ta’

fond jew ta’ skema għal min jirtira.

(1) Jekk direttur ta’ fond għal min jirtira, amministratur

ta’ fond għal min jirtira jew amministratur ta’ skema għal min

jirtira, jew il-manager tal-assi, awditur jew attwarju ta’ xi skema

jew fond għal min jirtira jaf, jemmen jew b’xi mod jissuspetta li -

(a) xi dmir rilevanti għall-amministrazzjoni tal-iskema

jew ta’ fond għal min jirtira mpost b’xi liġi fuq xi

persuna li tkun qed taġixxi relattivament mal-iskema

jew mal-fond għal min jirtira ma jkunx twettaq jew ma

jkunx qiegħed jitwettaq, u

(b) in-nuqqas ta’ dak it-twettiq x’aktarx ikun ta’ sinifikat

materjali għall-qadi tal-Awtorità ta’ xi wieħed mill-

funzjonijiet tagħha,

dan għandu minnufih jagħmel rapport bil-miktub dwar dan lill-

Awtorità.

(2) Direttur ta’ fond għal min jirtira, amministratur ta’ fond

għal min jirtira jew amministratur ta’ skema għal min jirtira, jew il-

manager tal-assi, l-awditur jew l-attwarju ta’ skema għal min jirtira

jew fond għal min jirtira ma għandux jitqies li ma wettaqx

dmirijietu sempliċiment għax ikun ta xi tagħrif jew opinjoni f’xi

rapport bil-miktub magħmul taħt dan l-artikolu jew taħt l-artikolu

(2) In Parts I, II and III of this Act and in the Schedules and in

any regulations or directives made thereunder, if there is any

conflict between the English and the Maltese texts, the English text

shall prevail.

PART II

REGISTRATION AND OPERATIONAL REQUIREMENTS

3. (1) No person shall provide or hold himself as providing a

scheme situated in Malta unless such scheme is a registered scheme

which complies with the requirements of articles 4(1) and 5.

(2) No person shall accept money or other consideration from

a contributor with respect to a scheme situated in Malta unless such

scheme is a registered scheme which complies with the

requirements of articles 4(1) and 5.

(3) No person shall maintain or hold himself out as

maintaining a retirement fund situated in Malta unless such fund is

a registered fund which complies with the requirements of articles

4(2) and 6.

(4) The Authority may by directives under this article declare

such schemes or other arrangements as may be referred to in the

directives not to be a scheme for the purposes of this Act, or

declare that such funds as may be referred to in the directives not to

be a retirement fund for the purposes of this Act.

(5) The Authority may by notice in writing to any person

determine that

(a) an activity falls within the meaning of articles 17, 18,

19 or 24 when provided in relation to a retirement fund

or a scheme; or

(b) a service falls within the Second Schedule to this Act;

or

(c) for the purposes of this Act, a scheme or other

arrangement is a scheme situated in Malta, or a fund is

a retirement fund situated in Malta,

and subject to any appeal under article 54, with respect to such

person, the determination by the Authority, unless otherwise

overruled by the Tribunal referred to in that article shall be

conclusive for all purposes of this Act.

SPECIAL FUNDS (REGULATION)

4. (1) A scheme shall not be registered under the provisions

of this Act unless the scheme document contains written terms and

provisions which shall state

(a) that the principal purpose of the scheme is to provide

retirement benefits;

(b) that all contributions to the scheme may be invested

exclusively in one or more retirement funds, except for

ancillary cash;

(c) that the scheme is designed and operated for the

exclusive benefit of the beneficiaries specified in such

scheme;

(d) the specific means to be used to identify all current,

and future contributors of the scheme together with

their respective obligations;

(e) the specific means to be used to identify all current

and future beneficiaries of the scheme together with

the specific means to be used to determine the amount

of their respective retirement benefits, and the timing

of payment of such retirement benefits;

(f) the name, address and the telephone number and e-

mail address, if available, of the initial retirement

scheme administrator appointed to carry out the

administrative requirements of the scheme;

(g) the rules or other criteria governing the valuation of

assets and liabilities attributable to the scheme and the

timing of such valuations;

(h) the rules governing admissible costs and expenses

payable out of the scheme;

(i) the method of appointment, removal, and replacement

of the retirement scheme administrator and, where

appropriate, the asset manager, auditor, actuary or any

other party to the scheme;

(j) the rules governing the surrender, termination or,

where appropriate, forfeiture of a retirement benefit;

(k) the applicable rules in the event of an inability or

failure by a contributor to fulfil its obligations;

(l) the rules governing amendments to the scheme

document;

(m) the circumstances leading to the winding up of the

scheme, other than such circumstances established by

law; and

(n) that, unless otherwise prescribed under this Act there

exists no statutory provision for compensation in the

case where a scheme or retirement fund is unable to

satisfy the liabilities attributed to it, and the

registration of the scheme or retirement fund is not an

endorsement by the Authority of the scheme’s or the

retirement fund’s financial performance.

SPECIAL FUNDS (REGULATION)

(2) A retirement fund shall not be registered under this Act

unless it satisfies the following requirements

(a) the retirement fund is registered as an investment

company with fixed share capital or an investment

company with variable share capital under the

Companies Act;

(b) the memorandum of association of the retirement fund

states that its objectives are limited to -

(i) the receipt of contributions made by one or more

schemes, and, or by one or more overseas

retirement plans, and the investment of such

contributions and all return on such

contributions in instruments or immovable

property with the aim of maximising return on

such contributions;

(ii) the payment of retirement benefits to the

beneficiaries of the schemes or the overseas

retirement plans which have invested in such

retirement fund; and

(iii) the carrying on of all matters or functions

connected or ancillary to the objectives

mentioned in subparagraphs (i) and (ii); and

(c) the name of the retirement fund is one which, in the

opinion of the Authority, is not misleading; and

(d) the company’s head office is, and is operated, in Malta.

(3) The assets of the retirement fund shall not be for the

benefit of any investor in the retirement fund, but shall be used for

the exclusive purpose of providing retirement benefits to the

beneficiaries of the schemes or the overseas retirement plans which

have invested in such retirement fund, and of defraying the

expenses as are allowable under this Act, of such scheme, or the

bona fide expenses of the overseas retirement plan, as applicable.

(4) Unless otherwise provided in this Act, the provisions of the

Companies Act shall apply to a Retirement Fund.

(5) A scheme or retirement fund registered under this Act shall

not be subject to any licensing requirements under the Investment

Services Act.

5. An application for registration of a scheme shall be made

in the form and manner required by the Authority and shall -

(a) contain or be accompanied by a copy of the scheme

document containing statements listed in article 4(1);

(b) be accompanied by such fee or fees as may be

prescribed;

(c) specify the nature of the scheme;

(d) contain or be accompanied with such other

information and particulars, as the Authority may

require or as may be prescribed; and

(e) contain the address in Malta for service on the

SPECIAL FUNDS (REGULATION)

applicant of any notice or other documents required or

authorized to be served on him by or under this Act or

any other law.

6. An application for registration of a retirement fund shall be

made in the form and manner required by the Authority and shall -

(a) contain or be accompanied by a copy of the

memorandum and articles of association of the

retirement fund which satisfy the requirements of

article 4(2);

(b) specify the name and address and the telephone

number and e-mail addresses if available of the

retirement fund, the directors and retirement fund

administrator of such retirement fund;

(c) be accompanied by such fee or fees as may be

prescribed;

(d) contain or be accompanied with such other

information and particulars, as the Authority may

require or as may be prescribed;

(e) contain the address in Malta for service on the

applicant of any notice or other document required or

authorised to be served on it by or under this Act or

any other law; and

(f) contain a general description of the investment

objectives, the risk and return characteristics of the

retirement fund, as well as information relating to the

type and diversification of assets anticipated within

the investment portfolio of the retirement fund.

7. (1) The Authority may register or refuse to register a

scheme for which an application is made under this Act.

(2) The Authority shall not register a scheme unless it is

satisfied that -

(a) the retirement scheme administrator is fit and proper to

provide the scheme concerned;

(b) the retirement scheme administrator will comply with

and observe the provisions of this Act and any

regulations or directives prescribed thereunder; and

(c) the proposed Scheme will comply with the provisions

of this Act and any regulations or directives prescribed

thereunder.

(3) In registering a scheme, the Authority may subject it to

such conditions as it may deem appropriate, and having registered

it, the Authority may, from time to time, vary or revoke any

condition so imposed or impose new conditions.

(4) When considering whether to register any scheme under

this Act, the Authority shall in particular have regard for -

(a) the protection of investors and the general public;

(b) the protection of the reputation of Malta taking into

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account Malta’s international commitments;

(c) the promotion of competition and choice; and

(d) the reputation and suitability of the retirement scheme

administrator and any other parties connected with the

scheme.

(5) (a) Where close links exists between an applicant and any

other person the Authority shall

(i)

only register a scheme if it considers that such

close links do not prevent it from exercising

effectively its supervisory functions; and

(ii) refuse to register a scheme if it considers that the

laws, regulations or administrative provisions of

any country outside Malta governing one or

more persons with whom the applicant has close

links, or their enforcement, prevent the effective

exercise of its supervisory functions.

(b) The Authority may from time to time, by means of

directives under this Act define the circumstances in

which ''close links'' are to be regarded as existing

between any two or more persons.

(6) Where a scheme or the retirement scheme administrator,

asset manager or other person responsible for the scheme

contravenes or falls to comply with any of the conditions imposed

on the scheme under this article, the Authority may by notice in

writing and, without recourse to a court hearing impose on the

scheme, retirement scheme administrator, asset manager to other

person, as the case may be, an administrative penalty which may

not exceed ninety-three thousand and one hundred and seventy-

four euro and ninety-four cents (93,174.94).

8. (1) The Authority may register or refuse to register a

retirement fund for which an application is made under this Act.

(2) The Authority shall not register a retirement fund unless it

is satisfied that -

(a) the promoters, the directors and the retirement fund

administrator are fit and proper persons to offer the

retirement fund concerned;

(b) the directors and the retirement fund administrator will

comply with and observe the provisions of this Act and

any regulations or directives prescribed thereunder;

and

(c) the proposed retirement fund will comply with the

provisions of this Act and any regulations or directives

made thereunder.

(3) In registering a retirement fund, the Authority may subject

it to such conditions as it may deem appropriate, and having

registered it, the Authority may, from time to time, vary or revoke

any condition so imposed or impose new conditions.

(4)

When considering whether to register any retirement fund

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under this Act, the Authority shall in particular have regard for -

(a) the protection of investors and the general public;

(b) the protection of the reputation of Malta taking into

account Malta’s international commitments;

(c) the promotion of competition and choice; and

(d) the reputation and suitability of any promoter, director,

retirement fund administrator and any other party

connected with the retirement fund.

(5) (a) Where close links exist between an applicant and any

other person the Authority shall

(i)

only register a retirement fund if it considers

that such close links do not prevent it from

exercising effectively its supervisory functions;

and

(ii) refuse to register a retirement fund if it considers

that the laws, regulations or administrative

provisions of any country outside Malta

governing one or more persons with whom the

applicant has close links, or their enforcement,

prevent the effective exercise of its supervisory

functions.

(b) The Authority may from time to time, by means of

directives under this Act, define the circumstances in

which ''close links'' are to be regarded as existing

between any two or more persons.

(6) Where a retirement fund, or the retirement fund

administrative, its manager, secretary, director or other person

responsible for the retirement fund contravenes or fails to comply

with any of the conditions imposed on the retirement fund under

this article, the Authority may by notice in writing and without

recourse to a court hearing impose on the retirement fund, its

manager, secretary, director or other person, as the case may be, an

administrative penalty which may not exceed ninety-three thousand

and one hundred and seventy-four euro and ninety-four cents

(93,174.94).

9. Every scheme and retirement fund shall pay to the

Authority such periodic and application fees, and within such time,

as may from time to time be prescribed.

10. A retirement scheme administrator or a retirement fund

administrator, or any other person having responsibility for the day

to day administration or management of a scheme or fund, shall

provide the Authority with particulars of any changes in the

information provided under this Act as soon as such person or its

delegate becomes aware of such changes.

11. Without prejudice to any other provision of this Act and of

any regulations or directives made thereunder, the Authority may

cancel or suspend the registration of a scheme if

(a) it considers that a retirement scheme administrator is

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not a fit and proper person to carry out the functions

required of it in connection with the scheme; or

(b) it considers that the scheme to which the registration

refers does not comply with the provisions of this Act

or of any regulations and, or, directives made

thereunder, or that there has been a contravention of

any such provisions, or of an obligation or condition to

which the scheme or its registration are subject by or

under this Act; or

(c) information has been furnished to the Authority by or

on behalf of or in relation to the scheme which is false,

inaccurate or misleading.

12. Without prejudice to any other provision of this Act and of

any regulations or directives made thereunder, the Authority may

cancel or suspend the registration of a retirement fund if

(a) it considers that a director or retirement fund

administrator is not a fit and proper person to carry out

the functions required of it in connection with the

retirement fund; or

(b) it considers that the retirement fund to which the

registration refers does not comply with the provisions

of this Act or of any regulations and, or, directives

made thereunder, or that there has been a

contravention of any such provisions, or of an

obligation or condition to which the retirement fund or

its registration are subject by or under this Act; or

(c) information has been furnished to the Authority by or

on behalf of or in relation to the retirement fund which

is false, inaccurate or misleading.

13. (1) Where the Authority proposes -

(a) to vary any condition to which a registration is subject

or to impose a condition thereon; or

(b) to refuse an application for registration or to cancel or

to suspend a registration,

it shall give the retirement scheme administrator or retirement fund

administrator notice in writing of its intention to do so, such notice

setting out the reasons for its proposed action.

(2) Every notice given under subarticle (1) shall state that the

recipient of the notice may, within such reasonable period after the

service thereof as may be stated in the notice (being a period of not

less than forty-eight hours and not longer than thirty days), make

representations in writing to the Authority giving reasons why the

proposed decision should not be taken, and the Authority shall

consider any representation so made before arriving at a final

(3) The Authority shall as soon as practicable notify its final

decision in writing to any of the persons to whom notice is to be

given under subarticle (1).

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14. (1) Every company, which is formed as a retirement fund,

shall have at least three directors.

(2) Subject to the provisions of this Act and to the applicable

scheme, it shall be the responsibility of the board of directors either

directly or through an asset manager to invest all money and other

assets received by the retirement fund in accordance with its

memorandum of association.

15. (1) Every retirement fund shall have a retirement fund

administrator to carry out such duties assigned to such

administrators under this Act or any other law.

(2) It shall be the duty of the directors of the retirement fund to

appoint a retirement fund administrator, and such directors shall

have the power to remove the retirement fund administrator at their

discretion.

(3) Where the post of retirement fund administrator becomes

vacant, the directors of the retirement fund shall, within fourteen

days from the date of vacancy, appoint another person to fill the

post.

(4) Where the directors fail to fill such vacancy within the

fourteen days provided above, the Authority may, on an application

made by any one of the directors or by a contributor or beneficiary,

appoint a person to fill such vacancy itself.

(5) During any period where there is no retirement fund

administrator, and during any period of incapacity of the retirement

fund administrator, any officer of the retirement fund authorized

generally or specifically in that behalf by the directors shall carry

out the functions of the retirement fund administrator.

16. (1) Every scheme shall have a retirement scheme

administrator to carry out such duties assigned to such

administrator under this Act or any other law.

(2) It shall be the duty of the contributors of the scheme to

appoint a Retirement Scheme Administrator, and such contributors

shall have the power to remove the retirement scheme administrator

at their discretion.

(3) Where the post of retirement scheme administrator

becomes vacant, the contributors of the scheme shall, within

fourteen days from the date of vacancy, appoint another person to

fill the post.

(4) Where the contributors fail to fill such vacancy within the

fourteen days provided above, then the Authority may, on an

application made by any one of the contributors or beneficiaries,

appoint a person to fill such vacancy itself.

(5) During any period where there is no retirement scheme

administrator, and during any period of incapacity of the retirement

scheme administrator any officer of the scheme authorized

generally or specifically in that behalf by the contributors shall

carry out the functions of the retirement scheme administrator.

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17. (1) No person shall provide a retirement fund or a scheme

with any administrative services described in articles 18 and 19,

trustee services or any other services as the Authority may specify,

unless such person is registered under this Act as a retirement fund

administrator or a scheme administrator as the case may be, or is

otherwise registered by the Authority to perform any such services.

(2) No person shall be registered as a retirement fund

administrator or retirement scheme administrator under this Act

unless -

(a) such person is a company operating in Malta which -

(i) has its head office in Malta, or

(ii) in the case of a company whose head office is

outside Malta, is established in a country which

in the opinion of the Authority is subject to an

adequate level of regulatory supervision;

(b) in the case only of a retirement fund administrator

such person is in possession of an appropriate licence

under the Investment Services Act or as may otherwise

be prescribed.

(3) The application for registration of a retirement fund

administrator or of a retirement scheme administrator shall be made

in the form and manner as may be prescribed, and shall -

(a) specify the name, and address, and telephone number

and e-mail address, if available, of the retirement fund

administrator or retirement scheme administrator, as

the case may be;

(b) be accompanied by such fees as may be prescribed;

(c) contain or be accompanied by such other information

and particulars as the Authority may require or as may

be prescribed;

(d) contain the address in Malta for service on the

applicant of any notice or other document required or

authorized to be served on it by or under this Act or

any other law; and

(e) specify the nature of the applicant’s business and

relevant experience.

(4) The Authority may provide for the automatic registration

of retirement fund administrators or retirement scheme

administrators that already are in possession of a valid investment

services licence within the meaning of the Investment Services Act,

or that are already registered under such other law as the Authority

may specify.

(5) The registration of a retirement fund administrator or of

retirement scheme administrator, may be made subject to such

conditions as the Authority may deem appropriate, and after

registration the Authority may, from time to time, vary or revoke

any condition so imposed or impose new conditions.

(6)

Where a retirement fund administrator or retirement

SPECIAL FUNDS (REGULATION)

scheme administrator contravenes or fails to comply with any of

the conditions imposed under this article, the Authority may

without recourse to a court hearing impose an administrative

penalty which may not exceed ninety-three thousand and one

hundred and seventy-four euro and ninety-four cents (93,174.94).

(7) The provisions of this Act applicable to retirement scheme

administrators and retirement fund administrators, as the case may

be, shall apply mutatis mutandis to persons who provide trustee

services or any other services in accordance with subarticle (1)

unless the Authority otherwise provides. The Authority may issue

any directives to regulate the activities of trustees providing trustee

services under this Act and it may impose such conditions as it

deems appropriate in relation to the services provided by a trustee

or trustees in the context of a Scheme.

18. (1) The retirement fund administrator shall perform all

duties in connection with the ordinary or day-to-day operations of

the retirement fund, including but not limited to the following

(a) receiving the assets of eligible investors, and

maintaining or arranging custody of such assets;

(b) ensuring that the retirement fund receives all payments

due to it in the proper amounts and in a timely manner;

(c) ensuring that all income and proceeds received by the

retirement fund are applied in accordance with the

retirement fund’s memorandum and articles of

association;

(d) ensuring that all disbursements are effected in

accordance with the memorandum and articles of

association;

(e) maintaining accurate records regarding the net asset

value of the retirement fund in accordance with this

Act, the memorandum and articles of association;

(f) maintaining accurate records regarding the retirement

fund’s investors;

(g) complying with all the retirement fund’s statutory and

other requirements including those affecting the

disclosure of information, admissible financial

transactions and the preparation of any financial audit;

(h) complying with any requirements of the Income Tax

Acts in order to qualify for tax-exemption or tax-

approval;

(i) ensuring that all instructions and decisions affecting

the retirement fund conform with the law and the

memorandum and articles of association; and

(j) providing or arranging for all necessary accounting or

other services.

(2) A retirement fund administrator shall act in the best

interests of the retirement fund and may not use the assets of the

retirement fund for its own or other purposes.

SPECIAL FUNDS (REGULATION)

(3) It shall be the duty of the retirement fund administrator

who has in any way, whether directly or indirectly an interest in any

transaction or proposed transaction affecting the retirement fund, to

immediately declare the nature of its interest to the retirement

fund’s board of directors.

19. (1) The retirement scheme administrator shall perform all

duties in connection with the ordinary or day-to-day operations of

the scheme, including but not limited to the following

(a) investing all contributions in accordance with the

terms of the scheme document;

(b) ensuring that the scheme receives all payments due to

it by any contributor or retirement fund in the proper

amounts and in a timely manner;

(c) ensuring that all income and proceeds received by the

scheme are applied in accordance with the terms of the

scheme document and that all disbursements are

effected in accordance with the scheme document;

(d) maintaining custody of assets;

(e) maintaining accurate records regarding the net asset

value of the scheme in accordance with this Act and

the scheme document;

(f) ensuring that, with respect to a defined benefit

retirement scheme, the scheme satisfies the technical

funding requirement at each prescribed interval;

(g) ensuring that, with respect to a defined contribution

retirement scheme, any assets of the scheme in excess

of the current liabilities, or that, with respect to a

defined benefit retirement scheme, the liabilities that

represent future payment obligations to beneficiaries,

shall not be distributed to a party other than to a

beneficiary of the scheme, except in such manner as

may be prescribed;

(h) ensuring that the interests in any security in which the

scheme may be invested, including the shares of any

retirement fund or funds, as may be applicable, held

for the benefit of an individual who is to receive

payments under such scheme, shall, upon the

retirement, permanent invalidity, or death of such

individual, be redeemed or otherwise liquidated by the

scheme from such retirement fund, and the value of

such redemption or liquidation shall be made available

to the beneficiary or as provided for in the scheme

document;

(i) maintaining accurate records regarding the scheme’s

contributors and beneficiaries;

(j) complying with all the scheme’s statutory and other

requirements, including those affecting the disclosure

of information, admissible financial transactions and

the preparation of any financial audit;

SPECIAL FUNDS (REGULATION)

(k) complying with any requirements of the Income Tax

Acts to qualify for tax-exemption or tax-approval;

(l) seeking to ensure that all instructions and decisions

affecting the scheme are in conformity with the law

and the scheme document; and

(m) arranging for all necessary accounting, actuarial or

other services.

(2) A retirement scheme administrator shall act in the best

interests of the scheme and may not use the assets of the scheme for

its own or other purposes.

(3) It shall be the duty of the retirement scheme administrator

who has in any way, whether directly or indirectly, an interest in

any transaction or proposed transaction affecting the scheme, to

immediately declare the nature of its interest to the contributors of

the scheme, or their appointed representative.

20. (1) The remuneration that is payable to the retirement

fund administrator or retirement scheme administrator shall be set

out in a written contract between such person and the retirement

fund or scheme, as applicable, and shall be approved by the board

of directors of the retirement fund or a majority by value of

contributions on the relevant date within the scheme, of the

contributor of the scheme, as the case may be, and be disclosed in

the retirement fund or scheme’s annual report.

(2) For the purpose of this article ''remuneration'' includes

sums paid in respect of expenses.

(3) The provisions of this article shall apply in relation to

benefits in kind as well as to payments in cash, and in relation to

any benefit in kind, references to its amount are to be taken as

references to its estimated money value. The nature of any such

benefit shall also be disclosed.

21. (1) Subject to any requirements as may be prescribed, the

board of directors of a retirement fund may at any time replace the

retirement fund administrator with a new retirement fund

administrator.

(2) Subject to any requirements as may be prescribed, a

majority by value of contributions to date within the scheme of the

contributor of the Scheme may at any time replace the retirement

scheme administrator with a new retirement scheme administrator

in accordance with the relevant scheme document.

(3) It shall be the duty of the administrator being replaced to

cooperate fully with the new retirement fund administrator or

retirement scheme administrator, to ensure a proper, orderly and

complete transfer of duties, and to take all reasonable and practical

measures to preserve and safeguard the interests of the retirement

fund and the beneficiaries.

22. In the discharge of their responsibilities, and without

prejudice to the liability for damages under any other law, the

retirement fund administrator and retirement scheme administrator

shall be liable for any loss or damage suffered as a result of fraud,

SPECIAL FUNDS (REGULATION)

wilful default or negligence on their part.

23. (1) The Authority shall have the power to audit and

investigate a retirement fund administrator or retirement scheme

administrator or any other party providing services to a retirement

fund.

(2) The Authority may at any time cancel or suspend the

registration of the retirement fund administrator or retirement

scheme administrator if -

(a) the Authority considers that such person is not fit and

proper to carry out the function required of it in

connection with the retirement fund or scheme; as the

case may be; or

(b) information has been furnished to the Authority by or

on behalf of the administrator which is false,

inaccurate or misleading.

(3) The Authority shall, in the exercise of its powers under

subarticle (2), have regard to all relevant matters and shall act in

the best interests of the beneficiaries.

24. (1) No person shall provide or hold itself as managing

investments of any retirement fund or scheme unless such person is

a registered asset manager or, a retirement scheme administrator

duly authorized to provide investment management services, in

accordance with this Act.

(2) A person shall not be registered as an asset manager under

the provisions of this Act unless it is a company -

(a) operating in Malta and in possession of an appropriate

licence under the Investment Services Act or as may

be prescribed, or

(b) in the case of a company operating outside Malta,

which is established in a country where in the opinion

of the Authority the company will be subject to an

adequate level of regulatory supervision.

(3) The application for registration of an asset manager shall

be made in the form and manner required by the Authority and

shall -

(a) specify the name, and address and the telephone

number and e-mail address, if available of the asset

manager;

(b) be accompanied by such fees as may be prescribed;

(c) contain or be accompanied by such other information

and particulars as the Authority may require or may be

prescribed; and

(d) specify the nature of the applicant’s business and

relevant experience.

(4) The Authority may provide for the automatic registration

of asset managers that already are in possession of a valid

investment services licence under the Investment Services Act, or

SPECIAL FUNDS (REGULATION)

that are already registered under such other law as the Authority

may specify.

(5) An asset manager, may be registered by the Authority

subject to such conditions as the Authority may deem appropriate,

and after registration the Authority may, from time to time, vary or

revoke any condition so imposed or impose new conditions.

(6) Where an asset manager contravenes or fails to comply

with any of the conditions imposed under this article, the Authority

may without recourse to a court hearing impose an administrative

penalty which may not exceed ninety-three thousand and one

hundred and seventy-four euro and ninety-four cents (93,174.94).

25. (1) The remuneration that is payable to a retirement fund

asset manager shall be set out in a written contract between the

retirement fund and the asset manager, be approved by the board of

directors, and be disclosed in the retirement fund’s annual report.

(2) The remuneration that is payable to a scheme asset

manager shall be set out in a written contract between the

retirement scheme administrator on behalf of a scheme and the

asset manager, and be disclosed in the scheme’s annual report.

(3) For the purpose of this article ''remuneration'' includes

sums paid in respect of expenses.

(4) The provisions of this article shall apply in relation to

benefits in kind as well as to payments in cash, and in relation to

any benefit in kind, references to its amount are to be taken as

references to its estimated money value. The nature of any such

benefit shall also be disclosed.

26. (1) Subject to any requirements as may be prescribed, and

to any terms and provisions as are established in the scheme

document, the board of directors of a retirement fund or the

majority by value of contributions to date within the scheme of the

contributors of a retirement scheme may replace the asset manager

with a new asset manager at any time.

(2) It shall be the duty of the asset manager being replaced to

cooperate fully with the new asset manager, or where no new asset

manager is appointed, with the administrator, to ensure a proper,

orderly and complete hand over of duties, and to take all reasonable

and practical measures to preserve and safeguard the interests of

the retirement fund or scheme, its shareholders, contributors, and

beneficiaries.

27. (1) An asset manager shall be responsible for all

investment services which it has agreed to provide to the retirement

fund or the scheme appointing it.

(2) An asset manager shall act in the best interests of the

retirement fund or scheme appointing it and may not use the assets

of the retirement fund or the scheme, as the case may be, for its

own or other purposes.

(3) It shall be the duty of the asset manager who has in any

way, whether directly or indirectly, an interest in any transaction or

proposed transaction affecting the retirement fund or the scheme,

SPECIAL FUNDS (REGULATION)

as the case may be, to immediately declare the nature of its interest

to the board of directors of the retirement fund or the scheme’s

contributors.

28. In the discharge of its responsibilities, and without

prejudice to any liability for damages under any other law, the asset

manager shall be liable for any loss or damage arising out of fraud,

wilful default or negligence on the part of the asset manager.

29. (1) Every auditor or actuary of a retirement fund or

scheme shall have the duty to report immediately to the Authority

any fact or decision of which it becomes aware in its capacity as

auditor or as actuary of such retirement fund or scheme which -

(a) is likely to lead to a serious qualification of, or refusal

to issue, the auditor’s or actuary’s report on such

retirement fund or scheme; or

(b) constitutes or is likely to constitute a material breach

of the legal or regulatory requirements applicable to a

retirement fund or scheme in or under this Act; or

(c) seriously impairs the retirement fund’s or scheme’s

ability to meet the current or future liabilities

attributable to it; or

(d) relates to any other matter which may be prescribed.

(2) An auditor or an actuary of a scheme or a retirement fund

shall report to the Authority any facts or decisions as specified in

subarticle (1) of any person having close links with such scheme or

retirement fund within the meaning in articles 7 and 8, of which he

becomes aware in his capacity as auditor or actuary of the scheme

or retirement fund or of the person having such close links.

(3) The matters which may be prescribed for the purpose of

subarticle (1)(d) may include matters related to persons or entities

other than a retirement fund or scheme, including but not limited to

the administrator of a retirement fund or a scheme, or to an asset

manager.

(4) Every defined benefit retirement scheme, which is an

occupational scheme, other than one falling within a class or

description as may be prescribed, shall appoint an auditor and an

actuary.

(5) Without prejudice to the provisions of the Companies Act,

the Authority may by directive -

(a) prescribe the class of persons who may act as auditors

or actuaries on behalf of a retirement fund or scheme;

or

(b) provide that the persons who may so act shall be -

(i) persons with professional qualifications or

experience as may be prescribed; or

(ii) such other class or classes of persons as are

approved by the Authority.

(6) Without prejudice to the provisions of the Companies Act,

the Authority may by directive make provision relating to -

SPECIAL FUNDS (REGULATION)

(a) the appointment, resignation and removal of auditors

and actuaries of retirement funds or schemes;

(b) the duty of an administrator of a retirement fund or of

a scheme to disclose information and to make

documents available to the auditors or actuaries of a

retirement fund or of a scheme.

30. (1) If a retirement fund director, retirement fund

administrator or retirement scheme administrator, or the asset

manager, auditor or actuary of any scheme or retirement fund

knows, believes or otherwise suspects that -

(a) any duty relevant to the administration of the scheme

or retirement fund imposed by any law on any person

acting in connection with the scheme or retirement

fund has not been or is not being complied with, and

(b) the failure to comply is likely to be of material

significance in the exercise by the Authority of any of

its functions,

he must immediately give a written report of the matter to the

Authority.

(2) A retirement fund director, retirement fund administrator

or retirement scheme administrator, or the asset manager auditor or

actuary of a retirement scheme or retirement fund shall not be

regarded as having contravened his duties merely because he may

have given any information or opinion contained in a written report

under this article or under article 52.

(3) Saving the provisions of article 642(1) of the Criminal

Code and of article 588(1) of the Code of Organization and Civil

Procedure, no duty, including any duty under the Professional

Secrecy Act, to which any person is subject shall be regarded as

contravened merely because of any information or opinion

contained in a report made by such person under this article or

under article 52.

(4) Any person who fails to comply with subarticle (1) shall be

guilty of an offence.

(5) If it appears to the Authority that a retirement fund

director, retirement fund administrator or retirement scheme

administrator, or the asset manager, auditor or actuary of a scheme

or retirement fund has failed to comply with subarticle (1), the

Authority may by notice in writing, together with reasons for its

decision, disqualify him from being the director, retirement fund

administrator or retirement scheme administrator, or the asset

manager, auditor or actuary of the scheme or retirement fund

specified in the notice.

(6) A notice under subarticle (5) may specify the scheme or

retirement fund to which the failure relates, schemes or retirement

funds falling within any class or description of schemes or

retirement funds or all schemes or retirement funds.

(7) The Authority may, on the application of any person

disqualified under this article who satisfies the Authority that he

SPECIAL FUNDS (REGULATION)

will comply with those subarticles, by notice in writing revoke the

disqualification; such a revocation shall not be retrospective.

(8) A retirement fund director, retirement fund administrator

or retirement scheme administrator, or an asset manager, auditor or

actuary of a scheme or retirement fund who is disqualified under

this article shall, while he is so disqualified, cease to be the

r e t i r e m e n t f u n d d i r e c t o r, r e t i r e m e n t f u n d a d m i n i s t r a t o r o r

retirement scheme administrator, or the asset manager, auditor or

actuary of the scheme or the retirement fund specified in the notice

disqualification.

(9) A person who, while he is disqualified under this article,

purports to act as retirement fund director, retirement fund

administrator or retirement scheme administrator, or as the asset

manager, auditor or actuary of a scheme or retirement fund

specified in the notice of disqualification shall be guilty of an

offence.

31. (1) Every defined benefit retirement scheme which is an

occupational scheme, other than one falling within such class or

description as may be prescribed shall be subject to a requirement

(referred to in this Act as the ''technical funding requirement'') that

the value of the assets of the scheme shall not be -

(a) less than such amount; nor

(b) more than such amount,

as may be prescribed.

(2) The retirement scheme administrator shall obtain within

such period as may be prescribed an actuarial valuation from the

scheme’s actuary and afterwards obtain such a valuation at such

intervals as may be prescribed.

(3) The retirement scheme administrator shall on such

occasions or dates as may be prescribed or within such periods or

intervals as may be prescribed obtain a certificate prepared by the

scheme’s actuary -

(i)

stating whether or not in his opinion the

contributions payable towards the scheme are

adequate for the purpose of securing that the

technical funding requirement will continue to

be met throughout the prescribed period or, if it

appears to him that it is not met, whether or not

in his opinion it will be met by the end of that

period, and

(ii) indicating any relevant changes that have

occurred since the last actuarial valuation was

prepared.

(4) The retirement scheme administrator shall obtain an

actuarial valuation within the period stated in subarticle (2) in the

event that

(i)

the actuary states in the certificate referred to in

subarticle (3) that in his opinion the

contributions payable towards the retirement

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scheme are not adequate for the purpose of

securing that the technical funding requirement

will continue to be met throughout the

prescribed period or, if it appears to him that it is

not then met, or that in his opinion it will not be

met by the end of that period; or

(ii) in such circumstances as may be prescribed.

(5) Notwithstanding the provisions of subarticle (4) the

retirement scheme administrator shall not be required to obtain an

actuarial valuation if -

(a) in the opinion of the scheme actuary, the value of the

scheme assets is not less than the amount prescribed

for the purpose of subarticle (1)(a); and

(b) since the date on which the actuary signed the

certificate referred to in that subarticle, the schedule of

payments for the scheme has been revised in

accordance with article 33(3).

(6) If the retirement scheme administrator obtains a valuation

under subarticle (4), he shall do so -

(a) in the case of a valuation required by subparagraph (i)

thereof, within the period of six months reckoned from

the date of the actuarial certificate, and

(b) in any other case, within such period as may be

prescribed.

(7) A valuation or certificate shall be prepared in such manner,

give such information and contain such statements as may be

prescribed.

The retirement scheme administrator of every occupational

scheme, other than one falling within such class or description as

may be prescribed shall prepare, maintain and from time to time

revise a schedule (hereinafter and in article 31 referred to as a

schedule of payments), showing -

(a) the rates of contributions payable towards the scheme

by or on behalf of the employer and, where applicable,

by any other contributors of the scheme;

(b) the dates on or before which such contributions are to

be paid; and

(c) such other matter as may be prescribed.

(1) This article applies to every defined benefit retirement

scheme, which is an occupational scheme, other than one falling

within such class or description as may be prescribed.

(2) The schedule of payments shall be prepared before the end

of such period as may be prescribed reckoned from the date of the

first actuarial valuation for the scheme, and shall thereafter be

revised before the end of such period as may be prescribed

reckoned from the date of the signing of each subsequent actuarial

valuation.

(3)

Where from time to time, such revisions are agreed by the

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retirement scheme administrator and the employer, and where

applicable, any other contributor to the scheme, and any such

revision in the rates of contributions is certified by the actuary of

the scheme as meeting the requirements of this Act, or as may be

prescribed or in the circumstances referred to in subarticle (4)(b)

hereof, the schedule of payments may be revised.

(4) The matters contained in the schedule of payments as

revised shall be

(a) matters previously agreed between the retirement

scheme administrator and the employer, and where

applicable, any other contributor to the scheme, or

(b) where no such agreement has been reached

(i) the rates of contributions determined by the

retirement scheme administrator and the actuary

of the scheme and certified by the actuary of the

scheme, being such rates as in their opinion are

adequate for the purpose of securing that the

technical funding requirement will continue to

be met throughout the prescribed period or

where it appears to them that they are not then

met, such as are adequate for them to be met by

the end of that period; and

(ii) any other matters determined by the retirement

scheme administrator and the actuary of the

scheme.

(5) An agreement for the purposes of subarticle (4)(a) shall be

made during such period as may be prescribed beginning with the

signing of the last preceding actuarial valuation for the scheme.

(6)

The actuary shall not certify the schedule of payments -

(i)

where it appears to him that the technical

funding requirement is met, unless he is of the

opinion that the rates are adequate for the

purpose of securing that the requirement will

continue to be met throughout the prescribed

period, and

(ii) in any other case unless he is of the opinion that

the rates are adequate for the purpose of

securing that the requirement will be met by the

end of that period.

(7) The Authority may extend, or further extend the period

referred to in subarticle (2), and where it refuses to extend, or

further extend such period it shall give written notice of the refusal

together with a statement of reasons for the decisions.

(1) Except in such circumstances, as may be prescribed

the retirement scheme administrator and actuary of every

occupational scheme, other than one falling within such class or

description as may be prescribed, shall, where any amounts payable

by or on behalf of the contributor(s) of the scheme in accordance

with the schedule of payments have not been paid on or before the

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due date, give notice of that fact, within such period as may be

prescribed to the Authority and to the beneficiaries.

(2) (a) Where the retirement scheme administrator desires to

sue for the recovery of a debt due from a contributor in

respect of any contribution, he may make a declaration

on oath before the registrar of the courts, a judge or a

magistrate wherein he is to state the nature of the debt

and the name of the debtor and confirm that it is due.

(b) The declaration referred to in paragraph (a) shall be

served upon the contributor by means of a judicial act

and it shall have the same effect as a final judgement

of the competent court unless the contributor shall,

within a period of twenty days from service upon him

of the said declaration oppose the claim by filing an

application demanding that the court declare the claim

unfounded.

(c) The application filed in terms of paragraph (b) shall be

served upon the retirement scheme administrator who

shall be entitled to file a reply within the period of

twenty days. The court shall appoint the application

for hearing on a date after the lapse of that period.

(d) In the case of an urgent nature the court may, upon an

application of the retirement scheme administrator or

the contributor, shorten any time limits provided for in

this subarticle by means of a decree served on the

other parts.

(e) Any executive title obtained according to the previous

paragraphs of this subarticle in the absence of any

opposition on the part of the contributor shall be

rescinded if upon a request by sworn application to be

filed by the contributor within twenty days from the

first service upon him of an executive warrant based

on the said title or of any other judicial act wherein

reference is made to the said title the court is satisfied

that the contributor was unaware of the service of the

declaration referred to in paragraph (a) during the

period during which he could oppose the same and that

the claim contained in the said declaration is

unfounded on the merits.

(f) No opposition other than that specifically provided in

paragraph (e) shall stay the issue or execution of any

executive act obtained thereunder or the paying out of

the proceeds of any warrant or sale by auction carried

out in pursuance thereof.

(3) In the case of an occupational scheme, other than one

falling within such class or description as may be prescribed, any

amounts payable by the contributor in accordance with the payment

schedule shall be paid on or before the due date. Any contributor

who fails to effect such payment on or before the due date shall be

guilty of an offence.

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(4) Where in the case of a defined benefit retirement scheme,

which is an occupational scheme other than one falling within such

class or description as may be prescribed, it appears to the

retirement scheme administrator or the scheme actuary, at the end

of such period as may be prescribed that the technical funding

requirement is not met, such retirement scheme administrator or

such scheme actuary, as the case may be, shall give written notice

to the Authority of that fact together with such information as may

be prescribed relating to the failure to meet that requirement.

(1) This article applies to every defined benefit retirement

scheme, which is an occupational scheme, other than one falling

within such class or description as may be prescribed.

(2) Where an actuarial valuation shows that, on the effective

date of the valuation, the value of the scheme assets is less than the

amount prescribed for the purposes of article 31(1)(a) (the

difference shown in the valuation hereinafter referred to as ''the

shortfall''), the employer, shall -

(i)

by making an appropriate payment to the

retirement scheme administrator, or

(ii) by such other method as may be prescribed,

secure an increase in the value of the scheme assets which, taken

with any contributions paid, is not less than the shortfall.

(3)

The required increase in that value must be secured -

(a) before the end of such period as may be prescribed

reckoned from the date of the valuation, or

(b) if the actuarial valuation was obtained by reason of a

statement in a certificate as is referred to in article

31(3), before the end of a prescribed period reckoned

from the date of the certificate.

(4) Except in such circumstances as may be prescribed, if the

employer referred to in subarticle (2) fails to secure the required

increase in value before the end of the period applicable under

subarticle (3), the retirement scheme administrator shall within the

period of thirty days reckoned from the end of that period, give

written notice of that fact to the Authority and to the beneficiaries

of the scheme.

(5) Except in such circumstances as may be prescribed if the

employer referred to in subarticle (2) fails to secure the required

increase in value before the end of the period applicable under

subarticle (3), then so much of the shortfall as, at any subsequent

time, has not been met by an increase in value made under

subarticle (2) or otherwise by contributions made before the end of

that period, shall be recoverable by the retirement scheme

administrator and the provisions of article 34(2) shall mutatis

mutandis apply with regard to any such debt.

(6) The Authority may extend, or further extend the period

referred to in subarticle (3), and where it refuses to extend or

further extend the period it shall give written notice of the refusal

together with a statement of reasons for its decision.

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(1) This article applies to every defined benefit retirement

scheme, which is an occupational scheme, other than one falling

within such class or description as may be prescribed.

(2) Where an actuarial valuation shows that, on the effective

date of the valuation, the value of the scheme assets is more than

the amount prescribed for the purposes of article 31(1)(b) (the

difference shown in the valuation hereinafter referred to as ''the

excess''), the Authority may issue a directive to the employer and

the retirement scheme administrator, to take such steps by such

method as may be approved by the Authority to secure an

appropriate reduction in the value of the scheme assets.

(3) The required reduction in that value must be secured before

the end of such period as may specified in the directive.

(4) If the employer and retirement scheme administrator fail to

secure the required reduction in value before the end of the period

applicable under subarticle (3), the retirement scheme

administrator shall within the period of thirty days reckoned from

the end of that period, give written notice of that fact to the

Authority and to the beneficiaries of the scheme.

(5) The Authority may extend, or further extend the period

referred to in subarticle (3), and where it refuses to extend, or

further extend the period it shall give written notice of the refusal

together with a statement of reasons for the decision.

A scheme may invest in one or more retirement funds

which satisfy the requirements of this Act.

(1) A retirement fund or scheme shall comply with such

requirements as may be prescribed with regards to the investment,

management and valuation of its assets and the extent to which a

retirement fund may borrow money.

(2) A retirement fund or scheme shall comply with directives

made by the Authority for the purpose of ensuring that

(a) no part, or not more than a specified proportion, of the

Scheme's resources shall be invested in instruments or

immovable property of such class or description as

may be specified in the directive;

(b) the whole or specified proportion of instruments or

immovable property of any specified class or

description forming part of the scheme’s resources

shall be realized before the end of such period as

maybe specified in the directive;

(c) the allocation of the scheme’s assets among various

investments shall be diversified in such manner as may

be prescribed; and

(d) the retirement fund or scheme shall derive in each

fiscal year at least ninety per cent of its gross income

from dividends, rent or interest payments with respect

to Instruments or immovable property, or from gains

from the sale or other disposition of such instruments

SPECIAL FUNDS (REGULATION)

or immovable property, or from other income derived

with respect to its business of investing in such

Instruments or immovable property.

(3) Without prejudice to the generality of subarticle (1), a

retirement fund or scheme shall comply with such restrictions as

may be prescribed under this Act, with respect to the proportion of

its resources that may at any time be invested in, or in any

description of, contributor-related investments, as defined in

subarticle (4).

(4)

For purposes of this article -

(a) ''contributor-related investments'' means -

(i) saving any exemption under article 50(1), any

instrument issued by the contributor or an

affiliate of the contributor;

(ii) immovable property which is occupied or used

by, or held under any title whatsoever by the

contributor or an affiliate of the contributor;

(iii) loans to the contributor or to an affiliate of the

contributor;

(b) any sums due and payable by a person to a retirement

fund or scheme and remaining unpaid shall to the

extent that they are so unpaid be regarded for the

purposes of this article as a loan made to that person

by the retirement fund or scheme.

Retirement funds and schemes shall comply with such

requirements as may be prescribed with regard to the use of the

scheme’s money or other assets -

(a) to defray administrative expenses;

(b) to pay any commission; or

(c) in any other way which does not result in the provision

of retirement benefits for or in respect of beneficiaries.

(1) Subject to the following provisions, and to any

regulations or directives as made for the purpose of this article, a

defined benefit retirement scheme shall make a distribution to

beneficiaries in the amounts and at the times specified in the

applicable scheme document.

(2) To the extent as may be consistent with the applicable

scheme, a defined benefit retirement scheme may also satisfy its

liability to a beneficiary under such scheme if -

(a) it takes out an annuity contract or a policy of insurance

or a number of such contracts or policies, with an

insurance company carrying on long-term insurance

business and authorized for this purpose in accordance

with the Insurance Business Act (or, in the case of a

beneficiary resident outside Malta, with a bona fide

insurance company carrying on long-term insurance

business outside Malta); and

(b) it transfers the benefit of such a policy or policies or

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such a contract or contracts to such beneficiary

Provided that a policy of insurance or annuity contract

shall only be appropriate for the purposes of this article if -

(a) it may not be assigned or surrendered except on

conditions which satisfy such requirements as may be

prescribed;

(b) the amount secured by the policy may not be

commuted except on conditions which satisfy the

requirements of such scheme; and

(c) it satisfies such other requirements as may be

prescribed by any regulations or directives for the

purpose of this article.

A retirement fund or scheme shall comply with any

requirements as are established from time to time by the

Commissioner.

(1) The Authority may make directives relating to the

form and content of advertisements and such other promotional

activity as may be prescribed in connection with schemes or funds.

(2) All advertisements relating to a scheme or retirement fund

shall, unless otherwise prescribed, contain a statement that there

exists no statutory provision for compensation in the case where a

scheme or retirement fund is unable to satisfy the liabilities

attributable to it, and that the registration of the scheme or

retirement fund is not an endorsement by the Authority of the

scheme’s or retirement fund’s financial performance.

(1) A retirement fund shall, not later than three months

after the closing of its financial year, or at any other time as may be

prescribed, send a copy of the documents listed in subarticle (2) to

each of the following persons -

(a) each overseas retirement plan investing in such

retirement fund;

(b) each retirement scheme administrator of a scheme

investing in such retirement fund;

(c) the Authority and the Commissioner; and

(d) any other person as the Authority may prescribe.

(2) In relation to any retirement fund, the documents to which

subarticle (1) applies are -

(a) its audited accounts;

(b) its annual report, in accordance with the requirements

in the First Schedule; and

(c) a directors’ report providing such information as is

sufficient to enable the persons mentioned in

subarticle (1) to make an informed judgement on the

development management, operation and financial

performance of the retirement fund.

(3) In all other respects, the annual account and directors’

report of a retirement fund shall be prepared in accordance with the

SPECIAL FUNDS (REGULATION)

provisions applicable to companies generally to the extent that they

are not inconsistent with the provisions of the preceding subarticles

of this article and the First Schedule.

(4) The Authority may by directive specify additional

requirements with respect to keeping the persons mentioned in

subarticle (1), or any of them, informed of any changes with respect

to, or additions to the terms and provisions -

(a) of the retirement fund’s administration and finances;

(b) of the rights and obligations that arise or may arise in

respect of the retirement fund; and

(c) of any other matters that appear to the Authority to be

relevant to retirement funds in general or to retirement

funds of a description to which the retirement fund in

question belongs.

(5)

The directive may distinguish between -

(a) cases in which information is to be given as of course;

and

(b) cases in which information need only be given on

request or in such circumstances as may be prescribed.

(6) The Authority may by directive make provision as to the

form and content of any such document as is mentioned in this

article.

(1) The Authority may make directives requiring the

retirement scheme administrator to submit to the Authority and to

publish or make available to beneficiaries a document containing

information about the scheme and complying with such

requirements as may be prescribed.

(2) Directives may further require the retirement scheme

administrator to submit and publish or make available revised or

further scheme particulars if -

(a) there is significant change affecting any matter

contained in such particulars previously published or

made available as may be prescribed; or

(b) a significant new matter as may be prescribed arises.

(1) The retirement scheme administrator of an

occupational scheme, other than one falling within such class or

description as may be prescribed, shall produce a copy of the

annual accounts of the scheme to the Authority not later than three

months after the closing of its financial year, or at any other time as

may be prescribed.

(2) Such statements, reports, certificates and information as

may be required by regulations made under this Act, or required by

any other enactment to be annexed or attached to the annual

accounts for any purpose shall be produced to the Authority at the

same time as the annual accounts are submitted.

(3) The Authority may exempt in writing a scheme specified in

the exemption from any provision contained in regulations made

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under this Act relating to accounts.

(4) In this article, annual accounts means the scheme accounts

as prescribed under this Act.

(1) A scheme as written out in its scheme document shall,

when duly disclosed to a beneficiary, be binding on the beneficiary,

unless such beneficiary notifies the retirement scheme

administrator of his written opposition thereto within a period of

two months from the receipt by him of the scheme document.

(2) A beneficiary who is not himself also a contributor shall

cease to be a beneficiary under a scheme if he opposes a scheme

document which does not reduce the benefits due to him under the

scheme.

(1) A scheme which is not registered in accordance with

this Act shall be unenforceable against any contributor who is also

a beneficiary; and such contributor shall be entitled to recover any

money paid, or other property transferred by him under the scheme,

or where such property cannot be so recovered, such contributor

shall be entitled to have it replaced by its value at the time of the

agreement, together with compensation for any loss sustained by

him in consequence of such payment or transfer or the non-

recovery of the property transferred and any profits that may have

accrued as a result of that money or other property having been

transferred by him.

(2) The provision of subarticle (1) shall not affect any liability

which any person may incur apart from this article.

Regulations or directives may prescribe the circumstances

in which and the conditions subject to which -

(a) a beneficiary may transfer his accrued rights from one

scheme to another; and

(b) a scheme may transfer the liabilities attributable to it

to another scheme; and

(c) a scheme may provide for the payment of a retirement

benefit in the form of a lump sum instead of an

annuity; and

(d) a contributor may transfer, dispose of or charge his

interest in a scheme.

(1) The creditors of a contributor may not enforce their

rights over the contributor's interest in the scheme; nor may such

creditors attach or subject such interest to any precautionary or

executive warrant

Provided that nothing in this subarticle shall be deemed to

deprive any creditor of such contributor of any rights granted to a

creditor under article 1144 of the Civil Code.

(2) Except as may be prescribed under this Act, every

agreement that is made by a contributor to transfer, dispose of or

charge his interest in the scheme shall be void.

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PART III

GENERAL PROVISIONS

(1) The Minister, acting on the advice of the Authority,

may make regulations to give effect to the provisions of this Act,

and without prejudice to the generality of the foregoing may, by

such regulations, in particular, do any of the following;

(a) extend or restrict the definition of ''contributor'',

''beneficiary'', ''defined benefit retirement scheme'',

''defined

contribution

retirement

scheme'',

''instrument'', ''investment service'', ''occupational

scheme'', ''overseas retirement plan'', ''retirement

benefit'', ''retirement fund'' or ''scheme'', contained in

article 2 to such class of persons, schemes,

instruments, services, plans or benefits as the Minister

deems fit; and amend the Schedules to this Act;

(b) regulate retirement funds and retirement schemes, as

well as the services provided and activities carried on

in conjunction therewith or in relation thereto;

establish the qualifications and other eligibility criteria

necessary to act as Retirement Fund or Scheme

Custodian, provide for the payment of such fees and

other charges as may be prescribed, provide for the

powers of the Authority in their regard including the

imposition of administrative penalties and other

measures as well as appeals therefrom to the Financial

Services Tribunal, and provide for the issue of

Directives establishing other requirements regarding

their conduct and activities; and provide for any matter

he may deem expedient and may in particular grant

rights to the public in respect of such funds and

schemes and regulate the exercise thereof;

(c) establish or make arrangements for the compensation

of beneficiaries in cases where a retirement fund or

retirement scheme is unable to satisfy claims in respect

of any liability incurred by it in connection with a

retirement scheme;

(d) regulate the format, content or amendment of a scheme

document;

(e) prescribe the circumstances in which auditors or

actuaries shall be obliged to communicate information

to the Authority in accordance with article 29 and may

in particular increase the circumstances wherein

auditors or actuaries shall be obliged to report to the

Authority and prescribe the circumstances or classes

thereof wherein they shall be exempted from the

provisions of the said article 29; and prescribe rules

governing the disclosure by auditors or actuaries of

information, and establish supervisory and disciplinary

procedures for auditors or actuaries in respect of their

duties;

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(f)

exempt any person, scheme, retirement fund, or

advertisement from any one or more of the provisions

of this Act and on such conditions as may be

prescribed;

(g) regulate the provision by any one retirement fund of

separate investment portfolios, regulate the investment

in any one retirement fund of separate schemes,

providing for any matter he may deem expedient,

including the regulation of the contents of the

memorandum and articles of association of such

retirement funds, and for the segregation of the assets

of any one scheme from that of another, the regulation

of the manner and the form whereby such retirement

fund may create and issue shares, and the provision of

any matter consequential, incidental to or connected

therewith;

(h) require the keeping and maintenance of records with

respect to the transactions and financial position of an

overseas retirement plan, a scheme or a retirement

fund, and for the keeping of records in Malta and for

the inspection of such records;

(i) require the preparation and presentation of periodical

or other reports by an overseas retirement plan, a

scheme or a retirement fund, to the Authority and to

any other person as the said Minister may prescribe;

(j) require an overseas retirement plan, a scheme or a

retirement fund -

(i) to obtain at prescribed times or on the happening

of prescribed events such information and

documents as may be prescribed;

(ii) to furnish that information and copies of those

documents to the Authority and, or, such persons

as may be prescribed in the form, manner and at

the time prescribed;

(k) restrict or otherwise regulate the manner in which a

defined benefit retirement scheme deals with surplus

funds;

(l) provide for the content, format and audit of the annual

accounts of an overseas retirement plan, a scheme or a

retirement fund;

(m) regulate the payment (including the time thereof),

nature and amount of benefits which may or may not

be paid to beneficiaries;

(n) regulate the manner by which the amount or value of

the assets or liabilities of a scheme shall be

determined, calculated and, or, verified, and determine

the assets and liabilities that are to be taken into

account for such purpose;

(o) prescribe anything that is to be or which may be

prescribed; and

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(p) provide for any matter incidental to or connected

thereto.

(2) Any regulations made under this article may also contain

provision for enabling a beneficiary, contributor, and generally any

person who has entered, or offered to enter, into a scheme, to

rescind the agreement or withdraw the offer within such period and

in such manner as may be prescribed, and in particular, but without

prejudice to the generality of the foregoing, may make provision -

(a) requiring the service of notice with respect to the

rights exercisable under such regulations;

(b) for the restitution of property and the making or

recovery of payments where those rights are exercised;

or

(c) for such other matters as are incidental to or connected

with any of the above.

(3) Any regulations made under this article, may be made

subject to such exemptions or conditions as may be specified

t h e r e i n , m a y m a k e d i ff e r e n t p r o v i s i o n f o r d i ff e r e n t c a s e s ,

circumstances or purposes and may give to the Authority such

powers of adaptation of the regulations as may be therein specified.

(4) Regulations made under this article may provide that any

contravention or failure of compliance therewith shall constitute an

offence and that any person guilty of such an offence shall be liable

on conviction to such penalty as may be prescribed being a penalty

not exceeding a fine (multa) of ninety-three thousand and one

hundred and seventy-four euro and ninety-four cents (93,174.94) or

imprisonment for a term not exceeding one year, or both such fine

and imprisonment.

(1) The administration of this Act shall be vested in the

Authority. The Authority shall perform such other functions as the

Minister may consider appropriate in relation to the operation of

this Act.

(2) The Authority shall have the power to carry out the

functions assigned to it by or under this Act and to ensure that the

provision of retirement schemes and retirement funds complies

with this Act and with any regulations made thereunder, with any

directive made by the Authority in virtue of this Act, and with the

conditions specified in any registration of a scheme.

(3) The Authority may make, amend or revoke directives as

may be required for carrying into effect any of the provisions of

this Act and of any regulations made thereunder. Such directives,

amendment and revocations may relate to a particular class of

persons or situations or to persons and situations generally.

(4) All directives and any amendment or revocation thereof

shall be officially communicated to the persons concerned and be

open to public inspection in all the offices of the Authority at all

times during the normal working hours of the Authority.

(5) The Authority shall enjoy the powers assigned to the

competent authority in terms of articles 15 and 16 of the Investment

SPECIAL FUNDS (REGULATION)

Services Act mutatis mutandis.

(6) The Authority may exercise the following powers at the

request of or for the purposes of assisting an overseas regulatory

(a) the power to impose, revoke or vary conditions on the

registration of a scheme or a retirement fund made

pursuant to the provisions of articles 7(3) and 8(3);

(b) the power to cancel or suspend a registration under

articles 11 and 12;

(c) the powers of inquiry under article 52;

(d) the power to appoint inspectors under article 53;

(e) the powers of intervention under subarticle (5) of this

article;

(f) the powers of entry under subarticle (5) of this article;

(g) the power to communicate to the overseas regulatory

authority information which is in the possession of the

Authority, whether or not as a result of the exercise of

any of the above powers.

(7) The Authority shall exercise powers by virtue of this

(a) where the assistance is requested by the overseas

regulatory authority for the purpose of the exercise of

one or more of its regulatory functions; or

(b) where so required within the terms of Malta’s

international commitments; or

(c) where so required within the terms of undertakings

assumed in bilateral or multilateral agreements for the

exchange of information and other forms of

collaboration with overseas regulatory authorities

including a request arising under a memorandum of

understanding concluded with the Authority.

(1) The Authority may, by notice in writing, require -

(i)

any

contributor,

retirement

scheme

administrator, retirement fund administrator or

asset manager who is or was providing, or who

appears to be or to have been providing, a

retirement scheme, overseas retirement plan or a

retirement fund, or who appears to be or have

been carrying on activities in connection with a

retirement scheme, overseas retirement plan or a

retirement fund; or

(ii) any

contributor,

retirement

scheme

administrator, retirement fund administrator, or

asset manager who has issued, or appears to

have issued an advertisement falling within the

provisions of article 42; or

(iii) any other contributor, retirement scheme

administrator, retirement fund administrator, or

SPECIAL FUNDS (REGULATION)

asset manager who appears to be in possession

of relevant information,

to do all or any of the following

(a) to furnish to the Authority, at such time and place and

in such form as it may specify, such information and

documentation as it may require with respect to any

such retirement scheme or advertisement;

(b) to furnish to the Authority any information or

documentation authenticated in such manner as it may

specify; or

(c) to attend before the Authority, or before a person

appointed by it, at such time and place as it may

specify, to answer questions and provide information

and documentation with respect to any such service,

scheme or advertisement.

(2) The Authority may take and retain copies of any

documents furnished or provided under this article.

(3) Where the Authority has appointed a person under

subarticle (1)(c), such person shall, for the purposes of carrying out

his functions under his appointment, have all the powers conferred

on the Authority by this article and a requirement made by him

shall be deemed to be and have the same force and effect as a

requirement by the Authority.

(1) The Authority may, whenever it deems it necessary or

expedient, appoint an inspector or inspectors to investigate and

report on the affairs of any person, scheme, overseas retirement

plan or retirement fund referred to in article 52(1)(i) to (iii).

(2)

An inspector appointed under subarticle (1) -

(a) may also, if he thinks it necessary or expedient for the

purposes of that investigation, investigate the affairs of

any person, scheme, overseas retirement plan or

retirement fund mentioned in subarticle (1);

(b) shall have and may exercise all the powers conferred

on the Authority by article 51, and any requirement

made by him shall be deemed to be and have the same

force and effect as a requirement by the Authority; and

(c) may, and if so directed by the Authority shall, make

interim reports and on the conclusion of his

investigation shall make a final report to the Authority.

(3) The Authority shall have power to order that all expenses

of, and incidental to, an investigation pursuant to this article be

paid by the person, scheme or retirement fund concerned.

(1) Subject to the provisions of this article, an appeal shall

lie to the Tribunal established in article 21 of the Malta Financial

Services Authority Act with respect to

(a) any determination in accordance with article 3(5);

(b) any refusal, variation, cancellation or suspension of a

SPECIAL FUNDS (REGULATION)

registration under article 7, 8, 11 or 12;

(c) any decision under article 13(3), and any directive

given under article 51(6)(e);

(d) any decision to make a public statement, under the

provisions of article 59, as to a person’s misconduct;

or

(e) any administrative penalty in respect of infringements

as may be prescribed under article 7, 8, 17 and 24.

(2) An appeal under this article shall lie only on any of the

following grounds

(a) that the Authority has wrongly applied any of the

provisions of this Act; or

(b) that the decision or Directive of the Authority

constitutes an abuse of discretion and is manifestly

unfair, but the discretion of the Authority may not, so

long as it has been exercised properly, be queried by

the Tribunal.

(3) An appeal made under this article shall not suspend the

operation of any decision or directive from which the appeal is

made

Provided that a decision to cancel a registration shall not

become operative until the expiration of the period within which an

appeal lies under this article and, if an appeal is made within such

period, the decision shall become operative on the date of the

decision of the Tribunal dismissing the appeal or the date on which

the appeal is abandoned

Provided further that a decision to issue a statement as to a

person's misconduct shall not be published until expiration of the

period within which an appeal lies under this article and, if an

appeal is made within such period, the statement shall not be

published before the date of the decision of the Tribunal dismissing

the appeal or the date on which the appeal is abandoned.

(4) The provisions of article 21 of the Malta Financial Services

Authority Act shall, except in so far as any of them is incompatible

with the provisions of this article, apply to appeals made to the

Tribunal under this Act.

(1) If, on an application by the Authority made to the Civil

Court, First Hall, the court is satisfied -

(a) that there is reasonable likelihood that a person will

contravene any of the provisions of this Act or any

regulations or directives made thereunder, or will

contravene or fail to comply with any condition,

obligation, requirement, regulation, directive, or order

made or given under any of the provisions of this Act;

or

(b) that a person has contravened any such provision or

has contravened or failed to comply with any such

condition,

obligation,

requirement,

regulation,

SPECIAL FUNDS (REGULATION)

directive, or order and that steps could be taken to

remedy the contravention or failure,

the court may give such orders as it may deem appropriate to

restrain the contravention or, as the case may be, to require the

person referred to in paragraph (a) or (b), or any other person who

appears to the court to have been knowingly concerned in the

contravention, to take such steps as the court may direct.

(2) If, on an application made under subarticle (1), the court is

satisfied that a person has entered into any transaction in

contravention of any of the provisions of this Act, the court may

order that person and any other person who appears to the court to

have been knowingly concerned in the contravention to take such

steps as the court may direct for restoring the parties to the position

in which they were before the transaction was entered into.

(3) If, on application made under subarticle (1), the court is

further satisfied that -

(a) profits have accrued to any person as a result of the

contravention; or

(b) a shareholder, contributor or a beneficiary has suffered

loss or been otherwise adversely affected as a result of

that contravention,

the court may order the person responsible for the contravention to

pay into court such sum as appears to it to be just having regard to

the extent of the profit, loss or adverse effect as aforesaid, and

order such sum to be paid out as the court may direct to the persons

who have entered into transactions as a result of which profits have

accrued or l osses or adverse effects have been suffered as

aforesaid.

(4) For the purposes of this article the court may order the

production by any person of such accounts and the provision of

such information, and authenticated in such manner, as the court

may deem appropriate.

(5) The provisions of this article shall be without prejudice to

any right of any aggrieved person to bring proceedings directly in

respect of any right such person may otherwise have independently

of the Authority.

(6) (a) The Board established under article 29 of the Code of

Organization and Civil Procedure may make rules

concerning proceedings before the Civil Court, First

Hall, under this article.

(b) The Minister responsible for justice may by

regulations under this paragraph establish the fees

payable in the registry of the Court relative to the

filing of judicial acts in connection with proceedings

under this article

Provided that until such fees are so established, the

fees contained in Schedule A to the Code of

Organization and Civil Procedure shall apply.

SPECIAL FUNDS (REGULATION)

(1) Any person who contravenes or fails to comply with

any of the provisions of this Act, or contravenes or fails to comply

with any condition, obligation, requirement, regulation, directive or

order made or given under any of the provisions of this Act, shall

be guilty of an offence.

(2) Any person who for the purposes of, or pursuant to, any of

the provisions of this Act or of any regulations made thereunder, or

any condition, obligation, requirement or order made or given as

aforesaid, furnishes information or makes a statement which he

knows to be inaccurate, false or misleading in any material respect,

or recklessly furnishes information or makes a statement which is

inaccurate, false or misleading in any material respect, shall be

guilty of an offence.

(3) Any person who is knowingly a party to the carrying on of

any retirement fund or scheme with an intent to defraud, shall be

guilty of an offence.

(4) Any person who 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 fund or scheme, shall be guilty of an offence.

(5) Any person who with intent to avoid detection of the

commission of an offence under this Act removes, destroys,

conceals or fraudulently alters any book, document or other paper,

shall be guilty of an offence.

(6) Any person who intentionally obstructs a person exercising

rights conferred by this Act shall be guilty of an offence.

A person guilty of an offence under the provisions of

article 56 shall unless another penalty is prescribed be liable on

conviction to a fine (multa) not exceeding four hundred and sixty-

five thousand and eight hundred and seventy-four euro and sixty-

e i g h t c e n t s ( 4 6 5 , 8 7 4 . 6 8 ) or t o a t e r m o f i m p r i s o n m e n t n o t

exceeding four years, or to both such fine and imprisonment.

(1) No proceedings for an offence under this Act shall be

commenced without the consent of the Attorney General.

(2) The provisions of this Act shall not affect any criminal

liability that may be incurred by any person under any other law.

(1) If it appears to the Authority that a person who is or

was providing or who appears to be or to have been providing, a

retirement scheme has contravened any of the provisions of this

Act or of any regulations made thereunder or has contravened or

failed to comply with any condition, obligation, requirement,

directive or order made or given under any of the provisions of this

Act, the Authority may publish a statement to that effect.

(2) Before publishing a statement under subarticle (1), the

Authority shall give the person concerned written notice of the

proposed statement and of the reasons for which it is proposed to

SPECIAL FUNDS (REGULATION)

publish the statement.

(3) Where the reasons stated in the notice relate specifically to

matters which -

(a) refer to a person identified in the notice other than the

person who is the subject of the notice; and

(b) are in the opinion of the Authority prejudicial to that

person in any office or employment,

the Authority shall, unless it considers it impracticable to do so,

serve a copy of the notice also on that other person.

(4) A notice served on a person pursuant to the provisions of

this article shall give particulars of the person’s right of appeal

under article 54 and of the provisions of subsection (5).

(5) Subject to the provisions of article 54(4), upon the

expiration of one month from the date of service of the notice under

subarticle (2), or a copy of the notice under subarticle (3) of this

article, whichever was the later, the Authority may publish the

proposed statement and, after publication, shall send a copy to that

person and to any person on whom a copy of the notice was served

under subarticle (3) of this article.

(1) Subject to the provisions of subarticle (2), information

obtained by any person for the purposes of, or pursuant to, any of

the provisions of this Act, or of any regulations or directives

promulgated 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, and shall not be

disclosed to any person other than to a person who may lawfully

obtain that information for the purposes of, or pursuant to, the

provisions of this Act, except in the case of the consent of the

person from whom it obtained the information, provided the

information relates solely to that person.

(2) The provisions of subarticle (1) shall not preclude the

disclosure of information -

(a) with a view to the institution of, or otherwise for the

purposes of, criminal proceedings or of any

proceedings by the Authority before any court under

this Act;

(b) with a view to enabling or assisting the Authority in

the performance or discharge of any of its functions

under this Act;

(c) which has been made available to the public by virtue

of being disclosed in any circumstances in which, or

for any purpose for which, disclosure is not precluded

by this article;

(d) in a summary or collection of information formed in

such a way as not to enable the identity of any person

to whom the information relates to be ascertained;

(e) to an auditor or actuary where such disclosure would

assist the auditor or actuary in the exercise of its

SPECIAL FUNDS (REGULATION)

functions under article 29;

(f)

to the Central Bank of Malta or to the listing authority

under the Financial Markets Act, where such

information is required by the Bank or the listing

authority in the exercise of their respective functions

in terms of law;

(g) in response to a request from, or for the purpose of

assisting an overseas regulatory authority pursuant to

article 51;

(h) to such other local or overseas regulatory, judicial or

enforcement authorities where such disclosure is

required or requested for the pursuance of serious

regulatory concerns or the detection, prevention or

prosecution of criminal offences;

(i) in civil or commercial proceedings in relation to the

bankruptcy or compulsory winding up of a scheme or

retirement fund provided such information does not

concern third parties involved in attempts to rescue

such a scheme or retirement fund, and to such overseas

bodies responsible for the liquidation of bankruptcy of

a person holding a licence or an equivalent

authorisation from an overseas regulatory authority or

for other similar procedures.

The Authority and any officer or employee of the

Authority, and any other person appointed to perform a function

u n d e r t h i s A c t , o r u n d e r a n y r e g u l a t i o n a n d , o r, d i r e c t i v e

promulgated thereunder, or under an order made or given under any

of the provisions of this Act, shall not be liable in damages for

anything done or omitted to be done in the discharge or purported

discharge of any functions under this Act, or any regulation and, or

directive thereunder, unless the act or omission is shown to have

been done or omitted to be done in bad faith.

A notice or other document to be given or served under this

Act, or any regulations or directives made thereunder, shall be

deemed to have been duly given or served on a person if -

(a) it has been delivered to it; or

(b) it has been left at the address furnished by it to the

Authority, or to its last known address; or

(c) it has been sent to it by post, e-mail or by telefax at

any of the aforesaid addresses; or

(d) in the case of a body of persons, whether corporate or

unincorporated, or of a scheme or a retirement fund, if

it has been given or served in any of the manners

aforesaid to or on a scheme or retirement fund

administrator, secretary, clerk, manager, trustee or

their equivalent, or to any contributor or to any

director or member of the governing body or an

appointed representative.

SPECIAL FUNDS (REGULATION)

The Exchange Control Act shall not apply to transactions

carried out by a scheme or retirement fund with persons or entities

not resident in Malta for the purposes of the said Act.

The Minister, acting on the advice of the Authority, may by

regulations, make transitional provisions in respect of such persons

who, on the effective date of this Act, were providing a scheme or a

retirement fund, or in respect of companies which in accordance

with this Act are to be converted into retirement funds, and,

without prejudice to the generality of the foregoing, may, by such

regulations, in particular -

(a) prescribe a period within which such persons shall

apply for a registration under this Act; and

(b) allow such person to continue carrying on the

activities of a scheme or a retirement fund including

the issue or creation of units, to the extent of the

activities then carried on until such time as the scheme

or retirement fund is registered or the registration is

refused or until the expiry of the deadline provided in

such regulations, which is the shorter period, and on

condition that such person has applied for a

registration in accordance with the provisions of this

Act within the period referred to in paragraph (a).

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