184 tal-1990

,,,,-G.'<!rrI fU ' ,u"lfII, NfU, IJ.J55, /J Ill ' Nm'l'",b"" 1990

S"f'f, fimtflf fUl-Gu::::l'lI<I

of 1990

I~

I.. N,

MALTA INTERNATIONAl. BUSINF.5S ACTlVITIF.5 ACT. 1988

(A(.T NO, XXX IV 0 . ' 1988)

"'!MIIII Intemlltional BusineM Adi,'lIies (Control of Offshore

Sanklng UUSiMSS) Rf'lullllions. 1'.1'90

IN elercise of the poweT$ conferred by $Cction 52 of the Malla

Inte rnational Business Activities Ad , 1988, the Minister for the

Development of Te rtiary Sector_on the ado-ice of the Malta

Inte rnationa l Busi nt$S Autho rity_ has made the following

regulations:-

I. 111e$C regulat io ns may be cited as the Malta Inte rn atio nal Ci''''''',

Business Activities (Control of Offshore Banki ng BusinC5!')

Regulations. 1990.

In the$C regul ations. unll'ss the contclt otherwise requires.

words and elpressions used have the same mean ing as is assigned to

them in the Malla ln terna tionnl Business Activities Act. 1988 . ... '" XXX IV

.,~

he reinafte r referred to as "the Act".

J. Notwithstanding any provision of the Act , the Authority may I "f"""""",,

.

pass informati on relatin g to tile affairs of a ba nking offshore company to 'o~ ..

a supervisory authori ty in a coun try or territory outside Malta for the .ulhorit

purpose of enabling o r assisting it to Cl CTCise functio ns corrcsponding to

III0se uf the Amhorit y und er the Act

Provided tha t no such infonnation sllall be passed -

(a) Olher than tha t which. in the opinion of tile Authurity, it

is nccessa r~ for the recipielll au thority to be aware of in o rde r to

e nable it to propc rl~ discharge its fu nctions;

(b) if it e nab les th e recipient aut hurity tu ide ntif~ a depositor

or OIlier customer or client;

(c) unl ess Ihe recipie nt aut hority i, bou nd by its ow n rule, uf

confidentialit~ nO! to disclose Ihe infurmation to any OIlier person

or au t hori t~. or utllerwise gives a prior written undertaking \0 the

AUlhurit~ that the infurmatiun is tu be used for supcrvisor~

purpos.:s on l~ and that it will not be passed to any other person or

aut hority;

(d) elcept in pursuan ce uf a form al decision of the ElecUlive

Committee of the Authurity gi~en on the fili ng of an application b~

\Ilc recipicnt aut hority_

S«tions 37 a nd 38 of the Ce ntral Ban k of Mall a Act shall nOI

apply to a banking offsho re com pany .

Sections 10. 14 and 19 of Ihe Banki ng Act shall nOI apply to a

banki ngofbhore company. and the exemptions from sections 12 and 13

of that Act given to a banking orfshore oversea company and to a

banking offshore sub$idiary company are extended to include any

ban king offshore company .

(I)

Every banking offshore compa ny shall submit to the

Authority -

(a) not late r than one month after the last day of each

calendar quaMer (hereinafter referred toas ··the reportingdate~) a

state ment in a form acceptable to the Authority giving. as at the

close of business on the reporting dale , details of

(i) asselS and liabilities;

(ii) liquidity. including the ma turity of assets and

liabilities;

profit and loss account;

(Hi)

(iv) large exposures (includi ng sccloral and country

exposures); and

(v) bad a nd doubtful debts and provisions or reserves

made for such debts

(b) not later than 28th February in each year, in a fonn

acceptable to the Authority. an ana lysis of ilS assets and liabili ties

at the previous 31st December

(a)

by country ;

(b)

by currency;

(c) soch other returns or stateme nts as and when the

Authorit y may require toenable it toca rryOUI its obligations under

seetion 4( 1) of the Act;

(d) on request and within such reasonable period as Ihe

Authority may specify. such infonnation as the Authorit y mBy

rC<juire for the proper undcrstandi ngof the returns andstatemenlS

submitted under this regulation.

(2) The Au thority may pre pare and publish consolidated

sta\e~le nts

from the infonnation furnished under this regulation

prOVIded, however, Ihat such publicatio n does nOI resu l! in any person

being able to identify or calculate information relati ng to the financial

position of an individual bank .

(3) The Authority sha ll inform the Minister and the Minister

responsible for finance if. al any time. in its opinion . there is need for th e

e~aminat io n of the affairs of any bank and may in support ofihopinion .

convey to those Ministers such in formation as it possesses concerning

the state of affai rs of that bank.

(4) The Authority may require return s submined in

accordance with Ih is regulation 10 be reported on by a firm of auditors

acceptable to th e Authority.

(5) The Authority may waive the requi remen t for a return

and may ex tend the period in which a return has to be submitted.

(I )

Every banking offshore company shall-

(a) not later than four mont hs from the end of its financial

year. forward to the Minister responsibl e for finance and to the

Authority a copy of its audi ted accounts for that financial year

made out in a form acceptable to the Authority and . in the case ofa

bank in g offshore oversea company. such acco unts shall be

accompanied by a copy o f an audited balance sheet and profit and

1()l;S account. in a form acceptable to the Authority. re lating toits

business in f>blta: and

(b) during normal business hours, make available for

inspectio n by any person on demand a copy of ils lat est audited

accounts and. in the case o f an offshore Q\<ersea company, audited

balance sheet and profit and loss account relating to its busilless in

Mal ta .

(2) Any such audited account s and. in the case: of a banking

offshore oversea company. audited balance shee t and profit and 1()l;S

account . shall include the Auditors' TCport .

(3) The Authori ty may extend the period allowed for the

submission of accoun ts under this regulation . and may approve such

alternative arrangemen ts to the foregoing provisions of this regulation,

as it thinks reasonable and in such manner as not to materially detract

from the ma in objects o f this regulation .

The Banking Act and any subsidia ry legislation made AppI;';',jonof

thereund er shall apply to banking offshore com panies as they were in ~_ lIS on<l of

force on the 30th June, 1989, and any amendme nts to the said Act or lot" , .........

subsidiary legislation , and any subsidiary legisla tion the re under, made Ih<n""ojn '"

after the aforesaid date , shall apply only if. and 10 the extent, that may _hpabcs.

be expressly provided therein ,

,), Sections 5(3). 15(4). l6( I), 17 and 18 of Ihe Banking Ael shall

apply in the case of a banking offshore com pany as if rcferel\CC to the

Central Bank we re substi t u ' ~d by reference to the Authority.

mod.""'"," ...... ,.' 1·lnt",manjoni ,. ... iljo

f'ubiWo.d 6, "" o.,-~' '" I~

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