Administrative Penalties, Measures and Investigatory Powers)

Suppliment tal-Gazzetta tal-Gvern ta’ Malta Nru. 20,855, 10 ta’ Mejju, 2022 B 745

L.N. 135 of 2022

INVESTMENT SERVICES ACT

(CAP. 370)

BANKING ACT

(CAP. 371)

Investment Services Act and Banking Act (MiFID and MiFIR

Administrative Penalties, Measures and Investigatory Powers)

(Amendment) Regulations, 2022

IN EXERCISE of the powers conferred by article 12 of the

Investment Services Act and article 3(1) of the Banking Act, the

Minister responsible for the regulation of Financial Services, acting on

the advice of the Malta Financial Services Authority, has made the

following regulations

(1) The title of these regulations is the Investment Citation and

Services Act and Banking Act (MiFID and MiFIR Administrative scope.

Penalties, Measures and Investigatory Powers) (Amendment) S.L.

Regulations, 2022, and these regulations shall be read and construed as

one with the Investment Services Act and Banking Act (MiFID and

MiFIR Administrative Penalties, Measures and Investigatory Powers)

Regulations, hereinafter referred to as "the principal regulations".

(2)

The scope of these regulations is to

(a) transpose sub-article 5 of Article 1 of Directive (EU)

2019/2177 of the European Parliament and of the Council of 18

December 2019 amending Directive 2009/138/EC on the taking-

up and pursuit of the business of Insurance and Reinsurance

(Solvency II), Directive 2014/65/EU on markets in financial

instruments and Directive (EU) 2015/849 on the prevention of

the use of the financial system for the purposes of money-

laundering or terrorist financing; and

(b) implement in part Article 4(2) of Regulation (EU)

2019/2175 of the European Parliament and of the Council of 18

December 2019 amending Regulation (EU) No 1093/2010

establishing a European Supervisory Authority (European

Banking Authority), Regulation (EU) No 1094/2010 establishing

a European Supervisory Authority (European Insurance and

Occupational Pensions Authority), Regulation (EU) No 1095/

2010 establishing a European Supervisory Authority (European

Securities and Markets Authority), Regulation (EU) No 600/

2014 on markets in financial instruments, Regulation (EU) 2016/

1011 on indices used as benchmarks in financial instruments and

financial contracts or to measure the performance of investment

funds, and Regulation (EU) 2015/847 on information

accompanying transfers of funds.

Sub-regulation (1) of regulation 2 of the principal

regulations shall be amended as follows

(a) the definition " "APA" or "approved publication

arrangement" " shall be substituted by the following

" "approved publication arrangement" or "APA"

means a person authorised under MiFIR to provide the

service of publishing trade reports on behalf of investment

firms pursuant to Articles 20 and 21 of MiFIR;";

(b) the definition " "ARM" or "approved reporting

mechanism" " shall be substituted by the following

""approved reporting mechanism" or "ARM" means a

person authorised under MiFIR to provide the service of

reporting details of transactions to competent authorities or

to ESMA on behalf of investment firms;";

(c) the definition " "CTP" or "consolidated tape

provider" "shall be substituted by the following

""consolidated tape provider" or "CTP" means a

person authorised under MiFIR to provide the service of

collecting trade reports for financial instruments listed in

Articles 6, 7, 10, 12, 13, 20 and 21 of MiFIR from

regulated markets, MTFs, OTFs and APAs and

consolidating them into a continuous electronic live data

stream providing price and volume data per financial

instrument;";

Sub-regulation (1) of regulation 5 of the principal

regulations shall be amended as follows

(a)

paragraph (c) thereof shall be substituted as follows

" (c) in the case of a Maltese investment firm

authorized in Malta, withdrawal or suspension of the

relative licence or authorisation in accordance with the

provisions of the Investment Services Act and the

regulations issued thereunder;

(b)

immediately after paragraph (g) thereof, there shall

be added the following new paragraph

"(h) in the case of an APA or ARM which has a

derogation in accordance with Article 2(3) of MiFIR,

withdrawal and suspension of the authorisation in

accordance with Article 27e of MiFIR.".

Regulation 7 of the principal regulations shall be amended Amends

regulation 7 of

the principal

regulations.

(a) in paragraph (j) of sub-regulation (1) thereof, for the

words "2017;" there shall be substituted the words "2017; and",

and paragraph (k) thereof shall be deleted;

(b)

sub-regulation (2) thereof shall be amended as

(i) paragraph (z) thereof, shall be substituted by

the following

"(z) the provisions of Article 36(1) to (3) on

non-discriminatory access to a trading venue;";

(ii)

paragraph (aa) thereof shall be substituted as

follows

" (aa) the provisions of Article 37(1) and (3)

on non-discriminatory access to and obligation to

licence benchmarks; and";

(iii) immediately after paragraph (aa) of sub-

regulation (2) thereof, as amended, there shall be added the

following new paragraph

" (ab) the provisions of Article 27f(1), (2) and

(3), Article 27g(1) to (5) and Article 27i(1) to (4),

where an APA or ARM has a derogation in

accordance with Article 2(3).";

(c) paragraph (f) of sub-regulation (4) thereof shall be

deleted; and

(d)

sub-regulation (5) thereof shall be amended as

(i) in paragraph (a) thereof, for the words "to the

public; and", there shall be substituted the words "to the

public;";

(ii) in paragraph (b) thereof, for the words "of the

transaction", there shall be substituted the words "of the

transaction; and" and immediately thereafter, there shall be

added the following new paragraph

"(c) the provisions of Article 27b of MiFIR on

the requirements for authorisation to operate an APA

or ARM, where an APA or ARM has a derogation in

accordance with Article 2(3) of MiFIR.".

€0.18