New regulations issued by the Minister of Finance lay down penalties for criminal offences and administrative defaults. In exercise of his powers under section 35 of the Banking Act 1994, the Minister of Finance has issued regulations laying down the penalties for criminal offences and administrative defaults in violation of the provisions of the Act. These regulations, designated the Penalties for Offences Regulations, 1999, were published in the Official Gazette as Legal Notice 155 some weeks ago. ; peer-reviewed
The indication of the price of a product offered for sale to a consumer either inside a shop or in a shop window is a basic right that every consumer may reasonably expect. Being properly informed of the price beforehand, consumers may avoid nasty surprises and potentially embarrassing situations as well as some mistaken purchasing decisions. The provision of clear and relevant information is one of the most common and effective techniques in consumer protection legislation. The same reasoning lies at the heart of several European Union measures in favour of consumers. ; peer-reviewed
Two individuals formed a company. Both held half the share capital and served as the company's only two directors. The Plaintiff was one of these shareholder-directors, and he submitted an application to the court requesting it to make such orders as it may think fit in terms of section 402 of the Companies Act 1995. Briefly, this section seeks to provide a remedy to a shareholder who complains that the affairs of a company are being conducted in a manner that was 'oppressive, unfairly discriminatory against, or unfairly prejudicial to a member or members'. ; peer-reviewed
New regulations issued by the Minister of Finance lay down penalties for criminal offences and administrative defaults. In exercise of his powers under section 35 of the Banking Act 1994, the Minister of Finance has issued regulations laying down the penalties for criminal offences and administrative defaults in violation of the provisions of the Act. These regulations, designated the Penalties for Offences Regulations, 1999, were published in the Official Gazette as Legal Notice 155 some weeks ago. ; peer-reviewed
1999 marked the tenth anniversary of the coming into force of what was originally called the Malta International Business Activities Act, which had been passed in 1988 but came into force the following year. The Act had a difficult passage through Parliament, with some serious disagreement and harsh words being exchanged between the two sides in Parliament. The parliamentary debates of the period reveal that while government spokesmen were happy promoting the offshore concept for its potential to open up new business and employment opportunities, opposition representatives expressed fear that the island would gradually sink into a banana republic, a haven for criminals and money-launderers. It was certainly not an auspicious start. ; peer-reviewed
The Co-operative Societies Act 1978 was brought into force twenty years ago, on the 16 m April 1979. This Act incorporates most of the rules that regulate co-operatives in Malta and it replaced an earlier law, the Co-operative Societies Ordinance 1946, which had been adopted on the 8th July 1946. There are today about forty-two active co-operatives in operation. The 1978 Act was passed by Parliament after a rather lengthy debate, which reflected both the importance given to the subject and the length o.f the Act itself. The Act consists of 117 sections and two schedules. It is a very interesting piece of legislation which has not, in my view, received sufficient credit and analysis. Things are however on the move, and under the title "Co-operatives law to be changed to promote expansion", The Times of 17th February 1999 reported that "The government plans to amend the law regulating co-operatives in the coming months, social Policy Minister Lawrence Gonzi said yesterday". A week later, an editorial in the same newspaper reported rather cheerfully that "Few things could ring more pleasantly upon the ear than the news that in the coming months the government plans to amend the law regulating co-operatives in order to encourage the formation of new ones. " ; peer-reviewed
In June 1999, the Malta Stock Exchange Tribunal, created by Part III of the Malta Stock Exchange Act of 1990, was finally set up. This Tribunal consists of a Chairman, who must have a legal qualification, and two other members. It has been appointed for a period of three years. This has marked the first time that the Tribunal has been constituted; no cases had been submitted to it since the coming into force of the Act. ; peer-reviewed
This case is one of the very first cases to deal with the new remedy introduced by s 402 of the Companies Act 1995. This provision authorises the Court to intervene in a number of ways - where it considers it just and equitable to do so - in order to protect shareholders against acts of a company which are oppressive, unfairly prejudicial or unfairly discriminatory to a member or members. The case concerned one of Malta's larger banks, whose shares are listed on the Malta Stock Exchange. The Government of Malta held or controlled approximately 70% of the shares. Early in 1999, the Government started negotiating with a leading foreign bank for the sale of its entire shareholding in the local bank. The Council of the Stock Exchange ordered the indefinite suspension of trading in the company's shares pending the finalisation of the negotiations and the conclusion of a due diligence exercise aimed at establishing a fair transfer price. ; peer-reviewed
The Co-operative Societies Act 1978 was brought into force twenty years ago, on the 16th Apri 1979. This Act incorporates most of the rules that regulate co-operatives in Malta and it replaced an earlier law, the Co-operative Societies Ordinance 1946, which had been adopted on the 8th July 1946. There are today about forty-two active co-operatives in operation. ; peer-reviewed
There is more to company legislation in Malta than the Companies Act of 1995 (CA). Several other laws have a direct bearing on the regulation of companies. One of the more significant laws is the Investment Services Act of 1994. This has created a comprehensive licensing and supervisory framework governing the provision of investment services in respect of company securities and other financial instruments. It also governs the establishment, administration and promotion of collective investment schemes (CIS); such schemes may take the form of a company. A corporate CIS may be either a close-ended or an open-ended investment company. The Malta Financial Services Centre (MFSC), as the competent regulatory body, administers both the ISA and the CA. During March 1999, important amendments were made to certain rules which effect both company law and the investment services legislation. ; peer-reviewed
Under general criminal law in Malta, criminal liability is confined to individuals. Companies cannot be charged with a criminal offence and, accordingly, no criminal responsibility can attach to them. When a company is found to have breached the law and committed an offence, criminal responsibility has to be assigned to directors, managers or other officials of the company. ; peer-reviewed
This case is one of the very first cases to deal with the new remedy introduced by s 402 of the Companies Act 1995. This provision authorises the Court to intervene in a number of ways- where it considers it just and equitable to do so - in order to protect shareholders against acts of a company which are oppressive, unfairly prejudicial or unfairly discriminatory to a member or members. ; peer-reviewed
For a long time, insider dealing was not considered as illegal, but merely as bad form bordering on the slightly immoral. Indeed some go so far as to justify insider dealing as a perk which comes with the job and as a mechanism which actually helps to establish the real market price of the security involved in the transaction. ; N/A
This paper is loosely based on an address given at the Malta Institute of Accountants Seminar on Liquidation and Insolvency held between the 27th and 28th of November, 1997. However, for the purposes of this publication, substantial revisions have been made to the original text, and considerable new material has been added. The new material includes a brief review of some relevant aspects of the new insurance business legislation recently debated in Parliament. This paper, which for reasons of space is being divided in two parts, represents the writer's own views and do not reflect any official position. ; peer-reviewed
