As of 1st January 2018 all Maltese foundations have a new obligation to identify, record and report their beneficial owners to the Registrar of Legal Persons. A right of access to such new information will also come about.
Which entities must comply?
The Regulation applies to all foundations established:
irrespective of whether they are registered with the Registrar of Legal Persons in terms of the Civil Code’s Second Schedule, and include voluntary organisations in the nature of foundations.
What and how to disclose ?
Every foundation is to keep the following information in an internal register, as well as keep records of any changes thereto:
A declaration, signed by two administrators containing the information on the beneficial owners should be submitted prior to registration to the Registry of Legal Persons.
In case of any change in a beneficial ownership, a foundation has 14 days to deliver to the Registrar of Legal Persons a notice of such change in a prescribed form.
When to record and report?
The Regulation came into force on 1st January 2018. Foundations which have been established or registered prior to 1st of January 2018 will have 6 months from the date of coming into force of the Regulation to submit a declaration to the Registry of Legal Persons containing information on the beneficial owners.
Penalties for non-compliance by entities can reach €500 while providing misleading, false or deceptive in a material particular constitutes an offence liable on conviction to a fine of up to €5,000 or to imprisonment up to 6 months, or both.
As of 1st January 2018 access to the above will be granted to a number of persons as follows:
Exception to access only apply: