On the 9th of April 2021, Act XV of 2021 came into force with the aim to amend The Prevention of Money Laundering Act (PMLA) being Chapter 373 of the Laws of Malta. The aim of such amendments is for Maltese legislation to comply further with European Union law.

Act XVI of 2021 adds aggravations to acts of money laundering including that of an offence committed within the framework of a criminal organisation, as per EU law terms, and an offence being committed within exercise of one’s professional activities.

New Additions to the Prevention of Money Laundering Act

Additional sanctions were further added to Article 3 of the PMLA.  In the case that a physical person commits an act of money laundering, the following sanctions may be imposed in consequence of same: temporary, or permanent exclusion from access to public funding; the disqualification of one’s ability to partake in commercial practices and activities, either temporarily or permanently; and the temporary inability to run for elected or public office.

On, the other hand, if such act of money laundering is committed by a group of people, either of a corporative nature or not, the following sanctions may be imposed: the exclusion from entitlement to public benefits or public aid, temporary, or permanent exclusion from access to public funding; the disqualification from the practice of commercial practices and activities, either temporarily or permanently; being subject to judicial supervision; the dissolution of such corporation; and the temporary or permanent closure of any establishments used to commit such crime.

These aggravations and sanctions are added in order to further strengthen the legal framework governing the PMLA and hold persons or entities who commit acts of money laundering further to accountable.