SHELTONS INTERNATIONAL GROUP
The Malta Financial Services Authority (MFSA) has recently introduced clearer regulatory compliance requirements for individuals serving as a director or company secretary in a Maltese company.
While CSPs (or limited CSPs) are required to register with the MFSA, the regulations introduce a notification requirement for what is now being called Restricted Company Service Providers (RCSP).
The amendments are intended to further refine the registration requirements for the provision of directorship and company secretary services in or from Malta, generally speaking targeting individuals who provide directorship and company secretary services below the registration threshold of 5 companies (and 2 group of companies) in entities with which they have no employment, beneficial ownership or family relations.
If this applies to you or your company, here’s what you need to know about this
classification, the notification obligation, and possible exemptions.
Who Is Considered a Restricted CSP (RCSP)?
Individuals appointed to a company’s board or as the company’s company secretary may be classified as RCSPs if all of the following apply:
• They act as a director and/or company secretary in a Maltese company;
• They do not provide services by way of business and thus are not required to be authorised or register as a CSP or limited CSP;
• They hold no more than 5 total involvements across legal entities, within or outside of Malta, as may be applicable to the individual;
• They are involved in no more than 2 groups of companies within or outside of Malta, as may be applicable to the individual.
Multiple roles within one group of companies are treated as a single involvement. This classification includes foreign individuals holding such roles in Maltese entities. Who Is Exempt from the Notification Process?
Certain individuals do not need to file an RCSP notification, including those appointed:
• Under a contract of employment;
• Due to ownership or beneficial interest in the company;
• As part of a family relationship;
• Appointments on entities licensed by the MFSA or an equivalent foreign
regulator;
• Appointments on listed companies on a regulated market;• If already authorised under the Trusts and Trustees Act.
Key Dates
• Existing RCSPs must notify the MFSA by 16 July 2025.
• New appointments must be notified within 14 days of assuming the role.
Submission of Notification
Notifications are completed online via the MFSA LH Portal, and notifications may be done either by the appointee directly or through the assistance of service providers already registered on the LH Portal.
Amongst the information and documentation to be provided as part of the notification, the following shall be submitted:
1. Personal information of the appointee
2. Company details (including financial and operational information)
3. Declarations on criminal history or disqualification
4. Police conduct certificate and signed declaration.
Company’s and RCSP’s Responsibilities
Whilst a RCSP is not considered a subject person for AML/CFT purposes, both the companies appointing individuals qualifying as an RCSP and the RCSP themselves are subject to certain responsibilities vis-à-vis such appointments.
• The RCSP should ensure that it assesses AML/CFT risks related to their role;
• Both the RCSP and the appointing company should ensure that appointments do not breach international sanctions;
• The RCSP should monitor any change in involvements that could trigger reclassification and a need for full CSP authorisation or registration as Limited CSP;
• The RCSP should notify the MFSA if it resigns or ceases all involvements.
Why This Matters for Your Business
Failure to comply with RCSP obligations could expose your appointees to regulatory scrutiny. Proper classification protects both your company and the individuals you appoint from unintended licensing or enforcement risks. If you or your company appoints individual directors who are not already licensed as a CSP, consider reviewing their classification and supporting them with the notification process.
Need Assistance?
Contact us on [email protected] to confirm your or your appointee’s RCSP status and ensure timely submission of the notification.
