S.L. 370.47 Art. 6Collaboration concerning supervision. 

(1) The competent authority shall collaborate closely with European regulatory authorities, as detailed in Schedule II, for the purpose of its duties pursuant to the IFD and the IFR, and Directive

(EU) 2018/843 of the European Parliament and of the Council of 30 May 2018 amending Directive (EU) 2015/849 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing, and amending Directives 2009/138/EC and 2013/ 36/EU, in particular by exchanging information about European investment firms without delay, including:

(a) all information concerning the management and ownership structure of the investment firm;

(b) all information concerning compliance with own funds requirements by the investment firm;

(c) all information concerning compliance with the concentration risk requirements and liquidity requirements of the investment firm;

(d) all information concerning the administrative and accounting procedures and internal control mechanisms of the investment firm;

(e) any other relevant factors that may influence the risk posed by the investment firm.

(2) Where Malta is the home Member State, the competent authority shall provide the European regulatory authorities of the host Member State immediately with any information and findings about any potential problems and risks posed by a European investment firm to the protection of clients or the stability of the financial system in the host Member State which it has identified when supervising the activities of a European investment firm.

(3) Where Malta is the home Member State of the investment firm, the competent authority shall act upon information provided by the European regulatory authorities of the host Member State by taking all measures necessary to avert or remedy the potential problems and risks referred to in sub-regulation (2). The competent authority, if so requested by the European regulatory authorities of the host Member State, shall explain in detail how it has taken into account the information and findings.

(4) (a) Where Malta is the home Member State of an investment firm, and following the communication of the information and findings referred to in sub-regulation (2), the European regulatory authorities of the host Member State consider that the competent authority has not taken the necessary measures referred to in sub-regulation (3), the European regulatory authorities of the host Member State may, after having informed the competent authority, EBA and ESMA, take appropriate measures to protect clients to whom services are provided or to protect the stability of the financial system.

(b) Where Malta is the host Member State of a European Investment Firm, and following the communication of the information and findings equivalent to those referred to in sub-regulation (2) to the European regulatory authority, and the competent authority considers that the European regulatory authority has not taken the necessary measures equivalent to those referred to in sub-regulation (3), the competent authority may, after having informed the European regulatory authority, EBA and ESMA, take appropriate measures to protect clients to whom services are provided or to protect the stability of the financial system.

(5) The competent authority may refer to the EBA situations where a request for collaboration to a European regulatory authority, in particular to exchange information, has been rejected or has not been acted upon within a reasonable time.

(6) Where the competent authority disagrees with the measures to be taken by the European regulatory authority of the host Member State in relation to the information and findings referred to in sub-regulation (2), the competent authority may refer the matter to the EBA and request its assistance in accordance with Article 19 of the IFR.

(7) Where Malta is the home Member State of the investment firm, for the purpose of assessing the condition in point (c) of the first sub-paragraph of Article 23(1) of the IFR, the competent authority may request the competent authority of a clearing member’s home Member Stateto provide information relating to the margin model and parameters used for the calculation of the margin requirement of the relevant investment firm.

(8) The competent authority may exchange information with the bodies listed and in the manner specified in Schedule V for the better carrying out of its supervisory functions in accordance with the IFD and the IFR:

Provided that the information received or exchanged by the competent authority or by its officers, employees or agents as well as inspectors, auditors and experts engaged by the competent INVESTMENT FIRMS DIRECTIVE) authority, from the bodies listed in the said Schedule, shall be treated as confidential and protected by the duty of professional secrecy.