Cap. 16 Art. 1740BTransfers to trusts, within groups, and as security.

Any transfer which is -

(a) a settlement of property under trusts to a trustee or a distribution or a reversion of property from a trustee pursuant to any trust; or

(b) an endowment of property to a foundation or a distribution or a reversion of property from a foundation pursuant to its terms;

(c) a gratuitous assignment, transfer or contribution of capital, cash or any other assets by an undertaking to another undertaking where both undertakings are either controlled or beneficially owned, directly or indirectly, to the extent of more than fifty per cent by the same persons: Provided that such assignment, transfer or contribution shall on the pain of nullity be expressed in writing; or

(d) a grant of security by title transfer for the performance of an obligation, and any transfer of such property back to the transferor upon the performance of the obligation, shall not be governed by the provisions of this Title and in particular shall not be subject to the formalities required by article 1753: Provided that where the transaction consists in or includes a transfer of immovable property in Malta, the transfer of such immovable property only shall remain subject to the formalities required by article 1753(1).