S.L. 370.49 ст. 3Responsibility of the competent authority for consolidated supervision. 

(1) The competent authority shall exercise supervision on a consolidated basis or supervision of compliance with the group capital test:

(a) where the parent undertaking is a parent institution in Malta or an EU parent investment firm, licensed in terms of the Act;

(b) where the parent of an investment firm licensed in (INVESTMENT FIRMS DIRECTIVE) terms of the Act is an EU parent investment holding company or an EU parent mixed financial holding company;

(c) where two (2) or more investment firms authorised in two (2) or more Member States, at least one of which is licensed in accordance with the Act, have as their parent the same EU parent investment holding company or the same EU mixed financial holding company which is established in Malta;

(d) where two (2) or more investment firms are authorised in two (2) or more Member States, one of which is licensed in accordance with the Act, having parent undertakings comprise more than one EU investment holding company or EU mixed financial holding company with head offices in different Member States and there being an investment firm in each of those Member States, and the investment firm with the largest balance sheet total is that licensed in terms of the Act; and

(e) where two (2) or more investment firms, one of which is licensed in accordance with the Act, having the same EU parent investment holding company or EU parent mixed financial holding company and none of those investment firms have been authorised in the Member State in which the EU parent investment holding company or EU parent mixed financial holding company are set up, and the investment firm licensed in terms of the Act has the largest balance sheet total.

(2) In particular cases, the competent authority may, by common agreement with other European regulatory authorities, waive the criteria referred to in sub-regulation (1)(c), (d) and (e) if their application would be inappropriate for the effective supervision on a consolidated basis or supervision of compliance with the group capital test, taking into account the investment firms and the relative importance of their activities in the relevant European Member States, and designate another European regulatory authority to exercise supervision on a consolidated basis or supervision of compliance with the group capital test. In these cases, before taking its decision, the competent authority shall give the EU parent investment holding company, EU parent mixed financial holding company or the investment firm with the largest balance sheet total, as appropriate, an opportunity to state its opinion on that decision. The competent authority shall notify the Commission and the EBA of any such agreement.

(3) Where appropriate, a college of supervisors may be established to exercise supervision on a consolidated basis where subsidiaries of an investment firm group headed by an investment firm authorised in a Member State, an EU parent investment holding company, or an EU parent mixed financial holding company, are located in a third country.

(4) Where appropriate, the competent authority may exercise supervision on a consolidated basis to facilitate the exercise of the tasks referred to in this regulation and to ensure co-ordination and co-operation with relevant third‐country supervisory authorities in particular where this is needed for the purpose of applying point (c) of the first sub-paragraph of Article 23(1) and Article 23(2) of the IFR to exchange and update relevant information on the margin model with the supervisory authorities of the qualifying central counterparties (QCCPs).