"The financial services sector, and in particular the banking sector, is going through significant changes and challenges, resulting from the introduction of more stringent regulatory measures, including measures aimed at achieving higher compliance standards in relation to the prevention of money laundering and funding of terrorism, and adherence to international sanctions."
This was stated by the Secretary General of the Malta Bankers' Association, James Bonello in his opening address at the 'Combating Financial Crime - Protecting Malta's economy' conference held on Thursday, 9th June at the Westin Dragonara Resort.
The theme chosen for this conference is extremely important not just for the financial services industry but for the Maltese economy, within which the industry has established itself as a major pillar over the past two decades. This progress has been underpinned by a number of key success factors, foremost amongst which has been a strong commitment to build up and maintain Malta's standing as a reputable and well regulated financial services jurisdiction.
Mr Bonello referred to certain differences which have surfaced between credit institutions and a number of financial services intermediaries who are questioning the banks' cautious approach in implementing these measures.
He added that "these differences need to be discussed frankly, and addressed appropriately, and this conference is a timely opportunity for the parties concerned to air their views in this regard, bearing in mind that our common aim is to safeguard the image and reputation of our jurisdiction by adopting high standards of compliance."
Mario Mallia, Chairman of the Malta Bankers' Association, spoke of the importance of striking the right balance between locking criminals out of the banking system, and allowing easy access of legitimate business to the banks. "Protecting the economy does not simply entail the strengthening of anti-money laundering defences, but ensuring that these do not pose an obstacle to good business", added Mr Mallia.
The conference was also addressed by the Minister of Finance, Prof Edward Scicluna who in a video conference link shared his thoughts about the country's commitment to safeguard the interests of the industry.
Other speakers included Dr Manfred Galdes, Director of the Financial Intelligence Analysis Unit who in his presentation ' AML/CFT Compliance Standards - Raising the Bar', spoke about raising the industry's compliance standards.
He was followed by Juanita Bencini who spoke about bridging the gap between the practitioner's expectations and the bank's AML requirements.
Other speakers included Dr Michael Stellini, Head of AML/CFT Monitoring, Training and Typology Unit, MONEYVAL, who spoke about the challenges of the 5th Round MONEYVAL evaluation processes' and Dr Yvonne Willemsen, Chairperson, AML & Financial Crime Committee of the European Banking Federation who spoke about the balance between compliance, business growth and effective crime control from a European perspective.
The half day conference came to an end with a panel discussion moderated by Ronald Attard, managing partner of Ernst & Young Ltd, Malta with the participation of Marc Alden, Tax Services Leader, Deloitte Services Ltd, Dr Stephen Attard, Partner, Ganado Advocates, Andrew C. Beane, CEO, HSBC Bank Malta, Cynthia Borg, Head of Compliance and MLRO, Mediterranean Bank and John Scicluna, MLRO, Bank of Valletta.