The Malta Financial Services Authority today defended its decision to grant a licence to Pilatus Bank, at the centre of the political controversy in the wake of allegations made on the setting up of a company, Egrant Inc, allegedly in the name of the Prime Minister’s wife, a claim that is rejected by Dr Joseph Muscat.

In a statement, the MFSA said granted a licence to Pilatus Bank to act as a credit institution in terms of the Banking Act on 3rd January 2014.

The application for the licence was processed and assessed in full compliance with applicable legal requirements and in accordance with the Authority's authorisation procedures for the granting of a credit institution licence.

Pilatus Bank is subject to all prudential and supervisory rules and on-going supervisory procedures of the MFSA applicable to credit institutions.

This is evidenced, inter alia, through the on-site inspection carried out at the Bank by the MFSA in 2015 already reported in the media.

The MFSA said is an independent authority and  has cooperated and continues to cooperate with other competent authorities as necessary.