The European Union (EU) legislators have proposed an investigation against Maltese lender Bank of Valletta over money laundering charges.

According to a Reuters report, the probe was sought after the European Central Bank (ECB) found ‘severe shortcomings’ in the bank’s risk monitoring procedures.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Bank of Valletta failed to review risks involving thousands of payments, the news agency added citing ECB report.

The report sought a corrective action by the end of this year to address the issue.

Markus Ferber, an EU lawmaker, was quoted by Reuters as saying: “Maltese authorities would be well advised to investigate thoroughly what went wrong and if criminal offences have been committed in the process.”

Another EU parliamentarian Sven Giegold called for an investigation by European regulators.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

However, an ECB spokesperson refused to comment on the matter.

Besides, Malta’s police did not confirm if a criminal investigation has been initiated against Bank of Valletta. They will intervene, if money-laundering breaches are found, local police told the news agency.

On the other hand, Bank of Valletta said that it has been engaged in a transformation programme for the last 18 months. The programme is expected to be wrapped up by the second quarter of next year.

Notably, in February this year, Bank of Valletta resumed services after being forced to shut down all operations following a cyber-attack. The hackers siphoned $14.7m through false international payments.

Bank of Valletta offers personal, business and wealth management services.