Malta Gaming Authority streamlines Key Functions for licensees

Malta

The Malta Gaming Authority (MGA) has made changes to the Gaming Authorisations and Compliance Directive, further streamlining the requirements for online gambling operators in the country.

The amendments serve as an update to wide-sweeping changes made in 2018, that saw the simplification of the gambling license application process. This year’s tranche of changes relates mainly to the key function roles which operators are required to appoint.

The recent amendments have decreased the number of appointees, aiming to make the process and administration a little easier for operators.


B2C License Holders

Operators that hold a B2C license are required to appoint individuals to the following roles:

  • CEO
  • Key Gaming Operations (including Key Gaming Operations, Key Finance, Key Risk, and Key Fraud)
  • A Key Compliance (including Compliance Officer, Key Responsible Gaming, Key Player Support, Key Marketing)
  • Key Legal
  • A Key Data Protection
  • Key AML & CFT
  • A Key Technology (including Key Technology and Key Information Security)
  • Internal Audit

As you can see, many roles that were once required to have a person filling them are now combined into just one.


B2B License Holders

Those holding a B2B license must fill the following roles:

  • CEO
  • Key Gaming Operations (including Key Gaming Operations, Key Finance, Key Risk, and Key Fraud)
  • Compliance Officer
  • A Key Legal
  • Key Data Protection
  • Key Technology (including Key Technology and Key Information Security)
  • Internal Audit

New applicants must notify the Malta Gaming Authority who will hold the roles of CEO, compliance officer, and MLRO. Within six months of receiving the license, the licensee must notify who holds the other positions. Licensees must notify the Malta Gaming Authority of any changes in position or role no later than three days after it happens. They must also find a replacement and notify the authorities within 15 days from the date of termination of the previous position.


Eligibility

The Malta Gaming Authority has also changed some of the eligibility criteria for key persons. Those holding such positions must be “fit and proper” and perform their functions on an ongoing basis. This includes their professional qualifications and competencies and having integrity and a good reputation.

Not only must they have the relevant qualifications needed for the position, but they must engage in continuous professional development on an ongoing basis. The MGA lays down a specific number of CPD hours that each key person must demonstrate every year. Examples of CPD include:

  • Workshops, courses, seminars and training
  • Presentations including system-specific presentations
  • Teaching, lecturing or delivering training and education on roles relevant to key functions
  • Publication of articles
  • Professional examinations

Malta Gaming Authority Requirements

These are the new requirements and obligations to fulfil specific roles:

CEO

three years of management experience and a related bachelor’s degree, or five years of work experience in a similar role, five CPD hours a year.

Key Gaming Operations

Two years in a management role plus a related bachelors degree, or four years work experience and knowledge of risk management and fraud prevention, 10 CPD hours.

Key Compliance

Two years work experience in compliance role plus a related bachelors degree in law, knowledge of responsible gaming, advertising, and sports integrity.

Key Legal

Two years experience as a lawyer or similar senior role plus a degree in law, knowledge of legal affairs including litigation, dispute resolution, and contract law, 10 CPD hours.

Key Data Protection

Two years experience in a senior data protection role, plus a related diploma, three years of work experience, 10 CPD hours.

Key AML/CFT

Two years experience as MLRO, related bachelors degree, or four years of work experience as an MLRO, 10 CPD hours.

Key Technology

Two years experience in an IT role plus a degree, or four years experience in an IT role, on the job knowledge, 10 CPD hours.

Internal Audit

Two years experience as an internal auditor or similar, relevant certification as an auditor, or four years experience as an auditor, plus 10 CPD hours.


Timeline

Existing key persons must fit the new designations by the end of May 2022. Licensees must notify The Malta Gaming Authority who will fill which role. Failure to meet this deadline can result in the Key Function certificate being revoked.

Then, by the end of September, the MGA will either approve or reject the applications that have been made under the new rules. As of the end of December 2022, licensees will notify the MGA of who the new key persons will be, and by March 2024, the Malta Gaming Authority will confirm them.


Fast Offshore

To find out how the amendments may impact your business, or what this means for new applicants, contact Fast Offshore. We can advise you of all the changes, and the implications. Additionally, we can assist with all matters relating to online gambling licenses whether in Malta or elsewhere.

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