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Transport Malta's Merchant Shipping Directorate has recently introduced a new Code of Standards for Resident Agents, through Merchant Shipping Notice 203. of the aim is to strengthen oversight and ensure Malta's maritime registry continues to operate with strong compliance and transparency.
The Code sets out guidelines on Know-Your-Client (KYC) checks and compliance procedures. These measures are intended to prevent misuse of the Malta Flag and help protect the country's reputation in the international shipping industry.
Under the Merchant Shipping Act, resident agents act as a link between foreign shipowners and the Malta Registry. They manage vessel-related matters on behalf of owners and assist with the registration process.
The new Code outlines the information and documentation that resident agents must collect from non-resident shipowners who registers vessels under the Malta Flag. The goal is to create a more consistent approach to due diligence while aligning with international compliance standards.
Responsibilities of Resident Agents
The process for appointing resident agents remains mostly the same. However, the Code now requires agents to carry out sanctions screenings, keeping client records updated. They must also provide any requested information to the Registry within the required timeframes.
These requirements are intended to help identify potential sanctions issues early and ensure that unsuitable parties cannot take advantage of the Maltese Flag.
Ongoing Compliance
Resident agents must collect certain documents from international owners, particularly those outside the EU and UK who own or intend to own non-commercial or pleasure vessels of 24 meters or more. Similar requirements apply to owners based in jurisdictions listed on the EU Sanctions Map, unless the owner is a bank, financial institution, or publicly listed company.
For individual owners, a valid identification document and proof of address are generally sufficient.
The Code highlights the importance of clear communication between resident agents and vessel owners. This includes identifying authorized representatives, defining the terms of appointment, and setting procedures for ending relationship if necessary.
In addition, resident agents must obtain an annual declaration confirming whether there have been any changes in the ownership structure or beneficial ownership of the Company. Any changes must be reported to the Registry.
Registry Oversight
The Malta Ship Registry may request additional documents or enhanced due diligence at any time, including information about the ultimate beneficial owners of a vessel. Resident agents are required to cooperate fully and provide the requested information within specified deadlines set by the Registry.
The introduction of this Code aims to support Malta's continued commitment to maintaining a reliable and well-regulated maritime industry.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
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