Pilatus Bank stopped from dealing with clients’ assets

The Malta Financial Services Authority has appointed an administrator to run Pilatus Bank after freezing its assets, including client money

23 March 2018, 9:51am
by Kurt Sansone

1 min read

The MFSA has appointed an administrator to run Pilatus Bank

Pilatus Bank has been barred from liquidating, disposing, transferring or dealing with its clients’ assets and monies by the financial services regulator.

The decision is the latest in a series of actions taken by the Malta Financial Services Authority after the bank’s chairman and owner, Iranian Ali Sadr Hasheminejad was arrested and charged in the US on Monday for busting American sanctions against Iran.

In a late communication on Thursday, the MFSA said it also appointed Lawrence Connell as a “competent person” to take charge of all the bank’s assets, including those related to the investment services business of Pilatus Bank.

Connell will assume control of Pilatus Bank’s banking and investment services for as long as the regulator deems fit. The administrator is tasked to continue carrying on the bank’s business.

The MFSA had ordered the removal of Sadr from chairman and froze the assets of the bank’s directors, shareholders and top management, in a first move on Wednesday.

In a bio attached to the statement, Connell was described as having enjoyed a long career as a US financial regulator at both State and federal levels.

The MFSA said any communication in relation to Pilatus Bank should be addressed to the bank on the number 27799999.

Kurt Sansone is Executive Editor of MaltaToday. He was formerly deputy editor of MaltaTod...