Cap. 653 Art. 31Freezing measures.       Cap. 386.

(1) Notwithstanding the provisions of this Act or of any other law, when European Union restrictive measures, restrictive measures adopted by United Nations Security Council Resolutions or domestic restrictive measures impose the freezing of funds or economic resources of a designated person, entity or body shall immediately upon publication be tantamount to a freezing measure having the force of law in Malta.

(2) Where the Board has reasonable grounds to believe that economic resources are owned or controlled by a designated person, entity or body, it shall issue a freezing measure, attaching the said economic resources in the hands of third parties for which there is a reasonable cause to believe that the economic resources are subject to freezing:

Provided that a notice of the freezing measure shall be published by the Board without delay in the Gazette and also cause a copy thereof to be registered in the Public Registry, the Land Registry, the Registry of Companies established in accordance with the

Companies Act and any other registry established by law.

(3) A freezing measure as is mentioned in sub-articles (1) and

(2) shall have the effect of:

(a) freezing, without delay or prior notice, all funds and economic resources due or in pertaining or belonging to the designated person, entity or body, or that is wholly or jointly owned or controlled, directly or indirectly, by the designated person, entity or body;

(b) freezing, without delay or prior notice, all funds and economic resources that are derived or generated from funds and economic resources that are owned or controlled, directly or indirectly by the designated persons, entities or bodies;

(c) freezing, without delay or prior notice all funds and economic resources of natural persons and legal persons acting on behalf of or under the direction of the designated person, entity or body;

(d) prohibiting the transfer, conversion, movement, pledging, hypothecating, mortgaging or otherwise disposing of any funds and economic resources in accordance with paragraphs (a) to (c);

(e) prohibiting any Maltese citizen or any person, entity or body located in Malta from making available any economic resources or funds or other related services, directly or indirectly, wholly or jointly, to or for the benefit of a designated person, entity or body; or an entity or body owned or controlled, directly or indirectly, by a designated person, entity or body; or a person, entity or body acting on behalf of, or at the direction of, a designated person, entity or body, unless licensed or authorised in accordance with the relevant European Union restrictive measures or restrictive measures adopted by a United Nations Security Council Resolution or domestic restrictive measures.

(4) The freezing measure as mentioned in sub-article (1) shall become operative and binding on all third parties immediately upon the publication of European Union restrictive measures or restrictive measures adopted by a United Nations Security Council Resolution or domestic restrictive measures mentioned in sub-article (1), and the said measure shall remain in force:

(a) in the case of a measure made by regulations in accordance with article 4(4)(a), until it is revoked according to the provisions of article 4(4)(a)(v); and

(b) in the case of a European Union restrictive measures or restrictive measures adopted by United Nations Security Council Resolution, until the de-listing of the designated person, entity or body is made by the United Nations Security Council or by the Council of the European Union, as the case may be.

(5) Where any funds are or become due to a designated person, entity or body from any person, entity or body while a freezing measure in accordance with this article is in force, such funds shall, unless otherwise directed in such measure, be deposited in a bank to the credit of the designated person, entity or body.

(6) When such measure ceases to be in force as provided in sub-article (2), a note of cancellation of the registration of such measure shall be entered in the Public Registry.