Michael Spiteri Bailey has been appointed controller of Nemea Bank by the Malta Financial Services Authority.

Although Nemea’s licence was withdrawn in 2017, its liquidation has been stalled pending appeals by the bank’s owners against the decision to shutter the bank. 

The online-only bank’s licence was withdrawn following serious regulatory concerns being flagged at the bank.

In January, the financial services tribunal upheld a request for the bank’s directors to be given access to Nemea’s records, documents and IT systems.

In October, the bank filed a lawsuit against its majority shareholder Nemea plc for defaulting on a €1.5 million loan taken out in February 2016.

The loan was taken out two months before the MFSA appointed an external administrator to take over the running of the bank.

The MFSA said on Tuesday Spiteri Bailey’s task will be to wind up and liquidate the controlled asset.

Price Waterhouse Coopers, the "competent person" that had been appointed by the authority, will have its appointment terminated on 16 November 2021.

 

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