Satabank

Weeкly Updates

We are currently in the process of contacting the first group of customers to arrange appointments. Not all individuals will be contacted immediately, and we request that customers await the email confirming an appointment. We will provide further updates shortly.

On Friday, we communicated that Satabank will shortly begin returning deposits to certain personal customers. These customers will be resident in Malta and have balances of between €50 and €15,000.

We are currently in the process of contacting the first group of customers to arrange appointments. Not all individuals will be contacted immediately, and we request that customers await the email confirming an appointment. We will provide further updates shortly.

All updates will first be posted on the Satabank website. This enables us to communicate any new information to our customers as fast as possible.

Deposit release process agreed

Further to the notice issued by the MFSA on 22 November 2018, Satabank will begin to return the deposits of personal customers that are resident in Malta that have been reviewed and have balances between €50 and €15,000. All selected clients will receive the entirety of their account balance.

Customers in this first group will be contacted individually to arrange appointments and the required documentation should be brought to the appointment. We will start contacting selected customers on Monday, 26 November 2018. Customers will be given the option to have the funds transferred electronically to another account or receive a bank draft.

There will be a separate process for customers who are not resident in Malta, details of which will be provided shortly. This is the first step in the process and we will provide further information for other customers as soon as we are able to.

In-flight transactions

Satabank has begun to update customer accounts for the few hundred transactions that were 'in-flight' or mid-transaction on 20 October 2018. This is a necessary step in the process of returning funds to customers and will take a few days to complete.

These updates will adjust customer balances for two types of ‘in-flight’ transactions: Firstly, outbound payments which left the customers’ accounts, but did not leave the Bank, and secondly inbound payments which arrived at the bank and were not credited to the customers’ account. Currently these balances are being securely held in a segregated holding account, and in both cases the money will be transferred to the Satabank customers' accounts.

Satabank customers will be able to view updated balances, where applicable, on their online accounts as these are processed. 'In-flight' transactions held at another bank will not be affected by this process, and customers should contact such banks separately.

Corporate hardship fund

Malta Enterprise has established a hardship fund for the corporate clients of Satabank. Satabank corporate clients can find further details of the scheme on http://hardshipfund.maltaenterprise.com/

We are continuing to work with the authorities on the return of deposits process. We will provide customers with a further update as soon as we are able to.

All updates will first be posted on the Satabank website. This enables us to communicate any new information to our customers as fast as possible.

Proposed process for the release of funds

  • We are concerned of the challenges that our customers have been facing and have been communicating these issues to the MFSA.
  • As a result, on the 24th of October, the MFSA proposed that the bank initiate a controlled process for the return of customer deposits. The MFSA is currently assessing the options to implement this process.

Your rights to an alternative bank account under EU law

  • To receive access to their funds, affected customers will need to set up alternative account with a credit or payment institution in an EU/EEA jurisdiction in the same name as the customer name on the Satabank account.
  • Customers without an alternative account should set one up immediately.
  • All European Union residents, regardless of nationality, are entitled to a basic bank account under EU law. Customers may also utilise e-money institutions registered in EU/EEA countries.

Inflight payments

  • We are aware of some transactions which were 'in transit' at the point of the freeze. The freeze stopped all Satabank in-flight transactions before they reached their final destination and now held in either a Satabank or a correspondent Bank's suspense account.
  • We are looking at ways of documenting these ‘in transit’ transactions on customer's statements. This will not be possible for all transactions.
  • Please refer to the MFSA Q&A notice on the 2nd of November for further details.

What we will be working on over the next week

  • We will be supporting the MFSA in designing the process to return customer deposits. We will update you on our progress in our next weekly update.
  • Where possible, we will be looking at recognising inflight transactions on customers' statements.
  • In the event of any significant developments, we will put an immediate update on the Satabank website and on our social media channels.

All updates will first be posted on the Satabank website. This enables us to communicate any new information to our customers as fast as possible.

Satabank will communicate with customers whenever there are any significant developments.

From Monday the 5th of November 2018 Satabank will also post a weekly update on the website and our social media channels to keep you updated with developments.

Return of Satabank customer deposits

The Malta Financial Services Authority (MFSA) has initiated a controlled process for the return of Satabank customer deposits over a period of time. This follows consultations with the FIAU and the Central Bank of Malta.

The release of funds by Satabank will be subject to certain controls and checks following which, funds can be transferred. This will take time, and customers should not expect immediate access to their funds.

There remains no access for customers to submit transactions, make withdrawals or close accounts.

The process to return funds

This process will require Satabank customers to verify their identity and provide additional information and details of another account with a credit or payment institution in an EU/EEA jurisdiction.

Further details of the process will be made available as they are finalised by the authorities.

Utilisation of other accounts

Where customers have an account with a credit or payment institution in an EU/EEA jurisdiction Satabank would advise that they transfer their banking arrangements to this institution. Where customers do not have an account with such a jurisdiction the bank encourages them to open one in the same name as their existing account at Satabank.

Customer access to account information

Satabank customers now have read only access to view their online account balances.

Login (Read only access)

The MFSA has issued the following Public Notice concerning Satabank plc:

This notice is being issued with respect to Satabank p.l.c., ("the Bank") holding a credit institution licence in terms of the Banking Act (Chapter 371 of the Laws of Malta) ("the Banking Act"), having registration number C66993 and operating from Aragon Business Centre, Dragonara Road, St. Julians STJ 3140. The Authority is hereby notifying the public that, pursuant to the Authority’s powers in terms of Article 9 and 4B of the Banking Act, Satabank plc has been directed as follows:

  • i. to refrain, cease and desist from taking further deposits into accounts of its current customers, (this includes the acceptance of any payment in any account of a customer held with the Bank);
  • ii. to refrain, cease and desist from accepting any new customers;
  • iii. to refrain, cease and desist from affecting or processing any withdrawal or outward transfers from any accounts held by the Bank;
  • iv. to refrain from effecting any transfer, sale, placement or any other movements of the Bank’s or the customers’ assets;
  • v. to retain and preserve all records, data and documents relating to its business and its clients, including those on the Bank's IT systems and networks whether in Malta or in any other jurisdiction, as well as any other documentation which relates in any way, whether directly or indirectly, to the business of the Bank;
  • vi. to ensure that all such records, data and documents, in whatever form and however stored, are kept safe and not altered, destroyed, erased, concealed or disposed of in any manner; and
  • vii. to ensure that all such records, data and documents, in whatever form and however stored, are accessible at any time to the Authority and/or to any person appointed by the Authority in terms of law.

The Authority has also upgraded the appointment of the Competent Person EY (Ernst & Young) from an appointment in terms of article 29(1) (b) of the Banking Act (as communicated under the MFSA Public Notice dated 15th October 2018) to an appointment in terms of Article 29 (1) (c) and (d) of the same Act to conduct the following:

  • i. take charge of the assets of the Bank for the purpose of safeguarding the interests of depositors;
  • ii. assume control of the Bank’s business and to carry on such functions as the Authority may direct.

The above regulatory measures have been issued with immediate effect and shall remain in place until the Authority directs otherwise. The Authority shall be closely monitoring any developments which may ensue in relation to the Bank, which could justify the maintenance, variation or withdrawal thereof. Any communication in relation to the Bank should be addressed to the Bank on the following number (+356) 2247 7900 or email: customersupport@sata.bank

MFSA Public Notice & FAQ