Companies Act (Cap. 386), article 142

142. (1) A person shall not be quali fied for appointment or to hold office as director of a co mpany or company secretary if: (a) he is interdicted or incapacitated or is an undischarged bankrupt; (b) he has been convicted of an offence of money laundering within the meaning of the Prevention of Money Laundering Act , associate predicate offences to money laundering and terrorist financing, or of any of the crimes affecting public trust or of theft or of fraud or of knowingly receiving property ob tained by theft or fraud;; (c) he is a minor who has not been emancipated for trade; or (d) he is subject to a disqualification order under article 320: Provided that a disqualification in terms of paragraph (b) shall remain valid: (i) in perpetuity, if the punishment for the crime he has been convicted of is of imprisonment for life; COMP ANIES [CAP. 386. 95 ( i i ) f o r a p e r i o d o f f i f t e e n ( 1 5 ) y e a r s i f t h e punishment for the crime he has been convicted of is of imprisonment between twenty-five (25) and thirty (30) years; (iii) for a period of ten (10) years if the punishment for the crime he has been convicted of is of imprisonment between ten (10) and twenty-five (25) years; (iv) for a period of eight (8) years if the punishment for the crime he has been convicted of is of imprisonment between five (5) and ten (10) years; (v) for a period of five (5) years if the punishment for the crime he has been convicted of is of imprisonment between four (4) and ten (10) years; and (vi) for a period of three (3) years if the punishment for the crime he has been convicted of is of imprisonment for less than four (4) years: Provided further that in any case the disqualification period in terms of this proviso shall not be less than the term of imprisonment that the person would have been awarded; Cap. 529. (e) such person is holding such office as a company service provider in terms of the Company Service Providers Act without having obtained the necessary authorisation by the Malta Financial Services Authority to prov ide such service. (2) Notwithstanding the provisions of this Act or of the memorandum and articles of a com pany relating to the formalitie s of the appointment of a director or other officer and to his qualification, any irregularity concerning the appointment of a director or other officer of a co mpany raised after the complet ion of the publication of his appointment shall not be relied upon by the company as against third parties unless the company proves that such parties were aware of the i rregularity at t he relevant tim e. (3) Third parties who were not aware of the irregularities referred to in sub-article (2) at the relevant time may rely on that irregularity as against the company. (4) The Registrar may restrict a person from being appointed as director or company secretary of a proposed commercial partnership or an existing company if he is or has been a direc tor or secretary of an existing Maltese company in relation to which h e has breached the provisions of thi s Act for three (3) times wit hin a period of two (2) years, that shall be reckoned from the first breach, and he is still in default as to one or more of such breaches. (5) Any person who feels aggrieved by a restriction from being appointed as director or company secretary in terms of sub-arti cle (4) may bring an application before the court against the Regis trar for the removal of such restriction. 96 CAP. 386.] COMP ANIES (6) Apart from the disqualifications for appointment or to hold office of a director of a company under the provisions of this Act, any disqualification that is in for ce or information relevant for disqualification in another Member State shall be taken into ac count and the Registrar may refuse the appointment of a person as a d irector of a company where, at the time, such person would be disqualif ied from acting as a director in another Member State. Directors competing with company. Amended by: IV . 2003.68.