In March 2022, MFSA’s regulated Michael Grech Financial Investment Services Ltd (www.michaelgrechfinancial.com) was ordered to pay €43,000 in damages to a couple. The investment firm has its offices at Gozo, a small island within the Maltese peninsula. The Maltese Arbiter ordered the company to pay €43,000 in damages to former clients who lost a substantial part of their investments. Michael Grech is the company’s main shareholder and director.
The Maltese Arbiter found that the regulated investment firm failed to adhere to the laws when selling these products to the clients. Way back in 2018, two individuals filed a complaint against Michael Grech Financial Investments Limited with the Maltese Financial Arbiter. They claimed that in 2012 the investment firm sold them a financial product that went bust. The name of the instrument was Commerzbank 3-Year Phoenix Worst of Equity-Linked Notes.
Michael Grech Financial Investments Services appealed the Arbiter’s decision at the Malta Courts. However, the Maltese Courts presided by Judge Lawrence Mintoff confirmed the sentence of the Arbiter in full.
The company is now obliged to pay the victims. The directors of Michael Grech Financial Investment Services Ltd are all Gozo residents, namely Anthony Bezzina, Warren Dingli, Anna Maria Grech, David Grech, and Michael Grech. Ruth Magro acts as company secretary.
