Malta provides a robust yet structured regulatory system - this feature is seen throughout the entire regulatory regime - from the four types of licenses for the different types of gaming operations to the licensing process which is divided into three different stages.

The First Stage which commences with the submission of the relevant application for a licence and supporting documentation (including due diligence documentation for all persons with an interest of 5% or greater in the remote gaming operation). At this stage, the LGA will conduct a fit and proper test on the promoters and other involved people. Together with the application, the applicant must also submit a detailed overview of the operation including a three year business plan with forecast financial performance. At this stage, the applicant is also to effect payment of the application fee of €2,300.

During the Second Stage of the licensing process the LGA will review the technical structure of the applicant including the system and application architecture, the game rules, the operational procedures and other related rules and procedures. At the end of the Second Stage, the LGA will issue a provisional licence (in the form of a letter of intent) valid for a six month period.

The Third Stage commences on the issue of the letter of intent. During this stage, the LGA will conduct an in depth examination of the applicant’s systems of control and its actual structure to ensure that it will be in a position to satisfy the rules provided for in the Regulations.The LGA will also engage a recognised individual to conduct a certification operation in terms of the relevant ISO. This process must be concluded within the six month period from the issue of the letter of intent.

On successful conclusion of the Third Stage, the LGA will issue the applicant with a licence for a five year period and renewable for further five year periods thereafter. At this point the applicant will be requested to pay its annual licence fee of €7,000, for Class 4 the licence fee is nil for the first six months, €2,300 per month for the second six months and €4,600 per month from the thirteenth month thereafter. The applicant will be subject to regular reporting obligations and must inform the LGA throughout the validity of the licence. The applicant is to appoint a Maltese resident who has access to the system and is involved in the decision making process of the operation; this person is known as the Key Official and is the contact person for the LGA with regard to the licence holder.

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