Nomineeship : its nature and functions with particular reference to financial services legislation

Abstract

The issue of nomineeship is no novelty within our legislative scenario. Its existence has not only been legislatively enshrined. but has furthermore been accepted as a legitimate legal reality in a wide and authoritative spectrum of local jurisprudence. Its legislative acceptance has also been acknowledged by numerous local and foreign authorities, in circumstances where the role of the 'presta-nome' has been the subject of deep legal analysis. Nevertheless, in all its spheres of existence, this legal vehicle has proved to be the focus of incongruencies and debate vis-a-vis its nature and operation within our local industry. Hence, ab initfo, the writer proposes to analyze the nature of nomineeship by giving a bird's eye view of its legislative treatment within local and foreign jurisdictions, whilst outlining the various aspects of its existence in the light of Maltese jurisprudence and the works of authoritative text-writers. The relevance of the latter analysis is not only necessary but indispensably required, since the writer is of firm belief that the basic principles outlined therein are to be embraced within the financial services scenario, mutatis mutandis. The diverse legislative spheres of financial services activity have depicted nomineeship as a dynamic legal creature bearing different facades of existence. Hence, the writer will attempt to outline the similarities existing between the different hybrids of nomineeship, whilst highlighting the inevitable differences legislatively enshrined therein.