LifeStar Insurance claims breach of right to communications by MFSA and consultant

LifeStar Insurance plc, together with LifeStar Holding plc and GlobalCapital Financial Management Limited – all part of the LifeStar Group – has instituted a lawsuit against the Malta Financial Services Authority (MFSA) in a bid “to safeguard its legal right to communications”.

Mazars Consulting Limited and Keith Cutajar, a sub-contractor of Mazars, are also named as defendants.

In a company announcement on Friday, LifeStar Insurance, said it had decided to initiate the judicial action following the appointment of Mazars, on 26 November 2021, as an inspector in connection with an investigation by the MFSA relating to the LifeStar Group’s business and operations.

The company said it was objecting to the powers conferred on Mazars by the MFSA, on 25 January 2022, in relation to its information and documents, including its privileged communications.

“While the LifeStar Group continues to co-operate with the Authority and Mazars in relation to the investigation, the Company, based on legal advice, considers its right to privileged communications to be significantly prejudiced by the Authority’s actions,” LifeStar Group’s announcement read.

“Accordingly, the Company is pursuing, and intends to continue to pursue, all remedies available to it at law.”

LifeStar Insurance said it remains committed to adhere to its legal and regulatory obligations to meet compliance requirements on an on-going basis and at all times.