The Maltese National Lottery was first established in 1934 and ever since it has undergone significant changes. In 2001, the Lotteries and Other Games Act was enabled and with it the Lotteries and Gaming Authority too. The Lotteries and Gaming Authority in Malta (LGA) is the main regulatory body of all gambling games and it is also in charge with licensing all gambling facilities.
How to obtain a lottery license in Malta
The National Lottery in Malta is conducted by the Minister of the Lotteries and Gaming Authority and it is the only entity able to issue a lottery license. Investors who want to open a company in Malta must firstly check with the LGA if they want to operate as a lottery. It is also important to know that the Minister of the LGA will decide the validity of a lottery license and the terms it may be revoked under. The conditions a Maltese company must fulfill in order to obtain a lottery license are:
– the shareholders of the company must make sure the lottery is properly conducted,
– the directors of the company must exercise their duties in a way that does not affect the lottery’s operations,
– all persons involved in managing the company must be qualified to do so,
– the company must be able to prove to the LGA that it is technically and financially able to conduct a lottery according to the Maltese Lotteries and Other Games Act ,
– the company must provide a bank guarantee upon obtaining the lottery license,
– the company must respect all the terms and conditions stated in the license according to the Act.
What does the Maltese lottery license contain?
Investors wanting to set up a lottery in Malta must know that the National Lottery license will be drafted in a manner the LGA will approve and must contain the following data:
– the date when it was issued,
– its validity,
– the name of the company that obtained the lottery license, its registered office and the license’s registration number,
– the address in Malta where the lottery will function,
– the names of the shareholders, directors and managers who received the license,
– the types of games that can be operated according to the license,
– if any games devices will be used when operating the lottery,
– all the locations of the company and their timetable,
– any other provisions the Authority considers worth mentioning.
The registration process of a Maltese lottery
The registration process of a lottery or any other gambling venue in Malta requires two stages: the license application and the LGA audit and inspection. During the first stage, the investor wanting to register a company in Malta must provide a solid business plan, comply with the technical and financial requirements and obtain a compliance certification.
After the first stage of the registration procedure, the LGA must conduct proper a due diligence process when it will investigate the shareholders, their business plan and the financial status of the company. It is also important to know that there are other requirements for establishing a lottery, such as the headquarters of the company must be in Malta and the shareholders must have a Maltese residency.
For details about the registration of a lottery, you can contact our Maltese company formation agents.