Call for Chief Operating Officer at MFSA – chaos and confusion continue to reign

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After the recent launch of a supposed ‘public consultation document’ on the reform of the Malta Financial services Authority (which was received with derision and ridicule in many established quarters), we now seem to have a further twist in the tale with the call for applications for a new Chief Operating Officer. It is very strange that a call for COO has been made now when there is supposed to be a call for new chair. One asks shouldn’t  this appointment have been be left for the new chair to make?

This website is reliably informed that a call for COO has been made at the end of last week and sources have also said that the appointment is expected to be a political one. Of course this begs the question of why has such a call been made when the current chairman who has been in his post for almost two decades is supposedly bowing out at the end of this year.

 A source who works in the financial services sector and who spoke on condition of anonymity said that this decision is further proof that the authority is heading nowhere and is fast making itself irrelevant and toothless in the current economic scenario.

“This new position is nothing more than confusion and yet more confusion. The authority already has two CEO’s and this new position will only result in a horrible overlapping of roles. This is yet another non-solution to the MFSA’s structural and behavioural problems. It is simply another attempt by the chairman to divide and rule even further. The current COO and the Director General actually replaced the former CEO and each was the CEO in his sector. A classic case of two’s company and three’s a crowd”, the source said.

The same source said that this new appointment will undoubtedly be a political appointment and that there was no logical or coherent sense in making such an appointment which goes against all rules of proper management.

“Undoubtedly the person for this lucratively paid position has already been selected and this call for applications is simply a smokescreen to make procedures look transparent. The worse of it all is that no one within the MFSA has the guts to stand up to the chairman and his arbitrary style of management. The authority continues to descend into the mire”, the source concluded.