COURT RULES MALTA'S BULK CASH SMUGGLING LAW UNCONSTITUTIONAL

The Constitutional Court in the Republic of Malta has declared the law imposing a 55% fine on anyone seeking to engage in international travel with more than €10,000 in cash is unconstitutional, depriving the courts of discretion. The case involved the seizure of a six figure sum at Malta International Airport (MIA/LMML).

Malta is a known embarkation point for bulk cash suspected of being the proceeds of narcotics crime bound outside the European Union. The vast majority of airport seizures, like this one, involved attempted bulk cash smuggling to Istanbul, which are regularly intercepted through the use of cash sniffer dogs by the authorities. It is estimated that the vast majority of these smuggled bulk cash ventures are successful. Many are believed to be the initial phase in money laundering operations.

Unless overturned on appeal, the Parliament of Malta, the country's legislative body, will now have to respond to this decision, to modify the terms of bulk cash seizure, so that it will confirm to the ruling.