U.S. Department of State Country Reports on Terrorism 2005 - Malta

Malta made significant progress in the area of customs inspection and border security procedures, helped by extensive U.S. assistance. Improvements included establishment both of the authority for Maltese Customs to inspect goods transiting the container port (Malta Freeport) and the necessary procedures for effectively using the container-scanning the Cargo, Vehicle, and Container Inspection System (VACIS) system to prevent the transshipment of WMD material through the Freeport.

In June, the Maltese Parliament approved an amendment to the criminal code to include provisions on terrorism. The bill defined, for the first time, an "act of terror" and "terrorism," and specifically enumerated actions that constitute the offense. The legal notice making this act law has not yet been issued. Regardless, provisions exist in Maltese law that provide adequate opportunity to prosecute and punish terrorist acts or activities.

U.S. and Maltese authorities reached agreement in November on new extradition and legal assistance agreements following more than a year of negotiations.

Malta criminalized terrorist financing in 2005. In 2002, the criminal code was amended in such a way that terrorist financing would meet the standard for categorization as a serious crime under Malta's Prevention of Money Laundering Act. On June 6, the Act was extensively amended and expanded to include provisions on funding of terrorism.