Malta acts on IEU fraud allegations and revokes licence

Malta’s education oversight body, the Malta Further and Higher Education Authority (MFHEA), has formally withdrawn the temporary licence that permitted the Ukrainian-established International European University (IEU) to conduct operations in Malta. This decision comes after over two years of persistent complaints from international students alleging fraudulent activities, maladministration, and misrepresentation of academic programmes.

The revocation marks a significant development in Malta’s higher education sector, which has faced scrutiny for its regulatory oversight and delayed responses to student grievances.

MFHEA’s delayed action and external audit

In a concise statement shared on its official social media channels, the MFHEA confirmed that the decision followed an External Quality Assurance Audit conducted earlier in 2025. The audit reportedly revealed deficiencies in the university’s operations; however, the detailed findings of the report have not been made public.

The statement reads: “Following a comprehensive review, the MFHEA has decided to revoke the operating licence granted to the International European University. The decision reflects the outcomes of the External Quality Assurance Audit conducted this year.”

Although the decision carries considerable weight, Education Minister Clifton Grima, currently facing scrutiny due to the MCAST fraud controversy, has not released any official comment. This absence of commentary has drawn criticism from student advocacy groups and educational watchdogs who argue that public accountability is necessary in matters affecting international students.

Background of the International European University in Malta

Originally established in Ukraine in 2019, the IEU moved its operations to Poland after the war broke out in Ukraine. Despite this relocation, the university has reportedly faced legal scrutiny in Poland. The public prosecutor in Poznan reportedly initiated an investigation into the university’s activities, citing concerns about fraudulent practices.

In 2023, under the direction of CEO Rose Anne Cuschieri, the university was granted a temporary licence to operate in Gzira, Malta. The licence allowed the IEU to recruit international students and offer various degree programmes, although the accreditation status of these programmes remained uncertain within the European Union.

Since its establishment in Malta, the IEU has attracted multiple complaints from students who claim to have been misled regarding course offerings, programme accreditation, and tuition fees.

Student complaints and allegations of fraud

Over the past two years, The Shift has reported extensively on grievances raised by students enrolled at the IEU. Many international students allege that they were misled by the university, paying significant sums for courses that either did not exist or lacked proper accreditation.

Several students stated that their attempts to escalate complaints to the MFHEA and the Ministry of Education went unanswered. One Polish student, expressing frustration, told The Shift:

“I have been scammed out of several thousand euro by this fake university. I reported the issue, including the fraudulent courses they claim to offer, to the MFHEA and the Education Ministry. I even spoke with senior officials and provided them with evidence, but nothing has been done.”

Other students reported discovering that the courses they had enrolled in were not recognised by any official educational authority. In some cases, students claimed that their degrees would not be valid for employment or further study in the European Union.

These complaints highlight broader concerns about the vulnerability of international students in Malta, particularly those who rely on temporary institutions for higher education opportunities.

MFHEA’s earlier decisions and criticism

The MFHEA has faced criticism for its handling of the IEU case. Despite receiving internal reports in 2024 highlighting significant operational concerns, the regulator renewed the university’s operating licence for an additional year. At that time, MFHEA stated that the renewal was intended to give the IEU an opportunity to address identified deficiencies.

However, many students and observers argued that the renewal effectively allowed the university to continue operations without meaningful oversight. Critics contend that this delay in regulatory intervention may have contributed to further financial and academic harm to students.

The repeated complaints and lack of early intervention have intensified calls for reform in Malta’s higher education regulatory framework. Education experts suggest that stricter oversight and timely enforcement of audits are essential to protect student interests and maintain international credibility.

University’s response to allegations

The IEU has repeatedly rejected all claims brought against the institution. In statements to The Shift, university representatives labelled the claims as “false” and described them as attempts by disgruntled students to tarnish the institution’s reputation.

Despite these denials, the absence of public evidence from the university and lack of formal responses from the MFHEA regarding specific allegations has left many students dissatisfied. Observers note that transparent disclosure of audit findings and investigative outcomes is crucial to rebuilding trust in the regulatory system and the institution itself.

Legal framework and appeal process

After the MFHEA decided to revoke its licence, the IEU management has a 20-day period to file an appeal. During this period, the university can submit legal arguments or evidence contesting the regulator’s findings. The outcome of any appeal could influence the final status of the university’s operations in Malta.

Legal analysts suggest that while the appeal may delay enforcement, the revocation signals a stronger commitment by Maltese authorities to uphold academic standards and protect students from fraudulent or mismanaged institutions.

Broader implications for Malta’s higher education sector

The situation with the IEU highlights major issues within Malta’s higher education regulatory framework. The country has increasingly become a destination for international students due to its English-language programmes and proximity to Europe. However, incidents like the IEU case raise questions about the adequacy of vetting procedures for foreign universities and the transparency of licensing processes.

Stakeholders argue that reforms are necessary to ensure that all universities operating in Malta meet rigorous standards of academic integrity, financial management, and student protection. Recommendations include mandatory external audits, public disclosure of compliance reports, and stricter criteria for licence renewal.

International students, in particular, face heightened risks when enrolling in newly established or temporary institutions. Without robust regulatory oversight, they may encounter issues ranging from financial loss to unrecognised degrees, potentially affecting career prospects and educational trajectories.

International perspective and regulatory comparisons

Comparisons with higher education regulatory frameworks in other EU countries indicate that Malta’s oversight mechanisms could benefit from strengthening. Countries such as Germany, the Netherlands, and Ireland maintain strict accreditation processes for foreign universities, including mandatory publication of audit results and clear channels for student complaints.

The MFHEA’s decision to withdraw the IEU licence meets wider EU standards for accountability, yet it also reveals delays in proactive regulatory enforcement. Observers suggest that aligning Malta’s procedures with best practices across the EU could enhance credibility and attract more international students in the long term.

Conclusion

The revocation of the International European University’s operating licence in Malta represents a critical step toward ensuring accountability in the country’s higher education sector. While the decision comes after prolonged delays and numerous student complaints, it highlights the need for strengthened oversight, transparency, and timely intervention.

As Malta continues to attract international students, the IEU case serves as a cautionary tale for both regulators and students. Ensuring that educational institutions operate ethically and within regulatory frameworks is essential for maintaining Malta’s reputation as a trusted destination for higher education.

The next phase will focus on the IEU’s potential appeal and the broader regulatory reforms that may follow, shaping the future landscape of higher education in Malta.

FAQs

What led to the revocation of the IEU licence in Malta?
The MFHEA revoked the licence following an External Quality Assurance Audit, which revealed operational deficiencies, amid years of student complaints alleging fraud and maladministration.

How long did the IEU operate in Malta before the licence was revoked?
The IEU operated in Malta from 2023 until 2025 under a temporary licence before the MFHEA revoked its operating rights.

Were the courses offered by the IEU accredited in the EU?
No, the programmes offered by the IEU were not recognised within the European Union, raising concerns about their legitimacy.

How did students report issues with the IEU?
Students submitted complaints to the MFHEA and the Ministry of Education, highlighting fraudulent courses and mismanagement, although many complaints went unanswered.

What is the IEU’s response to the allegations?
The university has denied all claims, calling them “false” statements made by disgruntled students.

Is there a legal process for the IEU to challenge the revocation?
Yes, the university has 20 days to appeal the MFHEA’s decision and present evidence or arguments in its defence.

Has the Maltese government commented on the situation?
Education Minister Clifton Grima has not issued a public statement regarding the revocation, despite ongoing criticism.

What impact does this have on international students in Malta?
The case highlights risks for international students enrolling in unverified institutions, emphasizing the need for stricter oversight and transparency.

How does Malta’s oversight compare internationally?
Compared to other EU countries, Malta’s regulatory response has been slower, though the revocation aligns with broader expectations for accountability.

What reforms could improve higher education regulation in Malta?
Experts suggest mandatory external audits, public disclosure of compliance reports, stricter licence criteria, and better mechanisms for student grievance redress.