Updated – Malta News Briefing – Wednesday 8 May 2024

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‘We will not accept this’ – Law students slam PM’s criticism of judiciary

Law students protested outsidethe law courts, criticising Prime Minister Robert Abela’s statements for allegedly pitting the judiciaryagainst the public. They argued Abela’s remarks suggested the government views the judiciary as opposingthe people, particularly in light of attacks following the Vitals inquiry report. The students were joined bypoliticians and activists, emphasising the importance of judicial independence. Abela’s thesis on judicialaccountability was cited, contrasting his past views with his current statements. The students rejected anyattempts by the government to undermine the courts and called for defending the rule of law. Theyhighlighted the complexities of judicial inquiries and urged respect for the judiciary’s role. Thedemonstration reflected concerns about political interference and the need to uphold the integrity of thejustice system. (Maltatoday)

EC authorises payment of €58.9M for Malta from Recovery and Resilience Facility

Malta has beenapproved by the European Commission to receive €58.9 million, the second installment from the Recoveryand Resilience Facility. The funds will support reforms in construction, waste management, justice, anti-corruption efforts, as well as investments in energy efficiency, transport, digitalisation, and healthcare.The total grant for Malta’s Recovery and Resilience Plan exceeds €328 million.

BOV’s Steward €36m Loan Questioned

Bank of Valletta declined to comment on the €36m loan to StewardHealth Care following its US bankruptcy filing. The bank cited client confidentiality but emphasised itsrobust due diligence processes. Questions arose about the bank’s role as a creditor and its efforts torecover funds. The Nationalist Party urged clarity from BOV, expressing concern for Maltese depositors andthe financial system. Taxpayers could be liable for the loan, which was backed by the government. Despiteassurances of loan repayments, Steward’s bankruptcy raises uncertainties, now under the jurisdiction of aTexas court. Steward’s tenure in Malta, taking over hospital concessions from Vitals Global Healthcare,ended amidst fraud allegations, confirmed by Maltese courts in 2023 and upheld on appeal in 2024,revealing collusion with government officials. (Times of Malta)

Morning Briefing

Joseph Muscat to be charged with money laundering, corruption and bribery – reports

Joseph Muscat, Malta’s former prime minister, along with his chief-of-staff Keith Schembri, ex-minister Konrad Mizzi, and 19 other individuals and entities are set to face charges including money laundering, corruption, bribery, and various other serious offenses. This marks the first instance in Maltese political history where a former prime minister will be held accountable for criminal charges in a court of law. The allegations are centered on a deal overseen by Muscat’s administration to privatize three state hospitals, a deal that was nullified by a court last year. Muscat, Mizzi, and Schembri are accused of offences such as money laundering, bribery, influence peddling, and establishing a criminal syndicate, among others. If convicted, they could potentially face jail terms of up to 18 years and fines reaching €2.5 million. Prosecutors requested a freezing order of €30 million against Muscat, Schembri, Mizzi and four others. (Times of Malta)

Muscat says charges against him are fabricated

Joseph Muscat has dismissed the charges leveled against him as “entirely fabricated.” Expressing his disbelief, Muscat remarked on his personal Facebook page, “If the accusations weren’t so grave, they would almost be laughable.” His response follows reports indicating that he, along with figures like Konrad Mizzi and Keith Schembri, will face charges related to money laundering, fraud, illicit enrichment, as well as conspiring to commit offenses carrying imprisonment terms exceeding four years and involvement in a criminal group comprising more than ten members. In his statement, Muscat expressed frustration at being accused of corruption, money laundering, orchestrating a criminal network, and allegedly gaining €30 million, emphasizing that he was not given an opportunity to present his side of the story before these accusations were made.(Maltatoday)

Abela, Grech react to developments

Reacting to developments, Prime Minister Robert Abela reiterated accusations at the Magistrate overseeing the Vitals inquiry, suggesting that the current state of affairs does not demonstrate justice being served. He has raised concerns about the timing of the inquiry’s conclusion, especially in light of the upcoming MEP and local council elections. Bernard Grech, leader of the Nationalist Party, urged voters to prioritize their homeland over criminals in the upcoming June 8 elections. He emphasized the need to vote for the PN to combat the mafia’s influence and corruption, particularly regarding healthcare and financial matters affecting Maltese and Gozitans. Grech highlighted the urgency of addressing these issues, surpassing other considerations like party support in local areas.

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