The Malta Developers Association has expressed serious concerns about the practice of implicating private companies in magisterial inquiries initiated by third-party requests.
These inquiries frequently lack substantive remedies and inflict significant reputational damage on the entities involved, the developers said in a statement.
"While the MDA upholds the principles of the rule of law, it cannot endorse a system where an inquiry is triggered solely on the basis of unsubstantiated news reports, without the presentation of credible evidence to support such requests."
To ensure procedural fairness, the MDA called for the introduction of a formal mechanism that allows implicated companies to present their evidence and defend their position.
Despite the absence of any implication of guilt, these procedures often have profound commercial implications for companies that employ hundreds of individuals, while imposing no accountability on those who instigate unfounded allegations.
The MDA urged the government to implement comprehensive reforms to establish a system that is just, impervious to abuse, and aligned with the principles of fairness and accountability.
The statement follows a number of declarations made by the Prime Minister and minister calling for a reform in magisterial inquiries. Robert Abela said the manner by which lawyer and former MP Jason Azzopardi has been requesting magisterial inquiries regardless of whether the claims are true is tantamount to abuse.