The head of Malta’s cash-for-passports scheme has started job hunting as Brussels seeks to put an end to the controversial programme. 

Jonathan Cardona, the chief executive of the Individual Investor Programme Agency, plans to step down and has applied for a number of top posts in recent days. 

The move comes as the European Commission on Tuesday officially launched infringement procedures against Malta over the country’s controversial “golden passport” scheme, which critics say has been exploited by criminals.

Sources in Malta’s passports agency said there was a “feeling of despondency” among some senior staff who have their doubts the agency will exist for much longer given Brussels’ stand on the scheme.  

Cardona declined to comment when contacted. 

Jonathan Cardona.

The programme generated more than €800 million between its launch in 2014 and last July and has been credited by the government with filling the public coffers and helping the country stay afloat during the coronavirus pandemic.

Feeling of despondency” among staff

It has also been at the centre of controversy. Last month, former OPM chief of staff Keith Schembri was arrested over claims he accepted kickbacks from the sale of passports. He denies the claims.

Last month, Magistrate Natasha Galea Sciberras concluded a three-year long inquiry into claims that Schembri had received a €100,000 bribe from the sale of passports.

Shortly after the inquiry was concluded, the police took Schembri in for questioning, later releasing him on police bail. 

In court his lawyers have insisted the inquiry found no kickbacks, but the prosecution have said there are other matters of concern being investigated. 

The government recently announced an overhaul of the scheme. Individuals can no longer apply for citizenship without first being residents here for at least a year. The plan is for 400 citizenship applications to be approved per year, capped at 1,500 successful applicants in all.

European Commission vice president for values and transparency Vera Jourova said the action was launched “because there cannot be a weak link in EU efforts to curb corruption and money laundering. EU passports cannot be for sale”.

Sources said the commission has been in touch with the government over the scheme for months, with regular correspondence exchanged. 

Prime Minister Robert Abela has said he intends to defend the programme.