An internal probe on the controversial expropriation of a Valletta property requested by Parliamentary Secretary Michael Falzon was nothing more than “a farce” since a thorough public inquiry had kicked in, the Opposition said yesterday.
The PN was reacting to the government’s statement yesterday that Dr Falzon, the Planning Parliamentary Secretary, had requested an investigation by the Internal Audit and Investigations Department (IAIU). Dr Falzon is responsible for public properties within the Office of the Prime Minister.
Pressure has been mounting over the case after this newspaper revealed the government had bought half ownership of a property in Old Mint Street for €1.65 million from Mark Gaffarena in two separate contracts.
The expropriation order for the second part of the property was issued a few weeks after Mr Gaffarena had bought the area, allowing him to make a profit of €685,000.
Dr Falzon’s move came after the Nationalist Party last Friday called on the Auditor General to investigate the deal.
The PN listed 18 points worthy of investigation and was signed by five members of the Opposition. This means the investigation automatically kicks in, according to the law.
The difference between the two investigations is that the IAIU is a department that falls under the OPM – it is therefore an internal inquiry with no obligation under law for the findings to be made public. The National Audit Office, on the other hand, is an independent institution that publishes its findings.
The NAO’s functions and powers are defined by the Constitution and it reports to Parliament. The IAIU reports only to Cabinet.
We have the OPM investigating the OPM
The PN criticised the call for the internal inquiry. “This is a scandal involving the OPM. Now we have the OPM investigating the OPM. This is a farce,” planning spokesman Ryan Callus said.
Shadow justice minister Jason Azzopardi pointed out this was the first time since the country’s independence that the Prime Minister has retained the Government Property Division (known as Land Department) under his portfolio.
“This is where the major scandals are happening, as evidence by what took place at Australia Hall, the Café Premier, and now this,” Dr Azzopardi said.
The Nationalist Party insisted yesterday the responsibility for the controversial expropriation rested squarely on the Prime Minister since public land fell under his ministerial portfolio.
“The Prime Minister can no longer try to shirk responsibility for the Old Mint Street scandal,” Dr Azzopardi said.
He added the Prime Minister could not claim transparency and then fail to reply to questions, such as those made by Times of Malta.
Dr Azzopardi stressed that by bragging it had accepted an investigation by the Auditor General, the government was attempting to mislead because, in reality, the law dictates the government had no choice. He said the PN had called for a more thorough investigation especially because insider information the leakage of information by a civil servant was tantamount to a crime.
The owner of the second part of the property sold to Mr Gaffarena told this paper the deal “stank”.
The government had never approached the family to acquire the area directly but had waited for Mr Gaffarena to acquire it before deciding to expropriate. He demanded justice.