The police are investigating two parents suspected of misappropriating donations meant to fund their child’s costly medical treatment.
Sources at the police’s Financial Crime Investigation Department confirmed that over the past year, they have been investigating the suspected misappropriation of tens of thousands of euros in charitable donations.
The case, described as “high-profile”, is linked to the parents of a young child diagnosed with a life-threatening illness who are believed to have misappropriated donations meant to finance overseas medical treatment.
However, investigators say that because the donations were made in small cash amounts, it is proving difficult to build a criminal case against the suspected fraudsters.
“We are talking about donations to individuals raising money. So, one has to prove that the cash donated was not used for that specific purpose.
This isn’t like when you have a contractual agreement that is not honoured
“This isn’t like when you have a contractual agreement that is not honoured. Some gave €2, €5, others €100,” a senior officer said.
“But there is no account to check this against.”
The sources said the parents had claimed they need funds to finance their child’s medical treatment in the UK, however, it turned out that most of the treatment was provided free of charge.
Their accommodation and travel to the UK was also largely financed by NGO Puttinu Cares.
It is understood that while a part of the donations made to the family did indeed go to cover some of the overseas treatment and living costs, the police are looking into financial transactions linked to sports betting as well as a relatively large cash purchase made by the child’s parents.
It turns out that this is not the first of such cases probed by the police in recent years.
Times of Malta’s sources said two similar cases had also been flagged to the police in the past five years after suspicions of irregularities were raised by donors and the regulator of voluntary organisations.
The cases, however, fell flat because the police were unable to gather strong enough evidence.
The country’s charity laws were cast in the spotlight recently after the government decided to redraft an attempt to close legislative loopholes that could make NGOs and charities vulnerable to money laundering.
The rules, described as excessive by concerned NGOs, would have required charity groups and individuals to seek the approval of the commissioner of voluntary organisations in various steps involved in raising funds.
Apart from having to apply for a permit, which would expire after just six months, those seeking to use donation boxes for collections would need to pick them up from the office of the Malta Council for the Voluntary Sector and return there to count the money under supervision.