Updated 6.45pm with Peter Agius' comments
The European Anti-Fraud Office (OLAF) did not find any evidence of fraud or irregularities in the way the developer of the Corradino site that claimed the life of Jean-Paul Sofia used funds for a farm in Naxxar.
In March, MEP Peter Agius reported Kurt Buhagiar for alleged fraud of EU funds.
He claimed Buhagiar used €360,000 of EU funds to construct a villa in Naxxar despite having applied for the money to build a goat farm.
The MEP alleged that between 2017 and 2022, Buhagiar benefitted from three injections of EU funds which were used to “construct a private residence and ancillary holdings under the guise of a goat farm".
Agius had also claimed that close links between Buhagiar and authorities had allowed the developer to receive the maximum European agricultural funds available that were managed by the Malta Managing Authority.
On Wednesday, OLAF said it had completed its investigation into possible irregularities in the implementation of projects financed by the European Agricultural Fund for Rural Development by farmer Buhagiar.
It said the investigation focused on but was not limited to the building of a goat farm in Naxxar and its upgrade.
"Having completed all necessary investigation activities, the Director-General of OLAF decided to close the investigation without recommendations for actions to be taken, given that the investigation did not establish any evidence of fraud or irregularity affecting the financial or other interests of the European Union."
Lawyers Franco Debono and Arthur Azzopardi assisted Buhagiar.
Along with fellow Corradino developer Matthew Schembri, Buhagiar faces criminal charges of involuntary homicide in relation to the collapse of a timber factory development in Corradino in December 2022 that buried six people and killed 20-year-old Sofia.
'I will continue fighting corruption': Peter Agius
Racting, Agius said OLAF found sheep in "Buhagiar’s farm with a villa in ODZ after my report".
"The question we should all ask is whether a property developer with several industrial and residential projects should be the beneficiary of EU funds for farmers when hundreds of genuine applicants never get any funds," he added.
A recent call for funding ended up with several farmers empty-handed while government agencies netted €5 million in EU funding, Agius said, adding that Buhagiar got maximum funding in three calls, benefitting from €140,000, €135,000 and €65,000 EU fund injections for his private investment.
"The allegations on Buhagiar outed in the media and the Sofia inquiry months ago should have been investigated way back by Maltese authorities, and not now after my initiative.
"I will continue fighting corruption using new methods, including in collaboration with OLAF, the European Prosecutors Office and by using technical tools in EU legislation."