Former Allied Group managing director Adrian Hillman spent the weekend in prison despite being granted bail during his arraignment because no banks were open for him or any of his relatives to obtain a bank transfer.
Hillman, 56, was charged on Saturday morning but he was only granted bail by Magistrate Doreen Clarke after 1pm when the banks had closed.
He was granted bail against a €50,000 deposit and a €100,000 personal guarantee.
Sources said the court registry only accepts cash deposits of up to €5,000, down from the maximum of €11,000 accepted until the rules were changed last week.
With banks closed, Hillman could not obtain a bank transfer before Monday when the matter was processed and the bail deposit paid in court before he was released from jail.
Legal sources said the system was “flawed” because anyone arraigned any time after 2pm, when the court registry closes, and who is granted bail against a deposit that exceeds €5,000, is guaranteed a night at Corradino Correctional Facility.
If the person is arraigned on the weekend, bail deposits can only be processed by the bank on a Monday and sometimes delayed by another 24 hours.
Only granted bail after 1pm when the banks had closed
“The system needs to change and be updated,” one legal expert said when contacted for his views on the matter.
The court registry also accepts cheques from a defendant’s lawyer but few lawyers are ready to run that risk. It is worse if it happens to be a legal aid lawyer.
Hillman stands charged with money laundering, fraud and other crimes, flagged by a magisterial inquiry that kicked off in 2017. He was escorted to court the morning after his return to Malta on Friday, on the strength of an extradition request upheld by the UK authorities.
He is pleading not guilty to financial crimes including money laundering, criminal conspiracy, fraud to the detriment of Progress Press Ltd and Malta Enterprise, making a false declaration to a public authority and accepting bribes.
The charges span a term between 2005 and 2019 when Hillman was managing director at Allied Newspapers Ltd and chairman of Progress Press.
He pleaded not guilty in his personal capacity as well as on behalf of Natworks Overseas Ltd and Lester Holdings Group Ltd.
The defence team, led by lawyer Stefano Filletti, had made a strong case for Hillman’s release on bail, rebutting the prosecution’s objections which pivoted mainly upon the perceived risk of absconding as well as the risk of tampering with evidence.
Magistrate Clarke upheld this request, although Hillman was not released from custody until yesterday when the monetary matter was settled.
The magistrate also imposed other conditions, including a prohibition against being within 100 metres of any shore or airport – although he was ordered to sign the bail book daily at the St Julian’s police station, which is a stone's throw away from the bay. He must stay indoors between 10pm and 7am.
The legal sources said foreigners, even EU citizens, are worse off since bank transfers from jurisdictions abroad take longer than those involving Maltese banks.
They also said that those facing money laundering charges and who have assets frozen on a request by the prosecution cannot even use their own money to bail themselves out and invariably need to rely on relatives to cover the deposit.