Malta’s grey-listing by the Financial Action Task Force (FATF) may have caught some on the wrong foot. The writing, however, has been on the wall for some time. The language of good governance does not have any meaning or significance to those who appreciate values only within the context of the skills required to handle a bank account.
Unfortunately, lurking in shadowy grey areas has been a favourite past-time for some, where they consider themselves as being quite at home.
According to reports in the media, the Internal Auditor at the Lands Authority, Charlene Muscat, has been side-lined, prevented from carrying out her duties and responsibilities for a number of months. She is now being redeployed elsewhere in the civil service. This follows her critical report on the Lands Authority.
Charlene Muscat, a former One TV reporter and former Labour Mayor of Mqabba was employed in order to ensure that proper internal checks and balances are in place thereby facilitating good governance at the Lands Authority. She has been obstructed from doing her work properly by being prevented from attending board meetings, and from having access to files. In a few words, someone, somewhere made sure that the Internal Auditor is rendered useless and ineffective. I have a personal understanding of what this means and feels, having been through it myself elsewhere.
This is another example of the double-talk of government and comes hot on the heels of the FATF grey listing. The Prime Minister Robert Abela whines and whinges about Malta’s grey-listing by the FATF, shedding many crocodile tears in the process. However, at the same time, his own government actively resists the implementation of transparent internal auditing processes, a basic prerequisite for good governance. Without good governance, transparency and accountability we will never get rid of grey-listing.
Set up in the wake of the Gaffarena scandal, the Lands Authority has quite a lot of pending explanations, as apparently, old habits die hard!
Former Lands Authority Chief Executive James Piscopo stepped down from his role less than a year ago after his contract was not renewed in the wake of a number of serious allegations in his regard. The economic crimes unit is apparently still investigating a number of offshore transactions of the former Air Malta purchasing clerk: a complex investigation which, once concluded, could possibly join a lot of dots, as a result placing more grey areas under the spotlight.
Readers may remember the dealings of the Fortina Hotel owners with the Lands Authority as a result of which public land made available to the Fortina developers in the past for tourism purposes is currently being redeveloped partly as offices and apartments. It is not so far clear as to who and how made it possible for subsidised public land to be available for speculation. A very grey area which the Lands Authority has a duty to be very transparent about.
In the grey shadows there are a number of interlocking commercial interests which I presume time and again appear on the computer screens of the Lands Authority internal auditor. Explanations have not been forthcoming yet.
When the Lands Authority was created, rising from the ashes of the former Lands Department, it was depicted as the long-awaited solution to the opaque internal secretive dealings involving land in public ownership. The Lands Authority would no longer have a king. Now it ought to be part of the republic! Its annual reports emphasise that it has a corporate philosophy grounded in the values of fairness, accountability and transparency. Really? The (former) internal auditor is definitely not convinced about that!
Carmel Cacopardo
ADPD Chairperson
Published in The Malta Independent – Sunday 4 July 2021
