‘No indication of collusion’ between law firm, minister on IIP’
The Office of the Regulator of the Individual Investor Programme has found “no indication of collusion” between a law firm and a minister as alleged during a French television programme.
The government yesterday published the full report of the Office of the Regulator of the Individual Investor Programme, following a request on 23 September 2019 for an investigation into the allegations reported by the investigative programme Enquête Exclusive regarding the Maltese Individual Investor Programme.
The French programme reported an alleged interview with a Maltese agent. Immediately after the programme aired, the licence of the Maltese agent, Chetcuti Cauchi Advisors, was suspended pending investigations.
Parliamentary Secretary Julia Farrugia Portelli welcomed the detailed analysis of the report and the resulting conclusions, a statement issued by the Department of Information said.
The report states: “There was no indication of collusion between the Agent and the responsible Minister (or with the Agency) or that the former, at any point, since the start of the programme, had ever received any preferential treatment. The allegation that the Agent enjoyed a hundred per cent success rate was incorrect since it was calculated that 16 per cent of his applications were not approved. There was also no evidence that the agent had attempted to find a way around the selection criteria. Nonetheless, if this were to be the case, the stringent checks and balances, which are in place, would have ensured that such attempts would be futile.”
The report claims that “in particular no applicants with a criminal background were ever included in an application presented by the Agent.” More specifically, in Observation 8, the report states: “A thorough analysis of all applicants revealed that this was not the case and that none of the applicants (forming part of applications presented by CCA) ever had any criminal records. When considering all vetted applications (i.e. including those submitted by the other Agents), the Oriip is aware only of one incident, when the main applicant had a criminal record. The Agent in question was not CCA and the application was refused outrightly.”
The report concludes: “Therefore, if the allegations made by the presenter/narrator of the French programme in relation to statements/declarations by CCA are ultimately proven to be true, then the Oriip can only conclude that the Agent (CCA) could be charged with disseminating totally misleading information for reasons best known to him, probably by way of an insensible sales promotion as a result of which a) the Individual Investor Programme was unduly put in very bad light both locally and b) the persons referred by CAA in the reported interview – i.e. the Prime Minister, Minister Owen Bonnici and Parliamentary Secretary Julia Farrugia Portelli – were grossly slandered.”
With immediate effect, Parliamentary Secretary Farrugia has ordered an analysis of the recommendations put forward in the report, the statement said.
Report does not deny revelations - PN
The PN, in a statement, said that the report does not deny what was revealed by the French journalists, that the legal firm was caught boasting it had ties and influence over the prime minister and other ministers.
“This all amounts to trading in influence, about which a few days ago Magistrate Caroline Farrugia Frendo ordered the launch of an inquiry. The regulator’s report in no way rejects that the firm involved was given preferential treatment by the PL government, given the adverts that were filmed within the Office of the Prime Minister and the involvement of Parliamentary Secretary Farrugia Portelli.”
“It doesn’t even deny the large number of cases that were revealed regarding people who purchased Maltese citizenship and are facing serious accusations of crimes, among which are fraud, money laundering, and tax evasion,” the PN said. “These cases nullify this government’s boasting that persons who purchase citizenship are passing through the best due diligence process.”
“The report also highlights that the law for citizenship makes it possible for persons with a criminal record to purchase citizenship,” the PN added.