Malta Ex-PM, Top Officials in Sweeping Corruption Probe

Malta’s former premier Joseph Muscat, the current deputy premier and the central bank chief have been charged in a hospital privatisation scandal that has rocked the Mediterranean island nation.

Muscat and one of his ex-ministers, Konrad Mizzi, have been charged with accepting bribes, corruption in public office and money laundering, according to documents obtained by AFP late Tuesday.

It is the first time a former premier will face criminal charges in court. Muscat has rejected the allegations as “fantasies”, saying he is the victim of a “political vendetta”.

Deputy Prime Minister Chris Fearne who had been tipped to be Malta’s next European Commissioner — and former finance minister Edward Scicluna currently governor of the Central Bank of Malta were also charged with fraud, misappropriation and fraudulent gain.

Muscat’s former chief of staff Keith Schembri has been charged with money laundering, soliciting bribes and abuse of office to exact an unlawful advantage “through threats or abuse of authority”.

The charges were filed on Monday after a long-running investigation that has shaken Malta’s political establishment.

It dates back to the decision by Muscat’s Labour government in 2015 to pass management of three public hospitals to a private company, Vitals Global Healthcare.

The company had no healthcare experience and after 21 months it sold the concession to another company, Steward Health Care, without having made the investments promised.

Following a challenge by the opposition Nationalist party, a court last year annulled the privatisation deal, finding evidence of fraudulent behaviour.

A criminal investigation was launched in 2019. It concluded last month with the magistrate recommending that charges be brought.
 Prime Minister Robert Abela — who succeeded Muscat as Labour Party leader — has also raised doubts over the investigation.

He has questioned the timing of the charges — one month before European Parliament elections — and suggested “the establishment” were seeking to “steal the sovereignty” of Malta’s leadership.