MATS directors charged with €150,000 fraud and misappropriation
Magistrate postpones hearing of case against former official of Malta Air Traffic Services after court agrees that two cases should be heard in tandem
27 January 2014, 12:00am
Chris Mangion
Chris Mangion
2 min read
Former Malta Air Traffic Services Ltd CEO Lawrence Fenech and the company's former financial director Ian Falzon, will face charges of fraud and misappropriation of over €150,000 after an investigation by the Internal Audit and Investigation Department revealed the use of a government-issued Visa card for personal items with the receipts then used to claim cash-backs.
Prosecuting Inspector Ian Abdilla explained that the fraud and misappropriation took place between 2008 and 2010. "Police investigators have managed to confirm over €100,000 in abusive transactions but Malta Air Traffic Services Ltd (MATS), requested more time to conclude it's internal investigations", the inspector said.
The company's legal representative, Dr Alex Sciberras, said MATS needed around three weeks to conclude its case. In an attempt to recoup the misappropriated funds, the company had sent legal letters to the accused, proposing an out-of-court settlement. However following the arraignment of its two former officials MATS has now requested that its lawyers appear in parte civile in the criminal proceedings.
In a single year the former MATS officials spent over €92,000 on clothes, electronic equipment, cellular phones, jewellery, cruise trips and dining out. However the accused then used the receipts to re-claim in cash the amount paid by VISA. The Malta Air traffic Services Ltd is the government company which provides air navigation services at the Malta International Airport.
The Internal Audit and Investigation Department started its investigation in 2011 and in 2013 concluded there was indeed abuse of funds.
However when the case against former financial director Ian Falzon was called this morning, the defence lawyers claimed the two cases should be heard in tandem as the majority of the witnesses were common in both cases.
Agreeing with the request, Magistrate Aaron Bugeja held the company should be given time to conclude its financial investigations and postponed the case to 10 March.
Chris Mangion is MaltaToday’s photojournalist, joining the newspaper in 2013.
In 1995...
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This is just the tip of the iceberg. God only knows how many more scandals will be uncovered as we go along. No wonder Simon and his merry gang are doing their very best to hinder the Labour Government because the more scandals uncovered the less chance the NP has of getting back in power especilly if its high officials are found to be implicated in scandals.
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Dawn kienu jieklu mitt halq zgur xi tghid tan-Net? Micallef is going to raise any eybrows about this new scandal? The alleged fraud was know for two years but GonziPn took no action! Il-boccu se jitkaza xi ftit jew?
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Out of court settlement?
