Court places men accused of cigarette theft and smuggling under bill of indictment

Three Freeport workers charged with the theft and smuggling of contraband cigarettes valued at €1.04 million were this evening placed under a bill of indictment.

Last Monday, 53-year-old stevedore Rocky Agius, 39-year-old Freeport security from Qormi, assistant Michael Sciberras, and 42-year-old senior customs assistant Annabile Grech from Zejtun, pleaded not guilty to the charges of theft of cigarettes valued at €1.04 million when excise duty, import duty and VAT are factored in. They were also charged with attempting to defraud the government of taxes.

The three men were allegedly caught on CCTV tampering with a container laden with cigarettes.

Police Inspector Rennie Stivala explained that the police had started their investigations into the alleged theft and contraband of cigarettes after a container was irregularly released from the Freeport and returned empty. The container was intended for transhipment.

Freeport, Customs and police officials analysed CCTV footage and subsequently arrested three men.

However, the defence lawyers said they wanted copies of all CCTV footage dating back from the arrival of the container in January to the time it was allegedly returned empty.

In his testimony, Freeport Chief Security Mario Zammit said that on 13th February at around 4:30pm, he was informed that a container had left the Freeport without its number matching documents.

"Upon being informed, I viewed the CCTV cameras and saw a stevedore get out from a truck and hand over documents to security officer Michael Sciberras. The two walked to the back of the container, checked the numbers and allowed the container to go through," he said while acknowledging that two men had followed the correct procedure.

Zammit also said that he recognised Sciberras because he knew him in person but failed to recognise the stevedore.

The witness also explained that on the same day, at around 7pm, Freeport CEO Aaron Farrugia informed him that the infamous container had actually been laden with counterfeit cigarettes.

"Yet the following day I was again informed that customs officers found an empty container inside the Freeport terminals, and its number matched that of the container shown exiting the gates the day before," he argued.

At the beginning of a three-hour sitting, an argument ensued regarding the salary of Michael Sciberras who despite not being put under preventive arrest is not receiving a salary. This was however disputed by a Freeport Human Resources officer who explained that any employee facing criminal charges would automatically go on vacation leave and stop receiving his salary.

"A collective agreement with UHM states that the accused will not receive a salary pending the criminal proceedings when he is under preventive arrest," the witness said while.

This resulted in the defence lawyers screaming abuse at the system adopted at the Freeport with Dr Lia describing it as obscene and Dr Dalli arguing that someone who is presumed innocent has ended without salary.

In his testimony, Anthony Busuttil, Director of Enforcement at Customs, said that the value of the cigarettes was €130,500. €675,000 was to be paid in duty and €75,000 in excise.

"We have benchmarking values depending on the brand and quantity. The law does not differentiate between counterfeit and real cigarettes," he said.

However, defence lawyer Gianella de Marco argued that counterfeit cigarettes are destroyed and no duty is ever paid on them as they are not released into circulation. She also claimed that no tax, duty or VAT was applicable to the cigarettes because they were intended for transhipment.

"In addition, during a previous sitting, witnesses claimed that the container had been 'lost' at least twice while being inside the Freeport terminals. After being retraced, the contents of the container were never re-checked," De Marco said.

On his part, the Customs' Director of Enforcement claimed that the value of the cigarettes was calculated on the assumption that the container was full, but could not confirm whether the container contained non-counterfeit cigarettes.

At the end of the sitting, the defence argued that the case was lacking in evidence against the accused.

"Nobody ever saw the cigarettes, the container leaving the Freeport had the blue pass pertaining to empty containers, and the amount of duty owed was worked on an assumed amount of cigarettes also assumed to be counterfeit."

"Duty is never paid on counterfeit items because they are not released from Customs. Furthermore the container was twice lost inside the terminal and again found empty inside the Freeport," the defence submitted.

However, in his decree, Magistrate Aaron Bugeja argued that for an accused to be placed under a bill of indictment the charges have to prove the existence of a probability that the offence was committed.

"Such probability exists and the court is thus placing the three accused under a bill of indictment," the Magistrate said.
 
Lawyers Paul Lia, Gianella de Marco and Veronique Dalli appeared for the accused.