Adrian Hillman files counter protest accusing Allied Newspapers of making unfounded allegations

Former Allied Newspapers managing director denies making unauthorized payments

Adrian Hillman
Adrian Hillman

Former Allied Newspapers managing director Adrian Hillman has denied claims that he had made unauthorised payments from company funds.

Last week, the publishers of the Times of Malta and the Sunday Times filed a judicial letter calling on its former managing director to refund monies that they claimed he spent without authorization.

The call on their former managing director to repay the amounts spent – which allegedly included the unauthorized transfer to other bank accounts and the purchasing of cars using company funds – came after Hillman claimed unfair dismissal.

Hillman's reply, filed this morning by lawyer Prof. Ian Refalo, refuted the claims, describing them as unfounded. He also called on Allied Newspapers to cease and desist from propagating the allegations.

Hillman denied making unauthorised use of the funds and said that the type of transactions being impugned were regularly registered and approved by the auditors and the board, as well as during the annual general meeting. 

He also rebutted the charge that he would unilaterally or abusively award himself pay increases, saying that any pay rises he had received had been revealed to the board and approved by the company in its annual general meeting.

The reply said that the Board of Directors had been fully aware of all of Hillman's outlay and these expenses had not only been verified but also approved by the Board of Directors and the company.

Hillman resigned from the publisher when he was suspended in March after being named in the Panama Papers exposé. He had been listed as the shareholder and beneficiary of the British Virgin Islands-registered Lester Holdings Ltd and was subsequently suspended from his post, pending an internal inquiry. He has denied allegations that the company had been opened to hold kickbacks he allegedly received from the Office of the Prime Minister's Chief of Staff Keith Schembri. 

Hillman says that he is yet to see the inquiry's final report. In his reply, Hillman repeated his request that he be given a copy of the internal report that led to his dismissal.

Staff at Allied Newspapers are understood to have been called in for a meeting tomorrow to be given “an update” on the current situation, which was later postponed to Friday.