Daphne Caruana Galizia public inquiry hears official who headed golden passport scheme

The Daphne Caruana Galizia public inquiry has heard the testimony of Jonathan Cardona who headed the Individual Investor Programme and Times of Malta editor Herman Grech

7 December 2020, 1:19pm
by Matthew Agius

1 min read

Daphne Caruana Galizia was murdered in 2017

A senior government official has reiterated that former justice minister Owen Bonnici had suggested Henley and Partners send a legal letter rather than file court proceedings against Daphne Caruana Galizia.

Jonathan Cardona, who headed the Individual Investor Programme, told the Caruana Galizia public inquiry that Christian Kalin from H&P had lamented during a meeting about the writings of the murdered journalist.

The company had threatened to sue Caruana Galizia in the UK. The journalist had uncovered an exchange of emails between Kalin, former prime minister Joseph Muscat, his chief of staff Keith Schembri and former justice minister Owen Bonnici, in which Muscat and Schembri did not object to the libel suit.

Cardona said that at a meeting with Kalin, in the presence of Bonnici, it seemed to him that the former justice minister was trying to de-escalate the situation when he suggested that H&P send a legal letter through the courts rather than open a court case.

Cardona's testimony confirms what Bonnici had told the inquiry board on the matter.

The second witness today was Times of Malta editor-in-chief Herman Grech, who testified about the aftermath of Daphne's assassination. He lamented the 'fake news' label used by politicians to try and discredit the media when it called out misdeeds.

The inquiry is tasked with determining whether the State did enough to prevent Caruana Galizia's murder.

Judge emeritus Michael Mallia is heading the inquiry board, accompanied by chief justice emeritus Joseph Said Pullicino and Judge Abigail Lofaro.

14:21 That's it for today. Thank you for following. Kurt Sansone

14:21 The next sitting is on Wednesday at 2pm and then Friday at 9:30am. Kurt Sansone

14:18 The questioning is over. Grech leaves the courtroom. Kurt Sansone

14:18 Asked whether he had any suggestions, he says that if politicians stopped the useless talk about ‘fake news’ it would help. “Fake news was coined by Donald Trump and it was imported into Malta. It is an effective way of elbowing journalism out of the way. People are following us more but we are being attacked more. On social media, we're like a punching bag,” Grech says. Kurt Sansone

14:17 Grech: “It happens. You have a story that goes from journalists to the news editor to the editor... these are levels of control. It happens everywhere in the world. Politicians have also tried to mislead every media house in Malta. Whether it comes out in public is up for discussion. There were attempts to spin the death of Daphne with regards to the culprit, but I don't think they succeeded.” Kurt Sansone

14:15 Said Pullicino asks about media houses being used by politicians. Kurt Sansone

14:14 Judge Mallia interjects: “This was when you are a powerful media house, Daphne was alone.” Kurt Sansone

14:14 Grech: “Today we are in a situation where the state is expecting the media not to exist. You ask the PM for an interview and yet despite being the largest media organisation in Malta we have not been granted one in four years. You end up being ignored and this is happening systematically. You are telling the people that the media is irrelevant. A Eurobarometer survey saying that the media is not trusted is published by the DOI. Is it the job of the State to tell the people the media isn't trusted? Are you serious? I spent two-and-a-half years fighting to have information on Vitals.” Kurt Sansone

14:11 Said Pullicino remarks that so was the board and it was being criticised for doing this. “There is a right to be informed and the obligation of the State to inform,” the judge says. Kurt Sansone

14:10 Grech says that journalists are united too. “There is resolve to get to the bottom of this [the murder]. Some are working long hours and taking large risks and going way beyond their call of duty and but there is a resolve to get to the bottom of the story,” he says. Kurt Sansone

14:08 Asked about the future of journalism in Malta, Grech replies: “I think some media houses will have to close. We will have less full time journalists and more social media commenters. They have every right to comment, but they don't know the damage they are doing to the profession. It is different getting both sides of the story and just giving an opinion.” Kurt Sansone

14:07 Grech says that aside from the COVID-19 wage supplement given to many media houses, which was the same amount to every newsroom, there was no other revenue. “I don’t like to say so but we are on the back foot when it comes to revenues… There are companies which still advertise with the Times but at the moment COVID decimated the situation completely.” Kurt Sansone

14:03 Mallia asks if there is a source of revenue from government. Kurt Sansone

14:02 Asked about the Institute of Malta Journalists, he says it had changed in the last 12 months and was truly giving a voice to journalists. “There is no money or premises for the IGM so they have limitations,” he says. Kurt Sansone

14:01 Grech says that last year someone from government told him to seek protection for himself and two of his journalists. He had spoken to the police for protection, and was told it was taken care of. Kurt Sansone

14:00 Asked about businessmen and the relationship with the Times, he says he had the privilege of being separate from the business side of the newspaper. “A businessman could threaten to remove advertising and I couldn't care less,” he says. Kurt Sansone

14:00 Grech: “Unfortunately not. Especially at the beginning. There is a lot of pressure for little reward.” Kurt Sansone

13:59 The board: “Are they paid well Kurt Sansone

13:59 He is asked how many journalists does TOM employ. “Around nine,” he says. Kurt Sansone

13:58 Daphne Caruana Galizia was an extreme case of violence, he adds. “I know journalists who suffered psychological threats – ‘I know your family did such and such a thing and I will go public about it’. There were also physical threats - one of our journalists was threatened directly twice on a legal issue. It is affecting them badly and we have had to take measures. Our work contains an element of danger.” Kurt Sansone

13:57 Grech says the newspaper is normally invited to press events, except in certain cases. “These included when ministers were under pressure and probably only pretended to have sent the invitations,” he says. Kurt Sansone

13:56 Grech says the ‘fake news’ narrative over the past years has been used by public officials whenever they disagree with what you write. “Mistakes happen but we try to fix them as soon as possible. They try and hurt you financially. I'm informed that there were instructions by the government not to advertise on TOM and advertising was withheld." Kurt Sansone

13:53 The board asks who is being indicated as such. “In this country, I don't think we have grasped the role of journalism as a public watchdog. Freedom of information requests take so long that you sometimes forget the story. The Vitals adjudication committee took between two and two-and-a-half years to be revealed through a freedom of information request and only after a court case,” Grech says. Kurt Sansone

13:51 Grech: “It was like a punch to the stomach. A wake-up call to our profession... the silver lining is that it united some of the community of journalists… Some government officials give the impression that we are the enemy of the state by acting as a public watchdog.” Kurt Sansone

13:50 He is asked what effect did Caruana Galizia’s murder have on Maltese journalism. Kurt Sansone

13:49 Herman Grech, editor-in-chief of the Times of Malta takes the stand next. He's been editor for 18 months and a journalist for 24 years, he says. He has always been at the Times of Malta. Kurt Sansone

13:48 The witness steps off the stand. Kurt Sansone

13:48 Cardona: “I'm not sure if it’s a minister or senior government official. But the concept was senior official or something like that.” Kurt Sansone

13:48 Azzopardi asks whether the contract signed with Henley, the concessionaire for the IIP scheme, stipulated that it could request a minister to represent the Maltese IIP abroad in roadshows organised by Henley. Kurt Sansone

13:47 Cardona: “I don't know. He was a consultant to the Maltese government and advising it. Only two or three people entered the discussion, including Owen Bonnici, the AG and another Maltese person. Everyone else was outside.” Kurt Sansone

13:46 Azzopardi: “Was he an advisor to Henley?” Kurt Sansone

13:45 Cardona: “Yes.” Kurt Sansone

13:44 He asks whether Prof. Kochenov was part of the delegation? Kurt Sansone

13:44 Lawyer Jason Azzopardi asks a question, after being warned not to ask political questions. Kurt Sansone

13:44 Judge Abigail Lofaro: “This will be decided by the board. This criticism hurts me.” Kurt Sansone

13:43 Lia: “What does this have to do with the terms of reference?” Kurt Sansone

13:43 Comodini Cachia says that she is very curious to see how people on the public dime can also do partisan political work. Kurt Sansone

13:42 The board tells them to stop with calling the questions “political”. “This is what it appears outside,” protests Lia. Kurt Sansone

13:42 Comodini Cachia wants to ask the witness if he can confirm whether he is the registered owner of Josephmuscat.com. Lia objects. “The usual political questions,” remarks lawyer Ramona Attard. Kurt Sansone

13:41 Cardona says this was before his appointment as CEO of the IIP programme. “I was present since I was head of secretariat, which dealt with EU affairs and there was an issue with the EU. I had to go to Brussels to represent the government to deal with these issues,” Cardona says. Kurt Sansone

13:40 Minutes were not kept of the meetings. If the minister is present they might have been kept by the minister's staff, but he didn't have any, Cardona tells the board. He adds that sometimes, Jorg Stefan, now CEO of H&P, would attend meetings. At the Castille meeting, Owen Bonnici and the Attorney General would be present. “I cannot recall the others,” he says. Kurt Sansone

13:38 Comodini Cachia refers to letters from Mishcon de Reya to Daphne Caruana Galizia, threatening legal action. Cardona says he did not know about them. Kurt Sansone

13:38 Cardona: “No. This is the first time I've heard of this.” Kurt Sansone

13:37 Comodini Cachia asks if Cardona knew that it was the UK lawyers who had told him that the foreign case was going to be difficult as the criteria of prejudice was not satisfied for UK law. Did the witness know of this advice? Kurt Sansone

13:37 Lia objects. He says he had received one. “Again, blowing it out of all proportion,” the lawyer suggests. Kurt Sansone

13:36 Lawyer Therese Comodini Cachia, appearing for the Caruana Galizia family, says that Owen Bonnici had testified differently. He had said he hadn't replied to the email. Kurt Sansone

13:35 The witness’s lawyer Lia: “My understanding is that everyone copies everyone else in emails and today it is being blown out of proportion.” Kurt Sansone

13:35 The witness cannot recall exactly, however, whether he was involved in any other email exchanges. Kurt Sansone

13:34 Cardona: “The probability was that I suggested to Owen Bonnici that a letter would be better than a case. It was just a couple of minutes, there was no lengthy meeting.” Kurt Sansone

13:33 Lawyer Pawlu Lia interjects: “Ask Kalin himself.” Kurt Sansone

13:33 It is noted that in their correspondence, H&P said they were going to file the case abroad. Mallia points out that it was Kalin himself who wanted to file the cases in the UK and had discussed it with the witness. Kurt Sansone

13:32 Cardona: “I don't remember. The spirit of the meeting was ‘don't go for a case, go for a letter’.” Kurt Sansone

13:32 The board: “Did you suggest Maltese lawyers?” Kurt Sansone

13:31 Cardona: “They did.” Kurt Sansone

13:31 The board: “Who suggested the UK lawyers?” Kurt Sansone

13:30 He is asked whether international legal firm Mishcon de Reya were appointed by Henley. “Yes, they are their lawyers,” Cardona replies. Kurt Sansone

13:29 Cardona: “Occasionally, a maximum of twice a year, Chris Kalin would come to visit Malta for a meeting with Owen Bonnici... in one of the meetings Kalin had lamented about the writings of Daphne Caruana Galizia and felt defamed. He expressed his wish to file libel. On his part Bonnici said that normally we send a letter before filing a libel. I felt Bonnici was trying to de-escalate the situation. As far as I know the case was not filed against anyone.” Kurt Sansone

13:27 The judge asks about emails regarding a defamation case against Jason Azzopardi and Daphne Caruana Galizia, which Kalin wanted to institute. The email was sent to former PM Joseph Muscat, his chief of staff Keith Schembri and then justice minister Owen Bonnici. Kurt Sansone

13:26 Cardona: “My relationship with him was a professional one. At the beginning as we set up there were exchanges as I was still learning what we needed to do. Other team members were Stewart McPeters and Mark Stanard.” Kurt Sansone

13:26 Cardona says he was introduced to Kalin around January of 2014. At the time, Cardona was head of secretariat of then deputy PM Louis Grech. Cardona says the subject had escalated into controversy and Kalin was introduced to him at Castille. He was with other people, he recalls. Kurt Sansone

13:24 Judge Michael Mallia asks him about his relationship with Christian Kalin of Henley and Partners. Kurt Sansone

13:24 He is asked what the Individual Investor Programme (IIP) is called today. Cardona says it has no name and is being wound down. Kurt Sansone

13:23 Cardona takes the stand and is administered the oath. At the moment, he is CEO of Community Malta Agency. A new agency set up two weeks ago which takes care of citizenship. Kurt Sansone

13:22 We're inside the courtroom. Lawyers Pawlu Lia and Ramona Attard are here assisting the first witness, Jonathan Cardona. Kurt Sansone

13:21 Good afternoon. Kurt Sansone

Matthew Agius is Senior Reporter on Law and Court Affairs at MaltaToday. He is also a Leg...