Updated | Mario de Marco turns the tables on Mabel Strickland’s nephew, who seconded Hillman's appointment

A minority shareholder in Allied Newspapers is calling on company directors and members of the Strickland Foundation to shoulder responsibility for the misdeeds of two ex-directors.

Robert Hornyold-Strickland said he will be seeking legal advice as to how the company, which publishes the Times of Malta, can recoup the money it was defrauded when it bought the new Mrieħel printing press.

Hornyold-Strickland, who has a 13% shareholding in Allied Newspapers and is the nephew of Mabel Strickland, was reacting to charges of money laundering filed last week against former managing director Vince Buhagiar and several others, including former OPM chief of staff Keith Schembri.

However, in a rebuttal (see below) Mario de Marco, a member of the Strickland Foundation, said Hornyold-Strickland had seconded a motion to appoint Adrian Hillman managing director back in 2012. Along with other shareholders, Hornyold-Strickland had also voted for Hillman's appointment.

The case revolves around the purchase of a new printing equipment by Progress Press from Schembri’s Kasco Group. In court, the prosecution said that Progress Press was defrauded to the tune of €5 million with the profit going into the personal bank accounts of Buhagiar, former Allied Newspapers managing director Adrian Hillman, Schembri and Kasco director Malcolm Scerri.

READ ALSO: Bribery disguised as commissions, court hears in case against former Allied Group chief Vince Buhagiar

In a statement, Hornyold-Strickland insisted that all those within Allied Newspapers involved in the appointment of the two directors accused of wrongdoing should shoulder responsibility.

“If these allegations are proven, then I believe that all those who sat on the boards of Allied and Progress at the time these decisions were taken should be tendering their resignations as should the Council of the Strickland Foundation who elected Mr Hillman in the first place,” he said, adding his aunt would be “rolling in her grave”.

He describes the Strickland Foundation as “arcane” with structures created by the de Marco family, now represented by Nationalist MP Mario de Marco, a close friend of Hillman.

“For many years, I have been concerned about certain members of the management team at Allied Newspapers, and yet few people have actually wanted to listen to my concerns.  Finally, it seems I am being vindicated.  Those close to me, and personal friends, have been very supportive when they understood the real story of Mabel’s stolen legacy,” he said.

Hornyold-Strickland claims to be the sole heir to Mabel Strickland and has been contesting in court the Strickland Foundation’s ‘capture’ of the Allied Group.

He added that minority shareholders were never allowed to see the internal report concerning Adrian Hillman that was commissioned in 2016 soon after Daphne Caruana Galizia revealed his secretive offshore structures and financial links to Schembri.

“Seen from outside, as a mere minority shareholder in Allied at the moment, the method by which Directors are chosen and the purchase of the printing machinery are merely two of a number of issues that I had raised questions about.  I have also questioned the financial probity of some past Directors of Allied and members of the seemingly arcane Strickland Foundation that controls the newspaper group.  We, as minority shareholders, have never been allowed to see the internal Adrian Hillman report although we were expected (indirectly) to pay for it. This is a scandal,” he said.

READ ALSO: Progress Press defrauded of millions by two of its own directors and Keith Schembri

Mario de Marco rebuts: ‘Robert had seconded motion appointing Hillman’

In a pointed reaction, Mario de Marco said Hornyold-Strickland had in 2012 seconded the motion for the appointment of Hillman as managing director of Allied Newspapers.

The motion was presented to the general meeting of Allied shareholders and was approved “unanimously by all the members present, including Robert Hornyold-Strickland”, de Marco said.

The PN MP said he was not present for this general meeting and insisted that contrary to the impression given, he is not and was never, a director of Allied Newspapers or Progress Press.

“Unfortunately, Mr Hornyold-Strickland is using the current grave circumstances impacting the Allied organisation at which we are all angered to take a cheap shot at the Strickland Foundation, my family and myself because of his long-standing feud with the same,” de Marco said in a statement released on Monday afternoon.

He explained that he is a member of the Council of Administration of the Strickland Foundation to which he was appointed in July 2009. The council has five members and is currently chaired by retired human rights judge Giovanni Bonello.

De Marco insisted that Hillman and Buhagiar were appointed in their respective positions within Progress Press years before his appointment to the Strickland Foundation council.

De Marco added that contrary to the impression Hornyold-Strickland tried to portray, he was not involved as a lawyer in negotiations for the purchase of the machinery at the centre of current criminal proceedings.

He also underscored that the courts have disagreed with Hornyold-Strickland’s interpretation of Mabel Strickland’s will. The minority shareholder lost his case but has appealed.

Allied Newspaper distances itself from feud

In a separate statement, Paul Mercieca, chairman Allied Newspapers, dismissed Hornyold-Strickland’s statement insisting the issue concerned the Strickland Foundation and the minority shareholder.

“I am very disappointed at the timing of this statement by a minority shareholder and I deem it to be totally inappropriate given the current circumstances,” Mercieca said.