ADPD reiterates call for Scicluna to resign over FATF greylisting

Malta’s Green party ADPD has insisted that Central Bank governor and former finance minister Edward Scicluna has to bear political responsibility for the institutions that were supposed to have fought money laundering, after Malta’s greylisting by the Financial Action Task Force.

Scicluna was made Central Bank governor after resigning from the House, making way for the co-option of his replacement, finance minister Clyde Caruana.

“Such appointments send a clear message: that there is no seriousness in the leadership of the country. Government should embark on a deep and proper clean up instead of shedding crocodile tears. We are still waiting,” said ADPD chairperson Carmel Cacopardo.

Addressing the press outside the Office of the Prime Minister, Cacopardo acknowledged that many decisions had been taken in recent months to strengthen the country’s regulatory framework against money laundering and organized crime.

But Cacopardo said he not convinced these decisions were taken to strengthen the integrity of the system.

“There is still doubt as to whether what has been done is merely a reaction to the sensitivities of the international community. Unfortunately, the country is used to weak institutions by design.

“The fact that the police suddenly started taking action in cases of money laundering does not detract from the fact that for years the police force was prevented from acting as several of its officers were in the pockets of criminals. It is this that has led to zero enforcement for many years. What until recently was just a suspicion nowadays is confirmed. We know the names of those involved.”

Cacopardo also pointed out that the entire Labour parliamentary group had refused to condemn Konrad Mizzi and Keith Schembri for their involvement in the Panama Papers scandal.

“Instead of sending a strong message in favour of seriousness, Parliament chose to defend white collar crime. Unfortunately, the action against money laundering came late. The criminal complicity of the government and the institutions involved in all this has seriously damaged the economy and society. It is those at lower income levels who will feel most of the negative impacts of all this. They need our empathy and protection.”

Cacopardo also called out both the government and the Opposition for their national consensus on international tax avoidance. “The sale of the citizenship scheme has further contributed to the breakdown of Malta’s reputation as a trustworthy jurisdiction. Malta’s reputation has been destroyed over the years. The message out there was that government protects financial crime and criminals.”