Screwed by their notary: Victims remain in limbo despite ombudsman's recommendation

Disbarred notary Thomas Vella is currently serving prison time after admitting to misappropriating the funds entrusted to him by 85 clients.

Having been charged in 2019, Vella had initially denied the accusations, but in November 2024 changed his plea. He was eventually convicted, fined €150,000 and the court ordered the confiscation of €661,000.

Vella, son of the late former Judge Patrick Vella who was also jailed after taking bribes in 2007, was also the notary who published the Vitals Global Healthcare contract for the three state hospital.

Last week, Vella was ordered by a court to repay almost €33,000 to a woman who had entrusted him with funds for the purchase of an apartment in Senglea. It was yet another case of misappropriation by the disgraced notary.

But while he serves time, on the outside his victims have been left scrambling to secure the properties they thought had been registered in their names.

Association for Consumer Rights Malta President and a victim of Vella’s herself, Pauline Azzopardi, spoke to MaltaToday about the uphill battle she and others like her face in the wake of Vella’s scam.

Ombudsman recommendation ignored for years

In 2023, the Ombudsman agreed that victims who had paid their dues in line with the law should be allowed to register their property. The formal opinion recommended that those who had handed over tax payments in good faith to a public notary acting as a state intermediary should not be forced to pay again.

The Ombudsman also recommended that the ministries involved and the Office of the State Advocate, hold discussions about these situations with the Notarial Council so as to introduce legal provisions and policies that provide more robust protection for the service user.

“Online systems whereby tax and duty payments are made directly to the department on the same day of the publication of the contract, with the consequent registration of the deed should be considered, as this would provide contracting parties with an instant confirmation that the amounts due to the public exchequer have been in fact passed on to the CFR,” the recommendation read.

The opinion was transmitted to parliament. To date, it has not been acted upon.

Victims and their representatives have held talks with the government notary and a number of ministers, but to no avail.

Many families now face what they describe as an extraordinary demand—pay stamp duty and property transfer tax a second time, despite having already paid these sums.

‘Scared to pass on problems to my kids’

Pauline Azzopardi, a client of Vella’s, realised something was wrong about a year and a half after moving into her new home.

“I wasn’t aware I would need to receive a receipt from the Inland Revenue that I had paid the tax,” she said.

The notary had been recommended to her. “I never suspected anything wrong. He was always nice to us, always really helpful, and really charismatic.”

With properties still registered on the former owners, the majority of victims have been left at their mercy. They also face the reality of having to either re-pay the tax which was never passed on to the tax authorities by the disgraced notary, or hope the government allows them to register the property without paying again.

Azzopardi said she has to pay €24,000 (€8,000 owed by her, and €16,000 by the property’s owner) in order to register the property to her name.

She does not want to pay the sum again, hoping government intervenes to solve the issue.

“What scares me is passing on my troubles to my children. They are obviously worried about me,” she said.

Meanwhile, the seller continues to chase her for confirmation that the issue has been settled.

Two properties for the price of one

Nicky Psaila Savona signed a promise of sale in 2018 and the final contract in 2019.

He had known the notary personally. “He was a friend, and we had collaborated on a number of projects,” he said. “Work appeared to be normal, and he was always his normal self when we met.”

Delays first emerged during notarial searches, which he said had taken longer than usual.

But irregularities surfaced when the final contract was signed. “The property description was wrong. When I faced him with the issue, he quoted some part of the law in Latin to justify it. I’m no lawyer or notary, I’m not going to keep hounding him over it.”

It later emerged the notary had also included the property above the maisonette he had purchased, effectively placing two properties in his name. Acting in good faith, Psaila Savona relinquished the additional property.

Psaila Savona had paid the tax he was due and the seller had provided a bank draft for the remaining amount. However, the draft was found in a drawer at the notary’s home when police raided the property. It had never been deposited with the tax authorities.

Eventually, Psaila Savona had to repay €8,500 and spent a year correcting and settling his position, paying over and above that amount.

“We were friends. We used to eat out together,” she said. “He screwed his own friends — even his best friend since he was five years old.”

Victim forced to come out of retirement

Another victim who chose to remain anonymous was living abroad at the time the purchase was made.

She had chosen to invest in the property using money she had saved during her time working abroad, but things quickly turned south.

Around a year after she bought the property in 2017, the police had reached out to inform her of Vella’s situation.

She had initially paid around €20,000 to Thomas Vella, but having to re-register the house again, she had to pay a further €23,000.

“I feel stupid, angry, duped and mad all at the same time. I just paid out the money because I wanted the ordeal to be over,” she said.

The victim ended up re-selling what should have been the retirement home of her dreams.

“I just couldn’t bear the bad memories that came with it, and I sold it,” she said.

Calls for government to step in

As victims continue searching for a solution to the long-drawn saga they have faced for almost a decade, they are looking towards the government for help. So far, it’s been all in vain.

Despite the Ombudsman’s recommendation, and meetings with ministers and the notary to government Keith Francis German, victims remain in legal limbo.

They are arguing government should allow them to register the property without having to pay their tax dues again.

The consumer association insists Thomas Vella was a public notary acting as a state intermediary, and therefore the state should take that context into consideration.

“We are still seeking an amicable solution and have proposed practical safeguards, including a temporary redress mechanism for existing victims, the creation of a Notarial Compensation Fund, and the introduction of a dedicated Inland Revenue account so that property taxes are no longer paid through notaries,” Pauline Azzopardi said. “Every year, our Association’s AGM approves consumer protection resolutions. One such resolution specifically addresses payment systems to prevent notarial fraud—an issue that has already cost consumers millions of euros.”