Gifts, financial transactions and payments key to Farrugia’s evidence

Oil trader George Farrugia, who has turned State's evidence to provide crucial evidence, could provide information that gifts, financial transactions and payments were made to a third person, temporarily lifting the pressure off transport minister Austin Gatt - even blowing the heat onto new faces.

MaltaToday is reliably informed that Farrugia's testimony on these transactions and gifts will widen the scope of the criminal investigation being carried out by the police, potentially embarrassing the government.

Their connection, if any, with the actual investigation on the kickbacks that former Enemalta consultant Frank Sammut is alleged to have received from Trafigura, whom Farrugia represented, is yet to be established.

Farrugia was granted a presidential pardon by the Cabinet to give evidence on the commissions Trafigura paid Sammut, over a US$ 4.4 million consignment to Enemalta, the state utility back in 2004.

Emails published by MaltaToday also suggest that George Farrugia informed commodities firms that Total and Trafigura of his meetings with then energy minister Austin Gatt. On his part, Gatt has categorically denied discussing any oil tenders with Farrugia.

The Labour Party has called for Gatt's resignation, claiming that he was politically responsible for any oversight at Enemalta at the time.

Since MaltaToday broke the story of Sammut's commissions, the owners of bunkering company Island Bunker Oils - former Enemalta chairman Tancred Tabone, Francis Portelli, and Anthony Cassar - have also been questioned.

The arraignment of the suspects has already been postponed until police collate more information from Farrugia, whose presidential pardon has been granted on conditions that he returns all illicit gains, pays a civil debt of €250,000, and give evidence that will lead to the prosecution of any suspects.

But Farrugia's evidence on payments and gifts to a third person may open up new 'investigative' avenues for the police that would mean the whole judicial process may be seriously delayed.

Farrugia is represented by advocates Siegfried Borg Cole and Franco Debono, the Nationalist MP.