• Home
  • News
    • People moves
    • Africa
    • Asia
    • Australia
    • Canada
    • Caribbean
    • Domicile
    • Europe
    • Latin America
    • North America
    • Middle East
    • US
    • US
    • UK
  • Products
    • Funds
    • Pensions
    • Platforms
    • Insurance
    • Investments
    • Private Banking
    • Citizenship
    • Taxation
  • Fintech
  • Regulation
  • ESG
  • Expats
  • In Depth
  • Special Reports
  • Directory
  • Video
  • Advertise with us
  • Directory
  • Events
  • European Fund Selector
  • Newsletters
  • Follow us
    • Twitter
    • LinkedIn
    • Newsletters
  • Advertise with us
  • Directory
  • Events
    • Upcoming events
      event logo
      International Investment Nordic Forum 2021

      International Investment is delighted to announce the 2021 International Investment Nordic Forum which will take place on Tuesday March 9, at 9am (GMT). This curated virtual event will be broadcast live and will feature a series of fund manager interviews and presentations, as well as interviews with some of the Nordic regions top fund selectors.

      • Date: 09 Mar 2021
      • ONLINE, ONLINE
      View all events
  • European Fund Selector
International Investment
International Investment

Sponsored by

Sharing Alpha
  • Home
  • News
  • Products
  • Fintech
  • Regulation
  • ESG
  • Expats
  • In Depth
  • Special Reports
  • Video
  • Regulation

Malta police arrest former PM's chief of staff in golden passports scandal

Malta police arrest former PM's chief of staff in golden passports scandal
  • Pedro Gonçalves
  • @PeterHSG
  • 25 September 2020
  • Tweet  
  • Facebook  
  • LinkedIn  
  • Send to  

Malta police arrested Keith Schembri, who was the chief of staff of former Prime Minister Joseph Muscat, early on Tuesday as part of an investigation into money laundering of funds derived from kickbacks on sales of Maltese passports.

Schembri was arrested shortly after midnight on Tuesday, hours after a court issued a wide-ranging order for all his assets and those of his family and companies to be frozen. Being questioned alongside Schembri is the high-profile Maltese accountant Brian Tonna, and one of his associates, who are also subject to the same freezing order. All three men deny wrongdoing.

Related articles

  • EU lawmakers urge Malta to investigate money laundering allegations
  • Maltese authorities seize control of Pilatus Bank
  • Panama Papers journalist killed by car bomb in Malta
  • Head of Malta's regulator resigns following expenses scandal

Malta started selling passports to wealthy foreigners in 2014, with strong take-up mostly from rich Russians, Chinese and others in the Arab gulf.

Finally, things are moving in the fight against corruption in Malta"

Schembri resigned from his position as the prime minister's top adviser in November, shortly before Muscat announced he too was stepping down.

It was alleged in a 2016 report by a government agency, Malta's financial intelligence analysis unit, that Tonna had taken payments from three Russians acquiring Maltese passports, and passed €100,000  from these funds to Schembri via a British Virgin Islands screen company belonging to the accountant. Tonna has previously denied all wrongdoing, claiming the transfer was the repayment of a loan from Schembri.

"Finally, things are moving in the fight against corruption in Malta," said German MEP Sven Giegold, from the European Green Party.

However, he added that "impunity for money laundering and corruption is systemic. Malta needs fundamental institutional reforms to strengthen the rule of law".

European Commission President Ursula von der Leyen recently declared that the practice of "golden passports" was against EU values.

For years, Maltese investigative journalists including the late Daphne Caruana Galizia who was assassinated by car bomb in 2017, have been publishing details of Schembri's alleged kickbacks. They reported that he took some €100,000 on passport sales facilitated through his auditor Brian Tonna who has also been arrested.

The former chief of staff has also been implicated in the murder of Caruana Galizia. He was arrested in connection with the case but then released. Police say he is still a "person of interest".

 

Subscribe to International Investment's free, twice-daily, newsletter

  • Tweet  
  • Facebook  
  • LinkedIn  
  • Send to  
  • Topics
  • Regulation
  • Malta
  • EU

More on Regulation

Woodford founders voiced concerns to FCA in 2015: reports

  • Regulation
  • 01 March 2021
FCA hands £3.4m back to unauthorised investment scheme victims

  • Regulation
  • 24 February 2021
EU removes Barbados from blacklist of 'non-cooperative' jurisdictions

  • Regulation
  • 23 February 2021
Jersey regulator fines three firms for breaching money laundering rules

  • Regulation
  • 17 February 2021
FCA partners with Jersey regulator to probe new Woodford venture

  • Regulation
  • 17 February 2021
Back to Top

Most read

EU removes Barbados from blacklist of 'non-cooperative' jurisdictions
EU removes Barbados from blacklist of 'non-cooperative' jurisdictions
Global UHNWI population to grow by 27% over the next five years: Knight Frank
Global UHNWI population to grow by 27% over the next five years: Knight Frank
Amati Global Investors launches strategic metals fund
Amati Global Investors launches strategic metals fund
Aviva announces exit from Turkey
Aviva announces exit from Turkey
Aviva approves sale of its French business for €3.2bn
Aviva approves sale of its French business for €3.2bn
  • Contact Us
  • Marketing solutions
  • About Incisive Media
  • Terms and conditions
  • Policies
  • Careers
  • Twitter
  • LinkedIn
  • Newsletters

© Incisive Business Media (IP) Limited, Published by Incisive Business Media Limited, New London House, 172 Drury Lane, London WC2B 5QR, registered in England and Wales with company registration numbers 09177174 & 09178013

Digital publisher of the year
Digital publisher of the year 2010, 2013, 2016 & 2017
Loading