The head of the Privatisation Unit testified that he never found as many obstacles in his work as he had when the government planned to privatise the Mediterranean Offshore Bunkering Corporation (MOBC).

Emmanuel Ellul, who has headed the unit since 2000, was testifying in the compilation of evidence against Cassar Ship Repair chairman Tony Cassar and Virtù Ferries director Francis Portelli, who have been charged with corruption, money laundering and complicity in trading in influence through their involvement with Island Bunker Oils Ltd.

According to the prosecution, then-MOBC chief executive Frank Sammut and chairman Tancred Tabone were silent partners in IBOL, with the two accused concealing their interest. Mr Sammut and Mr Tabone have also been arraigned: the two men also face charges concerning allegations of corruption in oil procurement at Enemalta.

The prosecution also argues that IBOL was set up to benefit illicitly at MOBC’s expense: it is a direct competitor and had also entered into lease agreements with MOBC over two vessels it owned. In court, Mr Ellul said that when the government planned to privatise MOBC in 2003, the Privatisation Unit found many obstacles from Mr Tabone and Mr Sammut, stating that they often did the opposite of what they were asked to do. He recounted that they had drawn up a report which was passed on to then-Finance Minister John Dalli, who was responsible for the sector. The privatisation process was eventually stopped.

“They would seek to trip us up. Sammut with the blessing of...” Mr Ellul said, but he stopped before mentioning any names.

Mr Ellul stressed that the Privatisation Unit had also found obstacles elsewhere, citing the Malta Freeport as an example. He pointed out that this often happened because workers feared a deterioration in their working conditions.

“But there was never a case like MOBC,” he added.

Inspector Angelo Gafa is prosecuting, while lawyer Stephen Tonna Lowell is appearing for both Mr Cassar and Mr Portelli.

The case continues on 17 July.