The Financial Intelligence and Analysis Unit (FIAU) is unable to confirm whether an investigation into all the contracts which have been dealt with by Energy and Health Minister Konrad Mizzi has been launched, following the discovery of his New Zealand trust and a subsequent company in the well-known tax haven of Panama.
Opposition Leader Simon Busuttil has called on the authorities to launch investigations, but the FIAU said of such investigations: “You will surely appreciate that the FIAU is precluded by law from providing any such information. Articles 33 and 34 of the Prevention of Money Laundering Act, in fact, not only prohibit such disclosure, but establish that it is a criminal offence punishable with imprisonment for an official of the FIAU to make any such disclosure.”
The law states that any official or employee of the FIAU who discloses to the person concerned or to a third party that an analysis is being carried out by the Unit, or that information has been transmitted to the Unit by a subject person, or that the Unit has transmitted information to the police for investigation, shall be guilty of an offence and liable on conviction to a fine.
It also states that the Unit, and its officers, employees and agents, whether still in the service of the Unit or not, shall not disclose any information relating to the affairs of the Unit or of any person, physical or legal, which they have acquired in the performance of their duties or the exercise of their functions except when authorised to do so by law, for the purpose of the performance of their duties or the exercise of their functions as per law, or when specifically and expressly required to do so under a provision of any law.
The FIAU was also asked about rules governing local firms advising clients on acquiring companies in well-known tax havens, such as Panama.
The FIAU said that while there is no express prohibition at law in relation to the establishment of business relationships or the carrying out of any transaction in a given country, if a country is considered to be a high-risk or non-cooperative jurisdiction, then certain measures need to be taken to mitigate the heightened risk, including the carrying out of enhanced due diligence.
Minister Mizzi acquired Hearnville (the Panamanian company) on 21 July 2015. The previous owners, ATC Administrators Inc, said, however, that “between 2 June 2015 and 21 July 2015 all the shares of the company were held in our name for the exclusive benefit of Mr Konrad Mizzi.”
Questions sent to the police on whether the force has launched an investigation were not answered by the time of going to print.