The substance of the case concerns a report compiled by Zahra for his clients, SIMED International, who had engaged his services after suspecting foul play in the controversial awarding of the tender for medical equipment at Mater Dei Hospital to their competitors, INSO.

Zahra was first engaged by SIMED International between May and June 2003, when rumours were doing the rounds that the Lm30 million tender for medical equipment at Mater Dei Hospital would be awarded to INSO, and that the Italian consortium had been allowed to change documents in the tender specifications after the closing date. (The tender was indeed awarded to INSO, and SIMED International responded by lodging an appeal. Their legal consultants in the appeal proceedings are Dr Joe Fenech and Dr Raphael Fenech Adami.)

Zahra presented his first report to SIMED International on 21 July 2003. He was paid Lm800 for the report plus Lm3,000 for expenses. After that date, SIMED lost contact with Zahra for five months. Their appeal was eventually rejected and on 26 December 2003 the contract was re-awarded to INSO. Three days later, SIMED once again hired the services of Zahra. On 25 February 2004, Zahra presented his second report on the medical equipment tender. It was this second report that contained the bulk of the allegations for which Zahra has since been arraigned in court.

According to the testimony of Assistant Commissioner Michael Cassar and Dr Fenech, the chairman of SIMED International (he was not mentioned by name in court. The SIMED International website does not list anybody as being SIMED International’s chairman) came to Malta between February and June 2004 specifically to speak to Zahra about this report. They met at the Corinthia Palace Hotel and Zahra was told that the allegations he had made were serious and that evidence would be required. Zahra replied that he was in possession of such evidence, but could not reveal it. Zahra also told Dr Fenech he had listened to tapes and that he had seen for himself the bank account numbers listed in his report (see timeline below). Zahra told Dr Fenech that he was ready to swear under oath in front of a magistrate that the contents of the report were correct.

Dr Fenech later informed the police that the Dutch Prime Minister had also received of a copy of Zahra’s report.

June 2004

After the above-mentioned meeting between Zahra and the SIMED chairman at the Corinthia Palace Hotel, Dr Fenech again talks to Zahra and urges him to procure the documents proving the veracity of the report. He tells the accused that if he does not possess these documents, he is going to hand the case over to the authorities, who will surely pass it on to the police.

Between June 2004 and 15 July 2004

Dr Fenech passes Zahra’s second report to the Prime Minister. Shortly afterwards, Dr Fenech meets Zahra and tells him that Dr Gonzi has the report. Dr Fenech informs the accused that the Prime Minister has asked for “more evidence,” and Zahra replies that he will try and get the evidence. Dr Fenech also gives the accused to understand that Dr Gonzi would not let the case die a natural death.

15 July 2004

Prime Minister Lawrence Gonzi formally asks Police Commissioner John Rizzo to investigate the allegations made in Zahra’s second report to SIMED International.

19 July 2004

Police investigations begin. They are led by Mr Rizzo, Deputy Commissioner Joseph Cachia and Assistant Commissioner Michael Cassar. Police speak to Dr Fenech, Dr Frank Farrugia (SIMED’s representative in Malta), Contracts Appeals Board chairman Alfred Triganza, Joe Zahra, Ms Cassar, Mr Spiteri and Sebastian Dalli about the case.

25 July 2004

Reports in The Malta Independent on Sunday and The Sunday Times reveal that a private investigator is going to be arraigned in court in the next few days in connection with allegations about “highly-placed individuals regarding the medical equipment contract of the new hospital”. Zahra is not mentioned by name.

27 July 2004

Zahra is arraigned in court and charged with filing a police report against innocent people, spreading false news that could alarm the public, simulating an offence, fabricating evidence and false news and defaming several people.The court, presided over by Magistrate Anthony Vella, grants bail to the accused against a deposit of Lm200 and a personal guarantee of Lm20,000.

13 August 2004

The compilation of evidence in the case against Zahra is heard in the Magistrates’ Court presided over by Magistrate Giovanni Grixti. After hearing evidence by Assistant Police Commissioner Michael Cassar and Dr Fenech, among other people, the court ruled that sufficient evidence had been presented for a bill of indictment to be drawn up against the accused.