The Prime Minister's Chief of staff, Keith Schembri, today denied reports in the Australian media claiming that companies were set up in Panama by senior Labour Party officials just days after the 2013 general election.
The Australian Financial Review reported that a Maltese advisory firm started setting up companies in Panama for senior members of the Labour Party five days after the last general election.
According to the review, which quotes leaked documents of Mossack Fonseca, a wider group of Maltese business figures close to the Maltese Prime Minister used offshore companies.
Among the documents leaked, there is an invoice for some $1 million. The invoice was assigned by Maltese businesses Pierre Sladden to a company in the British Virgin Islands. The company is called Blue Sea Portfolio Ltd.
It also mentioned an email which Karl Cini, a partner of Nexia sent to Mossack Fonseca's office in Panama. This email was sent five days after the general election.
The first email remained unanswered, so Cini sent another email asking for details to set up a company in Panama and possibly a trust.
These emails were among the 11.5 million documents leaked by the International Consortium of Journalists.
The email states that the owner of this company in Panama will be "an individual and I will speak to Luis on Skype to give him more details," he writes.
The same Karl Cini then spoke to three companies in the British Virgin Islands. These companies were managed by Mossack Fonseca.
Mr Schembri has since issued a right of reply, which was first sent by email to the registered editor of the Australian Financial Review. The right of reply was then forwarded to undisclosed recipients, The Malta Independent being one of them.
The text of the reply reads:
“Reference is made to your article issued today under the title “The Panama Papers: Malta's leaders turned to Mossack Fonseca five days after election”
I categorically deny the absolutely baseless and unfounded insinuations made in the article.
The company registered under the name Tillgate Inc was acquired by myself on the 2nd of July 2015 as documents held by ICIJ should attest. The acquisition of the company was solely for the purposes of its settlement into the New Zealand Trust, Haast Trust, and is intended solely for estate planning. Beyond this, I have no knowledge of any prior company activities save the fact that the company has never traded to date.
The fact that you fail to mention and refer to such facts, documentation and evidence shows the malicious intent of the author, who clearly is attempting to present a false state of affairs through a collage of unrelated facts.
Finally it is inconceivable that a journal would allow comments attempting to link unmentioned “business figures” to the Government without any substantiation or the faint attempt to corroborate it in fact. The tone, scope and elaborate insinuations coupled with the deceit with which facts are treated are intended solely to tarnish my reputation and attribute to me intentions or actions which are not based on the truth. Failure on your part to consult with me prior to the publication of the story is further evidence of the report’s intent.
I welcome legitimate, accurate and fair criticism and the right of freedom of expression and the freedom of the media but only if the information is correct and corroborated as it is not in the general public’s interest to be misled.
You are requested to publish the above reply in full giving it the same prominence as the referred story. I more over reserve the right to pursue all other appropriate actions to protect my reputation from baseless and malicious reporting.”
See full report here