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Rosianne Cutajar ‘insinuated’ that she wanted a brokerage fee in Mdina house deal – Hyzler

Jake Aquilina Monday, 12 July 2021, 17:16 Last update: about 4 years ago

Labour MP Rosianne Cutajar “insinuated many times” that she wanted a brokerage fee, even though she didn’t explicitly say it, as there is enough evidence for the conclusion of her breach of ethics, Standaards Commissioner George Hyzler told the Standards in Public Life Committee. 

This comes after Cutajar was found in breach of ethics by the Standards Commissioner over a controversial Mdina property transaction she was involved in together with Yorgen Fenech.  

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Reports surfaced a few months ago that Rosianne Cutajar and one of her political aides allegedly received around €46,000 each for the sale of a €3.1 million Mdina property to Yorgen Fenech.

Charles Farrugia, known as it-Tikka, sent a letter to Speaker Anglu Farrugia, saying that the money he received was an “ex gratia” payment for introducing the seller, Joseph Camilleri, and the buyer, Yorgen Fenech. He claimed in the letter that Cutajar did not benefit from any of these payments to him.

An ex-gratia payment is a voluntary payment made by someone who is not contractually obliged to do so. 

Hyzler said that from the “direct proof” of what Camilleri alleged, there is also “other evidence”.

“From the first day, Farrugia at once introduced her as a ‘co-broker’… It was her, without a doubt, that found the one who will buy the place. It was she who took the buyer to the spot. It was she who called to see the progress made on the purchase” Hyzler remarked.

The Standards Commissioner also noted that the numbers which were adding up did not make sense to say that Cutajar was not involved. “From 1.5% brokerage fee, it shot up to 4% plus €9,000,” he said.

All these circumstances together “make me arrive to the conclusion that Cutajar probably took the brokerage fee rather than not,” he said.

Furthermore, the Standards Commissioner remarked that although Cutajar told Fenech she didn’t want anything, she insinuated it many times. He remarked that he received a chat from Cutajar out of her own discretion. However, he noted that the chats were “peripheral”, as they were “trying to convince me that she didn’t take a brokerage fee.”

“She gave me chats between her and Fenech. Yorgen Fenech was under the impression that she is not going to earn anything from the deal. So, there was no use of talking to him because he didn’t know. Cutajar, in the chats, said that she didn’t want anything, but there were a number of institutions that show that she wanted to have something from him, so it ended up with her getting €9,000,” he said.

He also said that he has insinuations which show that “Farrugia wrote to Yorgen to give Cutajar something [in terms of money], and that Farrugia will give her something as well,” Hyzler said. “The environment in those chats was that Cutajar was saying that she doesn’t want anything, but at the same time insinuating that she does.”

The Standards Commissioner also said that Cutajar could have summoned Yorgen Fenech as a witness for this investigation, but she chose to call her dad and her ex-driver a witness, Hyzler insisted.

Asked about his statement that Cutajar “probably took the brokerage fee” by PL Whip Glenn Bedingfield, the Standards Commissioner remarked that “unless there’s an admission, I can’t say she took them, but the pendulum is swinging there.”

In addition, the Standards Commissioner said he had a witness saying that he gave €46,000 to Farrugia at Coffee Cordina and €46,000 to Cutajar at a restaurant in Marsamxett. “He described the bag in which this money was given,” Hyzler stated. There is also a tape recorder proving this because this witness recorded Farrugia, he said.

“The cases I had before didn’t bothered me. This case kept me awake at night,” Hyzler stated.

The Standards Commissioner noted that while there are people who introduce politicians in certain cases, he didn’t feel that in this instance it makes sense. “Now these are (Farrugia and Cutajar) very close to each other, they still speak to this day!” Hyzler stated. “Farrugia boasted that he knows about her (Rosianne Cutajar) more than her parents know about her!” Hyzler said.

What raises more eyebrows is that Cutajar did nothing wrong to take this money, but only had to declare it for tax purposes, the Standards Commissioner remarked.

Hyzler said that since Cutajar denied taking a brokerage fee, no statement was due according to the Labour MP. According to Cutajar, he said, the money paid was a non-taxable ‘introducer fee’. “As a lawyer, I still understand this as a brokerage fee,” Hyzler stated.

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