A new government security company may not have to engage employees, is not for profit and its teenage chief will not be paid extra, according to Economy Minister Chris Cardona.

However, the minister was not forthcoming when asked about the unusual business model of Fort Securities Limited.

“To date, this company has not employed anybody and it could be the case that we feel there is no need to engage anybody,” Dr Cardona told reporters yesterday after rolling out a White Paper on social enterprises at the Phoenicia Hotel in Floriana.

He insisted the new entity was tasked to guard derelict government assets, like the former shipbuilding site in Marsa, which had fallen victim to looting and vandalism. “The company will not be making any profit.”

Asked to explain how it could provide a service with nobody on its books, the minister replied: “It will engage workers to provide security on sites [previously hosting government or parastatal entities] that are in liquidation.”

Pressed repeatedly by Times of Malta to explain further how this business model could work, Dr Cardona gave no details.

The new entity is tasked to guard derelict government assets, like the former shipbuilding site, in Marsa, which have fallen victim to looting and vandalism. The company will not be making a profit

It resulted during question time in Parliament on Wednesday that an 18-year-old, Karl Cutajar, was appointed director of Fort Securities Limited. Mr Cutajar is the nephew of Dr Cardona’s chief of staff, Mario Azzopardi.

Defending the appointment, Dr Cardona said Mr Cutajar was an executive clerk at the government’s investment arm, Mimcol, and so was eligible to occupy the post.

He said that the young director would not receive “additional income” for his new role, adding that Mr Cutajar was “serving the country”.

Refuting charges of a potential conflict of interest in the appointment, Dr Cardona said the selection process was conducted by Mimcol and the ministry was not involved.

“I understand that Mimcol carried out an interview, following a process of applications and Mr Cutajar was selected on the basis of his qualifications,” he said.

keith.micallef@timesofmalta.com