The Prime Minister has appoin­ted an inquiry to investigate the involvement of former inspector Daniel Zammit in the investigation and prosecution of the murder of Neville Baldacchino in December 2008.

In a statement yesterday, the government said Judge Michael Mallia, who was appointed to head the inquiry, had also been tasked with investigating any other matters and individuals as the case may require.

He has been given four weeks to conclude his inquiry, which should also include recommendations to improve existing procedures.

The inquiry follows reports that Mr Zammit set up two companies with Joe Gaffarena while investigating and prosecuting his son-in-law, Stephen Caruana, for the murder of Mr Baldacchino.

Mr Zammit is also at the centre of a controversy after being medically boarded out of the police force four days after making his request, and then being appointed to a €60,000 consultancy role within Enemalta’s internal audit division. That appointment was then withdrawn when Energy Minister Konrad Mizzi learnt of it.

The Opposition welcomed the inquiry but criticised the Prime Minister for waiting a week “to investigate people close to the Labour government”. It noted that the Prime Minister had not said what was to become of Mr Zammit’s father Ray, whom the government had appointed acting police commissioner, prisons director and the head of the new wardens’ agency.

The Opposition added that the Prime Minister had also not referred to Mr Zammit’s brother Roderick, who had been appointed after the election to work in the most sensitive section of the police force.

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