The Police have been holding an investigation after contractor Bastjan Dalli told a court last month that while he was under arrest at police headquarters last month, he was offered freedom if he implicated his brother, former minister John Dalli, in a purported Mater Dei Hospital procurement scandal.

Mr Dalli had been testifying in court proceedings in which he stands accused of conspiring to deal in cannabis in December 2008 and violating police bail conditions when he travelled to Libya.

Police Commissioner John Rizzo told the court when the hearing continued today that immediately after the allegation, he had ordered an investigation.

Also testifying before the court, Assistant Commissioner Lawrence Cauchi said that on October 18, Mr Rizzo asked him to investigate Bastjan Dalli's allegations.

He spoke to Mr Dalli, who confirmed his testimony.

The police initially focused on who could have been into the building. Mr Dalli told them that he could not identify the person who allegedly spoke to him - through a hatch in the door - except that he was a man and had a low voice. He also believed he was in plain clothes, but was not completely sure.

Mr Cauchi asked Mr Dalli if he would be able to identify the man if he lined up every member of the police force, but Mr Dalli said he would not.

The Assistant Commissioner said he he spoke to every member of the police force who had been on duty or in the lock-up when the unknown person was alleged to have spoken to Mr Dalli.

He pointed out that it was impossible for anyone to get into the area without being recorded.

Defence lawyer Jose' Herrera asked Mr Cauchi if a Joseph Zahra was in building and whether his report (about Mater Dei procurement) could be a link to the matter.

Mr Cauchi said Mr Dalli had claimed he saw Mr Zahra in the reception area of the lock up. But the procedure was that whoever tried to get into the police headquarters was recorded and given a visitors’ tag. Records showed that Mr Zahra had not been at headquarters.

Dr Herrera pointed out that visitors’ cards were not always given and it could be that Mr Zahra was in the building but was not recorded.

Mr Cauchi said that while he could not speak for others, all those who called to speak to him were given a tag.

Asked if there was any CCTV footage at the Criminal Investigation Department which one could see to confirm whether Mr Zahra had been inside the building, Mr Cauchi said he did not know but would check and get back to him.

The case continues.