Identity Malta, the agency responsible for the granting of residence permits, this evening said that 'months ago' it introduced procedures to avoid abuse in the granting of permits.

The statement was issued a day after accountant Joe Sammut was accused in court with having allegedly facilitated the setting up of bogus companies in order to enable several hundred Libyan nationals to gain residence permits. He pleaded not guilty.

Identity Malta said that it withdraws, rejects or revokes applications which are confirmed to contain false information. The applicants involved are recorded in the electronic system in order to stop them from submitting new applications.

"All applications for a residence permit submitted to Identity Malta by Third Country Nationals are screened for security purposes by the Police Immigration Office, including the consultation of Interpol records and the Schengen Information System.

"In the case of applications for residence submitted in connection with investment, the requirements must now include tangible proof that applicants are engaged in serious plans to do business in Malta. This new requirement has made it much more difficult for applicants presenting untrustworthy information to acquire a residence permit.

"In addition, applicants are required to present authentic documentation with respect to their actual place of residence in Malta. In this regard, the residence permit cannot be collected unless the letter notifying the issue of the residence permit, which is sent to the said address, is presented by the applicant."

The Agency said it has assisted the police on different occasions where fraudulent information has been submitted as part of residence applications. All persons involved were subject to police investigations and subsequent arraignment.

"The fact that persons are arraigned to court is a proof that the proper checks and balances are in place."