There was no leak to newspapers on the outcome of the National Audit Office investigation into the Old Mint Street property scandal, the Speaker of the House ruled yesterday.

The investigation was requested by Planning Parliamentary Secretary Michael Falzon, who had approved an expropriation deal on half of the property in Valletta. The deal was first revealed by this newspaper last May.

On Monday, Dr Falzon complained to Speaker Anġlu Farrugia about a report in the Times of Malta on Saturday entitled ‘NAO report may lead to changes in Cabinet’, and asked him look into any potential leaks.

The Times of Malta report was on expected Cabinet changes amid reports that the Auditor General’s inquiry findings on the deal were expected to be tabled in Parliament today.

The main focus of the findings is Dr Falzon.

He complained not only that the story seemed to show the newspaper and others been told about when the NAO report would be tabled, but the conclusions of the report appeared to have been leaked.

It resulted there was no leak from that office. Nor had any journalist approached the office

This, he said, undermined the dignity of the House and harmed the Office of the Auditor General.

The Speaker ruled yesterday there was no evidence of this.

Dr Farrugia said he met the Auditor General and his deputy and it resulted there was no leak from that office. Nor had any journalist approached the office.

Furthermore, he said, there was no leak from his own office, because the report had not yet been received.

The Speaker noted that the newspaper story had not indicated that the conclusions of the audit report were known or had been leaked.

The scandal involves the expropriation of half the Valletta building for which the government paid at least €1.65 million to property speculator Mark Gaffarena. The total value was in fact much higher, because apart from the cash, parcels of land were handpicked and given to Mr Gafferena as payment.

The tracts of land he acquired were mainly close to existing properties he handled, exponentially increasing the value of the new land he had acquired.

Independent architects commissioned by this newspaper estimated that the land was worth at least double, meaning Mr Gaffarena earned over €3 million from selling part ownership of the Old Mint Street property.

He had sealed two deals with the government over the building before this newspaper exposed the pattern, which halted further transactions on it.

Additional reporting provided by Leonard Callus

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