Workers at the Government Property Division are being kept this morning from going into their offices by the police, who are in the building, sources said.

The workers, the sources said, were all urged to go into the yard and offices were kept closed.

Workers were kept in the dark as to what was actually happening.

A National Audit report published yesterday concluded that the division and former Parliamentary Secretary Michael Falzon failed to safeguard the government’s interest by expropriating property belonging to Mark Gaffarena in Valletta's Old Mint street, which although useful, served no identified public purpose. Dr Falzon stepped down from his role last night.

"The prompt action taken by the Government Property Department (GPD) in advocating the expropriations instigated by Gaffarena, without any discussion or analysis, was deemed incomprehensible by the NAO.”

Prime Minister Joseph Muscat later instructed the Police Commissioner to ensure that no files were destroyed at the division.

He said the division will be reformed and will become an authority.

Judge Lawrence Quintano was appointed to head a supervisory board to oversee the day to day running of the division during the transition.

Photo: Kurt Sansone