The head of the Government’s internal audit agency, Rita Schembri, lied under oath to a review board investigating allegations that she had abused her public office, an inquiry found.
The review board chaired by the Auditor General, Anthony Mifsud, concluded Ms Schembri’s position as head of the Internal Audit and Investigation Department had been “seriously compromised”. She is currently on long leave pending the outcome of the investigation.
Besides multiple instances where Ms Schembri gave false evidence to the board, the review board also noted that she had made illicit use of official data for personal gain.
The review was concluded in the past days and a report was handed over this week to the Office of the Prime Minister and to the Finance Ministry, which commissioned the probe after serious allegations of impropriety surfaced against Ms Schembri last October.
The spotlight fell on her when former European Commissioner John Dalli pointed to her role in the EU investigation that led to his resignation.
She served as a coordinator for the Maltese part of the investigation involving Mr Dalli.
Then businessman Philip Rizzo alleged that he had a long string of detailed e-mails proving that she was using her Valletta civil service office to broker a deal to buy out an existing Casino di Venezia partner.
The review board not only supported Mr Rizzo’s allegations that Ms Schembri used her IAID office for private work but also noted that she dedicated a significant portion of her time there to such private work.
The audit also noted that Ms Schembri had an extensive undeclared involvement in the bid of a UK gambling company – Far East Entertainment (FEE) Group Entertainment Plc – to buy the Vittoriosa casino, giving rise to an ongoing conflict of interest.
Moreover, the report said, she had hidden information from her superiors with regard to reimbursements for private work.
The review also uncovered shortcomings at the IAID, commenting, among other things, that data was not adequately protected, that there was a lack of basic internal control mechanisms, along with deficient recordings of visitors.
The report ultimately recommended that the case should go before the Public Service Commission, the public body tasked with disciplining public servants.
When the allegations first surfaced, Ms Schembri went on long leave and asked to be investigated herself.
Initially she defended herself against Mr Rizzo’s allegations by referring to a letter from Colin Perkins, owner of FEE. The letter described her as a person of absolute probity, according to sources.
mmicallef@timesofmalta.com