Retired MFSA chief still receiving €11,000 a month for reasons unexplained

Finance Minister Clyde Caruana is refusing to explain why former Malta Financial Services Authority chief executive officer Joseph Gavin is still being paid €11,000 a month by the financial services regulator after he stepped down from the position.

The MFSA issued a formal notice last summer announcing the early retirement of its Irish CEO, after having been in the position for less than a year. Without elaborating, the MFSA simply stated that Gavin had “decided to retire early” following a long absence from his place of work “due to medical reasons”.

Speculation had already been rife that Gavin would be parting ways with the MFSA by the time of the announcement as he had not been seen at work for a whole month.

The Shift has now discovered that despite his decision to “retire early”, he is still being paid €11,000 a month from the public coffers for reasons still unknown.

The MFSA’s brief announcement of the retirement of its CEO after less than a year on the job.

According to recent information tabled in Parliament, Gavin will be receiving some €65,000 for six months from September until, at least, March 2023.

Asked to explain why Gavin is still being paid by the MFSA although he left the position last September, neither Minister Caruana nor his spokesperson replied to The Shift’s questions.

Sources at the MFSA told this newsroom, however, that Gavin had been “paid to leave through some form of consultancy contract”. Gavin, a former lawyer at the Central Bank of Ireland, was hired by the MFSA in September 2021 on a €162,000 salary.

Upon his appointment, Gavin hit the headlines right away for all the wrong reasons. After asking to be interviewed by The Times of Malta, he cancelled the interview when he decided he did not like the questions being put to him.

The MFSA announced last September that it has appointed long-time MFSA employee Michelle Mizzi Buontempo as Acting CEO.

Gavin had replaced former disgraced CEO Joseph Cuschieri, who was forced to step down after being embroiled in a scandal. He, together with the MFSA General Counsel Edwina Licari, had gone on a paid holiday to Las Vegas that was funded by Yorgen Fenech, who is involved in casinos, hotels, and the assassination of journalist Daphne Caruana Galizia.

Cuschieri stepped down just before the MFSA was about to be handed an investigative report drawn up by former Chief Justice Joe Azzopardi.

Despite her serious failings, the report did not recommend any action against Licari, who was recruited at the MFSA by Cuschieri, but who, unlike Cuschieri, retained her role at the financial services regulator and her a €100,000-a -year-plus salary.

                           
                           
                               
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James
James
2 months ago

Only in Malta where those who know too much continue to be paid handsomely to protect those who know even more.

mick
mick
2 months ago

He’s a protected species, he knows who has stolen Malta’s wealth and where it’s been hidden and he also knows how the “continuity” programme is sustaining the “continuity” figureheads who’s dedicated aim is to better their predecessors illicit fortunes.

viv
viv
2 months ago

Finance minister – licence to steal citizens’ money – to keep mouths shut.

In plain terms – mafia omertà money.

Colluding Clyde in the thick of it – what a chump.

Albert Beliard
Albert Beliard
2 months ago

Malta is continuing to sink deeper by paying unknown ‘consultancy contracts’ which is another means of corruption with no end in sight.

SHAMEFUL!

cikku
cikku
2 months ago

more grime surfacing on a daily basis. It would be interesting to hear what is being done by the same government’s authorities that handled the licenses of the defunct banks such as Sata. four years after Sata’s license being withdrawn leaving thousands of bona fide customers in the dark without any clue if and when they can get back their monies. As per Gov Gazzette 20910 of 19 Aug 2022, there were over 5000 account holders holding in excess of €76mill still with the bank and most desparately waiting for some form of outcome. Nobody has been informed how much of these funds are left following EY’s carnage on the bank’s finances during their stint as controllers. Possibly the account holders might risk not being able to take their money back ever. the bulk of these account holders would be eligible for the Deposit Guarantee Scheme, however apparently not in the case of Sata since its been placed into liquidation. Any attempt to seek information or some form of status, via the MFSA is directly ignored and you are informed to see the various notices!!! Malta Financial Scam Authority!!!!

Last edited 2 months ago by cikku
Osservatore
Osservatore
2 months ago

Gavin was not fit for purpose. A very bad joke! The MFSA has really gone to the dogs.

J.S
J.S
1 month ago

No shame

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