The government is ignoring a magisterial inquiry that has led to criminal charges being filed against the owners of a medical supplies company acquired through public funds as the health ministry continues to pump millions into Technoline.
A list of tenders and direct orders published in the Government Gazette shows that during the first half of this year, the health ministry awarded Technoline 94 new contracts, most through direct orders to supply the government with medical devices worth over €1.3 million.
The magisterial inquiry into the hospitals scandal confirmed press reports that the company’s owner on paper, Ivan Vassallo, at the time an employee of Technoline, acted as a front for the acquisition of the company through public funds given to Vitals Global Healthcare, which was awarded the concession to manage three of Malta’s public hospitals.
The inquiry states that investigators discovered Vassallo was a freemason, together with other proxies in the deal, including the former head of Allied Newspapers, publishers of The Times of Malta, Adrian Hillman, and contractor Pierre Sladden.
The inquiry concluded that they acted on behalf of former OPM chief of staff Keith Schembri and former minister Konrad Mizzi to acquire the company.
Contrary to what happened in the wake of the case involving oil suppliers Total and Trafigura during the 2013 ‘Dirty Oil’ scandal, in this case, the government chose to persist in its financial support of Technoline, pumping millions into the company through direct orders and tenders.
The latest was a €130,000 direct order signed on 26 June for a twelve-month contract related to the laboratories at the Gozo General Hospital.
This was awarded more than a month after the charges against Technoline were presented in court, and a €5 million freezing order was issued.
It is the latest in a series of contracts awarded to Technoline.
Some of the many contracts the government keeps giving Technoline.
During the past years, Technoline has become the government’s primary supplier of medical devices after the concessionaire chosen by the government – Vitals Global Healthcare – spent €5 million of the public funds received to buy the company and then give it exclusivity for supplies to the hospitals, increasing its profits. The Shift revealed this in January 2019, and it was confirmed in the magisterial inquiry’s conclusions.
According to the VGH/Steward magisterial inquiry, Technoline was bought by Vassallo’s Gateway Ltd and passed onto Vitals Global Healthcare through a series of companies used as fronts for money laundering.
While Ivan Vassallo appeared as the owner of Technoline, Pierre Sladden and Adrian Hillman were inserted as shareholders in other companies, including Gateway Solutions, to be able to buy Technoline.
The inquiry points to Hillman and Sladden as the secret business partners of Keith Schembri and Konrad Mizzi, who were heavily involved in the fraudulent deal.
Technoline, Vassallo, Hillman, Sladden, Schembri and Mizzi are pleading ‘not guilty’ to all charges against them.
Technoline was also given a multi-million-euro tender by the Foundation for Medical Services (FMS), under the direction of former health minister Chris Fearne and his chief canvasser Carmen Ciantar, to build a new ‘mini hospital’ in Paola, known as the Paola Hub. The project has not yet been completed and is two years behind schedule.
U ejja, come on! Il-maqjel ghadu jesa’ ftit hniezer ohra!
Maybe not now that Rosie is back?
“Viva l-mazuni”, I guess.
In fairness sake, please also mention that Technoline staff and their families have nothing to do with the company’s directors/owners pigging out.
Also please investigate and mention that Technoline is Malta’s representative for some of the world’s medical equipment and supplies top manufacturers. It is because of this last reason that I suppose tenders are still being adjudicated in its favour.
Don’t get me wrong, I am NOT in any way defending Technoline’s directors/owners in their despicable actions against Maltese patients. No sir, no one can defend such actions. But staff and their families’ livelehood depends on the continuity of this company.
With all due respect, nobody is mentioning the staff and their families. Although if you work for a corrupt company whose owners are facing criminal proceedings, perhaps you should consider alternative employment.
No, Ms Muscat, I do not work for corrupt directors. With your logic, shall you tell all government employees to seek alternative employment, seeing that we have the mist corrupt one in existance?
‘You’ was plural and not referring to you specifically. As for government workers, there’s a huge number that shouldn’t be there but taking taxpayer money while they continue to do their jobs on the side. Meanwhile, companies can’t find employees. And so the government flooded the market with TCNs who are now being targeted because the government prioritised votes ( translated to jobs) over the national interest. It’s a vicious cycle that is all the government’s doing.
TCNs are doing jobs which, either locals are not interested in doing, or Malta does not provide enough workforce for those kind of jobs.
The main issue with private companies was not related to normal jobs but to high level jobs. They “accused” the government of draining the basin from good technical people.
Yes there are people that abuse from government jobs but it is a pity you weren’t around prior 2013….I’m sure you would have mentioned this topic back then too……..or maybe not??!!
It’s a pity you do not realise that I was around before 2013 and did my job then as I do now. Do your research before you attack. You’d be surprised at how blinded you are.
No – the responsibility, lies squarely on the shoulders of those being charged……!
it is the magnates who decide for the government, the government is only under blackmail by them, therefore what they ask for must be granted to them
No reason to stop the racket before they are forced to.
In a normal country persons and companies facing criminal charges are usually blacklisted; here they are rewarded.
Mela lanqas kien ippjanat il prezz tal karta… kull fejn missew tnejn min tlieta f dan l artiklu jinten seba pesti spicca u batew familji shah, ghax biex ihaxxnu buthom keccew in nies. Basta hafna drittagni u arja…
This government knows it’s facing the boot, so they’re pigging out ‘till they choke on it, hopefully they will too!
X’jonqos?
And nobody does anything to stop this ?who is the minister responsible?
To be criminal is the key requirement to progress under labour – to be honest on the other hand, is a major handicap!
Would these perchance be the same Konrad Mizzi and Keith Schembri sanctioned by the US STATE DEPARTMENT on December 22 2021? https://www.state.gov/public-designation-of-former-maltese-public-officials-konrad-mizzi-and-keith-schembri-due-to-involvement-in-significant-corruption/