Health Minister Jo Etienne Abela has not said whether he has referred to police the findings of an internal investigation into the alleged misuse of public funds during refurbishment projects at two public health centres.

The investigation, revealed by The Times of Malta, found serious procurement irregularities and mismanagement linked to works at the Qormi and Birkirkara health centres.

Most of the work was reportedly carried out by GM Developments Ltd, a Gozitan construction company, without the issuance of public tenders or contracts.

When asked by The Shift whether police will be investigating potential criminal actions, Abela did not respond. He also declined to say whether disciplinary action has been taken against any public officers within his ministry who were identified in the internal report as being involved in wrongdoing.

The internal probe, conducted by the Health Ministry’s permanent secretary, concluded that the refurbishment projects were riddled with mismanagement, procurement breaches, and potential abuse involving private contractors and public officials.

However, the report and its conclusions have not been officially published.

GM Developments—named as the primary contractor in the probe—has close ties to the Gozo Ministry and has received millions of euro in direct orders in recent years.

Mariella Farrugia, the partner of company owner Simon Grech, is a person of trust for Gozo Minister Clint Camilleri and works in his secretariat.

Sources also suggested that while the Gozo Minister is not personally implicated, the leak of the report may stem from political tensions between the Health and Gozo ministries, both vying for similar voter bases.

Minister Abela’s sister-in-law, Mariella Abela who also serves as his secretary, is reportedly eyeing a seat in Parliament, further intensifying the rivalry.

Despite the internal probe’s conclusions, no disciplinary action has yet been taken.

Roseanne Camilleri, the Primary Health Care CEO identified in the report as approving many of the direct orders, remains in her role, though she has been reassigned to oversee Mental Health Services. Camilleri denies any wrongdoing.

Details of the probe

The refurbishment projects, which began under former Health Minister Chris Fearne, were investigated shortly after Abela took office. The report found that GM Developments was awarded the bulk of the work via direct orders.

In the case of the Qormi Health Centre, GM Developments submitted a quote five months ahead of other competitors.

The initial quote of €56,000 eventually ballooned to nearly €1 million, with much of the work lacking formal contracts.

Similarly, at the Birkirkara Health Centre, a quoted €264,000 project ended up costing over €500,000.

Simon Grech, owner of GM Developments, said the approvals were granted by the Primary Health Care CEO, claiming he was given instructions outside of standard procurement channels.

Camilleri refuted this, stating that project oversight fell under other officials within her team.

Grech, a well-known figure in Gozo’s business community, has long-standing ties to the Gozo Ministry dating back to when Justyne Caruana held office.

His companies, including Casa Amalia, a home for the elderly, have received substantial government contracts.

Grech is currently developing another elderly care facility in Victoria, Gozo, which will be largely funded through a government leasing scheme.

In Gozo, contracts for elderly care services are not managed by the Health Ministry but fall under the direct oversight of the Ministry for Gozo.