UPDATED – PL Deputy Leader questioned in EPPO-led probe into EU funds procurement

Labour deputy leader Alex Agius Saliba and two collaborators have been questioned by police over the procurement process used in relation to EU funds, The Shift has confirmed.

Police sources said that the investigation, reportedly directed by the European Public Prosecutor’s Office (EPPO), concerns quotations allegedly submitted to secure funding for a local company several years ago linked to Rodrick Zerafa, CEO of Servizzi Ewropej f’Malta and a Labour election candidate, and Darryl Farrugia, an adviser in Prime Minister Robert Abela’s office. The company was involved in marketing connected with the office of the Labour MEP.

Investigators suspect the quotations may be false or fraudulent.

The Shift is informed that all three men reject the allegations.

Speaking to The Shift Agius Saliba said that he gave a full statement to the police and insisted that no embazzlement of EU funds is involved.

In a video message on his social media, Agius Saliba said that the inquiry concerns a contract awarded to Red Agency Limited, then co-owned by Zerafa and Farrugia.

Investigators suspect that some of the three quotations submitted during the selection process may have come from the same source. Agius Saliba says Red Agency provided all the services it was paid for and received about €64,000 over one year and eight months. Farrugia also denies the allegations and says the company is cooperating with police.

Agius Saliba claims an anonymous report to OLAF and EPPO triggered the inquiry and alleged that it originated from European Parliament President Roberta Metsola’s office. Metsola denied the claim.

Neither the police nor the Labour Party has issued a statement, and it is not yet known whether further action will be taken.