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Matthew Vella
Magistrate Consuelo Scerri Herrera has presented her finalised report on the awarding of 483 direct orders by the Foundation for Tomorrow’s Schools to 57 private companies between January 2002 and April 2003. The magisterial inquest has been deposited at the Attorney General’s office.
MaltaToday first uncovered the dubious awarding of over 400 direct orders by the FTS in 2003 following the end of the summer recess when the Foundation was supervising the renovation of schools across the island. CEO Alfred Ferrante refused to release the information when it was first requested by MaltaToday, telling this newspaper he was bound by professional secrecy not to disclose the private companies which partook of the direct orders, but the figures were released weeks later in Parliament following a parliamentary question.
It was later revealed that a total of Lm401,886 had been invoiced by 57 different private companies which had been awarded a total of 483 direct orders by the FTS, suggesting that procurement regulations could have been flouted.
It was in fact not been the first time that the FTS had come under scrutiny for its handling of public monies. In February 2002, Opposition MPs accused the foundation of having flouted government regulations on the use of public funds, demanding that the National Audit Office carry out an investigation. When a board of inquiry was set up, composed of members appointed by both sides of the House, the Opposition claimed their own representative was not being allowed access to information, leading to the resignation of the government-appointed officials.
The FTS saga soon erupted with news of the sacking of CEO Alfred Ferrante, who would later tell this newspaper he was a scapegoat in the entire story. Three other FTS managers were also transferred back to the Education Division. One of the former project managers had told MaltaToday that their transfer back to the Education Division and the dismissal of Alfred Ferrante was greeted with “surprise.” Ferrante had been on a three-year contract as chief executive since September 2002. Education Minister Louis Galea had said that the board of FTS directors, which had a duty to supervise and organise the Foundation was not satisfied with the quality of control and decided to terminate the contract of Mr Ferrante. It was only months later that Galea would bring changes to the FTS board of directors.
MaltaToday’s investigations revealed that 16 companies and individuals hailing from the two electoral districts which Education Minister Louis Galea contests were awarded direct orders, totalling 30 per cent of the total value of direct orders issued between January 2002 and April 2003, all hailing from the fifth and seventh electoral districts. A total of Lm116,800 worth of direct orders were located in Mqabba and Birzebbugia, localities in the fifth district, and others in the seventh.
One of the most remarkable direct orders was that conferred to the chairman of the Building Industry Consultative Council architect Robert Musumeci, also mayor of Siggiewi, Louis Galea’s hometown. In March 2003, in the space of less than 30 days, Musumeci was paid Lm14,575, in the form of two direct orders valued at Lm2,500 and Lm12,075, for architectural services rendered to the FTS in March 2003. Musumeci had told MaltaToday there had been a call for an expression of interest in work commissioned by the FTS.
A new board of directors was appointed for the FTS in March 2004, presided by Ray Fenech. Etienne Borg Cardona, Dr Peter Fenech, Alfred Rizzo and Joe Magro were re-appointed to the board of directors, whilst Marilyn Sciortino and Louise Aquilina were appointed to the board. Former board president Conrad Thake and Mario Callus were not re-appointed.
matthew@newsworksltd.com
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