“Of concern to the NAO was that the employment of the Consultant generated no such traces of activity, casting doubt on what work was carried out.”

“Considering prior concerns raised relating to the irregular and fraudulent nature of this employment, the lack of evidence of any work carried out reinforces this Office’s understanding of negligence in the utilisation of public funds.”

Cutajar was employed as an ITS consultant on May 2019, although the NAO found it was irregularly backdated by at least a month. She earned a gross income of €19,195 from this consultancy, which she resigned in January 2020 following her appointment to Cabinet as parliamentary secretary for equality.

This was over and above the €43,777 she earned in 2019 from her role as Commissioner for Simplification and Reduction of Bureaucracy.

Then ADPD leader Carmel Cacopardo requested a NAO investigation after leaked chats between Cutajar and murder suspect Yorgen Fenech showed Cutajar saying she’ll take on the ITS consultancy because “everybody is pigging out” (kullħadd jitħanżer).

The NAO found several concerns, including the fact that the need for a consultant wasn’t referred to in any strategic government report nor brought to the attention of the ITS Board of Governors, despite a legal obligation.

Although ITS CEO Pierre Fenech said it was discussed by the executive management and with the chief of staff of the Tourism Ministry, the NAO warned that the lack of any kind of record flouted the principle of good governance.

When the NAO warned that Cutajar’s engagement breached policies governing public sector recruitment on a trust basis, the CEO merely said he wasn’t aware of such requirements and that they weren’t brought to his attention by the Tourism Ministry’s Chief of Staff.

However, the NAO stressed it was ITS’ responsibility to ensure that her employment was undertaken in line with relevant policies and procedures.

The CEO told the NAO that it sought to engage a consultant to assist ITS in devising a strategic plan for 2021-2025 and that the ideal consultant needed to have a knowledge of the Maltese education system, proof of education advocacy among the public, knowledge of public sector administrative procedures, and knowledge of the government’s electoral manifesto, particularly in relation to education.

He asserted that the chief of staff recommended Cutajar for the role although no records evidencing such discussions held internally or externally with the Ministry of Tourism could be produced.

Cutajar also said that the chief of staff had approached her to nominate her for this position, but the chief of staff insisted the input of the Minister’s Secretariat did not extend “beyond a mere notification of the vacancy to a candidate, or a potential candidate to the employer.”

Asked by the NAO how the ITS ensured Cutajar had the required credentials and experience, Pierre Fenech referred to her past involvement  in discussions and consultations on related to education, her role as Chair of Education within the Nisa Laburisti group, her involvement in the development of the Government’s electoral manifesto, and her experience in high-level administrative procedures.

However, no documentation was provided to substantiate these arguments.

Moreover, the NAO noted that the consultancy role changed substantially, from involvement in its development to one of coordination among the stakeholders involved. In fact, ITS contracted the development of its strategy to BEAT Ltd in February 2020 following enquiries made in October 2019, at a cost of €46,256.

BEAT Ltd structured its involvement around four phases, that is, external analysis, internal analysis, engagement, and strategy and roadmap.

In light of this report, ADPD called on the police to press charges against all those involved in the fraudulent use of public funds.

Do you think further action should be taken in light of this report?