A Ministerial Permanent Secretary whose brother has been charged in connection to alleged corruption and extortion is in pole position to become Malta’s next Tax Commissioner.

Well-informed sources have told Lovin Malta that Joseph Caruana, the Permanent Secretary within Ian Borg’ Ministry for Transport, Infrastructure, and Capital Projects, is the front runner to potentially replace Inland Revenue Commissioner Marvin Gaerty, who reportedly wants to leave the role after nine years of service. 

Caruana’s brother, Edward, is the former canvasser of Minister Evarist Bartolo who has been charged with corruption and embezzlement of public funds. 

He remains in court to this day, which is why many had their eyebrows raised when they heard his brother’s name being touted to become Malta’s tax chief.

Sources were especially concerned over the potential appointment amid FATF greylisting with every action under scrutiny by international bodies.

Edward Caruana had been Bartolo’s chief canvasser since 1992, eventually finding a job within the private secretariat within Bartolo’s Education Ministry, with Joseph Caruana serving as Permanent Secretary.

He was soon appointed as the manager of the Foundation for Tomorrow Schools, which was responsible for multi-million school projects. He acted as the go-between the ministry and potential contractors.

In November 2016, FTS CEO Philip Rizzo first alleged corruption in issuing direct orders for the renovation of government schools, something which Caruana would have been responsible for. 

Rizzo even claimed that Caruana would issue the direct orders himself and take bribes in return. In total, Caruana dished out some  €8 million worth of government contracts. 

Caruana was eventually charged in December 2017, almost 18 months after the allegations first emerged. Over that period, Caruana was self-suspended and taking home full pay.

Court sittings have revealed that during his time working at the ministry, Caruana became involved with the development of an apartment block in Rabat.

Worryingly, Caruana did not take out a loan for the project, which is estimated to have a cost a total of €2 million. He allegedly invested around at least €400,000.

Bartolo, according to Rizzo, refused to take action. However, the Minister insisted that he had urged Rizzo to report the matter to the police. 

Joseph Caruana has been working in public service since 1977 and has been serving as the Permanent Secretary within the Ministry for Transport, Infrastructure and Capital Projects since 2020, Before then he served similar roles in the Finance Ministry under Edward Scicluna (2017-2020) and the Education Ministry (2013-2017).

What do you think of the potential appointment?