VALLETTA (MALTA) (ITALPRESS/MNA) – Affordable Housing Minister Roderick Galdes has resigned from his post following mounting allegations over his links with major contractors and revelations that Maltàs anti-money laundering agency, the Financial Intelligence Analysis Unit (FIAU), had flagged business ties involving his close family and an Italian contractor. Prime Minister Robert Abela confirmed on late Saturday evening that he had accepted Galdes’ resignation. No replacement was announced. In a resignation letter published by the Office of the Prime Minister, Galdes denied any wrongdoing, describing the allegations as “synchronised attacks” aimed at destroying his political career and extending to personal attacks on his family. He said he was “serene and tranquil” and insisted he was stepping down to avoid tarnishing the work of the government and the Labour Party.
Galdes has been under sustained scrutiny in recent months over his extensive property portfolio and a series of highly favourable deals with major developers, including Joseph Portelli. These included the 2021 purchase of a duplex penthouse, complete with garage and airspace, for 140,000, as well as a property swap involving land in Gozo with the same developers. Galdes owns multiple properties and parcels of land in Italy and Sicily, acquired while he held senior responsibility for the housing sector. The controversy intensified following accusations by former Labour MEP Marlene Mizzi, who alleged that Galdes “hobnobbed” with social housing contractors and interfered in the operations of Malita Investments, the government-majority-owned company responsible for financing and constructing social housing projects. Mizzi claimed she was removed as chairperson after resisting his alleged interference. Galdes has denied the claims.
Further questions were raised after reports that the FIAU had flagged potential red flags in 2021 related to subcontracting arrangements on multi-million-euro social housing projects in Siggiewi and Msida. According to FIAU analysis, works were subcontracted to LAM Projects, a company set up in 2018 and owned at the time by Italian contractor Lorenzo di Pinto. Although Galdes’ younger brother, Malcolm Galdes, was neither a shareholder nor a director of LAM Projects, the FIAU described him as a “close business partner” of di Pinto. Corporate records show the two had previously been involved together in other business ventures.
The FIAU also raised concerns over cash deposits into accounts controlled by Malcolm Galdes. Under anti-money laundering legislation, family members of public officials are subject to enhanced scrutiny due to the risk of being used as conduits for public contracts and funds. The FIAU noted that di Pinto formally relinquished his shares in LAM Projects in May 2020 but continued to exert a degree of financial control over the company for several months thereafter. The FIAU declined to comment on case-specific information, while a spokesperson for Galdes has consistently denied any suggestion of wrongdoing. Opposition leader Alex Borg said the resignation should have taken place “weeks and months ago,” arguing that Malta had a housing minister more concerned with personal property interests than with addressing the country’s housing affordability crisis. Galdes becomes the fourth minister to resign from Prime Minister Robert Abelàs Cabinet, following the departures of Justyne Caruana, Clayton Bartolo and Rosianne Cutajar.
Foto: Doi
(ITALPRESS).
