Daphne Caruana Galizia: Malta businessman Yorgen Fenech charged over journalist’s murder

Country’s prime minister expected to announce his resignation within hours after corruption claims against government ministers

(Reuters)

One of Malta’s richest men has been charged with complicity in the murder of a high-profile journalist who investigated webs of corruption on the island.

Yorgen Fenech, a prominent businessman on the island, is accused of involvement in the car bomb that killed Daphne Caruana Galizia two years ago.

He pleaded not guilty to this and to other charges related to the case as he appeared in court in the capital, Valetta.

The investigation into the journalist’s death has developed into a political crisis involving claims of corruption at the highest levels.

Joseph Muscat, the prime minister, was expected to announce his resignation within hours of Mr Fenech’s court appearance, official sources said.

Opposition politicians have denounced Mr Muscat for allowing two government officials accused of having financial links to Mr Fenech to stay in their posts, and have called on him to quit.

A day before Mr Fenech was charged, the Maltese government had turned down a request by him for immunity from prosecution.

Mr Fenech, who is co-owner of a business that won the right from the state in 2013 to build a gas power station, was arrested just over a week ago as he tried to leave the Mediterranean island aboard his luxury yacht.

Earlier this week, government chief of staff Keith Schembri resigned because of his alleged financial ties to Mr Fenech, as did Konrad Mizzi, the tourism minister, but he denied any involvement in the case.

Ms Caruana Galizia, 53, who was killed as she left her home on 16 October 2017, unearthed and denounced corruption by politicians and the powerful, despite facing decades of intimidation, threats and lawsuits ­– and twice being arrested.

Her blog also exposed nepotism, tax evasion and other criminal activity, such as use of the island by Russian oligarchs for money laundering.

After her murder, thousands of Maltese citizens joined a rally to remember her and protest against what they termed the “mafia state”.

Mr Fenech, 38, was taken to court under a heavy armed police escort almost two years to the day since three men were charged with setting off the bomb.

But police have been investigating who ordered the murder, and sources said they regarded Mr Fenech as having masterminded the plot.

On Friday he said: “The truth will come out.”

An investigation last year revealed that Mr Fenech was the owner of a secret company called 17 Black, which was named in emails as being the vehicle to fund secret Panama companies owned by Mr Schembri and Mr Mizzi.

The pair have always denied wrongdoing, and Mr Muscat has repeatedly resisted calls for their dismissal.

Additonal reporting by agencies