BREAKING/Keith Schembri has a SECOND company in the British Virgin Islands, which also saw share number rise from 1 to 50,000 in May 2013

Colson Services Ltd, which is registered in the British Virgin Islands, is Keith Schembri’s personal company. But he has another company in the British Virgin Islands, Selson Holding Corporation, which is linked to his business operation, Kasco.

Selson Holding Corporation, like Colson Services Ltd, was set up on 24 January 2011. Malcolm Scerri, who is managing director of Kasco in Malta, was the front: he was sole director and the only shareholder of the company’s single share.

On 7 May 2013, when Keith Schembri resigned as sole director of Colson Services Ltd, Malcom Scerri resigned as sole director of Selson Holding Corporation.

In a parallel move with Colson’s on the same day, Scerri instructed ATC Nominee Inc of Panama, Mossack Fonseca’s fiduciary services company, to appoint a director in his stead, to cancel his share certificate, and to issue a new share certificate, raising the number of shares from one to 50,000, with these shares to be held by ATC Nominee Inc, a process that is used to conceal the identity of the real shareholders.

Following the identical process that Keith Schembri did with Colson Services Ltd, and in parallel on the same day, Malcolm Scerri then wrote to Mossack Fonseca & Co (BVI) Ltd to confirm that he would indemnify them for all costs and expenses in relation to Selson Holding Corporation. (This means he was taking on full responsibility for the bills.)

Again in parallel to Keith Schembri and Colson Services Ltd, on 27 May 2013, HSBC Bank Malta plc, through its branch at Attard (the same bank branch which gave a reference for Keith Schembri) gave a reference to BTI Management Ltd, a company owned personally by Brian Tonna (BTI stands for Brian Tonna International) for Malcom Scerri. There is no evidence that the bank knew this reference would be used for the restructuring of a secret company in the British Virgin Islands. Read important update on bank documents, which may be fraudulent, here.

The bank said of Malcom Scerri in its report:

“Known to us for a number of years as honest and trustworthy and unlikely to enter into commitments he would be unable to fulfill. Highly esteemed in his business circle. Considered to be a good business relationship.”

The wording is identical to that used for Keith Schembri. The information reports fails to mention that Scerri runs the business owned by the Prime Minister’s chief of staff.

That same day, 22 May 2013, exactly as he did for Keith Schembri, Brian Tonna wrote to Mossack Fonseca & Co (BVI) Ltd in the British Virgin Islands, and without specifying that Scerri runs the business owned by the Maltese Prime Minister’s chief of staff, gave him a glowing reference. He wrote:

“I confirm that we have known Mr Malcom Scerri for the last ten years acting as his personal accountants and tax advisers and that the above address is the address shown in our records for him.

I confirm that we know him to be a person of integrity, honesty and good character and that there is no reason why you should not act on his behalf or provide business services to him.”

On 5 July 2013 – again in parallel with Colson Services Ltd – nominee director Giselle Ocampo gave a power of attorney to Karl Cini and Brian Tonna, enabling them to secure control of the company and its operations.

This means that while the shareholding of Colson Services Ltd and Selson Holding Corporation has been completely concealed first by virtue of the company being registered in the British Virgin Islands, then by transferring the shares to a nominee services operation in Panama and appointing a ‘front’ director also based in Panama, Keith Schembri still has complete control through a POA given to Brian Tonna and Karl Cini.