Spokesperson refutes questions over minister’s disapproval of MFSA spend

A decision by the financial regulator to finance works on the San Anton Palace, the stately home of the President of the Republic, was met with little support from the finance minister.

Edward Scicluna has reportedly refused to endorse the Malta Financial Services Authority’s decision to finance a €1 million, long-term restoration project for the historical rooms at the Palace, formerly used as offices for the President of the Republic.

The plans include a library and exhibition hall for the promotion of Maltese literature and on Grand Master Emanuel de Rohan – the last head of the Order of St John to hold sway over Malta before the arrival of the French.

But a spokesperson for Scicluna has refused to take MaltaToday’s request for a comment to the minister, specifically to learn as to why Scicluna does not approve of the MFSA’s decision to finance the San Anton restoration.

Over the past month, Scicluna’s spokesperson refused three times to give MaltaToday an answer since first making its request for comment on 22 August. Earlier this week, spokesperson Sandro Mangion held the gate shut tight, saying he “would not take this question to the minister”. 

MaltaToday put it to Mangion that Scicluna was not supportive of the MFSA’s decision, and that, instead, the MFSA chairman sought Prime Minister Joseph Muscat’s endorsement.

“The MFSA is an independent authority and the minister will not go into its operations,” Mangion insisted.

When contacted, MFSA chairman Prof. Joseph Bannister confirmed that the decision, taken by the board of governors, had been endorsed by Muscat.

When asked whether this money would be better spent in other activities of the MFSA, such as its regular inspections of companies, Bannister was adamant that the spend was part of the regulator’s corporate social responsibility policy.

“We will be reimbursing the Office of the President’s annual cost to restore these rooms. It is an ambitious endeavour. And we only do this in case of real surpluses,” Bannister said.

He also claimed he was not informed of Edward Scicluna’s apparent opposition to the MFSA’s spending priorities, since the law regulating the authority states that its surplus must be passed on to the consolidated fund.

“The prime minister endorsed the project as long as it is in the national interest,” Bannister said. “The €1 million spend is over a long term, so it won’t be affecting our operations.”