Brussels called to investigate Steward deal and abuse of procurement rules

Peter Agius, the Nationalist Party’s candidate for Europe, has written to European Commission president Ursula von der Leyen calling her attention to the abuse of government spending, in the aftermath of the Steward-Vitals hospitals deal rescission.

Agius told Von der Leyen the spending of Maltese taxes merited close attention from the EC, saying the Maltese government was breaching “practically all the articles” of the EU’s public procurement directive 2014/24/EU.

“Do not close your eyes to the breach of EU laws by the Maltese government... In May and October 2021 I sent two official letters to your services to investigate these breaches of public procurement – namely the €4 billion Vitals concession.

“Your services failed to answer my questions and said they had not enough information to proceed despite having passed on to them the Auditor General’s report which explains the facts clearly.”

Agius said the EC had to extend its hand to investigate public procurement breaches on the Vitals-Steward concessions deal, because it had to be seen to enforce EU law.

“We have seen hundreds of direct orders valued at millions when the limit should be €10,000, and cases where a private investment on a power station implicated by the Panama Papers was given a bank guarantee secured by Maltese taxpayers’ money, and now the Vitals deal where a penaly clause for €100 million was inserted post-contract.”

Agius said all these cases showed a breach of European law. “One asks why the EC has not moved on such abuses. Perhaps because they are considered ‘domestic’ cases that did not affect the bottom-line for some larger companies on the continent?”

Agius said these were cases of violations of European laws and said he was submitted a formal report to the EC for an investigation. “Your services receive daily news from Malta, where thanks to the courage of some Maltese journalists these scandals are revealed. But although all this is known to you, you have chosen twice not to take action.”

“I am making a sincere appeal to you, President Von der Leyen, Commissioners and all your services. Do not close your eyes on breaches of the law in Malta, especially when it comes to the spending of Maltese taxpayers’ money.... the Maltese people expect much more from Europe. Don’t disappoint them.”