Simon Busuttil unaware of PN’s financial woes

The PN's deputy leader and favourite to replace Lawrence Gonzi at the party's helm in the 4 May leadership election, has refused to comment on the party's financial situation.

Despite widespread reports of the party's precarious finances, Simon Busuttil told MaltaToday: "I cannot comment on the situation because I do not have the accounts at hand and I have never seen them."

Asked for his reaction on the party's failure to issue the PN employees' March wages and the possibility of laying-off a number of workers, Busuttil said: "I repeat that I have no comment to make on the situation. I did not have time to see the accounts during the last four months because as you well know I was busy with other things."

He added that he would be asking the PN's administrative council to put the party accounts on the council's next meeting's agenda.

It is understood that Busuttil will be backed by the Nationalist Party's "inner circle" for the leadership of the party.

Outgoing Opposition leader Lawrence Gonzi seems intent on emulating his predecessor Eddie Fenech Adami's move to promote a favourite for succession, as happened in the 2004 party election that saw Gonzi elected over John Dalli through the effective control of the majority of the PN's 900 councillors.

In an interview published on today's edition of sister newspaper Illum, former tourism minister and possible leadership contender Mario de Marco blamed the financial situation on the party's commercial entities, which he insisted, "need to be managed professionally".

"Mature parties should ask themselves whether having a station broadcasting 24/7 is really essential. We cannot escape reality and it's an issue which both parties should discuss together," he said.

In August 2012, the Broadcasting Authority had confirmed that most national broadcasting stations are facing cash flow problems and that this has led to stations falling behind in their licence payments.

It is a well-known fact that most privately-owned television channels, including the political party stations, are in a dire financial situation, and not in a position to pay their television licences to the BA.

While stressing the need to have a party financing law which would reduce the parties' dependency on personal contributions, de Marco said that the political parties should be more transparent when it comes to donations.

Speaking to MaltaToday, Lija mayor and PN secretary-general contender Ian Castaldi Paris said that the party's financial worries confirm the need for a radical reform within the party.

"The responsibility for the financial situation within the PN should be shouldered by the persons who were running the party during the last few years. This is certainly not the right time to reveal such information, because it will discourage people from staying... it looks like sour grapes to me," Castaldi Paris said.

He added that instead of delaying the employees' wages, he expected the party to pay all employees their salaries and an additional bonus for all the hard work the workers put in during the electoral campaign.

"There's nothing new in all this, the financial troubles have been going on for a very long time and it should have been discussed with all members. I would also like to know what kind of debts the party has. If it's just about unpaid water and electricity bills it's a case of mismanagement, but if it's money owed to creditors or down to over-spending during the electoral campaign, it's another thing altogether. I would also expect that the new administration is given a clear and transparent explanation during the handover process."

MaltaToday is informed that both political party stations have not honoured their licence payments for years, but the Broadcasting Authority has failed to reveal stations have not paid their licences, claiming commercial sensitivity.

While former One Television chairman Jason Micallef had told MaltaToday that "everything is in order" with the authority over licence payments, Net Television had failed to answer MaltaToday's questions by the time of going to print.

Former PN treasurer Peter Darmanin refused to comment, telling MaltaToday that he would "say what needs to be said in an appropriate time". Some years ago, after ending his long career as PN treasurer, Darmanin himself was reportedly owed money by the party and only after voicing his discontent did the party pay his wage arrears.

Attempts to contact a number of persons who are being touted as possible candidates for the vacant seats within the PN's higher echelons, such as Beppe Fenech Adami and Chris Said, were unsuccessful.