New ARMS chief executive was chairman’s business partner

The former business partner of the outgoing chairman of the Water Services Corporation, was employed as chief executive of the WSC's billing company ARMS to take over acting chief Henry Attard earlier in summer.

MaltaToday understands that there was no public call for the post of ARMS's (Automated Revenue Management Services) chief executive, which is today occupied by James Davies.

According to company records, Davies was a company secretary and shareholder in a number of companies in which ARMS and WSC chairman Tony Meilaq also had a controlling interest.

Meilaq was appointed ARMS chairman in July 2013, replacing Xghajra mayor Anthony Valvo who had been appointed as chairman of the billing company in April, upon Labour's election.

But Meilaq will no longer be occupying the post of chairman, a government source told MaltaToday. Meilaq himself refused to comment on, or deny the reports of his resignation.

Although there is no inkling as to why Meilaq will not be retained as chairman, Davies could have been appointed without a public call and ostensibly drafted in because of his former business relationship with the politically-appointed Meilaq.

There is no confirmation that Davies's employment is connected to Meilaq's resignation. But Davies appears listed as a company secretary in several companies in which Tony Meilaq had a shareholding, and which have now been struck off the company register.

Davies was a company secretary in Comtel International, CJTV Holdings, Management Outsourcing Co Ltd, and in the case of Traveltek he was also a shareholder with Meilaq.

And another common name is that of WSC deputy chairman Saviour Zammit, who was a director in Comtel, Traveltek, and Management Outsourcing before these companies were struck off the company register.

Suspensions and resignations

Tony Meilaq was appointed chairman of the WSC in April, and chairman of ARMS in June 2013. Meilaq's resignation would be the second one for ARMS, which was recently chaired by Anthony Valvo. ARMS also recently appointed James Davies, to take over acting CEO Henry Attard after the suspension of Wilfred Borg. Borg was suspended by ARMS's new board of directors after he refused to resign his post when the energy ministry issued a statement demanding that he step down over an IT error that affected over 3,000 energy benefits.

Meilaq formerly served as chairman of state telecommunications corporation Telemalta, the forerunner of GO plc, during the Sant administration between 1996 and 1998.