MPs will lose seat if they under-declare campaign spending

Launch of party financing bill • Video by Ray Attard

A Member of Parliament could risk his or her seat if they are found to have made false declarations on the spending of his electoral campaign, according to a bill on party financing published today.

The bill is based on proposals made by Law Commissioner Franco Debono and refined through the consultation process.

“This a historic step that paves the way to more honest and transparent politics,” Justice Minister Owen Bonnici said, adding that this bill together with the removal of the time-barring from cases of corruption involving politicians and the implementation of the Whistleblowers’ Act were all presented during the government’s first legislature.

Eurobarometer surveys have consistently placed Maltese citizens among the highest who distrust politicians and in their belief that corruption was widespread.

The justice minister said political parties must regulate themselves according to the law, which will come into effect as from 1 January 2015 with the first accounts to be presented in 2016.

Law Commissioner Franco Debono said that donations to political parties were important as it was these donors who keep political parties alive.

“But it is important that these are regulated, even for transparency’s sake, in a democratic country. It is a historic step because it took us years to get here,” Debono said, adding that the bill was a continuity of his proposals.

Following the consultation process, the capping of donations to political parties was reduced from €50,000 to €40,000 as suggested by Alternattiva Demokratika. According to the proposed law, anonymous donations have been drastically reduced from €500 to €50.

Donations between €50 and €500 will be treated as confidential donations while parties will be obliged to give information on donations between €500 and €7,000. Donations between €7,000 and €40,000 must be publicly declared.