Too many inconsistencies in Dalli case - MEP

The events leading to the resignation of former Commissioner John Dalli remain a mystery wrapped inside an enigma, according to a German MEP who has listed out a number of inconsistencies and unanswered questions surrounding the involvement of tobacco lobbyists in the case.

"The tobacco lobby is not demonstrating enough transparency in the Dalli case", Inge Graessle MEP, EPP Group Coordinator in the European Parliament's Budgetary Control Committee, said this week.

"The questions to the tobacco lobby regarding the Dalli case remain unanswered. There are still many inconsistencies. It is a pity that the tobacco lobby has no interest in dispelling them,"

Graessle's concerns were raised after the refusal, despite prior agreement, of the tobacco company Swedish Match to answer 54 questions tabled by the Budgetary Control Committee. The refusal by Swedish Match was sent to the Members of the committee.
"It is obvious that the Dalli case must have consequences for the future of lobbying in Brussels", Inge Graessle said.

Questions have also been raised about the refusal by OLAF - the EU's anti-fraud agency - to allow public access to the contents of its investigation into John Dalli.

Corporate European Observatory, an NGO specialising in transparency issues and the EU - has appealed OLAF's refusal to make the report public, challenging OLAF's argument that "there is no overriding public interest in disclosure."

CEO has demanded access to all documents related to Commissioner Dalli's resignation over the issues covered in the OLAF investigation, including all minutes (and other notes) of meetings, all correspondence (including by email), both internal and external, and any other documents held by the Commission on these matters.

Its refusal was turned down, and CEO appealed against this decision with the Commission.

So far the contents of this report have been a jealously guarded secret. Apart from the Commission and OLAFD itself, other entities to have received a copy include Prime Minister Lawrence Gonzi and the Attorney General. The latter has since initiated criminal procedures against Silvio Zammit, the entrepreneur at the heart of the allegations, and lobbyist/lawyer Gayle Kimberley. No charges have been pressed against Dalli himself on the basis of this report.

MaltaToday recently reported the testimony of Assistant Commissioner Michael Cassar, who read out parts if this report in court - marking the only time its contents have been partially made public.

Cassar read: "if Silvio Zammit was acting on behalf of John Dalli, and if John Dalli was involved in the request, then Silvio Zammit's actions can qualify as bribery under Maltese law. But if he was pretending to act on behalf of John Dalli, his acts could be qualified as trading in influence under Maltese penal law."

On the basis of this excerpt, it would appear that the OLAF in inconclusive as regards Dalli's conscious involvement in proceedings.

Lobbyist appointment criticised

Both CEO and Inge Graessle also criticised the renewed nomination, before Christmas 2012 of Michel Petite - a lawyer working for Phillip Morris and former head of the legal service - into the ethics committee which supervises lobbying rules.

Petite, whose approval to the ethics committee was among the first decisions to be taken by incoming Commissioner Tonio Borg, has often been cited as a textbook example of the so-called 'revolving door' syndrome - i.e., when legislators and regulators step down to take up positions as consultants with lobby-groups aiming to influence legislation.

Graessle described his appointment as "lacking instinct and an impossible act".

CEO noted how Petite, who formerly headed the European Commission's Legal Service (which has a veto power on anti-trust and competition issues including mergers, and represents the Commission at international courts such as the World Trade Organisation) from 2001 to the end of 2007. He was also a former legal adviser to three Commission Presidents: Jacques Delors, Romano Prodi (as head of cabinet), and incumbent José Manuel Barroso.

Petite took went straight from the Commission's Legal Service to private law firm Clifford Chance, where he represents the interests of companies and specialises in European Commission policies, community law and competition law, alongside antitrust, trade, banking, taxation and government relations and public policy.

Clifford Chance tells potential clients "You may be faced with the prospect of a regulatory development or policy decision that threatens the very nature of your business.... We offer a blend of legal and political expertise" and can assist in "approaching government or the EU institutions... advising on the parliamentary and political process, and drafting and tabling amendments to proposed legislation."