Dalli insists bank shares were sold for 'free'

Finance Minister John Dalli yesterday told a court he had publicly opined that shares in Bank of Valletta had been sold to the Banco di Sicilia for "free" after making a value judgment of the present worth of the shares compared to what they had been sold for.

Mr Dalli said the shares were now worth some Lm18 million and the Banco di Sicilia had received some Lm6 million in dividends over the years but they had paid only Lm800,000 for the shares and made no contribution to the management of the bank.

He testified in the libel suit filed by former prime minister Dom Mintoff against The Times over the publication of a letter on the matter.

Mintoff filed two suits in the Magistrates' Court against then editor Victor Aquilina - a civil suit and criminal proceedings.

Mintoff is claiming libel over the letter written by J.E. Agius of Attard and published in The Times of October 14 last year under the heading "Mintoff's largesse".

He is seeking damages under the Press Act and a conviction for defamation and libel under the Criminal Code and the Press Act.

Mr Dalli yesterday appeared before Magistrate Silvio Meli, who is hearing the civil proceedings, and said he had only looked into the matter when it came to organising the privatisation of the bank and wanted some background information before starting negotiations with the shareholders, now the Banco di Roma.

Asked about what he had said in parliament over the matter, Mr Dalli said he could not answer the question and cited parliamentary privilege. The magistrate upheld his request and refused to allow questions which touched on parliamentary business.

The case continues.

Dr Joseph M. Buttigieg and Dr Karmenu Mifsud Bonnici are counsel to Mintoff, while Dr Austin Bencini and Dr Stefan Frendo are counsel to The Times.