Parliamentary committee to investigate

The Public Accounts Committee yesterday narrowly approved a request by Government Investments Minister Austin Gatt to investigate allegations made by Labour leader Alfred Sant regarding the Water Services Corporation.

The PAC decided by four votes to three it will investigate two central allegations: that a Gozitan contractor working on the Gozo drainage treatment plant was awarded a contract in spite of his tender being Lm1.5 million higher than the cheapest offer because he was a friend of Gozo Minister Giovanna Debono and Roads Minister Jesmond Mugliett; and that the WSC chairman was concealing problematic work in spite of Dr Gatt's requests to take action.

However, the PAC rejected, by four votes to three, a motion by Labour MP Helena Dalli calling for a report by the Auditor General (AG) on the allegations made by Dr Sant and the claims of cost overruns mentioned in a letter by Dr Gatt to the WSC chairman on August 9.

In voting against Mrs Dalli's motion, Dr Gatt clarified that the government side agreed with the part of the motion calling on the AG to investigate the overruns but not Dr Sant's allegations.

Dr Gatt called on the committee to call as witnesses the Leader of the Opposition, the chairman of the Contracts Committee, the WSC chairman and the WSC's chief executive officer.

The motion also called for regular committee meetings, daily if necessary, until all evidence was examined.

Dr Gatt said that Dr Sant's allegations were clear, precise statements and should be immediately investigated by the PAC for the sake of transparency and to give the people being accused a chance to speak up.

He said that, on his part, he could categorically deny knowing about any problematic work at the WSC.

Dr Gatt said that, although he would prefer the PAC to investigate the issue of cost overruns itself, he had no objection to the AG first drawing up a report.

Committee chairman Charles Mangion said he preferred an investigation by the Auditor General because he was only answerable to Parliament and was constitutionally protected.

Dr Gatt said that contrary to the allegations made by Dr Sant, no Gozitan contractor was involved in the issue - the firm involved was a French/Maltese joint venture.