Muscat tells Central Bank Governor to lead by example

Labour leader Joseph Muscat this morning criticised remarks made on Friday by the Governor of the Central Bank regarding the need to cut public spending, mentioning social benefits, health and education.

Dr Muscat observed that Mr Michael C Bonello has a salary of €160,000 on which no tax is paid. Some of the salary is paid in Swiss francs.

The Central Bank, Dr Muscat observed, also had pension schemes of the type which Mr Bonello had criticised.

If the Governor wanted to give advice, he should lead by example, Dr Muscat said.

The Opposition leader also criticised the government for seeking cutbacks while ministers were quietly given a €600 a week salary increase.

The burden of cutbacks, Dr Muscat said, should be imposed on everyone, not just those with a small or medium income.

DWEJRA

Dr Muscat in his speech listed unkept promises made by the government for Gozo. Among them, he said, was the promise to have an open air studio.

Instead, he said, Gozo had suffered the Dwejra disaster, where no one was accepting responsibility and some were seeking to downplay what had happened and making contradictory statements. Just as shameful was the continued dumping in a valley near Qala - despite the promises of eco-Gozo.

The people of Gozo, Dr Muscat said, were fed up of such double standards.

He also noted that while it took years to lay the buoy for cruise liners off Xlendi, no ship was using it.

Labour MP Justyne Caruana in her remarks condemned the theft of the monument to stillborn babies at the Addolorata Cemetery and said this incident was shameful. Among her comments, Dr Caruana said it was a disgrace that at Gozo hospital, incubators were installed in 1971. Also shameful was the fact that a 4D scanner at the hospital had remained unused. .

BWSC

On the Audit General's comments on the BWSC contract last week, Dr Muscat said the PAC meeting showed how there was 'smoke' in this case, Dr Muscat said Austin Gatt had acted like he was the legal counsel of BWSC. The auditor had declared that his office found smoke.

"There is no smoke without fire," Dr Muscat said and the governemnt was trying to hide the flames by preventing the PAC from questioning witnesses.

It was worth noting that it was not just the local agent of BWSC who had been 'forgetful' when questioned by the auditor, but also several other government officials.

In contrast to the local government, it appeared that the Danish government was taking a close look at this case - BWSC being Danish. The EU was also investigating, although there was diplomatic pressure for the EU to close an eye. It was being claimed that this process was irreversible and it would cost the people too much should wrongdoing be found.

Even former minister Jesmond Mugliett had complained that the Cabinet had originally decided that the power station should be gas firing - and then the decision was changed to heavy fuel oil without the Cabinet even being informed.

How could a Cabinet decision be changed without whoever being responsible going back to the Cabinet? Dr Muscat asked. Did the Prime Minister allow such a major decision change? Were the other ministers informed?

NO PUBLIC ASSURANCE ON BILLING SOFTWARE

Dr Muscat noted that the government had not reacted yet to his two calls for a public assurance that the software written by IBM for the calculation of the power bills reflected the requisite legal notice.

The Opposition leader noted that the Finance Minister had not taken court action after claims that a contractor worked at his residence in return for help to sell the Jerma Hotel. Nor had there been a reaction to claims that the minister's personal secretary collected money for the minister's political campaign.

Labour MP Anton Refalo said it was a disgrace that the government gave a subsidy of €59 million to loc cost airlines but found no money for an air link to Gozo.