Finance Minister Tonio Fenech has agreed to act as a mediator between the Lotto Receivers’ Union and lotteries operator Maltco in a bid to solve the dispute over the request for a higher collective guarantee.

Sources said the union made the request and Mr Fenech accepted. The meeting was originally scheduled to take place yesterday afternoon but was postponed to this morning since the minister had other pressing commitments.

The bone of contention is the union’s refusal to accept increasing the collective guarantee from €35,000 to €500,000. This is the guarantee receivers give as an assurance for money they owe the company.

Some 180 receivers are covered by a collective guarantee while about 31 have individual guarantees.

The lotteries operator in December won a court case initiated by the receivers’ union to stop Maltco imposing a higher bank guarantee on them. Mr Justice Silvio Meli ruled Maltco was acting within its rights.

But the receivers continue to oppose raising the collective guarantee. They are asking for Maltco to demand a “reasonable amount”.

A fortnight ago, Maltco gave the receivers until last Friday to pay up and threatened not to provide them with a new service. This deadline was extended once the meeting with Mr Fenech was confirmed.