The government consulted every EU member state over its new investor programme and it would soon hold talks about it with the European Commission, Prime Minister Joseph Muscat told Parliament last night.

Winding up an urgent debate on last week’s European Parliament resolution against Malta’s sale-of-citizenship scheme, which passed with an overwhelming majority, he said the government would not “kneel before anyone”.

European Commission vice president Viviane Reding has come out against the scheme and warned Malta of “negative consequences” if it pursued it. Speaking ahead of last Wednesday’s EP debate, she cautioned that member states must adhere to genuine cooperation, as laid down in the EU treaty, when taking measures that affected other EU countries.

You have started a race to the bottom

Yesterday, both sides of the House dug their heels in during the three-hour debate, with the government side laying stress on the financial gain expected from granting passports and the Opposition reiterating is position against treating citizenship as a commodity.

The Opposition had on Sunday given notice of its intention to call for the debate in Parliament but Dr Muscat used parliamentary procedure to table his own motion calling for an urgent debate.

Opposition leader Simon Busuttil called for political ‘fair play’ – allowing the PN to close the debate – but this was turned down by the government, which meant it would open and close the debate.

Dr Busuttil accused the Prime Minister of portraying Malta as a pariah state and appealed to the government to take heed of the EP resolution.

“You have managed to relegate Malta into a joke. Our reputation is being put at serious risk,” he said.

Referring to Labour’s pre-electoral promise of turning Malta into the best EU member state, Dr Busuttil accused the government of doing the complete opposite, “starting a race to the bottom” and of “ridiculing the country.”

The government, he warned, should not forge ahead in the face of the MEPs’ clear vote, as this would continue to inflict additional harm to Malta’s reputation.

Ms Reading had made it clear the scheme went against EU treaties and international law and the government should seek to comply.

Dismissing any claims that the scheme went against EU treaties, Dr Muscat said the government had already consulted “all the EU member states” about the scheme and more talks, including with the Commission, would be held in the coming days.

You are just terrified of the scheme’s success

Describing Dr Busuttil and the Opposition as “lackeys”, Dr Muscat said he would not “kneel before anyone” and discussions with the Commission would be carried out “on an equal footing”.

“This is the main thing which distinguishes us from you,” Dr Muscat told the Opposition MPs.

Emphasising that the scheme would generate €1 billion for Maltese coffers, he said this was the main reason the Opposition feared the scheme.

“It’s all about electoral convenience and nothing else. You are just terrified of the scheme’s success.”

The government, he said, was convinced that the scheme would bring economic prosperity to Malta and it was the government’s intention to carry on with it.

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