The government will not be withholding a €210,000 commission on the €4.2 million Café Premier buy-back deal, Prime Minister Joseph Muscat said today.

The government still has to make two installments of €590,200 by January of next year. 

Replying to questions from Times of Malta, Dr Muscat said that the contract was “closed”.

The NAO had expressed “notable reservations” on the manner by which the reacquisition was made. It noted that the Government Property Department could have pursued court action to terminate the lease when rent arrears had surpassed the set threshold.

However, the government opted to reach for an out-of-court settlement to buy-back the remaining leasehold.

In his comments, Dr Muscat today said that the government was not prepared to spend years in court to get its property back.

However, a review of the shortcomings flagged by the report had been ordered. 

As for the use of the building, Dr Muscat said the various options would be formalised soon, but he was in favour of extending the national library, which, he said, lacked accessibility for people with mobility problems.

He also said he was comforted by the fact that in his report, the NAO remarked that the price paid reflected the property’s commercial value.