The planning authority is seeking to recoup more than €65,000 for expenses incurred to demolish illegal buildings in 2004 on Marsascala land owned by Michael Axisa, in the same area the government is offering expropriation money to build a new university.
Mr Axisa (known as il-Lay Lay) is one of the landowners on the site at Żonqor Point earmarked for the proposed American University of Malta.
An ongoing court case started five years ago by Mepa against Mr Axisa’s company Lay Lay Limited demanded repayment of enforcement action costs for structures built on land outside development zone.
The Sunday Times of Malta asked the government whether the money owed is being taken into consideration in ongoing negotiations with Mr Axisa to expropriate his land for development.
A spokesman for the Office of the Prime Minister replied: “There is no decision on whether Mr Axisa’s land will fall within the parameters of the AUM for the simple reason that a decision is still to be taken on the matter.”
Previously, the government had confirmed that an offer for the land had already been made, but opposition to the use of ODZ land has mounted especially in the last week.
Mepa should seek to collect its dues like any other case
The government said Mepa “should seek to collect its dues like any other case, independently of whether the government proceeds to purchase or expropriate the land”.
The site selection came from the office of Mepa CEO Johann Buttigieg, who at the time of the enforcement action occupied the role of senior enforcement officer. He testified in the ongoing court case against Lay Lay Company Limited to recover the funds.
Asked whether the case influenced Mr Buttigieg’s decision on the controversial site selection, Mepa replied: “The advice given to government in the preliminary site selection exercise was related to the property owned by the government in the south. Government is not parte civile (injured party) in the court case”.
Mepa was tasked with identifying government-owned land in the south that could accommodate the new university on 90,000 square metres of land after the government signed an agreement with a Jordanian investor.
The total area, the equivalent of around 12 football pitches, is not wholly owned by the public. Around 11 per cent is privately owned.
Apart from Mr Axisa, the other land owners include men associated with former controversial Labour minister Lorry Sant: Pio Camilleri, Joe Chetcuti and Norman Clews, Joe Formosa, Joe Camilleri, Paul Abela and Manuel Farrugia.
It is understood the government has made an offer to each land owner within the assigned area, and is awaiting an answer from the individuals involved. Last week, the newspaper reported a stalemate over land payouts as sources said the government offer had been rejected by landowners.
The government had told this newspaper it had budgeted €500,000 for the entire 10,000 square metre area – the price that would be paid for agricultural land. The owners have set their own price but none would divulge further details.
Legal experts have told this newspaper the law gives the government the right to take over the land for public purpose even if it is earmarked for a private business venture.
Owners may then contest the level of compensation before the Land Arbitration Board.