The Labour Party and the Nationalists today traded accusations in the wake of an Auditor General report which found serious shortcomings in a 2012 land transfer.

Vassallo Builders had strongly criticised the report by the Auditor General where it was stated that the former Lowenbrau site in Qormi was transferred by the (former) government for €706,000 when its value was €7.83 million.

Justice Minister Owen Bonnici claimed recently that Nationalist MP and former Lands Minister Jason Azzopardi had met with developer Zaren Vassallo ahead of a deal for the Löwenbräu brewery site in Qormi being struck to assure him that a compromise could be found.

The allegation was immediately denied by Dr Azzopardi who filed libel proceedings against the minister.

During a press conference this morning, the PN said that Dr Bonnici's two-week bubble had burst and he had been caught lying over the issue. 

Statements made by Dr Bonnici showed he was "false, a liar and was solely involved in politics solely for vindictive reasons", the PN spokesman said. 

"The Auditor General confirmed that there was no political interference in the process. After two weeks of personal hatred, Owen Bonnici should excuse himself and carry political responsibility."

In no other democratic EU state, would you find a prominent minister holding a news conference to attack his political adversary, he said. 

But the Labour Party hit back and said Opposition leader Simon Busuttil was caught in a trap he cannot get out of.

"Jason Azzopardi is under pressure because he knows he's been caught... now he's blaming (former Finance Minister) Tonio Fenech," the PL said in a statement.

Dr Busuttil was now stuck between two former ministers with whom he worked closely.

While the Auditor General said Dr Azzopardi should shoulder responsibility, now the name of Mr Fenech has also emerged, the PL said. 

"Dr Busuttil cannot remain silent."