Updated 12.55pm - Added PN statement

Prime Minister Joseph Muscat this morning again challenged Opposition leader Simon Busuttil to publish invoices issued by the PN’s media company to two catering entities owned by businessman Silvio Debono's db Group.

Dr Muscat made this call in the wake of a story published by Malta Today which alleged that apart from Sky Gourmet, which provides catering on Air Malta flights, the PN had also received huge sums from Malta Healthcare Caterers – another catering company which supplies elderly homes and hospitals.

According to the paper, since 2013 the PN’s media company received close to €600,000. In a statement issued this morning, the PN denied the claims, saying the “allegation” had been leaked to the newspaper from the Prime Minister’s office. Malta Today has said it is standing by its story.

Addressing a political activity at the Labour club in Żurrieq, the Prime Minister said it made no sense for these two catering companies to place any adverts.

“It does not make sense to advertise free baguettes given on Air Malta flights and soups given to hospital patients,” Dr Muscat said.

He said that these invoices were “false” and part of a scam through which the PN had circumvented party financing laws to allow it to receive huge sums of money in excess of the €25,000 threshold established by law.

“If Dr Busuttil wants to be credible, he must publish these false invoices immediately. This is a blatant breach of the law,” the Prime Minister said.

European Commissioner Karmenu Vella, who hails from Żurrieq, was also among the crowd for this Labour Party activity, prompting the Prime Minister to make a remark at the start of his speech.

“I went to Europe and got back the ‘guy’ [as Mr Vella is known] with me” he remarked.

In his address, Dr Muscat referred to yesterday’s commemoration of the EU’s 60th anniversary which was held in Rome. While expressing his pride in being at the helm of the EU Council at such an important stage, he remarked that Malta was fast becoming the “envy” of larger Member States.

He noted that the first four years of the Labour administration would be remembered for having succeeded in coupling sound economic and fiscal policies with a raft of social measures. Dr Muscat added that during this legislature all debt accumulated between 2008 and 2013 under the PN government had been erased, while government kept its word on tax cuts, free childcare, and the lowering of utility tariffs.

The Prime Minister said that he was eagerly awaiting confirmation from Brussels that Malta’s deficit had been reduced to an all-time low of 0.7 per cent.

“If we meet this target, it would be a huge victory for all the country, as we would have gained credibility of keeping our word and at the same time it would signify that all eyes are on Malta not for the wrong reasons but due to the fact that we would be setting the example for others to follow.”

Dr Muscat also confirmed that the first compensation payments in the police overtime saga stretching between 1993 and 2009 would be made by the end of the year. However, no details were given on the total amount which taxpayers would be forking out.

Looking ahead he said that far from being “inexistent”, the Labour movement would continue to grow even further in a bid to achieve more successes.

Last Wednesday, Opposition deputy leader Beppe Fenech Adami argued that the PL was not yet in existence due to the fact that it has not registered itself with the Electoral Commission, despite being obliged to do so by the law on party financing.

'Your party is the only one breaking financing laws' - PN

In a reaction, the PN said that regardless of what Dr Muscat said, the party he led was the only one breaching party financing laws. The PL had failed to register with the Electoral Commission, had not published a list of donations it had received and had "stolen" band clubs in various towns from local families, it said. 

"What Simon Busuttil did confirmed that he cannot be bought; donations he might have received did not stop him from speaking out in the public interest against the ITS land deal," the party said. 

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