Controversy erupted today after The Sunday Times reported that Economy Minister Chris Cardona personally intervened to change the results of a Privatisation Unit tender award.
The move was followed by the resignation of Privatisation Unit chairman Emanuel Ellul, although the latter is insisting he stepped down for health reasons.
The incident involved a tender document issued last April for the provision of legal services to assist the unit in the pre-drafting, adjudication, negotiations and final agreements of an expression of interest for the granting of two new casino licences.
The ministry did not reply to questions before the newspaper's publication. However in a statement today it said that the Privatisation Unit had issued a call for proposals, not for tenders. The Privatisation Union considered the proposals and advised the ministry solely on the basis of price. The ministry said this was non-binding advice, and it felt the choice should not be based solely on price, but qualitative criteria.
Under the former government,it added, such services were contracted by direct order.
The ministry denied there was any dispute between it and Mr Ellul.
PN REACTION
The Nationalist Party said the ministry statement confirmed that the minister had intervened and changed the result given by the Privatisation Unit.
It was telling, it said, that for the ministry, the recommendations of the Privatisation Unit were only considered as being 'advice' and the minister felt free to make his choice on the basis of qualitative criteria.
It reiterated a call made this morning by Simon Busuttil for the prime minister to explain.