The government is betraying taxpayers' interests by rubbishing Malta Shipyards before selling the company, Labour leader Joseph Muscat said yesterday, arguing that if the decision to privatise is final, there should, at least, be an effort to clinch the best deal.

"We are not against privatisation," he said, while restating his party's offer to help explore other options to save the 'yard before going for privatisation.

"Rubbishing a product before selling it just doesn't make sense and runs against the interest of taxpayers who have supported the docks throughout the years." His comments, delivered during a party activity in Cospicua, were made after the government turned down a General Workers' Union proposal to set up a task force to look into ways how the beleaguered shipyard can be rescued.

Dr Muscat yesterday reiterated his party's offer to discuss the matter but insisted that, even if the government's decision was final, that was not the way to sell a company.

He echoed similar criticism, of selling state-owned companies for a song, levelled by the Labour Party at the government when Mid Med Bank was sold to the HSBC in 1999.

"We weren't born yesterday. We know what the government is doing and that is to demonise the shipyard workers and blame them for the losses so that it would then be able to get rid of the problem and sell the company," he said.

"The Prime Minister said politicians have been talking a lot about the shipyards and that it's time for action. We agree, but it's the Nationalist Party that has been in office for the past 20 years," he said.

In this vein, he criticised what he said was Lawrence Gonzi's "arrogant" attitude towards Labour's offer to help explore alternatives for the shipyards.

"This hardly equates the punch line Together Everything Is Possible," he said, referring to the PN's general election slogan. "The man just wants to decide on his own".

Earlier, the deputy leader for parliamentary affairs, Anġlu Farrugia, read out a letter which, he said, was mailed to shipyard workers by Dr Gonzi shortly before the March 8 general election.

In the letter, Dr Gonzi reminds the workers of his government's financial commitment towards the company's restructuring and promises more work for the 'yard and fewer taxes. After the election, the government is saying that the 'yard will be closed down, Dr Farrugia commented, to loud cheers and applause as he uttered the words "shame, shame".

Reacting to Dr Muscat's claims, the government said that Dr Muscat was misinterpreting what Prime Minister Lawrence Gonzi had said about the privatisation.

On the same day that the government announced that it planned to sell the 'yards, it had invited the General Workers' Union to meet Finance Minister Tonio Fenech. In fact, the meeting is scheduled for Friday, this week.

Furthermore, during his news conference, Dr Gonzi announced that he will be deliver a more detailed statement in Parliament and "will be prepared to answer at the parliamentary level because we wish this to be an exercise that through it we will bring about a national consensus and we tackle it in a constructive manner".

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