The government was prepared to uphold people's rights but it had been advised it was not obliged to refund VAT on car registration tax, Prime Minister Lawrence Gonzi said yesterday.
"The government's position is clear: It will uphold people's rights to the last cent. But this is people's money and we are first in duty bound to establish whether this right exists," he told a crowd at Cospicua's Gavino Gulia Square.
The government, he said, had reimbursed people for licences paid on satellite antennas when it transpired they had the right to a refund.
On Saturday, about 14,000 people queued outside the Labour Party's headquarters in Ħamrun to sign up for a court case demanding a refund of VAT paid on their car registration tax.
"In other countries people queue up to find jobs. Let us remain focused on the economic challenges," Dr Gonzi said, adding that the tax money had been invested in a new hospital, new schools and new jobs.
Without saying who had advised the government it was not in duty bound to refund VAT on car registration tax, Dr Gonzi said he would rather heed that advice than that of someone who had, in the past, warned against EU membership and euro adoption.
When contacted, Finance Minister Tonio Fenech said that while people had every right to sign up for the court case, the government still felt it had not breached any law. He added that the government would respect the court's decision.
In a statement issued some hours later, Labour said the government had the political duty to reimburse the money without any delay. It described Dr Gonzi as "a headache" for consumers who have to go to court in order to fight for their rights.
In his address at Cospicua, Dr Gonzi spoke about agreements clinched with O-rings manufacturer Trelleborg Sealing Solutions, Methode Electronics and sink-maker Stainless Steel Products Ltd, three companies that had to go on a four-day week but were now returning to a normal working week.
He said it was now important for the government, the opposition, trade unions and the constituted bodies to work together to safeguard jobs at ST Microelectronics, to bring more investment and for SmartCity to open at the earliest.
"The country needs to remain focused on the most important things," he said, adding that his message to the Labour Party and to the social partners was to join forces in trying to attract jobs to Malta.
Dr Gonzi described the news that Malta would be able to keep foodstuffs and medicine free of VAT adding that workers would benefit, as a victory. This showed that Malta's voice in the EU was strong.
In a heartfelt speech received with resounding applause, Nationalist MEP candidate Vince Farrugia urged people not to be afraid to cross over to the Nationalist Party. "Cross over with me. Let us get together to ensure that the country comes first and before anything else. This means being with (Lawrence) Gonzi," he said.
"The Prime Minister had said that the party's door is always open. Let us show people a new future."
MEP candidate Frank Portelli highlighted the importance of the EU putting pressure on Libya to ease the problem of illegal immigration. He said the island was doing its utmost to address the problem and it was useless for foreigners to come to pontificate.
MEP candidate Edward Demicoli said that if Labour leader Joseph Muscat really believed in social justice, he should give back the party clubs which Labour had "stolen" from the people when it had seized their property to use as party clubs when Labour was in government.