A law to regulate political party financing will be in place before the next general election, according to the Prime Minister.

Lawrence Gonzi’s commitment comes in the wake of allegations that Finance Minister Tonio Fenech received donations from construction company Montebello Brothers to finance his political campaign.

Mr Fenech has denied the allegations. Political party financing was one of the issues that was being discussed by a parliamentary select committee, which stopped functioning after the Labour Party withdrew its participation earlier this year.

“The Prime Minister is committed to enact the relevant legislation prior to the next general election,” a spokesman said, when asked whether Dr Gonzi felt it was time to have a law regulating political party and candidate financing irrespective of the opposition’s decision to withdraw from the select committee.

The issue of political donations came to the fore after MaltaToday quoted a former aide to the minister who alleged Montebello Brothers donated money towards Mr Fenech’s personal campaign.

Mr Fenech categorically denied he “ever received any money from Montebello Brothers” when asked whether they had directly or indirectly donated any money to his political campaign.

Mr Fenech would not say whether he was ready to make public any donations he may have received – directly or indirectly – from individuals or companies for his political campaign.

He said he “fully supports his party’s and the government’s policy towards further transparency in political campaigning and party financing”.

When asked whether he would be asking Mr Fenech for an explanation, Dr Gonzi stood by the minister’s denial. “Minister Tonio Fenech denied any wrongdoing,” the Prime Minister said.