The Prime Minister was wrong to think that the Panama companies scandal would go away if he did not speak about it, PN executive council president Ann Fenech said today as she called on Joseph Muscat to dismiss Konrad Mizzi and Keith Schembri.

Both Dr Mizzi, the Energy Minister, and Mr Schembri, the PM’s chief of staff, have admitted to having a trust in New Zealand and a company in Panama.

Addressing a news conference this afternoon, Dr Fenech said the people wanted answers to such an unacceptable situation, the biggest political scandal in Maltese political history.

Dr Fenech said the web got more tangled following the minister’s declaration that it was Mr Schembri who had encouraged him to set up the Panama company. The Prime Minister could not continue to avoid questions but should immediately dismiss Mr Schembri and Dr Mizzi.

Asking who was really taking decisions in the country, Dr Fenech challenged the Prime Minister to say when he learnt that Mr Schembri had a company in Panama.

Dr Muscat’s defence in the wake of the scandal, she pointed out, indicated that the allegations being made were correct.

The people, Dr Fenech said, were still asking whether it was true that Dr Mizzi and Mr Schembri had set up their secret companies at the time Dr Muscat was negotiating with the Azerbaijan president.

Questioned about the fact that her company had taken about €1 million in contracts under the last PN government, she said that this work was earned on the strength of the reputation of the Fenech&Fenech firm, which was established in 1893.

She pointed out that even this Labour administration had commissioned the firm on a number of occasions.

Dr Fenech said MPs should be barred from having offshore companies and trusts unless they submitted themselves to public scrutiny.

Asked about the PN's credibility on the issue of corruption, she said that in comparison to what was going on at present, the cases which surfaced up during the 25 years government were like "sins committed by altar boys".