Gozo Channel’s controversial choice of an ‘unknown’ company to serve as its partner in a fast-ferry service between Malta and Gozo has now been referred to the court.
The Public Contracts Review Board decided last week that since this was not a normal tender, it had no juridical remit to determine an objection filed by Virtu Ferries.
The board said that since the Gozo Channel exercise was termed a “preliminary market consultation” and not a tender, “it does not constitute any form of public procurement” and the rules “do not provide remedies to be heard by the board in this respect”.
However, the board pointed out that, in its opinion, the Gozo Channel exercise “was inappropriately designated”.
As expected, Virtu Ferries, which has been offering fast-ferry services to Sicily for the past decade, yesterday took the issue to court indicating its intention of filing lawsuits against Gozo Channel, the government and other entities.
Company has to abide by public procurement rules
Lawyers Anne Fenech, Adrian Mallia and Karl Micallef, for Virtu Ferries, asked the Civil Court to order Gozo Channel not to sign or implement any type of agreement it may have entered into with Islands Ferry Network Ltd.
Formed just a few days before Gozo Channel announced the partnership deal, Islands Ferry Network Ltd is owned by Magro Brothers, producers of tomato products, and Fortel, owners of the Fortina group and Captain Morgan cruises.
Virtu Ferries is contesting the Gozo Channel decision on various grounds, including that the selected company has no experience in running fast ferries, does not have the financial and technical facilities to implement the service and is not in possession of the international certification required to carry out such a task.
It is also challenging the way in which Gozo Channel selected its fast-ferry partner, insisting that, as a government entity, the company has to abide by public procurement rules and cannot just select a partner.
The issue goes back to last year, when Gozo Channel issued a preliminary market consul-tation to choose a partner “with the necessary experience, expertise and resources to provide fast-ferry services” between Malta and Gozo.
A selection committee decided in December that Virtu Ferries had submitted the most advantageous bid and that Islands Ferry Network Ltd did not have the necessary technical capacity to offer the service.
The Sunday Times of Malta reported that following the intervention of the Office of the Prime Minister, Gozo Channel’s first decision was annulled, a fresh call was issued and a new evaluation committee was appointed.
Gozo Channel announced in April it had chosen Islands Ferry Network Ltd as its new fast-ferry partner, which had submitted “the most financially-competitive offer”.