Meta l-istat jinkoraġixxi l-evażjoni tat-taxxa

F’indirizz li għamlet nhar it-Tnejn liċ-Chicago Council on Global Affairs, Janet Yellen, Segretarju għat-Teżor tal-Istati Uniti, ippreżentat l-argument favur taxxa minima applikabbli għall-korporazzjonijiet multinazzjonali fuq livell globali, irrispettivament minn fejn huma bbażati.  Proposta ta’ din ix-xorta, kif rappurtat min-New York Times, ikollha s-saħħa li żżomm lil dawn il-kumpaniji milli jċaqilqu l-profitti tagħħom minn post għall-ieħor biex jevadu l-ħlas tat-taxxi dovuti minnhom.

Meta jitnaqqsu it-taxxi biex tinġbed l-industrija u n-negozju, emfasizzat  Ms Yellen, hemm is-sogru li mmissu l-qiegħ: fejn ser tieqaf? Ma nistgħux nibqgħu sejrin hekk. Il-kompetittività mhiex biss kif kumpanija tmur fil-konfront ta’ kumpaniji oħra.  Hi ukoll il-mod li bih nassiguraw  li l-gvernijiet ikollhom sistemi ta’ ġbir ta’ taxxa li jkunu stabbli b’mod li jistgħu jiġbru biżżejjed fondi x’jinvestu f’servizzi publiċi u jkunu f’posizzjoni li jirreaġixxu fi żmien ta’ kriżi. Hu meħtieġ li ċ-ċittadini bejniethom jerfgħu b’mod ġust il-piż tal-finanzjament tal-gvern.”

Din il-materja hi diġa fuq l-agenda tal-Unjoni Ewropeja. Hi opposta b’qawwa minn Malta, il-Lussimburgu, l-Irlanda u pajjiżi oħrajn.  L-argument dwar l-armonizzazzjoni tat-tassazzjoni hu parti integrali mill-ġlieda kontra l-evażjoni tat-taxxa u l-ħasil tal-flus.

Hu ta’ sfortuna li Malta (u pajjiżi oħrajn) repetutament abbużat mis-sovranità tagħha fuq materji ta’ taxxa. Huwa riżultat ta’ dan l-abbuż repetut li l-proposta dwar l-armonizzazzjoni tat-taxxa qabdet l-art b’mod li issa hi appoġġata ukoll mill-Istati Uniti tal-Amerka.  Malta rmiet il-vantaġġ kompetittiv tagħha billi abbużat minnu repetutament. Il-ħsara lir-reputazzjoni tal-pajjiż hi għaldaqstant awto-gol mill-kbar.

Malta ma tistax tkun kredibbli fil-ġlieda kontra l-evażjoni tat-taxxa u l-ħasil tal-flus jekk ser tibqa’ tiffaċilita l-evażjoni tat-taxxa fuq skala internazzjonali.  Xi snin ilu il-Grupp tal-Ħodor fil-Parlament Ewropew kien ippubblika studju intitolat Toxic Tax deals: when BASF’s tax structure is more about style than substance. Dan ir-rapport kien svela kif tul is -snin, il-kumpanija Ġermaniża ġgant tal-kimika BASF kien irnexxielha tevita u tiffranka l-ħlas ta’ biljun euro f’taxxi fuq 4 snin billi użat lill-Malta għal dan l-iskop. Dan sar billi kumpanija sussidjarja ġiet reġistrata f’Malta u t-taxxi dovuti, għax l-azzjonisti mhux residenti f’Malta, ħadu lura 6 euros minn kull 7 li kellhom iħallsu f’taxxa!

Il-każ tal-Korporazzjoni Amerikana Apple fl-Irlanda, kif nafu, wassal għall-evażjoni ta’ 13-il biljun euro f’taxxi. L-iskandlu Luxleaks fil-Lussimburgu ukoll wera kif dan il-pajjiż żgħir fost il-fundaturi tal-Unjoni Ewropeja ukoll kien qed jinkoraġixxi l-evażjoni tat-taxxa.

Dawn huma ftit mill-eżempji. Bla dubju hemm bosta oħra li s’issa huma moħbija mill-iskrutinju pubbliku. Bħala riżultat ta’ dan kollu madwarna għaddejja evażjoni ta’ biljuni ta’ euro ta’ taxxi, kontinwament. Malta, l-Irlanda, il-Lussimburgu u xi pajjiżi oħra jiġbru parti żgħira mit-taxxi dovuti bħala ħlas talli jippermettu din l-evażjoni ta’ taxxa fuq skala pjuttost kbira.

F’Malta dan kollu kien possibli bħala riżultant tal-hekk imsejjaħ “kunsens nazzjonali” bejn il-PLPN dwar il-qasam finanzjarju. “Kunsens” li ilu fis-seħħ numru ta’ snin. Il-ħsara lir-reputazzjoni ta’ Malta li seħħet u għad qed isseħħ bħala riżultat ta’ dan kollu, għaldaqstant, ma jġorriex il-Partit Laburista waħdu. Il-Partit Nazzjonalista ukoll għandu resposabbiltà xi jġorr. Għalhekk fuq dawn il-materji in-Nazzjonalisti u l-Labour dejjem iħokku dahar xulxin.  

Sfortunatament l-evażjoni tat-taxxa u l-ħasil tal-flus huma ħafna drabi konnessi. Bosta drabi fejn issib waħda issib l-oħra ukoll.

It-triq il-quddiem m’għandiex ikollha impatt fuq is-sovranità fil-qasam tat-tassazzjoni kif determinat mit-trattati Ewropej permezz tal-ħtieġa tal-unanimità f’materji konnessi mat-taxxa. Imma hemm bżonn urġenti li l-qasam tal-politika fiskali ukoll jinbena fuq prinċipji etiċi b’saħħithom. U mhux dan biss. Għandu jkun assigurat darba għal dejjem li Malta ma tibqax tiddependi minn dħul ġej mill-evażjoni tat-taxxa.

Għax id-dipendenza tal-ekonomija Maltija fuq l-evażjoni tat-taxxa (u l-bejgħ tal-passaporti) hi ta’ inkwiet kbir għall-pajjiż. L-industrija tal-evażjoni tat-taxxa hi sors ta’ dħul kif ukoll ta’ impiegi li it-tnejn li huma inevitabilment jintilfu fi żmien qasir. Wasal iż-żmien li nippjanaw għal futur nadif, futur li mhux iktar dipendenti fuq l-evażjoni tat-taxxa.

Ippubblikat fuq Illum: il-Ħadd 11 t’April 2021

When the state encourages tax evasion

In a speech delivered on Monday to the Chicago Council on Global Affairs, Janet Yellen, US Treasury Secretary, made the case for a global minimum tax applicable to multinational corporations irrespective of where they locate their headquarters. Such a proposal, reported the New York Times, would prevent companies from shifting profits to evade taxes.

Lowering tax rates to attract business, emphasised Ms Yellen, is a race to the bottom which has to be addressed. Competitiveness is not just how companies fare against other companies. It is also about making sure that governments have stable tax systems that raise sufficient revenue to invest in essential public goods and respond to crisis, and that all citizens fairly share the burden of financing government.

This issue is already on the agenda of the EU facing fierce opposition from Malta, Luxembourg, Ireland as well as others. The issue of tax harmonisation is an integral part of the fight against tax evasion and money laundering.

It is unfortunate that Malta (and others) have been repeatedly abusing its tax sovereignty. It is as a result of such repeated abuse that the proposal for tax harmonisation is gaining ground such that it now has the support of the United States of America too. As a result of greed Malta has squandered a competitive advantage by abusing it repeatedly and continuously. The resulting reputational damage is hence an own goal.

Malta (and the other countries) cannot be credible in the declared fight against tax evasion and money laundering if it keeps facilitating tax avoidance on an international scale. Some years back the Green Group in the European Parliament had published a study entitled Toxic Tax deals: when BASF’s tax structure is more about style than substance. This report reveals that over the years, the German chemical giant BASF used Malta to avoid the payment of one billion euros in taxes. This was done using the “legal” possibility to have tax refunds of up to six sevenths of the tax due in such cases where shareholders are not resident in the Maltese islands. Tax avoidance is tax evasion sanctioned by the state.

The Apple Corporation case in Ireland as a result of which another €13 billion in taxes were avoided is another example of tax evasion sanctioned by the state of Ireland. Luxleaks had also revealed countless of other examples as a result of which Luxembourg too embarked on state encouraged tax-evasion.

These are just some examples of many: the proverbial tip of the iceberg. There are undoubtedly countless of others, currently below the radar of public scrutiny, as a result of which the payment of billions of euros in taxes are being continuously avoided. Malta, Ireland, Luxembourg and other countries receive a small part of the actual tax due as a result of facilitating this state encouraged tax evasion.

Locally this scam is the result of the PNPL “national consensus” on financial institutions and fiscal policy in force for a number of years in Malta. The responsibility for the resulting reputational damage is thus not one to be shouldered by the Labour Party on its own, it has help from the PN which has continuously buttressed this abusive behaviour.

Unfortunately, tax evasion and money-laundering are inseparable twins!

The way forward need not impact the tax sovereignty afforded by the EU treaties through the unanimity rule on taxation issues. However, it necessitates ensuring that policy on all fiscal issues is also founded on sound ethical principles.

In addition to ensuring that fiscal policy is not in any way unethical it is about time that Malta does not any more, in any way, depend on tax avoidance.

The dependence of Malta’s economy on tax avoidance (and the sale of citizenship) is very worrying. The tax avoidance industry is a source of both revenue to the state and employment opportunities, both of which will be lost in the not-so-distant future. It is about time that we start planning for a cleaner future, a future that is, which is not dependent on the tax avoidance industry!

Published in the Malta Independent on Sunday : 11 April 2021

Lejn normal differenti

L-imxija tal-coronavirus għadha fl-istadji bikrija tagħha. In-numri ta’ dawk identifikati bħala infettati, s’issa, s-servizzi tas-saħħa qed ilaħħqu magħhom. Nittamaw li l-affarijiet jibqgħu hekk, anke jekk in-numri inevitabilment ser jiżdiedu. Dan ser ikun jiddependi fuq diversi fatturi, ewlieni fosthom li lkoll kemm aħna qed nosservaw dak li jgħidulna l-awtoritajiet tas-saħħa biex b’hekk tonqos il-possibilità li l-virus ikun trasmess fuq skala kbira.

Bla dubju, l-mistoqsija fuq fomm kulħadd hi: kemm ser jgħaddi żmien biex il-pajjiż jirkupra minn dan kollu?

F’waħda mill-intervisti li tiegħu, l-Prim Ministru Robert Abela indika li l-kriżi tal-coronavirus tista’ twassal sal-bidu tas-sajf. Jista’ jkun, iżda, li din iddum ferm iktar: possibilment anke sa tnax-il xahar ieħor! Il-medja internazzjonali qed tispekula dwar jekk il-firxa tal-coronavirus tonqosx fis-sajf biex imbagħad tirritorna iktar tard bħall-influwenza “normali” li tkun magħna kull sena. Il-possibilità tat-tieni mewġa tal-coronavirus m’għandiex tkun injorata, għax, jekk dan iseħħ jista’ jkollha impatti konsiderevoli fuq dak li jkun baqa’!

Meta ser niġu lura għan-normal? Il-ħajja f’Malta ser tirritorna għal dak li mdorrijin bih jew ser nieħdu l-opportunità biex nibnu normal ġdid u differenti?

Il-pajjiż jeħtieġlu ż-żmien biex jerġa’ jiġi fuq saqajh, ħafna iktar minn kemm hu meħtieġ biex ikun eliminat il-coronavirus minn fostna. Iż-żmien ta’ stennija nistgħu nagħmlu użu tajjeb minnu billi nibdew nippjanaw bis-serjetà dwar kif ser nibnu mill-ġdid ir-reputazzjoni tal-pajjiż. Huwa iktar diffiċli li nibnu r-reputazzjoni tal-pajjiż milli nsewwu l-ħsara kkawżata mill-firxa tal-coronavirus.

Reċentement ġew ippubblikati żewġ dokumenti bi proposti li jistgħu jkunu ta’ għajnuna kbira f’din il-ħidma li hi tant meħtieġa. L-ewwel dokument ippubblikat huwa dokument konsultattiv li ippubblika xi ġimgħat ilu l-Kummissarju għall-iStandards fil-Ħajja Pubblika. Dan hu intitolat: Towards the Regulation of Lobbying in Malta. It-tieni dokument huwa intitolat Review of the Ethical Framework guiding public employees u kien pubblikat mill-Uffiċċju Nazzjonali tal-Verifika iktar kmieni din il-ġimgħa. Hi ħasra li, safejn naf jiena, ma teżisti l-ebda verżjoni bil-Malti ta’ dawn id-dokumenti. Dan ukoll hu nuqqas amministrattiv li għandu jkun rimedjat. Il-Malti hu lsienna u proposti ta’ din ix-xorta jeħtieġ li jkunu ppubblikati bil-Malti ukoll.

Fid-dokument konsultattiv tiegħu l-Kummissarju għall-iStandards fil-Ħajja Pubblika jargumenta favur it-trasparenza permezz tar-regolamentazzjoni tal-lobbying, materja li s’issa hi nieqsa mill-liġijiet tagħna. Hu biss permezz ta’ transparenza rigoruża tal-proċess politiku li nistgħu nassiguraw il-kontabilità u allura l-iskrutinju pubbliku tal-formazzjoni ta’ proposti politiċi kif ukoll tal-proċess tat-teħid ta’ deċiżjonijiet. Ilkoll konxji li sakemm il-lobbying ma’ jkunx regolat, dan ser jibqa’ sors ewlieni tal-kontaminazzjoni tal-proċess politiku. Meta nirregolaw il-lobbying, min-naħa l-oħra, nistgħu jkollna proċess politiku infurmat u allura nkunu qed nikkontribwixxu b’mod effettiv għall-kontabilità.

Fit-tieni dokument, l-Awditur Ġenerali jeżamina r-regoli dwar l-imġieba etika li huma mifruxa fl-Att dwar l- Amministrazzjoni Publika, fil-Kodiċi tal-Etika u fil-Kodiċi dwar it-Tmexxija tas-Servizz Pubbliku li flimkien jirregolaw il-mod kif jopera is-servizz pubbliku. L-Awditur Ġenerali ġustament josserva, illi, meta tqis il-kontenut ta’ dawn it-tlett dokumenti flimkien jirriżulta li hemm nuqqas ta’ ċarezza, liema nuqqas joħloq l-inċertezza, u b’hekk tkun imnaqqsa l-effettività tagħhom. Huwa jemfasizza illi r-regoli huma ultimament effettivi skond kemm huma kapaċi jwasslu għal azzjoni konkreta. Jiġifieri r-regoli għandu jkollhom il-kapaċita li jittraduċu l-prinċipji f’azzjoni reali.

Permezz tal-proposti tagħhom il-Kummissarju għall-iStandards fil-Ħajja Pubblika u l-Awditur Ġenerali qed iwasslu messaġġ għat-tisħieħ tal-pedamenti tal-amministrazzjoni pubblika. Bħala riżultat ta’ dan, jista’ jkun possibli li nibnu “normal ġdid” u differenti minn dak li drajna bih sal-lum. Normal fejn il-governanza tajba ma tkunx iktar eċċezzjoni imma tkun l-imġieba normali li nistennew mingħand dawk fil-ħajja pubblika u fl-amministrazzjoni pubblika għas-servizz tal-pajjiż.

Il-waqfien tal-pajjiż ħtija tal-mixja tal-coronavirus hi ukoll opportunità għal riflessjoni tant meħtieġa. Huwa l-waqt li l-paroli kollu dwar governanza tajba nittrasformawh f’azzjoni konkreta. Il-pajjiż għandu bżonn ta’ normal ġdid, ta’ normal differenti minn dak imdorrijin bih.

 

Ippubblikat fuq Illum : Il-Ħadd 5 t’April 2020

Towards a new normal

The Coronavirus outbreak is still in its initial stages. The numbers of those testing positive are, so far, manageable. We all hope that this will remain manageable even though the numbers are on the increase. This is however dependent on many factors, primarily on our observing the instructions issued by the health authorities in order to reduce the possibilities of transmission of the virus.

How long will it take for the country to recover?

In one of his interviews Prime Minister Robert Abela has indicated that the current Coronavirus crises may last till the beginning of summer. Recovery, could, however, last longer, even as much as twelve months. The international media is speculating on whether the Coronavirus outbreak will reduce its spread during the summer months as well as whether it will return later in the year just like the “common” flu. The possibility of a second outbreak is not to be overlooked, as if this were to happen, it could have a devastating effect on what’s left.

When will life get back to normal? Will life in Malta be back to what we were used to or will we avail ourselves of the opportunity to seek a new normal?

It will take time for the country to start functioning again, much more than is required to eliminate the Coronavirus from our midst. We can put to good use the available time on our hands to start planning in earnest the rebuilding of our reputation as a country. Reconstructing our reputation is more difficult to achieve successfully than making good the extensive damage caused by the Coronavirus outbreak.

In this respect, lately, two different sets of proposals have been published for our consideration. The first is the document for public consultation published by the Commissioner for Standards in Public Life some weeks ago, entitled: Towards the Regulation of Lobbying in Malta. The second is the Review of the Ethical Framework guiding public employees published this week by the National Audit Office. As far as I am aware no Maltese version of these documents has been published. This is a recurring administrative deficiency which should be remedied at the earliest. Maltese is our national language and proposals of this fundamental nature should be available for consideration in the Maltese language too.

In his consultation paper, the Commissioner for Standards in Public Life argues in favour of transparency through the regulation of lobbying which matter is still missing from our laws. It is only through rigorous transparency of the political process that we can ensure accountability and consequently public scrutiny of the policy formation and decision-taking process. We are all aware that as long as lobbying is unregulated it will remain a primary source of the toxification of the political process. Regulated lobbying, on the other hand, can inform the political process thereby contributing to more effective accountability.

In his review, the Auditor General examines existing ethical rules spread in the Public Administration Act, the Code of Ethics and the Public Service Management Code which together regulate the operation of the civil service. He observes that at times, when one considers these three instruments together, there is a lack of clarity which creates uncertainty, as a result reducing their effectiveness. He emphasises that ultimately effectiveness of the rules is also dependent on follow-up action and an enforcement which is capable of translating principles into tangible action.

Through their proposals the Commissioner for Standards in Public Life and the Auditor General seek to strengthen the foundations of public administration. As a result, it may be possible to construct a new normal where good governance is no longer an exception but the normal behaviour which we expect from people in public office as well as from the public administration serving the country.

The Coronavirus outbreak is thus also an opportunity for a long overdue reflection. The grinding to a halt of the whole country is also the right moment to substitute lip-service to good governance with some concrete action. The country desperately needs a new normal.

 

Published in The Malta Independent on Sunday 5 April 2020

Imnawwar minn ġewwa

Sal-ħin li qed nikteb, l-investigazzjoni interna tal-Pulizija nfirxet minn waħda iffukata fuq it-taqsima tat-traffiku għal taqsimiet oħra tal-korp. Bosta huma mnixxfa kif dawk li suppost iżommu l-ordni u jħarsu l-osservanza tal-liġi qed jiġu nvestigati huma stess dwar allegazzjionijiet ta’ abbuż minn fondi pubbliċi kif ukoll allegazzjonijiet li talbu flus biex ma jagħmlux dmirhom (speċi ta’ protection money).

Supretendent u numru ta’ uffiċjali oħra, rinfaċċjati bil-provi rreżenjaw mill-korp. Numru mhux żgħir ta’ pulizija ġew interrogati.

M’għandniex inkunu sorpriżi b’dan kollu, għax dan huwa kollu riżultat dirett ta’ kultura ta’ impunità li ġiet imxettla b’mod kontinwu mill-Partit Laburista fil-Gvern tul dawn l-aħħar snin. Xejn mhu xejn. B’xi mod jew ieħor kollox jibqa’ għaddej, jew kważi.

Il-Prim Ministru Robert Abela stqarr li l-fatt illi l-Pulizija stess qed jinvestigaw lill-pulizija li dwarhom hemm l-alegazzjonijiet huwa indikazzjoni ċara li l-istituzzjonijiet fil-pajjiż qed jaħdmu sewwa. Fil-fehma tiegħi din hi analiżi skorretta. Dak li qed jiġri trid tarah ukoll fil-kuntest tal-ħbiberija żvelata bejn dak li kien Deputat Kummissarju tal-Pulizija Silvio Valletta u Yorgen Fenech, (l-allegat mandant tal-assassinju ta’ Daphne Caruana Galizia). F’dan il-kuntest, l-investigazzjoni tindika li l-korp tal-Pulizija huwa mnawwar minn ġewwa.

Fil-waqt li l-parti l-kbira tal-membri tal-korp tal-Pulizija huma persuni serji, għandu jkun sottolinejat li mhux l-ewwel darba li rriżulta li uffiċjali anzjani tal-korp tal-pulizija kienu viċin ta’ persuni li kienu taħt investigazzjoni. Kaz ieħor riċenti li niftakar hu ta’ uffiċjal imlaħħaq fit-taqsima tar-reati ekonomiċi (spettur) li kien viċin ħafna ta’ operatur fl-industrija tal-logħob tal-ażżard. Tant kien viċin tiegħu li anke kellu l-aċċess biex jutilizza karozza privata ta’ din il-persuna, Ferrari. Il-każ imur lura sal-2015 meta missier l-ispettur, kien agent Kummissarju tal-Pulizija. Għax il-każ taz-ziju Silvio ċertament mhux l-uniku wieħed.

Kien il-kandidat laburista Andy Ellul li f’artiklu ppubblikat fuq it-Times tat-28 ta’ Jannar 2020 li stqarr li “Police commissioners form part of the executive and they have to toe the electoral programme of the government of the day”. Huwa ċertament ta’ sfortuna li Andy Ellul jikkunsidra li l-pulizija għandha funzjoni politika għax l-implimentazzjoni tal-manifest elettorali hi funzjoni tal-politiċi u tagħhom biss.

Dak li qal Andy Ellul jispjega ħafna dwar meta, kif u għaliex (uħud) mill-Pulizija jaġixxu u jinvestigaw. Andy Ellul kien hu nnifsu membru tal-korp tal-pulizija u allura suppost li jaf ferm iktar minn hekk!

Meta l-Panama Papers saru materja pubblika x’investigazzjoni għamlet il-pulizija? Abbażi ta’ dak li ġie osservat min-naħa tal-uffiċċju tal-Prim Ministru f’Kastilja, il-Pulizija ġew jaqgħu u jqumu. Konrad Mizzi u Keith Schembri ma ġewx mitluba biex jerfgħu ir-responsabbiltà għall-azzjonijiet tagħhom meta waqqfu kumpaniji sigrieta fil-Panama: ħelsuha ħafif. Għaldaqstant wara dan il-messaġġ ċar li qiesu ma ġara xejn, ħadd ma għandu jkollu l-ebda dubju x’kejl kellu japplika għall-pulizija u għall kull min jagħmel affarijiet li s-soltu ma naċċettawhomx. Kien biss meta l-whistle-blower saffar li l-investigazzjoni kellha tibda. Hawn xi ħadd li jemmen li b’mod ġenwin ħadd ma nduna b’xejn? Hu ċar li bosta ħadu sehemhom u allura b’mod konvenjenti “ħadd ma nduna xejn”.

It-triq biex tissewwa l-ħsara li saret lir-reputazzjoni li Malta kisbet illum il-ġurnata mhix triq faċli. Li tkun stabilita mill-ġdid il-fiduċja fil-korp tal-Pulizija hu pass wieħed żgħir minn ħafna meħtieġa.

Malta bil-mod qed tiġi trasformata f’soċjeta amorali fejn il-prinċipji aċċettabbli ta’ imġieba korretta qed jintremew il-baħar. Hemm min jiddieħaq bihom ukoll.

Rappresentanti tas-settur tas-servizzi finanzjarji qalulna li hemm bżonn is-sehem ta’ kulħadd biex naslu li nnaddfu isem Malta mill-ġdid. Huwa ftit diffiċli biex wieħed jifhem kif nistgħu naslu meta hu ċar għal kulħadd li l-korp tal-Pulizija hu mnawwar minn ġewwa.

 

ippubblikat fuq Illum : 16 ta’ Frar 2020

Rotten to the core

At the time of writing, the Police internal investigation has widened from one focused on the traffic section to other police units. Many are shocked that the upholders of law and order are themselves under investigation in respect of allegations on the fraudulent use of public funds as well as the allegation of being in receipt of protection money.

Faced with the available evidence, a Superintendent – as well as a number of other police officers – has resigned. It is reported that substantial number of officers were interrogated, with some being released on police bail.

I am not at all surprised because, in my view, this is the direct consequence of the culture of impunity which the Labour Party in government has continuously nurtured for the past six years during which it has been in office.

Prime Minister Robert Abela has stated that the fact that the police are investigating their own is, in itself, an indicator that the institutions are functioning properly. His assessment is, in my view, incorrect. Together with the revelations regarding the close friendship of former Police Deputy Commissioner Silvio Valletta and Yorgen Fenech, (the suspected mastermind of Daphne’s assassination), the police investigation is more of an indication that a section of the Police Force may be rotten to the core.

While most of the members of the Police Force are beyond reproach, it has to be underlined that this is not the first instance, in recent years, when senior police officers were reported as being too close to people under investigation. A specific case that comes to mind is that of a senior police officer in the Economic Crimes unit who was so close to an operator in the gaming industry – then under investigation – that it was then reported in the media that he had access to, and made use of, the operator’s private vehicle, a Ferrari. The case goes back to 2015. Uncle Silvio’s case is definitely not a one-off.

It was Labour Party candidate Andy Ellul who, in an opinion published in The Times on 28 January 2020 stated that “Police commissioners form part of the executive and they have to toe the electoral programme of the government of the day”. It is indeed unfortunate that Andy Ellul considers that the police have a political function, as the implementation of the electoral programme is the exclusive function of holders of political office.

Andy Ellul’s utterances explain quite a lot as to when, how and why (some of) the police act and investigate. Andy Ellul, a former policeman himself, certainly knows much better than that!

When the Panama Papers revelations hit the headlines what investigations were carried out by the Police? Taking the cue from the Office of the Prime Minister at Castille the Police were not bothered. If Konrad Mizzi and Keith Schembri can get away with shouldering responsibility for their actions through the setting up of secret companies in Panama, one should not wonder as to the yardstick applied to misdemeanours of some of the members of the Police Force. It was only when the whistle-blower sounded the alarm that matters took a new direction on the allegations relative to police in the Traffic Section and beyond.

Repairing Malta’s reputation is not an easy task and restoring confidence in the Police Force is only one small step of the many required. Our country is being slowly transformed into an amoral society in which principles of ethical behaviour are being scourned and thrown overboard.

We have been told by representatives of the financial services sector that we need all hands on deck to repair Malta’s reputation. It is difficult to comprehend how this can commence in earnest when key elements of the Police Force are rotten to the core.

 

published in The Malta Independent on Sunday : 16 February 2020

Ir-reputazzjoni tal-Awtorità tal-Ippjanar

Hu tad-daħq li iktar kmieni din il-ġimgħa skoprejna illi l-Awtorità tal-Ippjanar hi mħassba dwar li possibilment saret ħafna ħsara lir-reputazzjoni tagħha.

Din kienet aħbar, għax sal-lum, l-impressjoni ġenerali ta’ bosta minna kienet li l-Awtorità tal-Ippjanar tiġi taqa’ u tqum mir-reputazzjoni tagħha.

F’numru ta’ protesti u kontro-protesti ppreżentati l-Qorti f’dawn il-ġranet, residenti ta’ Pembroke talbu d-danni mingħand l-Awtorità tal-Ippjanar f’konnessjoni mal-mod kif din imxiet fil-konfront tagħhom dwar il-proġett tad-dB. Il-Grupp dB, min-naħa l-oħra lagħabha tal-vittma meta bi qdusija artifiċjali akkuża lill-Awtorità tal-Ippjanar li ma għamlet xejn dwar il-kunflitt ta’ interess ovvju ta’ wieħed mill-membri tal-Bord tal-istess Awtorità – l-aġent tal-propjetà. B’riżultat ta’ dan, qalet li sofriet danni sostanzjali meta l-permess ta’ żvilupp dwar l-iżvilupp massiċċ fil–Bajja ta’ San Ġorg tħassar mill-Qorti.

Fit-tweġiba tagħha, l-Awtorità tal-Ippjanar akkużat lill-Grupp dB li kien hu stess li ħoloq il-kunflitt ta’ interess li dwaru kien qed jilmenta. Dan billi għamel użu mis-servizzi ta’ aġent tal-propjetà li kien ukoll membru tal-Bord tal-Awtorità tal-Ippjanar. L-Awtorità kompliet temfasizza li hi ma kelliex idea dwar, u ma kienitx taf illi l-propjetà tad-dB kienet diġà fuq is-suq qabel ma biss il-kaz tela’ quddiem il-Bord għall-approvazzjoni, sintendi bil-vot favorevoli tal-aġent tal-propjetà membru tal-Bord.

L-Awtorità tal-Ippjanar kompliet tgħid li l-Grupp dB, bħala riżultat tal-mod kif opera ikkawża ħafna ħsara lir-reputazzjoni tagħha. Din kienet sorpriża, għax ħafna ma kellhom l-ebda idea li l-Awtorità tal-Ippjanar kella xi reputazzjoni x’tipproteġi!

L-Awtorità tal-Ippjanar taf li kull membru tal-Bord tagħha, hekk kif jinħatar, jeħtieġ li jimla formula li fiha jagħti informazzjoni dwar l-interessi tiegħu jew tagħha. Il-membru tal-Bord li qed nitkellmu dwaru, l-aġent tal-propjetà Matthew Pace, diġa iddikjara pubblikament li hu mexa mal-proċeduri stabiliti, li jfisser illi f’din il-formola huwa iddikjara l-interess tiegħu fl-aġenzija tal-propjetà.

Jekk dan hu minnu, x’għamlet l-Awtorità tal-Ippjanar hekk kif irrealizzat li wieħed mill-membri l-ġodda tagħha kellu interess f’aġenzija tal-propjetà? Kieku jkollna tweġiba onesta għal din il-mistoqsija bla ebda dubju jkollna idea tajba dwar kif l- Awtorità tal-Ippjanar tħares “ir-reputazzjoni” tagħha. Imma, safejn naf jien, ma għamlet xejn: jew minħabba li m’għandha l-ebda reputazzjoni x’tipproteġi, inkella minħabba li tiġi taqa’ u tqum!

Apparti dan kollu, waqt il-laqgħat tal-Bord tal-Awtorità tal-Ippjanar, kull membru tal-Bord għandu l-obbligu li kull meta l-interessi tiegħu jew tagħha jkunu f’kunflitt mar-responsabbiltajiet bħala membru tal-Bord jiġbed l-attenzjoni għal dan billi jagħmel dikjarazzjoni f’dan is-sens waqt il-laqgħa. Wara li jkun għamel dikjarazzjoni ta’ din ix-xorta, imbagħad, il-membru tal-Bord għandu l-obbligu li jimxi skond kif jipprovdi l-artiklu 13 tal-Att dwar l-Ippjanar tal-Iżvilupp u ma jipparteċipax fil-laqgħa jew laqgħat li jista’ jkollhom x’jaqsmu mal-interessi tiegħu. Minn dak li hu magħruf, dawn it-tip ta’ ċirkustanzi huma rari waqt il-laqgħat tal-Bord tal- Awtorità tal-Ippjanar.

L-interess ta’ dan l-aġent tal-propjetà fil-proġett tad-dB illum huma magħrufa. Ikun interessanti, imma, dwar kemm kien hemm iktar propjetajiet li kienu fuq il-kotba tal-aġenzija tiegħu li kienu ukoll suġġett tal-aġenda li hu kellu sehem biex jiddeċiedi dwarha! Din hi informazzjoni li s’issa l-Awtorità tal-Ippjanar ma għamlitx pubblika, għax li kieku kellha tagħmel dan bis-serjetà, malajr inkunu nafu kif l-Awtorità ndukrat ir-reputazzjoni tagħha tul is-snin!

Fil-fehma tiegħi, l-Awtorità tal-Ippjanar hi awtorità amorali, fejn il-prinċipji huma irrelevanti. Għax fl-aħħar mill-aħħar, l-unika ħaġa importanti għall-Awtorità tal-Ippjanar hu li ma tkunx ostaklu għal min irid idawwar lira!

ippubblikat fuq Illum : il-Ħadd 4 t’Awwissu 2019

The Planning Authority and its “reputation”

It is quite hilarious to discover that the Planning Authority is worried about possible damage to its reputation! This is news, because, to date the general impression that most of us have is that the Planning Authority does not give a f..k about its reputation.

In a spate of protests and counter-protests presented in Court over the past days, Pembroke residents have requested the payment of damages from the Planning Authority over its handling of the dB project. The dB Group, on the other hand, has sanctimoniously accused the Planning Authority of not acting on the obvious conflict of interest of one of its Board Members – the estate agent – thereby causing it damage as a result of the annulment by the Court of the development permit for the St. George’s Bay City Centre project.

Not to be outdone, in its reply the Planning Authority has accused the dB Group of giving rise to the very conflict-of-interest subject of its complaint. This, it argued, was carried out by making use of the services of an estate agent who was simultaneously a member of the Planning Authority Board. The PA further emphasised that it was not aware that the dB property was on the market even before the matter was decided upon with the estate agent PA Board member voting in favour: obviously!

The Planning Authority also pointed out that, as a result of the way it acted throughout, the dB Group has caused considerable damage to its reputation.

Really? I was not aware that the Planning Authority had any reputation worth preserving!

Now the Planning Authority is aware that each and every member of its Board would, upon being appointed, have submitted a detailed form listing his/her interests. The member in question, the estate agent Matthew Pace, has already declared in public that he has followed all applicable procedures which means that, among other things, he has declared an interest in an estate agency.

If this is correct, what did the Planning Authority do when it realised that one of its new members had an interest in an estate agency? Having an honest answer to this query would throw considerable light as to how the Planning Authority guarded its “reputation”. To my knowledge it did nothing, either because it has no reputation to protect or else because it was not bothered!

In addition, during meetings of the Planning Authority Board, every member of the Board is duty bound to point out instances where his/her private interests conflict with his/her responsibilities as a Board Member. After making a full disclosure of his/her interest the Board Member is obliged – in terms of article 13 of the Development Planning Act – to refrain from participating in the meeting or meetings which could have a bearing on his/her interest. From what is known, such disclosures are a very rare occurrence at PA Board meetings.

The estate agent’s interest in the dB project is now well-known. It would be interesting to know how many other properties on the estate agent’s books were also items on the agenda he had a role in deciding. This is a question that the PA has not answered yet. Maybe an answer could give a significant boost to its reputation!

In my books the Planning Authority is an amoral authority, where principles are irrelevant. At the end of the day, what counts is not being an obstacle to making hay, while the sun shines!

published in the Malta Independent on Sunday : 4 August 2019

Madwar il-mejda aħjar

Iktar kmieni illum flimkien ma uffiċjali oħra ta’ Alternattiva Demokratika iltqajt ma’ Adrian Delia l-Kap tal-PN. Iddiskutejna l-qagħda politika attwali u l-veduti taż-żewġ partiti dwar dak liqiegħed iseħħ bħalissa.

Il-klima politika li qed tiżviluppa fil-pajjiż qed twassal għal ħsara rreparabbli għar-reputazzjoni internazzjonali tal-pajjiż u iktar minn hekk qed ikunu imminati l-istituzzjonijiet tal-pajjiż li diġa huma dgħajfa. Dan ifisser li issa, iktar minn qatt qabel, hu meħtieġ li l-partiti politiċi f’Malta jaħdmu flimkien biex insibu soluzzjonijiet li jkunu effettivi kemm immedjatament kif ukoll fit-tul.

Din kien l-ewwel laqgħa. Il-ġimgħa d-dieħla ser niltaqgħu ma’ Joseph Muscat u l-Partit Laburista.

Nittama li din l-inizjattiva żgħira ta’ Alternattiva Demokratika tkun ta’ kontribut biex iġġib lill-partiti politiċi flimkien madwar il-medja, fejn jistgħu jinstabu s-soluzzjonijiet meħtieġa fl-interess tal-pajjiż.

Joseph’s  helicopter view

ey-attractiveness-survey-2016

The Chamber of Commerce is rightly concerned about the reputational damage that will inevitably result from a lack of institutional transparency as well as ever-diminishing good governance.

This was emphasised by Chamber President Anton Borg on Monday when addressing an event at which the Prime Minister was present. Mr Borg was quoted as stating: “Our business community fears that we are regressing on an important non-cost element of competitiveness. I refer to the country’s reputation in terms of the transparency and the integrity of our institutions.”

Well said, Mr Borg. It is about time that the business community says publicly what most of its members say in private. Mr Borg’s message was clear – even though he was very diplomatic in driving it home. He referred to the recent Ernst and Young attractiveness survey which reported a 15 per cent drop over 2015 in the perception of Malta’s political stability and regulatory transparency. He even referred to the 10 point drop in Malta’s placing in the International Corruption Index published by Transparency International.

The next day, Malta Employers’ Association outgoing President Arthur Muscat drove the message further home by emphasising that a 10 place fall in the corruption index is not an indicator of good governance.

Prime Minister Joseph Muscat, who was present when Mr Borg delivered his stern warning, immediately activated an ostrich line of defence by retorting that investment was still being attracted to the country and emphasising that business does not invest in corrupt countries.

Well I am not so sure about the Honourable Prime Minister’s statement.

Anton Borg and Arthur Muscat are very decent chaps and they will do everything it takes to stay above the political fray. But they are conscious that these are not normal times. On behalf of their members, they have stood up to be counted.  It is very positive that, through Mr Borg and Mr Muscat, the business community is prepared to take a definite stand against the ever-increasing lack of transparency in public administration as well as in favour of good governance.

In an introductory note on the EY 2016 attractiveness survey entitled The future is today, EY’s Ronald A. Attard says:    “Malta remains attractive to foreign investors. Indeed, this year’s scores are the highest in the last three years. Yet, this ‘helicopter view’ hides significant shifts on the ground, that cannot be ignored. To get the full picture, we need to install a telescope on the helicopter.”

Apparently Prime Minister Joseph Muscat prefers to limit himself to the helicopter view, as a result ignoring the significant shifts on the ground. The view from the ground – as attested by the attractiveness survey – reveals that over a period of 12 months the percentage of those surveyed who consider  that the stability and transparency of the political, legal and regulatory environment  is very attractive or attractive has dipped from 85 per cent to 70 per cent.

The reality on the ground is changing, but this is not immediately obvious to those enjoying a helicopter view.

The Corruption Perceptions Index for 2016 published by Transparency International, on the other hand, sees Malta classified at 47th place, down ten places from 2015. This is certainly not a good sign and only maybe encouraging to government advisor Shiv Nair, blacklisted by the World Bank for corruption activities.

Joseph Muscat is apparently worried and wants to protect us from “abusive” journalists.  It would be much better if he ensures that the institutions established specifically to protect us are allowed to function as intended. This is apparently not so obvious from high up in the helicopter but is pretty obvious to an ever-increasing number of those on the ground.

This country has much to offer – its potential is immense; but we must weed out the parasites at the earliest opportunity.

published in The Malta Independent on Sunday : 5 March 2017