Keith Schembri’s Secret Deal Gifted Sadeen Extra 3,000 Square Metres At Żonqor, PN MP Warns
Former OPM chief of staff Keith Schembri secretly gave Sadeen, the investors behind the American University of Malta, an extra 3,000 square metres of land at Żonqor Point for free, PN MP Karol Aquilina warned today.
During a speech in Parliament, Aquilina published an agreement that was signed between Schembri – as a representative of the government of Malta – and Sadeen Group CEO Hani Hasan Salah on 26th October 2015.
This was a mere three days after the government and Sadeen signed a Heads of Agreement at Castille.
The agreement states that the government shall, subject to a special parliamentary resolution, give Sadeen an extra 3,022 square metres of land at Żonqor Point at no extra charge. In addition, the government agreed to help Sadeen identify a parcel or parcels of land yet to be identified to develop into dormitories that could house up to 1,000 students.
However, this project extension was subject to Sadeen meeting all its targets and obligations in terms of the Heads of Agreement and final deed.
The documents clearly stresses that the agreement must remain absolutely secret.
“The publication or otherwise disclosure in any manner by Sadeen of this document, including the confirmation of its existence, even inadvertently or in good faith, shall bring about the immediate ipso jure full, absolute and irrevocable recession of the commitments herein outlined, unless otherwise disclosure is needed as a result of any architectural despite between both parties in relation to provisions of this document,” it reads.
Aquilina said the document is further evidence that the American University of Malta project was always intended for speculative purposes and that the project “isn’t American, isn’t a university and doesn’t belong to Malta”.
“This is a huge scandal and you ought to be ashamed of yourselves for the way you discarded public land for free and negotiated in secret,” Aquilina said. “Then the government pretends it’s doing something great by taking Żonqor back from Sadeen, when it should never have given it – or that extra 3,000 square metres – to them in the first place.”
“This agreement was never published and is still valid till this day. It was carried out illegally, behind Parliament’s back and the Prime Minister must assume responsibility for it. Will Robert Abela discard this agreement or demand that Joseph Muscat shoulder responsibility for it?”
Economy Minister Silvio Schembri
While Economy Minister Silvio Schembri didn’t deny the legitimacy of this agreement, he insisted that the revised contract – which will see the AUM give up their land at Żonqor in return for land at Smart City- will be the only valid contract once it is approved by Parliament.
“There is a specific clause in the contract stating that it is the only valid contract and that there are no other side agreements attached to it,” Schembri said before questioning why the Opposition was voting against the new contract.
“If you said this contract is so bad and there were so many secret side agreements, why are you voting against the motion? If you vote against it, it means that you want the current contract to materialise.”
Ultimately, a motion outlining the AUM’s new contract was passed, with government voting in favour and the Opposition voting against.
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