News • 3 August 2003

Arbitration Centre is a flop says Jose’ Herrera

The Malta Arbitration Centre came in for a bashing this week with Labour MP Jose’ A Herrera pointing out what he sees as the failings of the centre. The centre has cost thousands and has only decided 16 cases in the past four years.
MaltaToday asked Minister Tonio Borg for information related to the capital costs of setting up the centre and the salary expenses involved. The minister did not provide this newspaper with the information. It however results from parliamentary questions that the Board of the centre is being paid Lm13,660 annually and that one of the employees is paid Lm8,810 annually.
The chairman of the Board is Dr Max Ganado; his deputy is Dr Godwin Muscat Azzopardi, while the Advocate General, Dr Anthony Borg Barthet is an ex-officio member.
The other members of the Board are Carlo Cini, Helga Ellul, George Fenech (who resigned) Mario C Grech, JG Vassallo and Dr E Woods.
MaltaToday asked the minister for his impression of the performance of the Malta Arbitration Centre and Borg replied: "The Centre of Arbitration started functioning in the year 2000. It is therefore in its initial stages and needs time to establish itself.
"In the meantime Government is exploring means of increasing the number of cases referred to Arbitration. The new condominium law provides for compulsory reference of condominiums issues to the Centre, and all transfer of government land, whether through the tender process or parliamentary resolution include a clause of referral to the Arbitration Centre.
"Other issues relating to other fields of law could also be included to strengthen alternative dispute mechanisms in Malta.”
The global deficit since inception amounted to Lm 60,000 and the number of cases referred to the centre over the past four years totalled 41.
see opinion on page 14