‘Business community has had enough’ – Chamber wants proper vetting of public contract bidders

Malta Chamber of Commerce calls for proper vetting of public procurement bidders, days after company owned by alleged kidnapper secured tender with Transport Malta

Chamber of Commerce President Marisa Xuereb
Chamber of Commerce President Marisa Xuereb

The Malta Chamber of Commerce, Enterprise and Industry insisted the Department of Contracts and contracting authorities have to ascertain the full compliance of bidders in public procurement.

In a statement on Saturday the Malta Chamber highlighted the importance of vetting bidders properly in public procurement tendering processes. “This is an effective way of enforcing compliance and cleaning the market of rogue operators,” the Chamber said.

Depite making no direct reference to the case, the statement came days after Princess Operations, owned by alleged kidnapper Christian Borg, was officially awarded a 41-vehicle tender by Transport Malta.

"The business community and the public in general has had enough of cowboys running roughshod over good governance and clean business, and expects the authorities to leave no stone unturned in convincing all those who are watching that this Government is really serious about its intentions to clean up and raise the bar. We urgently need to close the credibility gap," the Chamber said..

The Chamber stated that whilst the public procurement process provides legal remedies for competitors to challenge the adjudication process, it said they have very little visibility on the administrative and technical compliance of the other bidders.

It added that courts are only able to decide on those matters on which competitors object and to base themselves on the evidence brought forward by the objector.

“The responsibility for ensuring full compliance, and more so administrative and technical compliance, lies squarely with the Department of Contracts and the Contracting Authorities.”

“Both have the right to cancel tenders as well as their awards at any point in time (even if the recommended bidder has been decreed), when a tender has been awarded to a bidder who is not fully compliant on administrative, technical or financial requirements,” the Chamber said.

The business lobby insisted that false fiscal declarations, non-payment of taxes, non-filing of financial statements or the filing of financial statements showing gravely insolvent positions, repeated reports of malpractice to consumer protection authorities, and the institution of criminal proceedings with serious accusation "should all trigger alarm bells to blacklist operators and even suspend and withdraw running contracts".