Labour accuses Fenech of defending ARMS, silence on ‘whistleblower’s challenge’

The Labour party has accused finance minister Tonio Fenech of, "behalf of Lawrence Gonzi" defending the 'threats' made to consumers by a legal office that does not exist, with an unsigned letter.

The 'threats' were made in the name of the Automated Revenue Management Services Ltd, the billing company for Enemalta and the Water Services Corporation, in letters to consumers warning them that defaulting on their energy bills would lead to legal steps.

Labour said Tonio Fenech was giving the impression that this letter should not be taken seriously.

"However, consumers and taxpayers are not taking the Gonzi government seriously when he continues defending this failure and mediocrity,” the PL statement concluded.

Last Saturday, Fenech reacted with a defensive statement after Turnkey Projects’ director Charles Magro stood his ground on allegations of 'favour' works contracted on private villa.

Enemalta has denied a claim by Labour leader Joseph Muscat that Magro was being victimised for being a whistleblower. In a statement issued later on Saturday, Fenech had accused Magro of having a "purely political agenda, by repeating the same allegations during the preparations for the Budget."

Magro was involved in a dispute with finance minister Tonio Fenech, over unpaid works he had carried out at the minister's home under contract with JPM Brothers, the mega-developer behind such projects as the Addolarata cemetery tower apartments and the Galaxy Hotel redevelopment in Sliema.

On 8 November 2009, MaltaToday had revealed that Fenech was embroiled in a dispute with Rainbow Turnkey Projects, owned by Charles Magro, who claimed they have not been paid in full for works carried out at his house.

According to Magro, who was subcontracted by JPM Brothers to carry out the renovation, JPM director Peter Montebello told him the works were a favour in return for the minister’s intervention in the sale of the Jerma hotel to entrepreneurs George Fenech and Joe Gasan.