Government To Keep ‘Illegal’ €274 Million San Vincenz Deal In Place Despite Shocking Prices
, Government To Keep ‘Illegal’ €274 Million San Vincenz Deal In Place Despite Shocking Prices

An illegally-granted direct order worth more than a quarter of a billion euro is going to be kept in place despite a damning report by the Auditor General.

“The government respects the National Audit Office and will be analysing its report closely so as whatever could have been done better is not repeated,” a statement by Senior Citizens Minister Michael Farrugia said, before claiming there was “no doubt” of the benefits of the St Vincent De Paul project.

Malta is spending on average €118 per bed instead of the private sector average rate of €51 in a deal designed for James Caterers and a subsidiary of DB Group, the NAO found this week.

What began as a tender to refurbish a kitchen at the elderly home, turned into a massive commission to build four blocks and provide catering for 500 beds for 15 years.

The NAO’s report questioned how taxpayers could have got a good deal given nobody else was able to compete for the deal.

In its statement, the government said the services provided at St Vincent De Paul was specialised and was more similar to a hospital than other elderly homes.

Nothing was said in the government’s statement about the deal being scrapped or about anybody shouldering responsibility for the shocking findings.

Questions sent to the Office of the Prime Minister about the deal have remained unanswered.

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