Socialist proposal to declare Malta tax haven defeated

European Parliament approves PANA resolution and calls for greater security for whistle-blowers

Efforts by the S&D Group in the European Parliament to declare Malta a tax haven were defeated today by a majority of MEPs. The amendment that was tabled by the Group to which Malta’s Labour MEPs form part was defeated by a few votes, with 327 MEPs voting in favour, 327 MEPs voting against and 24 MEPs abstaining, which means that practically all Socialist MEPs voted to declare Malta a tax haven. The consequences of a vote in favour of this amendment would have had severe implications for Malta financial services industry.

Partit Nazzjonalista MEPs David Casa, Roberta Metsola and Francis Zammit Dimech were crucial in convincing their EPP colleagues as well as MEPs from other political groups, that the people of Malta, who work hard and do things by the rules, should not bear the brunt because of the illicit activities of Minister Konrad Mizzi and Keith Schembri.

The Partit Nazzjonalista Head of Delegation David Casa stated: “It is disgraceful that Labour MEPs allowed for their Political Group to table this amendment. It shows that when push comes to shove they are capable of a lot of talk and very little else. There were elements within our own group that wanted to support the Socialist amendment. Let me be clear: It is because of the phenomenal work of the Partit Nazzjonalista delegation that this amendment did not pass. When Malta’s interests are at stake we are the ones that show our worth. We are effective, influential, respected and achieve results. Yes, Malta’s taxation system is competitive – but Malta is no tax haven. Any effort to depict Malta as such will not tolerated.”

MEP Roberta Metsola said: “It is obvious to all that Malta is under the spotlight again because of the Prime Minister’s continued failure to take any action on Konrad Mizzi and Keith Schembri while allowing them to continue to operate with impunity at the heart of Government. It is such a shame to see that the negotiating position of Malta as a country being so badly weakened by the inexplicable and indefensible choice Joseph Muscat continues to make to defend his friends instead of his country. This time we managed, and we will always stand up for Malta, but it will only get more difficult to convince MEPs that we have a robust system when you have people at the top of the administration who were exposed in such a manner. It is a contradiction that will continue to haunt Malta.”

MEP Francis Zammit Dimech  said: “Today, the European Parliament – and particularly the EPP Group – reasserted its commitment to stand with the Maltese people. The resolution also calls for the increased protection of whistleblowers. In Malta we have the case of Maria Efimova, where instead of offering her protection everything possible was done to destroy her credibility. Partit Nazzjonalista will continue to work for the protection of all whistleblowers, and will be at the forefront to defend those who reveal corruption or money laundering.”

The European Parliament approved the Resolution on the inquiry into money laundering, tax avoidance and tax evasion. The Resolution - which has been prepared by the Committee of Inquiry (PANA) to investigate alleged contraventions and maladministration in the application of Union law in relation to money laundering, tax avoidance and tax evasion - includes recommendations which will now be sent to the European Council and the European Commission.