Issue link: https://maltatoday.uberflip.com/i/664438
maltatoday, SUNDAY, 10 APRIL 2016 12 News After Panama leaks: Muscat's JAMES DEBONO explores Prime Minister Joseph Muscat's possible options after Minister Konrad Mizzi passed the buck to him by not announcing his resignation in his speech to the party conference, which gave him a standing ovation AFTER initially defending his Energy and Health Minister and his Chief of Staff, Muscat succumbed to public pressure by saying that he would decide their fate after an audit investigation, which would determine whether the two had "lied". Moreover, after the Panama leaks became an international scandal and details start- ed emerging of Mizzi's and Schembri's plans to set up an account for the Pana- manian companies in Dubai, Muscat said that his decision would also take account of "public sentiment". This recognition coincided with reports of political unease within his own cabinet. Yet instead of ridding his Prime Minister of this poisoned chalice by deciding to bow out (as parliamentary secretary Mi- chael Falzon did while professing his in- nocence following the publication of the Auditor's report on the Gaffarena case), party deputy leader Mizzi has thrown the ball back into the Prime Minister's court after a standing ovation at the party con- ference which was overshadowed by the fiscal affairs of the deputy leader. So what are Muscat's options? MUSCAT may well conclude that in a lose-lose situation where a lot of damage has already been done, he will only end up losing more without his precious allies in the cabinet. Muscat may well conclude that with the party largely backing Mizzi, he can stumble to rise up again when the news cycle changes. He may also bank on having two more years to go in government and plenty of time to recover lost support, especially among disgruntled Labourites. He may also think that Mizzi remains indispensable for complet- ing reforms in the energy and health sectors and that Schembri is indispensable when it comes to political strategy. He may also consider the fact that sacking Mizzi and Schembri would be seen as a sign of weakness which would strengthen those elements in the cabinet which are exasperated by Muscat's neoliberal overtures and highly personalised style of leadership. Muscat may be wary of emerging from the crisis as a diminished leader. Moreover he may also be scared of the per- ception that this government (which has already seen the resignation of Godfrey Farrugia, Manwel Mallia and Michael Falzon) keeps losing domino pieces. Losing his most important minister may well appear as the final nail. Moreover Muscat also has to address a more inward looking party, which expects him not to succumb to the opposition's demands. But this option is unlikely in view of "public sentiment", which for Muscat translates into the feeling of those "switchers" who granted him his mas- sive victory in 2013. So far, despite hesitating, Muscat has never shied away from giving in to public pressure before it became too late. Yet this stands as one of the cases where events have overtak- en Muscat, who was clearly not anticipating the global disgust gener- ated by the Panama leaks. Despite finding himself for the first time in a lose-lose situation, Muscat still knows that he cannot afford to dig deep- er. He also knows that this case will not easily die away – with the risk of new revelations coming out – and will persecute him till the next general election. Konrad Mizzi and Keith Schembri stand as an albatross around his neck. Muscat, who did not hesitate from ditching people such as Jason Micallef, Anglu Farrugia, Manwel Mallia and Mi- chael Falzon, knows this only too well. Not doing the same with Schembri and Mizzi would fuel specula- tion that he too has something to hide. are Muscat's options? feeling of those "switchers" who granted him his mas- sive victory in 2013. So far, despite hesitating, Muscat has never shied away from giving in to en Muscat, who was clearly not anticipating the global disgust gener- ated by the Panama leaks. Despite finding himself for the first time in a lose-lose situation, Muscat still knows that he cannot afford to dig deep- er. He also knows that this case will not easily die away – with the risk of new revelations coming out – and will persecute him till the next general election. RETAIN KEITH AND KONRAD: 'THEY ARE TOO PRECIOUS TO LOSE' MAKE MIZZI RENOUNCE ONE OF HIS TWO ROLES: 'WE HAVE LISTENED JUST A BIT' RESHUFFLING THE CABINET AND PUT MIZZI IN A NEW ROLE: 'WE ARE PRETENDING TO LISTEN' ANOTHER option would be to keep Mizzi in either his role as minister or in his role as deputy leader but not in both. He may also remove Mizzi from deputy leader im- mediately while waiting for the result of the audit to determine whether to retain him as minister. This option will buy Muscat more time. Muscat would say that by doing so he is taking account of public sentiment with- out in any way acknowledging that Mizzi has done anything wrong to merit his re- moval from any official role. Yet Muscat cannot afford to ignore public sentiment when it comes to determine whether Miz- zi should continue serving as minister. A government reshuffle which could see Mizzi lose one or both his present portfolios, may be another half meas- ure to be considered by Muscat in his bid to assuage public sentiment while keeping Konrad Mizzi as close to him as possible. Yet such an option may not be enough to quell the anger of those who as a point of principle be- lieve that someone who sets a company in Panama and tries to open a bank ac- count in Dubai while serving in office should not serve in the cabinet. Such an option could also further embarrass fel- low cabinet ministers irked by the dark shadow cast on them by having some- one in their midst who was outed in the Panama leaks.