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MALTATODAY 22 APR 2018

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News 3 THERE has only been one signifi- cant voice within the Labour Party to publicly criticise Konrad Mizzi and Keith Schembri over the latest revelations involving their Panama companies. Mark Camilleri, the chairman of the National Book Council and a Labour Party member, took to Facebook to voice his disappoint- ment after an email uncovered by an international consortium of journalists showed how the 'target clients' of the Panama companies were two Dubai-based outfits. The email also revealed that the Panama companies belonging to Mizzi and Schembri had to receive €150,000 monthly from the Dubai companies – 17 Black and Mac- bridge. While the story may have ap- peared to be old hat – a regurgita- tion of Panama Papers and the 17 Black story that emerged during the election campaign last year – it was not. This damning email had not been available until now. And to top it all, in his first reac- tion, Schembri acknowledged the existence of 17 Black, adding it had been included in a "draft business plan" for his companies. Camilleri was appalled by the new information, which gave cre- dence to the allegations of money laundering and kickbacks made several months ago, and vented his frustration publicly. However, he is very likely to be a lone voice of dissent within a La- bour Party that has had its work in government tainted by the Pana- ma Papers affair. Panama Papers When two years ago Daphne Caruana Galizia outed Mizzi's and Schembri's offshore company set ups, many in the party were shocked. Prime Minister Joseph Muscat hesitated for two whole months as he saw his closest two allies taken to the gallows. Evarist Bartolo, Godfrey Far- rugia, Alfred Sant and Leo Brin- cat had publicly suggested Mizzi should resign. Many other voices within the party did not hold back from internally expressing their anger at how the Panama ventures of these two relatively newcomers in the party risked derailing the first successful Labour govern- ment in decades. Muscat acted on 28 April that year when he reshuffled Cabinet by forcing Mizzi's resignation from party deputy leader, remov- ing his health and energy portfo- lios but retaining him as minister. Schembri was retained, with Muscat expressing full trust in him. On 4 May, a motion of no confi- dence against Mizzi was defeated in Parliament with Bartolo, mak- ing an impassioned speech that contained nuanced criticism to- wards his Cabinet colleague. All Labour MPs, even if some did it begrudgingly, eventually threw their weight behind Mizzi. A persona as big as Mintoff's Roll forward two years and faced with a significant revelation that re-opens the Panama wounds, Bartolo's reaction was coy. He evi- dently did not want to ruffle feath- ers when confronted by journalists asking him whether Mizzi and Schembri should resign. And he is not alone. Despite in- ternal discomfort and anger over Mizzi's and Schembri's behaviour, nobody within Labour is in the mood to stick his neck out and call for their resignation. Last time around, it led to nothing and most of those in Cabinet today owe their political career to Muscat. The Prime Minister has stood by Mizzi and Schembri through thick and thin, even going for an election with the weight of their wrongdoing hanging over the PL. Having won last year's election resoundingly despite the flak, Muscat's persona within the party rank and file has grown as big as that of erstwhile Labour darling, Dom Mintoff. He has not only captained his party to two his- toric general election victories but led the country to new economic heights, introducing major social change and civil liberties. Given the trust the Prime Min- ister has constantly placed in his two allies, any criticism directed towards them at this stage would invariably be interpreted as criti- cism towards Muscat. And with the Prime Minister en- tering the twilight of his political career – through a self-imposed deadline to leave before the next general election – it is unlikely he will want to engage in a bruising resignations game. In these circumstances, nobody within Labour would want to ap- pear a spoil sport. After all, with the Opposition still in tatters, it is not as if the PL's grip on power can be seriously challenged by the revelations. Dismissive attitude There was an initial lull on social media by Labour sympathisers the moment the revelations started being made last week. Most were probably waiting to see how the Prime Minister would react. After Muscat told MaltaToday he will not comment because of pending inquiries that are looking into the allegations raised, party sympathisers became dismissive of the new facts that emerged. How long this attitude will last depends on many factors, not least Muscat's stubbornness to hold on to Mizzi and Schembri at all costs. Muscat is aided in his position by a public that has largely made its peace with Panama, closing an eye to wrongdoing while the country flourishes. It will only get ugly if the economy takes a hit. But with nothing on the horizon suggesting a downturn, Muscat can hope to ride the next wave of criticism and emerge stronger be- fore he calls it a day. Whether this relative peace of mind will be destabilised by some court decision has to be seen but it will certainly not be Labour MPs and activists who will rock the boat. ksansone@mediatoday.com.mt maltatoday SUNDAY 22 APRIL 2018 Why nobody inside Labour will flinch offshore setup could have been utilised 17 BLACK Mayor Trans Orion Group DUBAI SEYCHELLES MALTA The leaked FIAU report would have revealed a $1.4 million payment from Mayor Trans, owned by an unknown Azerbaijani called Rufat Baratzada, and a $200,000 payment from Orion Engineering Group, which is the Maltese agent for the LNG tanker, part of the Electrogas deal stewarded by Konrad Mizzi Theoretically, the money held by 17 Black could be headed anywhere, or else the Dubai company serves as a convenient conduit for offshore transactions. Whoever controls the company enjoys a lot of trust, influence, or both 1. 3. Konrad Mizzi and Keith Schembri are unlikely to face any flak in public from Labour Party exponents in the wake of the latest damning revelations on their Panama companies. Kurt Sansone explains why The Prime Minister has stood by Mizzi and Schembri through thick and thin, even going for an election with the weight of their wrongdoing hanging over the PL. Having won last year's election resoundingly despite the flak, Muscat's persona within the party rank and file has grown as big as that of erstwhile Labour darling, Dom Mintoff

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