The Foundation for Medical Services had freed Swedish construction company Skanska from any future liability over the Mater Dei Hospital building in exchange for Skanska dropping more than €23 million in claims, Times of Malta has learnt.

At the time the settlement was seen as a victory for the FMS because it had managed to whittle down Skanska’s claims from some €30 million to €7 million.

However, the agreement may now make it more difficult for the government to reclaim the tens of millions of euros it needs to shore up the hospital’s structure, after it was recently discovered that the concrete used was inferior to required standards.

The government has demanded a meeting with Skanska, which oversaw the construction of the hospital, to find a solution to this problem.

Read more in Times of Malta.