Steward Health Care Malta said on Wednesday that upon taking over from Vitals, all major milestones in the hospitals' deal were already in breach.

Reaction to a damning appeal’s court judgement on Monday which confirmed that Steward Health Care's contract to run three state hospitals in Malta and Gozo is officially null and void, the company said it agreed with elements of the ruling.

“We are pleased that the judgement has dismissed the fabricated claims of fraud to which SHCM has been subjected.

“The court found that there was collusion involving VGH (or its then shareholders) and representatives of the government and its officials, prior to Steward entering Malta. Consequently, the court ordered the government of Malta – and its representatives in this case – to pay costs,” it noted.

Steward said that after it terminated its operations in Malta, the appeal and subsequent proceedings provided it with an opportunity to set the record straight with respect to unfounded allegations.

“Despite operating in difficult circumstances, not to mention a pandemic, SHCM is proud of the quality service that we provided throughout St Luke’s, Karin Grech and Gozo General hospitals and the Barts Medical School in Malta.”

The court, it said, noted improvements and contributions that were made to Maltese healthcare. 

It added that, together with its stakeholders, it had always been clear that the company operated in accordance with the highest professional standards and values. 

“Throughout Steward’s time in Malta, the company acted in good faith (as the Appeal Court expressly now states), providing quality and cost-effective care to patients, with a determination to provide the best healthcare to the Maltese people.

“SHCM welcomes the judgment’s conclusion that the first court was wrong in implying any wrongful behaviour on the part of SHCM. Furthermore, the malicious claims of fraud against SHCM were also dismissed,” Steward said.

Referring to the judgment’s claim that milestones were not met, Steward said that since it took over it had always insisted – and the government agreed - that the flawed concession needed to be restructured to achieve its purpose.

Even the European Commission had told the government in writing that the concession was not fit for purpose and needed to be restructured.

The government had told the European Commission and Steward, separately, that this would be done. 

It was disappointing that this was not acknowledged by the courts, it said.

It said that for reasons beyond its control, the restructuring was repeatedly obstructed. “Upon taking over from VGH all major milestones were already in breach,” it insisted.

Steward pointed out that, as an aggrieved party, it had already initiated proceedings with the International Chamber of Commerce and looked forward to continuing to set the record straight. 

It encouraged the public to visit here for “unprecedented public access to the facts and evidence relating to the hospital concession”. This, it said, is part of SHCM’s commitment to transparency and “our duty to the Maltese people”.

 

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