Shipping firm linked to agency servicing ministry

The Ministry of Foreign Affairs has been booking its flights through a travel agency which has an interest in a company whose directors include two daughters and a former driver of Foreign Minister John Dalli.

Tourist Resources Ltd has a 30 per cent share in Maraner Holdings Ltd which, in turn, holds a 51 per cent shareholding in Gauci Borda Shipping Ltd - the company at the centre of allegations of abuse of power being levelled against Mr Dalli by Labour leader Alfred Sant and which Mr Dalli has strongly denied.

Sources said that over Lm40,000 worth of bookings have so far been made by the foreign ministry through Tourist Resources Limited.

One of Mr Dalli's daughters and his former driver were in the past directors of Tourist Resources Ltd but they resigned on November 1, 1998. One person is now in sole charge of the company.

When contacted yesterday, Mr Dalli confirmed that his ministry had made bookings through Tourist Resources Ltd. He said: "As far as I know, the ministry asks for a quotation when representatives travel and chooses the lowest quotation. Air Malta is included in this tendering process".

However, he said he did not know when the ministry started using Tourist Resources Ltd and nor did he know the amounts of money involved. "I don't get into the administration," he said.

Mr Dalli said it did not make financial sense for ministries to book their travel through Air Malta if it did not fly on certain routes. "Whoever is cheapest gets the flights," he said.

When asked if he saw any difficulty in his ministry booking flights through a company which had a shareholding in his daughters' company, he said: "No, I don't see any difficulty. Every company has a right to tender in the proper way".

The controversy over the Gauci Borda Shipping Company was sparked after Dr Sant accused Mr Dalli of using his ministerial influence to ensure the company was appointed as the local agent of IRISL, which, he said, had previously been represented locally by SMS shipping. One of Mr Dalli's daughters is the company secretary of Gauci Borda Shipping.

Mr Dalli has strenuously denied that he influenced any decision by IRISL. He said Dr Sant was mudslinging and attempting to drive a wedge between him and the Prime Minister.

The general manager for Europe of Islamic Republic of Iran Shipping Lines, Alireza Semnanipour, last week also denied that he was pressured by Mr Dalli when deciding to operate through Gauci Borda Shipping Ltd. A person by the same name and with an address in Hamburg, Germany, appears on public documents as being a director in Gauci Borda Shipping Ltd. The same documents also show that IRISL Europe, having the same registered address as Mr Semnanipour's, is a shareholder in the company - which was set up less than two months ago.

Prime Minister Lawrence Gonzi has said he is collecting information about the case and was not ruling out an inquiry.