A few days ago, we were informed, thanks to TheShiftNews’ investigation, of a mega scandal involving public land. Taxpayers will be skinned and flayed to the bone.
The government has secretly granted the American University of Malta (AUM) the right to buy some 31,500 square metres of public land at SmartCity for a ridiculous price of €0.47c per square metre.
“The draft deed for the AUM to swap public land given to it in Żonqor, Marsascala, to SmartCity, which was presented in parliament, includes a catch that will mean millions in profit for the Jordanian construction company behind the AUM project. The original 2015 deed, through which the government passed 31,000 square metres of pristine land in Marsascala to the AUM on a temporary emphyteusis for 99 years, includes a clause that specifies that the Żonqor land ‘may not, under any circumstances, be converted to a perpetual emphyteusis’.
“Prime Minister Robert Abela is now overturning this condition, to permit Sadeen Education Investment Ltd to convert the title of the land from temporary to perpetual emphyteusis for just €0.47c per square metre.
“The Jordanian owner can now convert the newly-acquired land as ‘freehold’ for the ridiculous sum of €14,827.”
That land being given to the AUM to be used for commercial purposes has a minimum market value of over €63 million. Yes, €63 million.
This government has surpassed itself at being both shameful and shameless at the same time. So, what can honest, law-abiding taxpayers do to reverse this rip off?
I am proposing looking at the Civil Code, specifically the part dealing with fiduciary obligations since government minsters are bound by them in our favour.
There is a very basic concept in the law called fiduciary obligations. Surprisingly, many do not appear to be aware of it, although when one explains what they are most recognise them easily. Fiduciary obligations feature very often in our relationships because they address the context of when someone acts on behalf or in the interest of other people and that happens all the time.
These are basic rules like acting with diligence in carrying out one’s duty, avoiding conflicts of interest, keeping property of others segregated from your own, not receiving unauthorised or undisclosed benefits or gains, accounting for what you do, being transparent and acting impartially when having more than one person to whom you owe obligations.
That land being given to the AUM to be used for commercial purposes has a minimum market value of over €63m- Jason Azzopardi
Coupled with justice, these are actually the cornerstone or foundation of any legal system, including Maltese law as they regulate a large proportion of human relationships, the ones which are not selfish and competitive; the ones which are qualitative.
The respect of these obligations is at the basis of the state system in the democratic world. In the public service context, they are owed to the whole population.
Our law states a basic Roman law concept: “Fiduciary obligations arise in virtue of law, contract, quasi-contract, unilateral declarations including wills, trusts, assumption of office or behaviour whenever a person (the ‘’fiduciary’’): -
“owes a duty to protect the interests of another person and it shall be presumed that such an obligation where fiduciary acts in or occupies a position of trust is in favour of another person; or
“(b) has registered in his name, holds, exercises control or powers of disposition over property for the benefit of other persons, including when he is vested with ownership of such property for such purpose.”
The fiduciary must carry out his obligations “with utmost good faith and to act honestly in all cases”. He is bound, in brief,
“(a) to exercise the diligence of a bonus pater familias in the performance of his fiduciary obligations;
“(b) to avoid any conflict of interest or any conflict of trust or fiduciary obligations.”
A person subject to a fiduciary obligation who acts in breach of such obligation “shall be bound to return any property together with all other benefits derived by him, whether directly or indirectly, to the person to whom the duty is owed”.
There is no doubt that government ministers have a fiduciary obligation towards us citizens. They are duty-bound to exercise utmost diligence in the disposal of our public land. They must safeguard the interests of citizens, both present and future.
Which NGO will rise to this unprecedented challenge and commence innovative court action to have this mega scandal censored?
Jason Azzopardi is a former Nationalist MP.