PN files court challenge over irregularities in GWU property leases

The Nationalist Party has filed a judicial letter demanding that the government take action to terminate leases of sections of the government-owned GWU building deemed to be irregular by the Auditor General.

In a 2015 report, the Auditor General found that a sub-lease to state-owned ARMS Ltd, as well as Sciacca Grill and Vjaġġi Untours were in breach of an emphyteutical agreement under which the government had originally handed the property known as the Workers' Memorial Building to the GWU.

The agreement, as amended in 1997, permitted the GWU to transfer part of its building only to companies in which the union had more than 51 per cent of the shareholding.

Addressing a press conference, Justice Shadow Minister Jason Azzopardi said the government had been dragging its feet on the issue for over a year.

Opposition MP Ryan Callus said the PN had decided to take action after the government declined to do so.

He said the PN was giving the GWU 15 days to terminate the leases of Arms Ltd and Sciacca Grill.

Mr Callus warned that if these leases were not stopped, the PN would institute a court case which could lead to the cancellation of the agreement that handed the public property to...