14/10/2025
PICARDO KEEPS SELF-HARMING
What childishness from Chief Minister Fabian Picardo in his reply to Keith Azopardi, the Leader of the Opposition over the GSD public statement about the ongoing debate over the former Principal Auditor. Mr Picardo just keeps digging political holes for himself.
Each listener (if any are left) to Mr Picardo’s attack on the Principal Auditor’s Report 2018-19 [Report] can decide for themselves.
Ex Gratia payments are precisely that: payments that are made without them being legally due.
Mr Picardo can squirm as much as he likes but there is no getting away from that. Just one comes to mind over £600,000 paid to one individual without known liability in law.
NO IMPARTIALITY
To listen to a defence, it must have substance. It must also be in front of an impartial tribunal. Parliament is not impartial in deciding over the Chief Minister’s attack against the Report.
It is both politically partial and biased due to the inability for the Principal Auditor and others to defend themselves, and because of the inbuilt Government executive majority. Mr Picardo stop pretending!
FEW LISTENING
Mr Picardo may well, in his mind, be “taking our [Government’s] time to meticulously, respectfully, in keeping with Parliamentary rules of address, to properly challenge …” but the reality is that few are listening and fewer are believing.
There is no doubt that it is for the electorate to decide that it is time to have full transparency and for the government web of companies to be undone. It is no justification that both each of the GSLP, the GSD and the GSLP-Liberals have seen fit to resort to that opaque form of administration.
CHARLES GOMEZ
Mr Gomez has replied to the assertion that the government has spent more than £1,200,000 on him and his law firm since 2011.
He asserts that is not true, but rather that a large part of that is money paid over to third parties on the instructions of the Chief Minister’s Office, so it did not benefit from the whole amount.
Aside from getting it inaccurate, should the Chief Minister be going there at all?
After all his firm, Hassans, received £1,300,000 in fees just in 2023 (one year) directly from the GSLP-Liberal Government and huge amounts more in legal fees from government owned and controlled entities.
The amount received by Hassans directly or indirectly annually is huge compared to what has been paid to other firms.
ROBERT VASQUEZ
Mr Picardo’s praise of me is refreshing and shows huge political maturity.
He says I have “enjoyed [Mr Picardo’s] fulsome support since the days that [I] set out to become leader of the Bar despite then not being one of H[is] Majesty’s Counsel.”
He continues I am “contrary and consistent in [my] criticism of our system of government and Parliament”: totally true.
Mr Picardo has “no issue with [my] positions, [my] blogs or anything. [He] may strongly disagree with some and strongly agree with others. [He] obviously disagree[s] with some of [my] current political positions, not least about [him].”
He adds, “But Robert is being consistent in taking positions on democratic governance. And he is almost consistent in changing his mind. At least he is transparent and honest about that.”
Mr Picardo continues, “And his statement is given credence to because he says that under the GSLP Liberals “secret government continuing with companies being used to hide public finances. In saying this, he is acknowledging that was the position under the GSD. Because, of course, if one considers the use of companies to be ‘secret government’, which we don’t, then it is right to point out that the GSD in Government was as guilty of it as the GSLP/Liberals. We do not agree, but his position is consistent.” I could not agree more.
“Much less can we agree when at least under us we are filing the accounts of the companies and publishing the required parts of them.” That does not reveal enough about the use of public (our) money.
“But, for all of those reasons, I distinguish the position of Mr Vasquez.”
Mr Picardo’s fairness and recognition of freedom of expression must be recognised and is praiseworthy, but I am back blogging, from my short hospital stay during which he wished me well. I thank him and fully recognise that I received messages of good wishes from him during my stay in hospital.
EX-GRATIA PAYMENTS
Indeed, an ex-gratia payment is one made “as a matter of grace” or “out of grace” or “as a favour”, one made “voluntarily, “without legal obligation” and “without admitting liability”. They are paid as a “gesture of goodwill”. All as admitted by Mr Picardo.
It is precisely that which makes them so dangerous when made from public funds. Cases should be settled. Settlements should be for good reason and made sensibly and with huge care.
Payments being ex-gratia does not, however, preclude the need for proper authorisation in law, or for some valid reason for making the payment. It is not a ‘free gift’. Some of those payments criticised have the semblance of being ‘free gifts’.
That is recognised in the highest-level case law. Discretion must be exercised to promote the policy of a statute, but courts respect ministerial discretion where policy choices are involved.
Therefore, ministerial discretion does not exist without authority in law. Its exercise is reviewable on the grounds of illegality, irrationality (a decision being “… so reasonable that no reasonable authority could ever have come to it”) or procedural impropriety.
The courts will intervene frequently to prevent misused executive authority especially if lawful authority is absent.
It is for the GSD Opposition to go into the detail during the debate in Parliament, but “golden handshakes”, if made, would seem wrong as having no authority in law.
DELAYED PUBLIC SERVICE RESPONSES
It is for the GSD Opposition to elicit explanations about the allegations about the non-production of information from the Chief Secretary, GDC Secretary and from the Director of Personnel and development for the former Principal Auditor.
It is irrelevant that many requests do not relate to the year being audited, but if untrue, as alleged by the Chief Minister, then the consequences are serious.
UNCHECKED DISCRETION
The Chief Minister accepts that there is a need for a structured framework in making ex gratia payments of any type, which is non-existent beyond the approval of the Chief Minister and/or the Chief Secretary and/or the Financial Secretary and sometimes all three, which is the present arrangement.
The Chief Minister confirms that need, in terms that “a structured approach, with clear criteria, documentation, and internal review, would strengthen public confidence, ensure fairness, and safeguard against misuse, while preserving the flexibility needed to resolve complex or sensitive claims…” The future should provide accordingly.
There must be a more structured system recording the decision and full reasons for all decisions, with full evidence to allow for a full audit.
It is not sufficient to just think “that this centralised signoff provides a degree of oversight and accountability…”.
There is a need for greater control, not being uncontrolled or unrestricted, as argued by the Chief Minister, is not enough as is accepted by him.
That payments are not politically motivated, as argued by the Chief Minister, is a subjective opinion. That payments are made to individuals aligned to the Opposition, as further argued, do not justify a potential wrong in the making of a payment.
Confidentiality, as suggested by the Chief Minister, may be a consideration, but not to the detriment of proper scrutiny of the use of public funds.
The Chief Minister then relies on Leading Counsel’s Opinion without disclosing the full context of those opinions.
The comparison of the amount of the ex-gratia payments as equated to public revenue is irrelevant. It is like saying an illegal payment is fine if it is small.
Indeed, the Principal Auditor, as the Chief Minister admits, is empowered to ensure legality, prevent fraud and safeguard against negligence, which is a very wide remit, which includes investigating whether policy decisions come within legal authority. The Chief Minister admits as much saying, “where those decisions fall within the LEGITIMATE managerial and financial COMPETENCE of government.”
Judicial review principles do not confine an audit as suggested by the Chief Minister. Audit principles do.
COUNSEL’S ADVICE
The Chief Minister, in support of his arguments, puts forward that “Leading Counsel’s advice is that the criticism of the Government in the report in relation to ex-gratia payments was misconceived.
Mr Fisher KC is of the view that the Report does not consider a host of relevant factors and related to an issue of policy which it is for the Government, and not for any Principal Auditor, to find.
In the light of these considerations, it is the view of Mr Fisher KC that the section in the report relating to ex-gratia payments should be withdrawn.”
Publication of that opinion and the instructions leading to it would support and confirm those and all other reliance on that opinion.
Why is it not made public if it is so supportive of the Chief Minister?