Adrian Delia pub­lishes full state­ment of af­fairs

Malta Independent - - FRONT PAGE - He­lena Grech

Na­tion­al­ist Party lead­er­ship con­tender Adrian Delia yes­ter­day af­ter­noon pub­lished his state­ment of af­fairs which ex­pose his highly stretched po­si­tion due to as­sets ex­ist­ing in the form of com­pany shares and prop­erty, with­out any cash to his name reg­is­tered in Malta.

Delia came un­der heavy fire for not pub­lish­ing his full state­ment of af­fairs ear­lier, see­ing as the PN’s paid-up mem­bers only have one day to re­view the mat­ter.

He ar­gued that no other lead­er­ship race, with ei­ther the PN or the Labour Party, in­volved such scru­tiny and that he did this out of his own free will. He also stressed that be­cause this state­ment of af­fairs was drawn up by an in­de­pen­dent com­pany called Mazars, a mul­ti­dis­ci­plinary ac­coun­tancy firm, that one would have to con­sider when the com­pany was com­mis­sioned to draw up the re­port, as “these things take time”.

In to­tal, his shares in im­mov­able prop­erty amount to €2.3 mil­lion, in­vest­ments from shares owned in com­pa­nies amount to €40,565, his net po­si­tion from a de­vel­op­ment in Mgarr amounts to €185,082 and other re­cov­er­able bal­ances from re­lated com­pa­nies and re­lated par­ties amount to €74,936.

With re­gards to bank fi­nanc­ing, his home and per­sonal loans amount to -€725,084, bank over­draft and credit card bal­anced amount to -€104,426, tax bal­ances due amount to -€51,924 while in­ter­est and charges on tax bal­ances due amount to -€34,859.

Over­all, his net po­si­tion stands at €1.6 mil­lion; how­ever as can be seen from above his po­si­tion is illiq­uid due to the lack of cash money. Mak­ing ref­er­ence to a story pub­lished by Daphne Caru­ana Gal­izia, where she claimed that Bank of Val­letta had closed down his cur­rent ac­count, Delia re­futed this cat­e­gor­i­cally and even said that on 22 Au­gust of this year he opened up a new cur­rent ac­count.

Prior to this, he said his cur­rent ac­counts were in the form of over­drafts, while wav­ing a cheque book when ad­dress­ing mem­bers of the press.

He also bran­dished a let­ter from Bank of Val­letta, claim­ing to have been penned by the Chief Busi­ness De­vel­op­ment Op­er­a­tor which out­lined the pos­i­tive re­la­tion­ship Delia has had and con­tin­ues to have with the bank.

Delia slammed the story claim­ing the bank has forcibly closed down his cur­rent ac­count by say­ing this is a weak last-ditch ar­gu­ment aimed at con­fus­ing the public.

Asked by mem­bers of the press about his pre­car­i­ous po­si­tion due to high debts and low cash, Delia said that should he be elected leader, he would sell all shares and in­vest­ments off, while also stress­ing that sums of money is still owed to him by third par­ties.

He had par­tially re­layed his as­sets deal­ing with prop­erty and shares in a me­dia in­ter­view, how­ever this is the first time an in­de­pen­dent firm has re­viewed his as­sets and li­a­bil­i­ties reg­is­tered in Malta, it is also the first time he has re­vealed his tax bal­ances due.

The Malta In­de­pen­dent asked Delia for the up­per limit on his bank over­draft, which could serve as an in­di­ca­tion of the bank’s trust in his abil­ity to set­tle debts. He ex­plained that he has var­i­ous over­draft ac­counts, and to­gether with his credit card this amounts to roughly €190,000, to which he has drawn about half.

Mazars re­port

The state­ment of af­fairs has been la­belled ‘an in­de­pen­dent as­sur­ance re­port’, and not an au­dited re­port. An as­sur­ance ser­vice is gen­er­ally used to im­prove in­for­ma­tion or the con­text of in­for­ma­tion about a par­tic­u­lar sub­ject in or­der to keep de­ci­sion mak­ers bet­ter in­formed. An au­dit on the other hand is a for­mal ex­am­i­na­tion of fi­nan­cial state­ments car­ried out by an au­di­tor, and gen­er­ally in­cludes over­seas as­sets and li­a­bil­i­ties.

In the in­tro­duc­tory re­marks, it states that, “The scope of the en­gage­ment is to pro­vide an opin­ion on whether any­thing has come to our at­ten­tion that the state­ment of af­fairs is ma­te­ri­ally mis­stated. In car­ry­ing out this as­sign­ment we based our work on in­for­ma­tion for­warded and rep­re­sen­ta­tions made to us by the client.”

In its con­clud­ing re­marks it then states that the com­pany has no rea­son to be­lieve that all fi­nan­cial doc­u­men­ta­tion sent to it by Delia for the pur­poses of this re­port is fac­tual and that the state­ment of af­fairs Delia had ini­tially pre­sented has not been mis­stated.

It must be con­sid­ered how­ever that the work is lim­ited in that it ex­cludes as­sets owner and li­a­bil­i­ties due by his spouse, and that the as­sign­ment is lim­ited to Delia’s as­sets and li­a­bil­i­ties which are si­t­u­ated in Malta.

Photo: Michael Camil­leri

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