The government has dismissed the contractors responsible for the new medical services hub in Paola due to project delays, despite the health minister and the prime minister inaugurating the project just before the MEP and local council elections in May.

In a statement on Friday, the health ministry said the decision was taken because of delays in the project. “The contractor has repeatedly failed to meet deadlines, leading to the project’s delay.”

Leading up to the elections in May, Health Minister Jo Etienne Abela and Prime Minister Robert Abela visited the premises giving the impression that the new health centre was up and running.

The €40-million EU-funded project was first announced in 2015 with an intended opening date of 2020.

Work at the Paola Hub started in 2017 with support from former health minister Chris Fearne – the project was based in his electoral district.

In June 2021, Fearne announced during an on site press conference that the “Hospital for the South” will be up and running by April 2022.

The “contractor that failed to deliver” is a partnership between Technoline and Italian firm Egron.

Technoline’s owner ‘on paper’, Ivan Vassallo, is facing criminal charges following the magisterial inquiry into the “fraudulent” concession that has been annulled by the court.

The health ministry commissioned two separate studies from Grant Thornton and the Qatari firm Analyzer LLC earlier this year at a cost of over €50,000. The purpose was to seek advice on withdrawing the contract awarded to Technoline and its partner, the Italian firm Egron.

Health Minister Abela said all options had been exhausted, and termination of the contract was the only solution.

The statement added that the health ministry had issued fines and participated in a legal process against the contractor, which it said was in its final stages.