L-orizzont editor, Frans Ghirxi, was ordered to pay Dr Austin Sammut Lm500 after two articles published in the newspaper were declared to be libellous since these alleged Dr Sammut was personally responsible for the great losses of Posta Limited when he was chairman of the board of directors.

The articles published on 1 and 2 January 1997 alleged that Dr Sammut was personally responsible for losses incurred due to a contract Posta Limited made with Euromail Limited regarding Malta’s bulk mail.

A contract had been drafted without the increased postal rates being taken into consideration.

As a result, Posta Limited had to pay the difference to Euromail.

Therefore, instead of making money off this contract, the company actually incurred a loss of almost Lm1 million.

L-orizzont alleged Dr Sammut was personally responsible for this mistake since he was chairman of the Posta Limited board.

Evidence presented in court showed that the contract was drafted on the management’s initiative and the board of directors had no knowledge of the negotiation details.

In light of this, the court ruled the articles to be libellous since the serious allegations made were damaging to Dr Sammut’s profession and reputation.

Mr Ghirxi was ordered to pay Dr Sammut Lm500 in damages.

The court was presided over by Mr Justice Giannino Caruana Demajo.