The AX Group yesterday reiterates its position that, contrary to what was stated by the Investment, Industry and Information Technology Ministry, a court case instituted by Malta Enterprise is in relation to the allegation that a Group subsidiary had not adhered to the intended use of the land, and not to non-payment.

The contract of sale clearly states that “The Purchaser Company shall use the property being transferred as a hotel complex of a standard not below the Four(4)-Star classification”. The development being proposed by the Group, upon the recommendations of MEPA itself, adheres fully to this concept, AX Group said.

MEPA has claimed that it cannot issue a permit due to the court proceedings filed by Malta Enterprise, leading to a stalemate on the issue. It is pertinent to point out, the Group said, that our Group’s applications for this project have been pending for 14 years, and this in spite of the six months processing period originally promised. “Our group has always been clear in declaring that it intends utilising the property as a hotel complex but has been prevented from doing so due to the absence of a complete development permit. The group has always maintained that any balance of price due in favour of Malta Enterprise, including interest, will be paid immediately once the necessary development permit is issued.”