Even if you do not agree, you have to express some sympathy for those who complain that it was not right for European government to bailout banks. Why should they keep the profits for themselves and their shareholders while their losses - which often resulted through their own fault - are borne by the taxpayer?

Governments' counterargument however, is just as compelling.  When a bank fails - it goes - it's not just the stakeholders that take a hit, but also its savers. That includes money that has been put aside for a rainy day by very ordinary households, who do not deserve to suffer the consequences of bankers' recklessness.

Rewarding business failure with public funds

Our country has, so far, been spared such problems, thanks to a sensible regulatory regime, a level-headed banking sector and a Nationalist government that, while encouraging the growth of the financial services sector, made sure it wasn't placing all of the country's eggs in one basket.

But that did not keep the government from bailing out the leaseholder of a prime spot in the centre of Valletta, bearing the prestigious  - and historic - name of "Cafè Premier" and who despite the many obvious advantages of location, still managed to rack up a debt running into millions. Many are today convinced that the deal had been long on the cards, with negotiations having taken place well before March 2013.

The incoming Labour administration wasted no time in rewarding business failure with public funds. It is telling that the doors of the Cafè closed for good on the day following the general election. Why bother with selling cappuccinos worth a few euros when government offers you a cool €4.2 million, unbelievably including a commission for your 'troubles' with brokering the deal... with yourself?

Damning facts laid bare

This shady deal, by the way, went ahead despite another offer from an entrepreneur, who was offering government the same sum for the lease. The point, you see, was not for government to get whatever income it could from a prime piece of real estate, but for it to lift a business out of a financial tight spot.

Make no mistake, there was no contribution to the public good made by the government's bending over backwards. The report drawn up by the National Audit Office (NAO), in which all the damning facts are laid bare, lists the "objectives" that government said would be achieved by the golden handshake.

An express deal

The removal of possible danger posed to the national library, the provision of greater accessibility, a resolution of the problem of arrears faced by the leaseholder, the "re-dimensioning" of available space; the report notes that there is a dearth of documentation to substantiate these policy objectives. In the restrained language of audits, it is, "considered as a significant shortcoming". In laymen's terms, it is, "do you think we're stupid?"

The leaseholder informed us that he had made a one-time donation of € 1,000 to the Nationalist Party in government. I'm still wondering why this was brought up. Did anyone expect the Nationalist Party to refrain from taking the right decision of serving the public interest by pursuing the eviction for the sake of the financial interest of a donor?

What we know for sure is that Premier closed shop immediately after the Labour Party won government and that a Labour government wasted no time in closing a deal with the lease holders, which entailed paying millions out of public funds for a property that was already government-owned and which could have been taken back through legal remedies.

No capuccinos, no new schools

Now, think of the opportunity cost of this bailout for the Maltese public. These funds could have been used to pursue the previous government's objective of building a new school every year, or improving on sport facilities. They could have been used for improving prospects for jobseekers through training; some new roads; social projects; you name it. Instead, as taxpayers, we forked out a hefty sum to compensate someone for not selling enough capuccinos and pastizzi.

Mr Puli is the Opposition spokesperson for Citizens' Rights, Civil Rights, Equality, Social Dialogue, Consumers' Rights, Internet Rights, Communications, Broadcasting and Audio-Visual Policy.