Health Minister Chris Fearne said that Steward Healthcare is obligated under contractual terms to fulfil all responsibilities while operating three local hospitals under tis concession.

The concession, which was granted in order to run the Gozo, St Luke’s and Karin Grech hospitals, was initially a controversial multi-million deal partaken with Vitals Global Healthcare. The concession was later transferred to the US firm.

Despite this, Fearne stated that the concession remains valid, and Steward is expected to adhere to all its obligations.

The government had initially planned to halt the deal, thereby retaking ownership of the hospitals, which would still be managed by Steward. But it later emerged that former projects minister Konrad Mizzi had agreed to a contract clause that states that the government would have to pay the company €100 million if it were to cancel the concession.

On Tuesday, Prime Minister Robert Abela also stated that Steward Healthcare must uphold all its obligations. Abela also said that the government would do everything it can to avoid paying the €100m should Steward opt to exit the concession.