David Curmi’s contract ‘secret’ because KM Airlines CEO ‘may be poached’

Finance Minister Clyde Caruana has come forward with a new excuse to resist calls by The Shift to reveal the financial package given to failed Air Malta CEO David Curmi at KM Malta Airlines.

According to the minister, who handpicked the 65-year-old Executive Chairman despite his dismal results at Air Malta, which led to its closure, Curmi’s financial package should not be revealed to ‘avoid his poaching by other rival airlines’.

In a bizarre reply to the Information Commissioner following a Freedom of Information request by The Shift, Caruana’s ministry argued that publishing Curmi’s financial package was commercially sensitive and could hurt the interests of the new national airline.

Citing a decision taken years ago, in which the Information Commissioner had decided not to disclose the financial package of former Air Malta CEO Clifford Chetcuti, the finance ministry argued that the same should apply to Curmi.

Yet there is a marked difference. Chetcuti, an experienced pilot with an international airline, joined Air Malta after occupying several senior management positions with airline giants such as Qatar Airways. In his case, the commissioner had argued that his experience could lead to potential poaching.

In contrast, Curmi never worked in aviation before being chosen by the finance minister.

Senior KM Malta officials said the finance ministry’s reasoning in Curmi’s case was “ridiculous”.

They insisted that Curmi did not even have any qualifications to potentially work in any aviation sector, let alone be poached by another airline.

Curmi was installed as executive chairman of KM Malta Airlines earlier this year after occupying the same role at Air Malta and steering it to a crash landing.

Air Malta posted tens of millions in losses, while the government set up a new airline identical to Air Malta, pumping hundreds of millions of euro from state coffers into it.

Instead of starting afresh, the finance minister put Curmi in charge of KM Malta Airlines.

When at Air Malta, Minister Caruana had also tried to keep Curmi’s lucrative contract under wraps, resisting FOI requests and turning down parliamentary questions.

After a long legal battle, The Shift finally won the case, revealing that Curmi was receiving a staggering €21,500 a month while Air Malta was in serious trouble.

It was also revealed that Curmi was being paid extra for his role as chairman, contrary to Minister Caruana’s declarations to parliament. The latter had to issue an apology for misleading MPs.

The Shift is also informed that the new company’s financial performance during its first months has not been positive, with estimates pointing towards a similar fate for the new airline as Air Malta.