By George Psyllides
The president sent two pieces of foreclosures-related legislation back to parliament for reasons of national interest, Finance Minister Harris Georgiades said on Wednesday, telling MPs who appeared poised to vote the bills anew to consider the potential consequences.
“Of course it is a political matter, the president is not hiding behind his finger,” the minister said. “He cites a series of legal issue … but above all it is a matter of public interest, national interest I would add.”
Parliament on Wednesday discussed the two bills sent back by Anastasiades as being incompatible with the terms of the island’s bailout.
The two concern the right of borrowers to report a bank to the Central Bank governor if they think the lender violates the code on loan restructuring, and the Central Bank’s authority to step in and stop mass foreclosures.
One of the legal arguments raised by Anastasiades was that both issues were covered in other laws.
Four other bills were deemed unconstitutional and were referred to the Supreme Court for its ruling.
All six were passed by opposition parties despite warnings they were incompatible and would prompt lenders to withhold the next tranche of assistance.
Georgiades said it was the parliament’s right to disagree and have a different view and interpretation on how public interest was served.
However, “we cannot disregard the fact that we are operating in a regime that requires other governments, other parliaments, other member-states’ finance committees, to give consent for the financing to continue,” the minister said. “If we are going to completely disregard this fact, it is a political decision that we are allowed to take and each and every one can assess the responsibility and the consequences.”
The minister said Cyprus was led to the point of needing financing from other EU states because of past mistakes and omissions and despite the progress made in the past year it still needed the assistance.
“If there is a different view, if, that is, we think that we no longer need the Troika (lenders), this can be interpreted as a huge recognition of the government’s success,” Georgiades said.
Despite the progress, he added, the government was not claiming it has succeeded so early but at the same time, Cyprus could find itself in that position sooner than expected “if we are not completely derailed.”
Opposition MPs appeared unconvinced.
Deputy House Finance Committee chairman and DIKO MP Angelos Votsis said there did not appear to be any constitutional issue regarding the two bills.
“There is an exaggeration to refer these two bills back to parliament when one of the main arguments is that it affords authorities that already exist in other laws,” Votsis said.
Votsis said the bills will be put to the vote anew on Thursday. After that Anastasiades can either sign them into law or refer them to the Supreme Court.
