THE COURT REPORT
Illicit K10.6m payment
Today’s PNGi Court Report exposes K10.6 million in illegal payments which the PNG Forest Authority attempted to make to Asaule Development Corporation Limited. The National Court has concluded that these were payments which the state was in no way obliged to make, and they were unlawful. This is just the latest example in a pattern of behaviour from the Forest...
PNGi INVESTIGATES
COVID-19 Expenditure: Reporting the Red Flags
PNGi has conducted a preliminary analysis of suppliers selected by the Department of Health to help combat the COVID-19 epidemic. Today we present a shortlist of the companies exhibiting red flags that deserve close audit scrutiny. COVID-19 is a global emergency. In the event of an emergency procurement processes, which ordinarily require public tender and transparent selection processes, are dispensed...
PNGi INVESTIGATES
PNG Architect Defeats Malaysian Timber Dynasty
Architect, Lucky Manoka, from Barakau village in Central Province served the public for ten years at the National Housing Commission, and National Capital District Commission. After earning a Master’s in Architectural Studies at the University of Queensland Manoka went into private practice. Manoka later established a company in 2005, Bootless View Estate Limited, along with two colleagues Willia Lapa and...
THE COURT REPORT
Rimbunan Hijau behaviour “a sham, fraud and unconscionable”
The Supreme Court has delivered another damning indictment on the behaviour of one of Papua New Guinea’s largest private companies, Rimbunan Hijau Limited (RH). Over the last 30 years this Malaysian owned company has built a multi-sector empire with interests in retail, property, transport, media, and hospitality. Recent court decisions though have exposed how this empire has its foundations in...
THE COURT REPORT
Yama Bribery Scandal Takes Another Twist
...that has seen two electoral officials convicted. The case centres on a complaint submitted by former Madang Governor, James Yali, to police on 19 July 2017. Yali alleges that Yama gave cash to two assistant returning officers, during the counting period. While police successfully convicted the two returning officers for receiving corrupt gratification from Peter Yama MP, Provincial Police Commander...
POWER PROFILES
William Duma: From Manu Manu to Horizon Oil
Last week Commerce Minister William Duma appeared before the TV cameras indignant, after he was implicated by the Australian Financial Review (AFR) in a K34 million bribery scandal involving Horizon Oil. Following the AFR exposé, Horizon Oil suspended its CEO. Duma has remained in post and has gone on the offensive. Duma presents himself as the innocent victim of a...
THE TOKAUT BLOG
Horizon Oil and William Duma Bribery Scandal
Yesterday a scandal broke in the Australian Financial Review (AFR). It is alleged that the Australian listed firm, Horizon Oil, paid US$10.3 million to a Papua New Guinea shell company, with ties to the then Petroleum Minister, William Duma, a claim Duma denies. The scandal begins in 2010. Horizon Oil faced losing valuable gas licenses in PNG, after then Petroleum...
PNGi INVESTIGATES
How Don Polye helped swing the 2012 election for O’Neill
...of Waigani and across the country for the previous nine months, lining the pockets of MPs and candidates loyal to O’Neill, helping to secure their election success. Between August 2011 and February 2012 over K1 billion was distributed by the Department of Finance from two illegal accounts, including more than K500 million funnelled to carefully selected Provincial and District treasuries...
THE TOKAUT BLOG
Why do we venerate the architects of kleptocracy
Papua New Guinea has been ruled by successive kleptocracies. This is a fact attested to by volumes of published research, the professional opinion of the country’s top corruption fighters, and a library of investigation findings produced by Commissions of Inquiry, official audits, and Court decisions. This mountain of documentary and oral records illustrate, without a trace of doubt, that PNG...
POWER PROFILES
New Treasurer a Plague on Development and Democracy Top Civil Servant Claims
...of his tenure, were not even drawn up in the province but were drawn outside the NIPGA [New Ireland Provincial Government Administration] system through the former Governor’s own contacts and business associates and were then taken straight to the JPPBPC [Joint Provincial Planning and Budget Priorities Committee ] which he himself chaired and then onto the Provincial Assembly for endorsement....
THE TOKAUT BLOG
Auditor General massively under funded
...the limited financial resources”. This is a critical situation. In total the Provincial Government Audit Division of the AGO is supposed to be responsible for auditing 947 government institutions located outside Port Moresby. Such is the size of this task, the Organic Law on Provincial and Local-Level Governments requires the Auditor-General to establish an Audit Service and appoint a Provincial...
THE TOKAUT BLOG
How to Bag a Million in New Ireland
While families across the country struggle to make ends meet, it appears for a small minority the path to millions is exceedingly easy, so claims the Ombudsman Commission (OC). The OC’s investigation into the award of K1 million to KPE Investment Ltd for the provision of agricultural services found that the Namatanai District Administration and the New Ireland Provincial Administration...
THE TOKAUT BLOG
Eastern Highlands Grandee Smith-Kela Implicated in Trust Account Plunder
...Provincial Administrator, Mr Munare Uyassi. The Ombudsman Commission observes: ‘The Eastern Highlands Provincial Government and the Eastern Highlands Provincial Administration under the leadership of Hon. Malcolm Smith-Kela, MP, Governor and Mr. Munare Uyassi, established the Trust Account without approval from the Minister for Finance and/or the Secretary for Finance, contrary to Section 15 of the Public Finance (Management) Act 1995’....
THE COURT REPORT
Scandal Prone Gummi Fridriksson Back in Court
...oversight agencies. Screenshot: Lands Minister and NCDC Mayor pose with ‘Gummi’ Fridriksson (far right) in a promo shot posted on pagahill.com Now Fridriksson and his business partners are on the cusp of receiving a major payout after suing the East Sepik Provincial Government over the cancellation of a contract with their consultancy firm, CCS Anvil, back in 2005. The East...
THE TOKAUT BLOG
Peter ONeill: Son of a Grotesque Political System
...public broadcasting and civil society investigative expertise, so the nation has a well resourced and skilful professionals probing public integrity and reporting their findings to the public. A risk based reform of all the slush funds, rotten government departments and defunct provincial authorities, focusing on the worst performers first. Of course, a comprehensive list of essential reforms would be much...
PNGi INVESTIGATES
Solomon Islands Paradise Destroyed by Plunder
By its own government’s estimation natural forests in the Solomon Islands could be completely exhausted by 2036. [1] When it comes to the exploitation of forests and mineral resources, the Solomon Islands is PNG on steroids. It is a window into our future if we fail to stop rule by mobocracy. Plunder, environment destruction, and corruption, these are the familiar...
PNGi INVESTIGATES
Good Times Fast Money in Sir Julius Chan Country
...the money was stolen. Image: An unknown woman stands between Sir Julius Chan and Mr Peng Chun Chee The special audit aimed to determine if Provincial and District Administrations expend Provincial Services Improvement Program and District Service Improvement Program funding in compliance with public finance laws and regulations. New Ireland under Sir Julius Chan’s leadership received an ‘F’. One contract,...
PNGi INVESTIGATES
Govt Stole Development Funds from Logging Communities
More than K100 million collected by the government from logging companies to fund community development projects has been stolen or misused. Senior departmental heads appointed as trustees have failed in their duties and the biggest beneficiary has been the government itself, which has unlawfully taken more than K80 million of community funds. These are findings contained in a scathing Auditor...
PNGi INVESTIGATES
From Central City to Konebada: Milking Two White Elephants
For almost a decade, according to the nation’s public accounting agencies, a tight-knit group of largely expatriates illegally milked two mega-projects that were meant to deliver benefits and services to the people of Central Province. Over K20 million in public money is reported to have been spent with derisory results. In two special inquiry reports produced by the Auditor General’s...
THE COURT REPORT
Peter Yama dodges electoral bribery charge
...National Court, after they failed to report a corrupt gratification they had received from a candidate during the vote count for the Madang Provincial Seat. John Tumaing confessed to receiving K50 from the candidate, and Nixon Kavo, admitted to receiving K500. Under the Criminal Code both men were duty bound to report this corrupt gratification to a law enforcement officer....
THE TOKAUT BLOG
Momis is the Word on Bougainville
PNGi has recently put a spotlight on provincial administrations across the country. Often overshadowed by the corruption big leagues in Waigani, provincial administrations have proven to be intractable sites of abuse. Today PNGi turns to the Autonomous Bougainville Government (ABG). As Bougainville approaches an independence referendum, won through hardship and sacrifice, its precious public finances are being lost to misappropriation,...
THE TOKAUT BLOG
Oro in the Auditor General’s spotlight
...crusading governor, Gary Juffa, is not surprised. Juffa is well aware of how badly impacted the Provincial administration is by corruption and has lamented his limited powers of intervention. Nonetheless, important changes are afoot. In July the Provincial Executive Council (PEC) suspended Provincial Administrator Sem Vegogo on 18 counts of misconduct and maladministration in office. This was less than a...
THE TOKAUT BLOG
Car hire a major drain on government resources
...hire cars in 2017 To this line of inquiry, we can now add the revelations from the latest report to be published by the Office of the Auditor General (AGO). This reveals how the hire car curse is afflicting Provincial governments right across the country. A lack of competitive tendering, unregistered business names, exaggerated hire periods and inflated rates are...
THE TOKAUT BLOG
An Emergency on New Ireland
...Provincial Government had sought the required three written quotations from two other suppliers as Hardware Haus had been selected as the new supplier and neither the contract value of K2,447,500 was sanctioned by the Provincial Authority to Pre-Commit Committee (PAPCC) nor the award of contract was approved by the Provincial Supply and Tenders Board”. Hardware Haus is owned by City...