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Nothing sinister about PNGSDP Board member

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This article is in response to the derogatory and malicious remarks that appeared in Facebook Papua New Guinea Blogs on 16 October 2012 under the title “Crook businessman in PNGSDP Board”. The author of that article has abused the privileges of Facebook by falsely accusing PNGSDP chairman Prof Ross Garnaut of appointing prominent PNG accountant and businessman Rex Paki to the board. Much of the article is lifted from a recent report on the “Demolition of Paga Hill” by a UK-based non-government organization and is merely a character assassination of Mr Paki on issues that are considered water under the bridge. The key facts of these matters are: •    Rex Paki was appointed to the PNGSDP Board by the Minister for Treasury as the State’s representative. He was not appointed by Prof Ross Garnaut who nonetheless values Mr Paki’s contributions as a Board member and will defend his appointment. CEO David Sode also holds Mr Paki in high regard. •    Rex Paki has appeared before only the NPF Co

Nothing sinister about PNGSDP Board member

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This article is in response to the derogatory and malicious remarks that appeared in Facebook Papua New Guinea Blogs on 16 October 2012 under the title “Crook businessman in PNGSDP Board”. The author of that article has abused the privileges of Facebook by falsely accusing PNGSDP chairman Prof Ross Garnaut of appointing prominent PNG accountant and businessman Rex Paki to the board. Much of the article is lifted from a recent report on the “Demolition of Paga Hill” by a UK-based non-government organization and is merely a character assassination of Mr Paki on issues that are considered water under the bridge. The key facts of these matters are: •    Rex Paki was appointed to the PNGSDP Board by the Minister for Treasury as the State’s representative. He was not appointed by Prof Ross Garnaut who nonetheless values Mr Paki’s contributions as a Board member and will defend his appointment. CEO David Sode also holds Mr Paki in high regard. •    Rex Paki has appeared before only

PMIZ on hold indefinitely

By ANDREW PASCOE THE state’s controversial Pacific Marine Industrial Zone (PMIZ) project – a USD$235 million proposal to develop a free trade industrial zone in Madang – is officially on hold. Today Madang Court ordered all progress on the PMIZ project to cease until the court makes a decision on whether the proposed development has sufficient legal grounds to proceed. The decision put an immediate freeze on a US$200 million Chinese loan to develop the project – just a week before the PNG Government was to access $3 million from the loan to progress development of the PMIZ. Lawyers representing hundreds of aggrieved customary landowners in Vidar, Madang will seek to have the loan agreement put on ice permanently when they return to court next month. Twivey Lawyers will argue the loan agreement - signed on 31 May 2011 by then Minister for Commerce and Industry Gabriel Kapris for the purpose of building the PMIZ - is illegal and unconstitutional. They will argue the contract jeopardises

PMIZ on hold indefinitely

By ANDREW PASCOE THE state’s controversial Pacific Marine Industrial Zone (PMIZ) project – a USD$235 million proposal to develop a free trade industrial zone in Madang – is officially on hold. Today Madang Court ordered all progress on the PMIZ project to cease until the court makes a decision on whether the proposed development has sufficient legal grounds to proceed. The decision put an immediate freeze on a US$200 million Chinese loan to develop the project – just a week before the PNG Government was to access $3 million from the loan to progress development of the PMIZ. Lawyers representing hundreds of aggrieved customary landowners in Vidar, Madang will seek to have the loan agreement put on ice permanently when they return to court next month. Twivey Lawyers will argue the loan agreement - signed on 31 May 2011 by then Minister for Commerce and Industry Gabriel Kapris for the purpose of building the PMIZ - is illegal and unconstitutional. They will argue the contract jeopardise

Dutch disease anyone?

THE government and, indeed the whole of PNG, have been carried away by the advent of the liquefied natural gas project. An agreement was signed into existence in the greatest of haste and meetings to tie up benefits sharing agreements were done in whirlpool tours that left participants exhausted and landowners dazed and confused. In the end, the government might have given away more than it ought to have but time will tell. But the impact of the LNG project is immediate and devastating upon the agricultural sector in Papua New Guinea, the industry which supports the majority of the population. Costs have gone up exponentially for the agriculture and manufacturing sector as a direct result of the LNG project in what is termed the Dutch Disease. Also described as the resources curse, this term refers to the economic phenomenon where an increase in exploitation of natural resources often results in a decline in other sectors such as manufacturing and agriculture. An increase in revenues f

Dutch disease anyone?

THE government and, indeed the whole of PNG, have been carried away by the advent of the liquefied natural gas project. An agreement was signed into existence in the greatest of haste and meetings to tie up benefits sharing agreements were done in whirlpool tours that left participants exhausted and landowners dazed and confused. In the end, the government might have given away more than it ought to have but time will tell. But the impact of the LNG project is immediate and devastating upon the agricultural sector in Papua New Guinea, the industry which supports the majority of the population. Costs have gone up exponentially for the agriculture and manufacturing sector as a direct result of the LNG project in what is termed the Dutch Disease. Also described as the resources curse, this term refers to the economic phenomenon where an increase in exploitation of natural resources often results in a decline in other sectors such as manufacturing and agriculture. An increase in

Elected Leaders Failing Nation

By GOVERNOR GARY JUFFA The continued presence in Papua New Guinea of Djoko TJANDRA, international fugitive , wanted for fraud by Indonesian authorities and Interpol raises serious concerns about whether or not the Government is truly interested in fighting corruption. Djoko TJANDRA'S citizenship was granted under suspicious circumstances without the Citizenship Committee having ever convened to consider his application. In fact, it was the whim and will of one single parliamentarian on the basis that he was "a major investor". The message we can deduce is that anyone with a bag of money deemed sufficient as "investment" can and will be granted citizenship. It should concern Papua New Guineans that Djoko TJANDRA is the same driving force behind the NAIMA RICE PROJECT which is about to be endorsed and approved by the NEC according to reliable sources. This project seeks exclusive rights for a foreign owned company to commercialize rice, that is, the cultivation a

Paga Hill: Property developer Gummi Fridriksson on leave to concentrate on business interests in PNG

The Cairns-based Cape York Institute has confirmed its chief executive, property developer Gummi Fridriksson, is on extended leave without pay. The institute’s group chief executive, Duncan Murray, issued a statement saying Mr Fridriksson “has been and continues to be on extended leave without pay to enable him to concentrate on his business interests in Papua New Guinea”. Mr Murray issued a glowing endorsement of Mr Fridriksson, whose Port Moresby property venture attracted international notoriety after settlers’ homes were bulldozed. “Whilst at the institute, (Mr Fridriksson) discharged his duties diligently and professionally,” Mr Murray said. As revealed in The Australian last Tuesday, Mr Fridriksson is the secretary of the PNG-registered Paga Hill Development Company, which acquired a commercial lease over a prime piece of real estate overlooking the harbour in Port Moresby in a land deal that was heavily criticised by a parliamentary committee in the Pacific nation. The PHDC insi

Paga Hill: Property developer Gummi Fridriksson on leave to concentrate on business interests in PNG

The Cairns-based Cape York Institute has confirmed its chief executive, property developer Gummi Fridriksson, is on extended leave without pay. The institute’s group chief executive, Duncan Murray, issued a statement saying Mr Fridriksson “has been and continues to be on extended leave without pay to enable him to concentrate on his business interests in Papua New Guinea”. Mr Murray issued a glowing endorsement of Mr Fridriksson, whose Port Moresby property venture attracted international notoriety after settlers’ homes were bulldozed. “Whilst at the institute, (Mr Fridriksson) discharged his duties diligently and professionally,” Mr Murray said. As revealed in The Australian last Tuesday, Mr Fridriksson is the secretary of the PNG-registered Paga Hill Development Company, which acquired a commercial lease over a prime piece of real estate overlooking the harbour in Port Moresby in a land deal that was heavily criticised by a parliamentary committee in the Pacific nation. The PHDC insi

Potential for PNG to own 50% of Elk and Antelope

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A joint venture headed by InterOil Corp. (IOC) has offered to sell half of two gas fields it owns in Papua New Guinea to the government and local landowners, in a move that may unlock development of a new US$6 billion-plus export project, according to documents seen by The Wall Street Journal. Liquid Niugini Gas Ltd., a joint venture led by InterOil, signed an agreement in 2009 with Papua New Guinea to develop a large-scale liquefied natural gas, or LNG, project, but it has since clashed several times with the government over the design of the venture. In May, the government threatened to terminate the agreement, triggering a fresh round of talks. A letter sent by Liquid Niugini Gas, dated Sept. 18 and seen by The Wall Street Journal, outlined the venture's new offer to overhaul ownership of the Elk and Antelope gas fields and secure a breakthrough in the long-running dispute. It offers to split ownership of Elk and Antelope's resources equally, with InterOil and its partners h

Potential for PNG to own 50% of Elk and Antelope

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A joint venture headed by InterOil Corp. (IOC) has offered to sell half of two gas fields it owns in Papua New Guinea to the government and local landowners, in a move that may unlock development of a new US$6 billion-plus export project, according to documents seen by The Wall Street Journal. Liquid Niugini Gas Ltd., a joint venture led by InterOil, signed an agreement in 2009 with Papua New Guinea to develop a large-scale liquefied natural gas, or LNG, project, but it has since clashed several times with the government over the design of the venture. In May, the government threatened to terminate the agreement, triggering a fresh round of talks. A letter sent by Liquid Niugini Gas, dated Sept. 18 and seen by The Wall Street Journal, outlined the venture's new offer to overhaul ownership of the Elk and Antelope gas fields and secure a breakthrough in the long-running dispute. It offers to split ownership of Elk and Antelope's resources equally, with InterOil and its par

Crook businessman in PNGSDP Board

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Prominent Australian Prof Ross Garnaut, already under fire for his extensive links to the environmentally destructive mining industry in Papua New Guinea   has chosen to bring “evasive and dishonest” businessman, Rex Paki onto the board of the PNG Sustainable Development Program. Garnaut is the Chairman of PNGSDP. Over the past 20 years Paki has appeared before two Commission of Inquiries (Finance Department and National Provident Fund), two Public Account Committee Inquiries, and a Supreme Court case where he was slammed by the full court. Paki was intimately involved in the Paga Hill development in Port Moresby between 1997-2000, a development which has recently been making headlines for forced evictions and corrupt property deals In January 2004 the Public Acounts Committee reprimanded Paki’s company Ram Business Consultants (RAM) for issuing an “empty cheque” to the Accountants Registration Board, and then “practicing without … formal registration”. Two years later in a separate in

Crook businessman in PNGSDP Board

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Prominent Australian Prof Ross Garnaut, already under fire for his extensive links to the environmentally destructive mining industry in Papua New Guinea   has chosen to bring “evasive and dishonest” businessman, Rex Paki onto the board of the PNG Sustainable Development Program. Garnaut is the Chairman of PNGSDP. Over the past 20 years Paki has appeared before two Commission of Inquiries (Finance Department and National Provident Fund), two Public Account Committee Inquiries, and a Supreme Court case where he was slammed by the full court. Paki was intimately involved in the Paga Hill development in Port Moresby between 1997-2000, a development which has recently been making headlines for forced evictions and corrupt property deals In January 2004 the Public Acounts Committee reprimanded Paki’s company Ram Business Consultants (RAM) for issuing an “empty cheque” to the Accountants Registration Board, and then “practicing without … formal registration”. Two years later in a se

Australia defends PNG refugee plan despite UN concern

Australia on Friday said it was on track to send asylum-seekers to impoverished Papua New Guinea despite the United Nations raising concerns about the country's ability to handle refugees. In a letter to Canberra, United Nations High Commissioner for Refugees Antonio Guterres said it was not clear to his agency that the transfer of boatpeople to PNG was "fully appropriate". It was the UNHCR's assessment that PNG "does not have the legal safeguards nor the competence or capacity to shoulder alone the responsibility of protecting and processing asylum-seekers transferred by Australia", he wrote. But a spokesman for Immigration Minister Chris Bowen said asylum-seekers were set to arrive on PNG's Manus Island within weeks. "We have consulted with and tabled correspondence by the UNHCR -- and as always, we take on board issues they have raised," the spokesman said. "We continue to work with the PNG government on implementation and e

Australia defends PNG refugee plan despite UN concern

Australia on Friday said it was on track to send asylum-seekers to impoverished Papua New Guinea despite the United Nations raising concerns about the country's ability to handle refugees. In a letter to Canberra, United Nations High Commissioner for Refugees Antonio Guterres said it was not clear to his agency that the transfer of boatpeople to PNG was "fully appropriate". It was the UNHCR's assessment that PNG "does not have the legal safeguards nor the competence or capacity to shoulder alone the responsibility of protecting and processing asylum-seekers transferred by Australia", he wrote. But a spokesman for Immigration Minister Chris Bowen said asylum-seekers were set to arrive on PNG's Manus Island within weeks. "We have consulted with and tabled correspondence by the UNHCR -- and as always, we take on board issues they have raised," the spokesman said. "We continue to work with the PNG government on implementa

UN agency warns on problems with Manus plan

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THE UNITED Nations refugee agency has detailed five major concerns about the federal government's plan to send asylum seekers to Papua New Guinea's Manus Island in the coming weeks. The concerns are detailed in a letter from the United Nations High Commissioner for Refugees, Antonio Guterres, that was tabled in Federal Parliament this week as a resolution approving the designation of PNG as a ''regional processing country'' passed in both houses. They include PNG's failure to sign international treaties against torture and for the protection of stateless people, and the absence of any national legal or regulatory framework to address refugee issues in PNG. In the letter, to Immigration Minister Chris Bowen, Mr Guterres says the arrangements for offshore processing on Manus Island - like those on Nauru - are between the countries involved and that the UNHCR ''would not have any operational or active role to play in their implementation''. Date

UN agency warns on problems with Manus plan

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THE UNITED Nations refugee agency has detailed five major concerns about the federal government's plan to send asylum seekers to Papua New Guinea's Manus Island in the coming weeks. The concerns are detailed in a letter from the United Nations High Commissioner for Refugees, Antonio Guterres, that was tabled in Federal Parliament this week as a resolution approving the designation of PNG as a ''regional processing country'' passed in both houses. They include PNG's failure to sign international treaties against torture and for the protection of stateless people, and the absence of any national legal or regulatory framework to address refugee issues in PNG. In the letter, to Immigration Minister Chris Bowen, Mr Guterres says the arrangements for offshore processing on Manus Island - like those on Nauru - are between the countries involved and that the UNHCR ''would not have any operational or active role to play in their implementation'

Questions Papua New Guineans should ask

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By GOVERNOR GARY JUFFA MP The only certainty about the future of Papua New Guinea is its uncertainty....as it is, we are being packaged, initially carefully and elaborately, designed to convince and appease the masses and critics, those who are suspicious and may cause problems...now it is blatant..... A few questions I thought this night while reflecting on Papua New Guinea occurred to me. How is a nation so rich in so many ways constantly having to soak up the blows of apathy and bad governance? How is it that so called Princes and Princesses can visit and be treated with much aplomb and at enormous costs to the State and therefore the people but a child can die in a village from lack of the most basic health care available elsewhere in the world? How is it that we can declare economic boom and glory days ahead but rapes of mothers are committed in our public market places in broad daylight minutes away from a Police Station? How is it that projects that will most certainly destroy t

Australia used to 'clean' laundered PNG cash

Australia has been singled out as the money-laundering destination of choice for corrupt Papua New Guinea politicians and officials. The head of PNG's anti-corruption taskforce says stolen government funds are being washed clean in Australia, and authorities here are doing little to stop it. Sam Koim, the head of PNG's Task Force Sweep, says his job gets all the more difficult when ill-gotten gains disappear south to Australia. "There appears to be a lot of monies being transferred by people who have stolen money from the PNG coffers," he said. "They have been moving money to Australia and we have evidence to show that they have been depositing those monies in Australian bank accounts, and also translating those monies into Australian real estate." Mr Koim estimates half of the PNG government's annual budget is lost to fraud and corruption through a "mobocracy" of unscrupulous politicians, public servants, lawyers and business people. He believ

Australia used to 'clean' laundered PNG cash

Australia has been singled out as the money-laundering destination of choice for corrupt Papua New Guinea politicians and officials. The head of PNG's anti-corruption taskforce says stolen government funds are being washed clean in Australia, and authorities here are doing little to stop it. Sam Koim, the head of PNG's Task Force Sweep, says his job gets all the more difficult when ill-gotten gains disappear south to Australia. "There appears to be a lot of monies being transferred by people who have stolen money from the PNG coffers," he said. "They have been moving money to Australia and we have evidence to show that they have been depositing those monies in Australian bank accounts, and also translating those monies into Australian real estate." Mr Koim estimates half of the PNG government's annual budget is lost to fraud and corruption through a "mobocracy" of unscrupulous politicians, public servants, lawyers and business people

Stop pretending to be friends Australia, sort out this visa issue.

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It is high time we sorted out a few things in relation to our relationship with Australia and Australians. There is no better time than now – when the 9th Parliament commences its term and power transition for the government is safely over. There are a few burning issues that need urgent settlement now, among them the following: Australia pretends to be a friend of PNG but its motives are apparently different. It seems it does not want to take proactive steps to prevent or discourage or stifle individual cases of theft or corruption in PNG even though it easily could. Believe me they do know the identities of the thieves (most of them young public servants or corrupt politicians – people with no visible sources of high income) who remit unexplained wealth to Australia for laundering and cleansing and safe keeping. Let me relate an experience that places things in perspective. A day ago a PNG woman of none descript appearance, by her admission a betel nut seller (obviously an average Ma

Stop pretending to be friends Australia, sort out this visa issue.

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It is high time we sorted out a few things in relation to our relationship with Australia and Australians. There is no better time than now – when the 9th Parliament commences its term and power transition for the government is safely over. There are a few burning issues that need urgent settlement now, among them the following: Australia pretends to be a friend of PNG but its motives are apparently different. It seems it does not want to take proactive steps to prevent or discourage or stifle individual cases of theft or corruption in PNG even though it easily could. Believe me they do know the identities of the thieves (most of them young public servants or corrupt politicians – people with no visible sources of high income) who remit unexplained wealth to Australia for laundering and cleansing and safe keeping. Let me relate an experience that places things in perspective. A day ago a PNG woman of none descript appearance, by her admission a betel nut seller (obviously an avera

Billions lost through fraud each year

AS much as half of Papua New Guinea's A$3.5 billion development budget over three years has been lost to graft or dodgy overseas investments, the head of the Pacific nation's government anti-corruption task force says. Task Force Sweep (TFS) chairman Sam Koim says Australian financial institutions have been complicit by turning a blind eye to dirty monies being redirected to Australian connections. A TFS analysis of PNG's 7.6 billion kina development budget from 2009 through 2011 shows almost half was lost to corrupt practices by public officials and government departments. "We have uncovered a lot of instances where there was no recourse to budget and people were spending money left, right and centre, squandering funds and using them for private purposes," Mr Koim told AAP on Monday. "Given the trend of corruption and seeing that there is nothing on the ground level to show for the expenditure of public funds, we have reason to believe that at least half of

Billions lost through fraud each year

AS much as half of Papua New Guinea's A$3.5 billion development budget over three years has been lost to graft or dodgy overseas investments, the head of the Pacific nation's government anti-corruption task force says. Task Force Sweep (TFS) chairman Sam Koim says Australian financial institutions have been complicit by turning a blind eye to dirty monies being redirected to Australian connections. A TFS analysis of PNG's 7.6 billion kina development budget from 2009 through 2011 shows almost half was lost to corrupt practices by public officials and government departments. "We have uncovered a lot of instances where there was no recourse to budget and people were spending money left, right and centre, squandering funds and using them for private purposes," Mr Koim told AAP on Monday. "Given the trend of corruption and seeing that there is nothing on the ground level to show for the expenditure of public funds, we have reason to believe that at least h

PNG loses K3.8b in graft to Australia

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AUSTRALIA’S anti-corruption agencies and its banking and financial system are condoning PNG’s burgeoning corruption industry by turning a blind eye to it, Task Force Sweep chief Sam Koim says. He told a meeting in Sydney last Thursday that while Australia preached good governance and anti-corruption, never once had it repatriated any proceeds of corruption back to PNG. He said half of the country’s development budget over three years had been fleeced off in corruptive activities. That is a staggering K3.8 billion out of the PNG government component of K7.6 billion for 2009, 2010 and 2011 Said Koim: “A few months ago, it was reported in a Cairns newspaper that PNG residents are the largest investors in the far north according to the latest figures from the Registrar of Titles. “It is also understood six known politicians have invested in million-dollar properties up north and central Cairns to a tune of A$11.45 million (K24.5 million) – A$3.8 million, A$1.9 million, A$2.3 million, A$2 m

PNG loses K3.8b in graft to Australia

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AUSTRALIA’S anti-corruption agencies and its banking and financial system are condoning PNG’s burgeoning corruption industry by turning a blind eye to it, Task Force Sweep chief Sam Koim says. He told a meeting in Sydney last Thursday that while Australia preached good governance and anti-corruption, never once had it repatriated any proceeds of corruption back to PNG. He said half of the country’s development budget over three years had been fleeced off in corruptive activities. That is a staggering K3.8 billion out of the PNG government component of K7.6 billion for 2009, 2010 and 2011 Said Koim: “A few months ago, it was reported in a Cairns newspaper that PNG residents are the largest investors in the far north according to the latest figures from the Registrar of Titles. “It is also understood six known politicians have invested in million-dollar properties up north and central Cairns to a tune of A$11.45 million (K24.5 million) – A$3.8 million, A$1.9 million, A$2.3 million,

PNG asylum facility ready within weeks

The Australian government says asylum seeker processing on Papua New Guinea's Manus Island will start within weeks, as another 33 would-be refugees arrived at Nauru's offshore processing centre. The group of 18 Sri Lankans, 14 Afghans and one Iranian arrived on a chartered aircraft from Christmas Island on Friday morning. This brings the number of asylum seekers currently on the island to 181, after three people opted to return home in September. The government in August committed to offshore processing of asylum seekers who arrive in Australian waters by boat on Nauru and Manus Island. The coalition joined Labor in the Senate in September to pass the legislative instrument allowing Nauru to be used for offshore processing. A similar legislative instrument is expected to be introduced into parliament in the coming weeks, which would allow Manus Island to be reopened. Meanwhile, a war of words has erupted between Immigration Minister Chris Bowen's office and his opposition c