PM should stand down over his corporate conduct

[Press Release by Rt Hon Sir Mekere Morauta]
Prime Minister Peter O’Neill should stand down and submit himself to an independent external inquiry into very serious allegations of personal and corporate impropriety.

The allegations concern his then wholly-owned construction company Wild Cat Developments Ltd and a bridge-building contract with the Asian Development Bank. The bank investigated the contract and found it to be improperly and incompletely implemented by Mr O’Neill’s company.

The bank found proper tender processes had not been followed, rigging of the tender process, misrepresentation, financial management deficiencies, potential integrity violations, serious procurement irregularities, contravention of contract terms, and lack of qualification to tender.
Reports by the Guardian newspaper and the PNGi network state that the 2015-2016 project in West New Britain Province “was fraught with problems, requiring the ADB to temporarily stop payments and send in inspectors …. Eventually, the contract (was) terminated and re-tendered to a Chinese company”.

Those reports can be found at http://pngicentral.org/reports/the-adb-bridge-scandal/ and https://www.theguardian.com/world/2018/nov/12/papua-new-guinea-pms-firm-won-32m-contract-despite-serious-irregularities-peter-oneill

“The information in these reports is deeply disturbing,” said the Member for Moresby North-West, Sir Mekere Morauta. “It raises the question – yet again - of whether Mr O’Neill is a fit and proper person to be Prime Minister.

“There can be no doubt that Mr O’Neill’s activities as outlined bring the Office of Prime Minister into disrepute. The evidence of wrong-doing is overwhelming.”

Mr O’Neill appears to be using the ADB, which has signed off on loans worth US$1.6 billion (about K5.4b) since 2016, to sustain his corruption, waste and mismanagement.

Sir Mekere said he was shocked, but not totally surprised, that the Asian Development Bank had not undertaken due diligence on the West New Britain/Wild Cat project in the first place. Other projects have been similarly lacking, leading to increased costs (90 percent cost overrun for the Lae port), expensive bailouts (Bemobile) and risky lending (budget support without controls, such as for health commodity procurement).

“In each of these cases better due diligence could have saved Papua New Guinea tens of millions of kina or have been the catalyst for administrative reform,” Sir Mekere said. “It could have prevented the sort of alleged misconduct discovered in the bridge-building program.”

Sir Mekere said the Prime Minister’s alleged behaviour concerning the K85-million ADB contract is in keeping with well-known incidents in his corporate and personal history.

Papua New Guineans will recognise a pattern of events over a long period of time: PNG Banking Corporation, RIFL, Waigani land, the NPF inquiry and NPF Tower, disastrous Oil Search share dealings, the infamous UBS loan, the Investment Corporation, Manamatana Apartments, misuse of the Office of Prime Minister to avoid due process of the law, the Public Service Housing Scheme, the illegal purchase of power generators – which PNG Power is now desperate to sell as they are uneconomic and unsuitable, Parakagate, the avoidance of due process in APEC procurement, the removal of countless public bodies and state-owned enterprises from public scrutiny, and others – the list is very long.

“The Office of the Prime Minister belongs to the people of Papua New Guinea,” Sir Mekere said. “It does not belong to Mr O’Neill to do with as he pleases. It is not a money rain office for himself and his cronies, and it is not a vehicle for abusing and avoiding the laws of Papua New Guinea, including the Constitution.

“The international reputation of Papua New Guinea is also at stake. During APEC, Papua New Guineans have read widespread international media condemnation of Mr O’Neill’s corruption, waste and mismanagement, extending to the APEC arrangements themselves.

“Instead of winning international plaudits, Papua New Guinea’s reputation has been dragged through the mud because of the Prime Minister.

“How embarrassing to have to beg for external assistance in order to stage APEC in the first place. APEC Leaders will have left Papua New Guinea remembering Maseratis and Bentleys, foreign frigates and security personnel, luxury cruise ships, the stories of Mr O’Neill’s personal business dealings and the stand-off between the two biggest APEC nations that Mr O’Neill was unable to mediate to result in a meeting communique.

“Mr O’Neill should stand down for the sake of the nation. And the relevant authorities, the Ombudsman Commission, the Investment Promotion Authority and the Fraud Squad, should investigate the allegations in relation to Wild Cat Developments Ltd immediately.”

Comments

  1. Kuria NembaNovember 28, 2018 at 3:17 PM

    This particular investigation by the ABD should be brought up in parliament and the ombudsman Commission should start investigation. This matter is serious enough.

    ReplyDelete
  2. Kuria NembaNovember 28, 2018 at 3:18 PM

    This particular investigation by the ABD should be brought up in parliament and the ombudsman Commission should start investigation. This matter is serious enough.

    ReplyDelete
  3. Kuria NembaNovember 28, 2018 at 3:22 PM

    This investigation by the ADB should be brought up in parliament and the Ombudsman Commission start investigation. The matter is serious enough.

    ReplyDelete

Post a Comment

Please free to leave comments.

Popular posts from this blog

HIGHLANDS FRAUD F*CKS RUNNING GOVERNMENT AGENCY,,,

Image
A Fraudster and unqualified person has been shortlisted for NEC submission for the position of CEPA Managing Director. The candidate in question is Jude Tukulyia. His academic credentials are subject to scrutiny. Further investigation is required to verify the authenticity and legitimacy of his qualifications, particularly the reported diploma in accounting, Bachelor of Laws, MBA from Divine Word and UPNG respectively. It is very suspicious and unprofessional  when the Minister for Environment Conservation and Climate Change, Hon Simo Kilepa, wrote to UPNG Vice Chancellor asking to confirm Jude’s questioned education qualifications. This very due diligence work is the core responsibility of the Public Service Commission and Department of Personnel Management. What authority does the portfolio minister have to write to the Universities? Dumbfounding indeed if one asks. Ulterior motives written all over the letter. This amounts to  Questionable Academic Qualifications of Mr Tukulyia.    
Read more

MARAPE & PAITA ABOUT TO SIGN AWAY PNG GOLD

Image
By: Andrew Arthur Prime Minister Hon. James Marape and his planning minister Reinbo Paita are the parties behind the theft of all Papua New Guinea’s gold for the next 100 years! They have given approval for the STATE of Papua New Guinea to sign away all gold rights to an Australian paper company in Refinery Holdings PTE LTD. First, they have done the deal with a paper company even before there is a LAW that says they have the right to do the deal. We see how the real manipulation works out. Marape and Paita now need to get the law passed by Parliament. The law is before the Parliament to set up Papua New Guinea’s first National Gold Corporation. The National Gold Corporation Bill first surfaced in 2012 but successive Government of Sir Michael Somare and Hon. Peter O’Neill, in their wisdom, had refused to pass this Bill as there have been some sinister motives and constitutional issues associated with the Bill. The new bill will allow Refinery Holdings LTD PTE to own 70% of the National
Read more

AUGUSTINE MANO PNG'S PREMIER CORPORATE CROOK

Image
by  MICHAEL J. PASSINGAN In a significant setback for Mineral Resources Development Corporation (MRDC), the Supreme Court of Papua New Guinea has dismissed the company's appeal to stop criminal investigations into its dealings with landowner funds held in the Pacific Balance Fund (PBF). The court ruled that MRDC's appeal was an "abuse of process" and ordered the company to pay costs of the proceedings. MRDC, a unit holder in PBF, had taken legal action against the National Court's decision to dismiss its case, arguing that the court had no jurisdiction to hear the matter. However, the Supreme Court disagreed and held that MRDC's appeal was nothing more than an attempt to interfere with the police's criminal investigative process. The court found that MRDC had no authority to conducted its own investigation into the activities of the Melanesian Trustee Services Limited (MTSL), the fund manager of PBF, and that its actions were in violation of the Trust Deed
Read more

PNG, VERY RICH YET STILL A VERY VERY POOR COUNTRY

Image
by GARY MONDULAME Papua New Guinea (PNG), a nation blessed with abundant natural resources, continues to grapple with economic challenges that belie its potential wealth. The nation's economic narrative is a paradox—rich in resources yet burdened by poverty. The explanation for this paradox lies not only in economic mismanagement but also in deep-seated corruption that has permeated the political landscape since independence in 1975. Following its independence from Australia, PNG was entrusted to leaders who lacked a vision for a holistic national development. This absence of foresight is evident from the lack of long-term development plans that could have distributed the country’s wealth fairly across all regions and communities. Successive governments failed to establish foundational strategies such as building satellite townships or creating robust rural housing schemes. Instead, they resorted to short-term, reactive measures that did not foster sustainable growth. The nascent l
Read more

James Marape's Missteps Openly Exposed at Australian Forum

Image
by  MICHAEL J. PASSINGAN  In a recent event that highlighted the complexities of international diplomacy and governance, Papua New Guinea's Prime Minister, James Marape, faced a challenging situation during his appearance at the Lowy Institute in Sydney, Australia. The Lowy Institute, known for its role as an independent think tank focusing on international policy, particularly in the Asia-Pacific region, provided a platform for a candid assessment of Marape's governance. Following his formal address, Marape engaged in a dialogue with Dr. Michael Fullilove AM, the Executive Director of the Institute. Dr. Fullilove, a respected figure in public and international policy, scrutinized Marape's past promises and statements, contrasting them with the current state of affairs in Papua New Guinea (PNG). The discussion took a critical turn as Dr. Fullilove revisited Marape's 2019 speech at the same venue, where Marape had outlined his vision for PNG in a speech titled “A New Boo
Read more

BLIND LEADING THE BLIND, WHY THE PNG ECONOMY STILL SUCKS

Image
Elizabeth Genia, Acting Governor Bank of PNG (BPNG) by MICHAEL JOSEPH PASSINGAN The economy of Papua New Guinea (PNG) is at a crucial juncture. Despite some signs of recovery, the country faces several structural challenges that continue to impede its economic progress. The March 2024 Monetary Policy Statement from the Bank of Papua New Guinea sheds light on these issues, providing a comprehensive overview of the economic landscape and the policy responses being implemented to navigate through these turbulent times. In 2023, PNG's economy grew by a modest 1.4%, a significant slowdown from the 5.2% growth witnessed in 2022. This tepid growth is largely attributed to delays in major projects and ongoing economic issues that have not been fully resolved. The anticipated growth for 2024 is around 3.0%, buoyed by the resumption of production at the Porgera gold mine. While this marks an improvement, it remains subdued compared to the potential of this resource-rich nation. One of the mo
Read more

A Call for Local Ownership and Fairness

Image
by JUSTIN PARKER In recent discussions surrounding the establishment of a gold refinery in Papua New Guinea (PNG), concerns have been raised regarding various aspects of the proposed project. Spearheaded by foreign investors, the initiative has sparked debates over ownership, exclusivity, tax concessions, underwriting, management rights, control over currency, legal protections, and historical failures. These concerns, if unaddressed, could potentially undermine the interests of PNG and its people, particularly the hardworking alluvial miners who form the backbone of the nation's mining sector. At the heart of the issue lies the question of ownership. The proposed ownership structure, favoring foreign investors with a substantial 70% stake, raises eyebrows, especially considering PNG's past experiences with failed ventures like seabed mining. Instead of ceding majority control to foreign entities, many argue that PNG should assert full ownership over the refinery. With the coun
Read more