PNGBLOGS

[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 inspector

by BIRE KIMISOPA MP The economic malaise created by the government is constricting the private sector to the point that it is now sponsoring the gradual destruction of the private sector in Papua New Guinea. Company profits are shrinking, an increase in retrenchment and job losses, a general fall in valuations on businesses, rising cost on consumables as a consequence of the falling kina, and a soaring debt burden where the government is hoping would be paid off by some innocuous tax measure such as the controversial residential accommodation tax. The Central Bank is equally to be blamed for the demise of the private sector given the fiscal failings of this government.  The central bank monetary interventions have exacerbated the pain inflicted on the private sector through the rationing of the foreign currency where it is the sole arbiter between winners and losers in the supply of foreign currency in Papua New Guinea. The managed float of the PNG kina has no end in

by STEPHEN HOWES - DEVPOLICY BLOG There are widespread reports these days from Papua New Guinea of budgetary difficulties, from budget cuts to  church health services  to  government salary payment delays . Why? Total expenditure is budgeted in 2016 to be slightly below the 2015 level. But it is still 50 per cent above 2012 levels. (With the change in accounting rules, it is difficult to make comparisons going back before 2012.) That’s massive growth. So what is the problem? There are three. The first is a big shift in allocations. Since 2012, there have been big increases in interest payments (due to increased borrowing), payments to MPs through district and provincial funds, payments to schools (in lieu of school fees), and compensation to employees. Deduct these and there is an 18 per cent increase in spending compared to 2012 to fund everything else, which includes critical things like maintenance and church health spending. That’s the “discretionary spending” shown in Tab

by BRYAN KRAMER Prime Minister Peter O'Neill’s infamous lawyer Ms Tiffany Twivey and for-hire political publicist Ms Merrell claim the recent arrest of Deputy Secretary of Treasury Mr. Aloysius Hamou was carried out by rogue cops though intimation and based on political motives. Director of National Fraud & Anti-corruption Directorate Mathew Damaru and his Deputy Timothy Gitua laid formal charges against Mr. Hamou on Thursday 28th January 2016 under Section 92(1) of the Criminal Code (Abuse of Office). He was charged for his alleged part in the illegal procurement (purchase) of two turbine generators for K50 million paid to Israeli company LR Group by the Department of Treasury. I broke the story on social media on Friday afternoon (29/1/16). An immediate response was issued from Ms Merrell and Ms Twivey. This was expected on account that their client, Peter O'Neill, is heavily implicated in the unlawful transaction. Ms Merrell posted a rather conv

by PAUL FLANAGAN   Papua New Guinea’s budget , released on 3 November and rushed through Parliament the same day, could have been so much better. Given the country’s record deficit levels, fiscal consolidation was vital even before the fall in international commodity prices. However, the proposed expenditure cuts do not match the government’s stated priorities of protecting health, education and infrastructure. They are also excessive – even more than those imposed on Greece as part of its structural adjustment program. Further, the budget suffers from factual errors relating to GDP and the external accounts, a lack of revenue effort, and inadequate transparency. This is the first of two posts providing a detailed analysis of the 2016 PNG Budget. GDP errors The budget makes a serious error in calculating PNG’s nominal GDP – and this affects all the key ratios and messaging from the budget. The nominal GDP budget estimates assume there has been no fall in LNG

by BRYAN KRAMER It seems Digicel has not taken heed of my last article in relation to ripping off its customers nor have they taken corrective measures to discontinue violating our consumer rights. In recent weeks I've been busy taking to task the head of Government, a Prime Minister who evades arrest and facing corruption charges over misuse of public funds. I would rather commit all of my time pursuing that cause than expend my time bringing to account a billion kina foreign company on allegations of corrupt and deceptive practices, stealing from our illiterate and impoverished people. I intend to write two in-depth articles about Digicel: The first under the above headline and the second to discuss in detail the legal process of a class action lawsuit. We will look into their earnings, profits and capital expenditure. We will consider the facts that support my opinion that Digicel has been ripping off PNG, its No.1 earner. Both articles will leave Papua New Guineans gri

by BRYAN KRAMER I have observed countless comments on social media over the past twelve months by individuals accusing Digicel of stealing from them. However they couldn't really explain why or how it was being done. I also noted a number of instances where credits on my own phone seemed to vanish into thin air. So I decided to take time out from my rather busy schedule exposing and deposing corruption of public funds to look into whether there was any truth in the allegations that Digicel has been stealing from it's customers. What I uncovered was quite concerning, rather serious allegations that Digicel has committed deceptive and unfair practice of defrauding it's pre-paid customers who subscribe to their Mobile Data Plan Service. Digicel PNG provides Mobile Data Service to its pre-paid customers. It offers a number of subscription data plans, Data Plan...Data Size.....FEE.....Validity..Keyword...Code....MB Rate Auto Pass.....10MB.......99t........24 Hours..

by BRYAN KRAMER I have observed countless comments on social media over the past twelve months by individuals accusing Digicel of stealing from them. However they couldn't really explain why or how it was being done. I also noted a number of instances where credits on my own phone seemed to vanish into thin air. So I decided to take time out from my rather busy schedule exposing and deposing corruption of public funds to look into whether there was any truth in the allegations that Digicel has been stealing from it's customers. What I uncovered was quite concerning, rather serious allegations that Digicel has committed deceptive and unfair practice of defrauding it's pre-paid customers who subscribe to their Mobile Data Plan Service. Digicel PNG provides Mobile Data Service to its pre-paid customers. It offers a number of subscription data plans, Data Plan Data Size FEE Validity Keyword Code MB Rate Auto Pass 10MB 99t 24 Hours Auto 1689 0.099 Hour Pass 30MB K1.00 1 Hour

by A NATIONAL RESEARCH INSITUTE STAFF MEMBER Three Prime Ministers including the Father of PNG, Sir Michael Somare, have, over the past 40 years, effectively congealed to destroy what could have been a bright future and equal opportunity for the people of Papua New Guinea following independence.    As such, the noble ideals articulated by Somare and other members of the legendary Bully Beef Club during their many gatherings prior to Independence, and articulated in the Constitution's Six Directives, were never fulfilled and today are essentially abandoned.     PNG's sad progression downwards has produced its current state of rampant corruption.   Like Nigeria, like Mexico, like Indonesia, all fabulously wealthy nations in terms of natural resources, the wealth has gone nowhere useful in PNG.    PNG drags the bottom in global rankings today in terms of how little meaningful integral human development has occurred for the majority of its population. Thus far, the adv