INDEPENDENT Public Business Corporation managing director Glen Blake was forced out by the new Minister for Public Enterprises Sir Mekere Morauta and did not voluntarily resign as claimed in a newspaper report, The National reports.
Sources said the former minister Arthur Somare said Sir Mekere told Blake to go shortly after taking office, saying his services were not needed.
State entities had performed exceptionally well, making huge returns through sound and prudent management of the state's enterprises since 2002 when the National Alliance-led government took office.
They said there might be a return to a sale of all entities as was the case when Sir Mekere was prime minister.
The government businesses had made "significant progress from insolvency to profitability and marketable organisations", the sources said.
Some notable performances were made by PNG Power and Post PNG, which had improved from being insolvent entities into becoming the best performing entities.
The sources said too much money had been paid to foreign consultants during Sir Mekere's leadership.
The source said decisions were likely to be manipulated by international organisations like the World Bank and International Monetary Fund to privatise and sell state entities that were now performing very well.