Friday, August 20, 2010

Eight years of trust accounts with untraceable billions

By SAM BASIL

Bulolo MP

 

The Governor of the Bank of PNG Mr Loi Bakani’s comment yesterday through the media regarding the reckless investments made by the Somare government by placing K5 billion of the people’s money into trust accounts held by the commercial banks is uncalled for.

The K5b belongs to the 6.5 million people of Papua New Guinea and any government that decides to play around with that kind of money to enrich the commercial banking system can be termed as a very bad investment deliberately executed                                                                                                                                                                                                                                                                     for dubious reasons only known to them and their cohorts.

Not only that, but by placing billions of kina into hundreds of different trust accounts in the commercial banks  also makes it untraceable,  leaving funds vulnerable to theft and misappropriation because the process bypasses strict government procedures, guidelines and financial scrutiny.

We have seen the NADP, DSIP, RESI and other funds kept in trust accounts outside the Bank of PNG system and disbursed through hand written cheques often signed by ministers, finance secretaries or their appointees.

In 2004, 2005 and then again in 2008,  Public Accounts Committee has repeatedly ordered Finance Department and Finance & Treasury Ministry to close down those hundreds of trust accounts held at the commercial banks.

The report explained precisely what the current Bank of PNG Governor has indicated including the concerns raised by his predecessor, Mr Wilson Kamit.

The order was ignored because they all think that they are above the law while continuing to open new trust accounts and closing down accounts with depleted funds.

At this point in time, there will be no way the ordinary grassroots people of Papua New Guinea will know about the billions that have been parked in those trust accounts, as by now all may have been spent.

It is strongly believed that more than half of those funds have been and will be stolen through misappropriation or theft.

The Somare regime commenced office after the 2002 national elections and two years on, the PAC delivered its report for the Financial Year 2004.

The committee reported that trust accounts had failed to ensure the proper and lawful handling of public monies, accountability by the trust account trustees and responsible officers.

 By 2004 there were no improvements, and the auditor general could not audit the trust accounts due to lack of records or accounts for individual accounts.

The report also indicated that there was widespread and significant misconduct, and misappropriation by trustees including the Department of Finance.

Trustees continued to breach their duties and obligations with no fear of detection and punishments.

By that report alone I can assume that the agencies responsible to detect and punish are non-functional even to this day.

There was no register of trustees, accounts, bank accounts, trust instruments or monies held in trust accounts.

 Neither the committee nor the government know or can ascertain the number of trust accounts, the amount of money in them, the true balance of trust accounts, the identity of trustees, the terms of trust instruments or any other incident of trusts with daily abuse and mishandled with regular overdraws.

The 2004 report was repeated again in 2005, and then worse still in 2008 and keeps on getting worse every year.

 The windfall gains from the mineral sector pouring into those trust accounts - a good K10-K15b - may have been transacted through those trust accounts without the knowledge of all concerned agencies and the public.

Those monies have definitely been stolen as indicated by the PAC report.

For how long will we all keep on watching those legalised white collar criminals stealing from the public purse?

 Something must be done now!

 The Ombudsman Commission and the Auditor General’s office are deliberately underfunded and have no capacity to audit or conduct investigations.

Therefore, the public cannot count on these institutions; leaving the big question of what shall we all do now?

Do we just keep on watching these wild animals in sheep’s skin stealing our monies under our nose?

The recent appointment of the current finance Minister Hon. Peter O’Neil, as we all know, has broken the protocol and procedures of the political coalition parties from which he has two party MPs in government but was rewarded with a very powerful finance ministry.

That alone can leave us all to wonder if his predecessor Patrick Pruaitch - now under Leadership Tribunal - has purposely placed him there to protect something.

All monies in those trust accounts are rightfully owned by the 6.5m people of this nation and they must now raise up and question those in power as to why, since 2002 up until now, there is no accountability in all those missing billions from the trust accounts as those years reflects the regime’s time in power to this present day.

I believe that the only way to fix this problem is to have this eight-year old regime changed by that we can see proper investigations into all trust accounts.

Members of parliament and public servants who stole must be held responsible by the laws of this land.

Some laws needs to be changed including maximum penalty by execution for trustees who steal public monies amounting to more than K1m,  and life imprisonment for stealing public funds amounting to no more than K500,000.00.

This regime must be stopped now as billions of kina are continuously missing from the trust accounts.

 If the new finance minister Peter O’Neil is keeping a tight lid on this issue then we must all be suspicious of him at all costs.

 

 

The glory days of Papua New Guinea arts and literature


By MALUM NALU

The 1960s and 1970s are remembered as a creative epoch in Papua New Guinea history when some of the country’s best-ever poetry, prose, performances and publications were produced.
These memories were rekindled at the Book2Buk2 conference at the University of PNG this week by the great Peter Trist, a household name in PNG literature and radio production at that time, as he took a spellbound audience at UPNG’s main lecture theatre on a nostalgic trip down memory lane.
Trist, now 74 but still looking fit as a fiddle, specifically discussed the influence of the inimitable Ulli Beier and his equally-unflappable wife Georgina on the development of PNG literature and also found time to talk to The National about his own experiences in radio production.
 Beier, still alive but not strong enough to travel at age 88, asked his good friend Trist to travel to PNG from Australia and make the presentation on their behalf.
 Trist hopes that the memories of those glory days of PNG arts and literature will be a rallying call to the present generation of creative Papua New Guineans.
 “It could show them that was achieved once, can be done again!” he extols.
 “I know that would be my wish, and also Ulli’s
 “The past, for all of us, is just another country – but is also very useful.
 “It contains our history and experiences that can be inspirational, and of great value to the present time.”
 An emotional Trist broke down while speaking about memories of another day of the UPNG campus which he first entered 44 years ago.
 “Along an often-muddy track leading from Boroko to the ‘swamp lands’ (as Waigani was known), this university grew rapidly as the first centre of higher education in the country,” he recalled.
 “Under the determined leadership of Dr John Gunther, the first vice-chancellor, I was fortunate to be part of the inaugural staff from 1966.
 “Some outstanding academics were soon assembled by Dr Gunther.
 “These included Charles Rowley, Ken Inglis, Anthony Clunies-Ross, Gerry Ward, Frank Johnston, Ruth Latikefu, Ralph Bulmer and Ulli Beier
Decolonising The Mind by the great Ulli Beier
 “In Decolonising the Mind, his vivid memoir covering those early years (1967-74), Beier recalls the sense of excitement and promise felt among students (only 300 or so) and staff at this university.
 “This was understandable, as independence was approaching.”
 Beier, as the inaugural senior lecturer in literature, had a problem: where were the books relevant and accessible for his students?
 Existing publications on PNG in those days were hard to find, with propaganda pamphlets from the Australia department of territories – insisting on the enlightenment of Australian colonial rule – not appealing.
 Early novels were often racist and unrealistic, by writers such as Beatrice Grimshaw, while adventure yarns by Errol Flynn (who wisely gave up writing, for a career as a Hollywood star), were inappropriate.
 Equally unappealing were missionary tracts, World War 11 narratives from American and Australian perspectives rather than Melanesian, and of course anthropological tomes by Margaret Mead, Malinowski and others.
 None of these publications offered Beier any promising material for young and enthusiastic PNG students.
 In the university preliminary year in 1967, students were taught sufficient English skills to follow a university course, with those who opted to study literature armed with a tape recorder to record and translate oral literature from their village.
 Some of these translations were later collected and published as parts of the Papua Pocket Series, which are now being republished by the UPNG Bookshop.
Aia, Mekeo songs by the great Papuan ‘poet laureate’ Allan Natachee, first published in 1968, and reprinted by UPNG Bookshop in 2006
 Beier produced 25 volumes of poetry, and the series was continued (after his return to Nigeria) by Prithvindra Chakravarthi, with a further 11 volumes, making 36 in all, and have become collectors’ items worthy of republication.
 In 1967, Vincent Eri, then a student, brought Beier a story about Moveave in the Papua Gulf, and was encouraged to expand the story into a novel.
 Thus Vincent Eri became the author of the first Papua novel The Crocodile.
 Another literary achievement during those crucial years was the autobiography Kiki: Ten Thousand Years in a Lifetime by Albert Maori Kiki.
 The first PNG literary magazine was launched in this period.
 Elegantly produced and designed by Georgina Beier, Kovave was published 1969-1971.
 On the Beier’s return in 1974, a new journal was established called Gigibori (1974-1978) with an emphasis on PNG culture.
 “During this time,” Trist remembers, “Ulli had become director of the Institute of PNG Studies.
 “Here, his drive to produce relevant PNG material increased.
 “The institute published 72 general publications on folklore, architecture, art, religion and music; 36 discussion papers on topical cultural, social and political issues; Wanpis, a novel by Russel Soaba; many works by John Kolia and the journal Gigibori.
 “The areas of theatre, radio production and performance promotion was where I had the closest association and support from Ulli Beier.
 “Here at the university, in 1967, I founded the Drama and Arts Society.
 “Our aim was to involve the university with the wider community and provide entertainment.
 “This endeavour co-incided with Ulli’s arrival on campus, so he was asked to join the society.
 “Students involved included Leo Hannett, Meg Taylor, Kathy Abel, Ekeroma Age, Leontine Ovia, Jerry Tamate, Rabbie Namaliu, Kumulau Tawali, Kakah Kais, Pia Leitao, Russell Soaba, John Waiko, Tony Siaguru, John Saunana, Peter Malala, John Kadiba, Elijah Titus, Janet Regione, Apisai Enos and Arthur Jawodimbari.
 “Many of these people were writers, whose plays were produced, and others excellent actors.
 “Most went on to outstanding careers after university.”
 One memorable production was of Leo Hannett’s political parable, The Ungrateful Daughter, in which Hannett played an important role.
 Students from Beier’s writing classes were motivated to use drama to express their concerns, and to reach an audience through productions by the Drama and Arts Society.
 “Soon after came student’s own plays such as John Waiko’s The Unexpected Hawk; Rabbie Namaliu’s comedies The Good Woman of Konedobu and Kannibal Tours; Kumulau Tawali’s Manki Masta; Russel Soaba’s Scattered by the Wind; and Arthur Jawodimbari’s The Sun.
 “Most of these plays were performed in the forum area near the library, where the concrete steps formed a sort of amphitheatre.
 “Later, a performing space known as the Outdoor Theatre was formed on the campus grounds, and was used for plays, dancing and festivals.
 “With the formation of the Creative Arts Centre close to the university (again an initiative of Georgina and Ulli Beier’s) with its National Theatre Company led by Arthur Jawodimbari, the drama role of the university was transferred.
 “I was appointed as part of the arts centre board with Arthur, Nora Vagi Brash, Jonbili Tokome, Rose Kekedo and William Takaku.”
 Plays like MyBrother, My Enemy by John Kasaipwalova (a satirical look at the conflict on PNG’s border with what was then Irian Jaya), Peter Kama Kerpi’s Voices from the Ridge, comedies from Nora Vagi Brash such as Which Way, Big Man? were successfully presented by the company and its paid troupe of actors/dancers.
 “Ulli gave that great PNG actor/writer William Takaku his Nigerian comedy The Fall (very loosely based on Genesis),” Trist adds.
 “Takaku translated the dialogue into Pidgin and the play’s settings and characters into PNG references.
 The Fall’s forbidden fruit, which in the Nigerian version was the fruit of the palmwine, became PNG’s betelnut,
 Pekato Bilong Man, as Takaku called his adaptation, was a great success and the play was included in a country-wide tour.
 “Unfortunately, many of the scripts for these plays were not printed, and are now only memories.
 “These ‘lost treasures’ include another William Takaku adaptation.
 “This was the classic Greek drama Medea, with dialogue changed to Pidgin and the Greek setting transposed to the PNG Highlands.
 “The play’s ‘outsider’, Medea, was played by the Australian actress Helen Jones, whom William had met while both were students at NIDA in Sydney.
 “Helen bravely performed in Pidgin and traveled with the company on tour with this play.
 “Sadly, this script was not preserved or printed.
 “Examples like these show the need to have a printed record of drama scripts, for future performers.”

2010 budget sees K533.3 million surplus


By ALISON ANIS

THE 2010 budget would have a surplus of K533.3 million, 2.1% of the gross domestic product (GDP), according to current estimates released by Secretary for Finance and Treasurer Simon Tosali, The National reports.
Tosali said the estimated surplus was due to the strengthening of global economic recovery and strong domestic economic growth.
“The additional revenue of K533.3 available would be spent through a supplementary budget as government continues to have competing expenditure pressures such as the LNG commitments and legal obligations,” Tosali told participants at the three-day national development forum in Port Moresby organised by Consultative Implementation Monitoring Council (CIMC).
He said total expenditure was expected to be K7.6 billion this year, with K4.2 billion in recurrent budget and just over K2 billion for the development budget.
He explained the higher recurrent budget in 2010 reflected the expected overspends in personal emoluments, by national departments and provincial governments.
“The Department of Treasury has taken action by establishing a payroll project team to investigate the causes of these overruns … it has also written to the heads of those agencies seeking their explanations of their overruns,” Tosali said.
On the development budget, he said the increased development component is for the payment of remaining business development grants related to the PNG LNG project while grants and ITC had also increased this year.
Tosali said total government revenue and grants of K1.8 billion was a lot higher than the outcome last year and this due largely to the higher receipts from the mining and petroleum tax (MPT) collected in the first of the year.
The higher MPT estimate is due to an upward revision to commodity price assumptions.
“PNG’s economy is expected to strengthen this year with the commencement of PNG LNG gas project and other mining-related projects as well as a rebound in a number o sectors following softer conditions last year.
“In addition, growth is also expected to be supported by the improvement in global trade as commodity prices of PNG’s major exports strengthens on the back of growing confidence in the global economic recovery.”

Forgotten but loved


Story and picture by ALISON ANIS

These Papua New Guinean children are special; either their parents are dead or have deserted them, The National reports.
But, a loving couple, Marai and Hane Lagaru, and the PNG Children Foundation have taken all 21 under their wing and care for them 24/7.
On Tuesday, they all gathered around a huge cake and blew out the four candles, marking the foundation’s four years (Aug 17) in existence, which would not have been possible without charitable hearts like founding president Yiannis Nicolaou (of the Lamana fame) and long-time donor Sanjay Shah.
The Lagarus are supported by four housemaids, an education supervisor and a driver, all operating out of their Boroko location.
They were joined at the celebrations on Tuesday by two entrants of the 2010 Little Miss Princess fundraising quest and foundation adviser Nene Sta Cruz, digging into the pizzas and cakes and an assorted supply of fruit drinks, courtesy of Taurama Super Value Shop (SVS).

Student guilty of cult killing


By JULIA DAIA BORE

A STUDENT, who pleaded guilty to taking part in the bashing to death of a fellow student two years ago, told the court yesterday he thought he was initiating the deceased into his “cult group” and did not mean to kill him, The National reports.
The student asked Deputy Chief Justice Gibbs Salika for mercy, saying he wanted to continue his schooling.
Salika slammed authorities for allowing such practices to prevail.
He described the practice of “generation system” as one of the many cases of the government’s school system “falling apart” and “going back to the dark ages”.
“There is a need for a big overhaul in our education system,” Salika told a packed Waigani courtroom yesterday morning.
He said an overhaul was needed to ensure discipline and order within schools.
“The (education) system is falling apart; schools’ boards of governors do not seem to care whether their schools have strict rules and guidelines for students to follow.”
Salika said: “There is no parental guidance of students; no parental discipline of their children in homes. The system, everything has gone (backwards) to the dark ages.”
Many students from selected schools in the NCD were brought into court to see and hear for themselves the consequences of being part of the “generation system” or the cult of paitim bros, what could go wrong and the punishment that awaits.
The judge was hearing the final submissions on sentence for a Grade 11 student in an NCD school who had, two years ago, allegedly killed a Grade 6 student, aged about 12 or 13, while trying to initiate him into the “skelim bros” cult group.
The accused student is a son of a policeman.
When asked what he wished to say, the student pleaded “guilty” to the charge of one count of manslaughter under section 302 of the Criminal Code Act.
The offence was committed on Friday, April 27, 2007, between 10am and noon at Rainbow near Gerehu.
Court documents indicated that the accused was in the company of two others when the killing occurred.
On that day, the students had all skipped classes and were drinking homebrew. Afterwards, they held the victim’s hands behind his back and took turns punching him on his chest. The victim was knocked unconscious and, later, pronounced dead at the Port Moresby General Hospital.
Prosecution lawyer Miglshi Giruakonda said cult practices were prevalent in high schools and senior high schools throughout the country.
“These psychological, demonic and satanic practices have compromised the future of our elites.
“It is time for all stakeholders to join forces and fight this evil that has taken over our schools.”
Dick Korowa Kipoi, counsel for the accused, asked for a wholly suspended sentence because the accused was sorry for his actions.
A decision on sentence is expected next Thursday.

Single mothers sell newborns at Kokopo market


By EVAH KUAMIN

YOUNG mothers in East New Britain are selling new-born babies cheaply at the Kokopo market for money to sustain their daily needs, The National reports.
Kokopo town mayor Albert Buanga revealed this yesterday after receiving two cases in which two young women, aged in their early to mid-20s, sold their infants to a local family.
Buanga said the young mothers were single and had wanted to discard their unwanted babies by selling them cheaply for cash.
This, he said, was illegal and against Christian teachings and principles.
According to the mayor, the transaction of cash sale for the babies had been between K100 and K150 which, he added, was a cheap and fast way of getting rid of the infants.
Buanga condemned this type of business which he described as immoral and portrayed total disrespect for the souls of the newborns.
A senior welfare officer interviewed regarding the issue also condemned the act by the young women.
“Lives cannot be sold as a commodity; biblically it is wrong.
“It is bad for society and labels the society as corrupt,” he said.
Babies, he said, should not be victimised in such a way.
He said children’s lives should be protected and not commercialised.
The officer urged the division of community development in the province to seriously look into the matter and address it promptly.
He said awareness on unwanted pregnancies should be conducted immediately.
“In this way, young mothers and women will know that there are procedures involved if they are unable to care for their children,” he said.
The police sexual offences squad in Kokopo also confirmed the reports, saying that the first case was reported earlier this year.
The case involved a young mother who sold her newborn baby for K500 to a family from Bitavavar village in the Kokopo-Vunamami urban LLG.
Police intervened and told the family to return the baby or make legal arrangements through the civil court for adoption.
Several mothers The National spoke to at the new Kokopo market confirmed that they had seen two young women with the infants at the market just before midday yesterday.
They had informed other women that they were selling the infants for prices ranging between K100 and K150.
The community development office in Kokopo could not comment on the matter as officers were awaiting direction from the office of the director of child welfare and protection services in Port Moresby.
Meanwhile, Buanga had appealed to the public to report any persons selling babies to the urban town authority or the welfare section of the community development office.

Polye: Do not fear proposed merger

A MERGER of two airlines is not such a bad thing and no one should fear it, Transport and Works Minister Don Polye said yesterday, The National reports.
Polye told The National the proposal for Airlines PNG and Air Niugini to merge was his, and he was floating the idea among fellow ministers and industry stakeholders.
He said the government’s “open sky” policy would attract more competitors to the country as PNG becomes an attractive destination for commerce, trade and holiday.
“Our skies will get busier as we have seen with the entry of Qantaslink and Virgin Blue.
“The merger proposal might be the best option for both airlines (APNG and Air Niugini),” he said.
“Air Niugini may not like this, but it must remember the playing field has never been even. Air Niugini has survived over the years, and re-fleeted through massive capital injection from the government.
“APNG may not be government-owned and funded, but it is about 30% PNG-owned. It has served the country well, flying to some very rural and tough areas and is helping to deliver our development programmes.
“It might have debt, or suffered losses, but that will be taken into account when determining equity in the merger.”
He said his advice was that a merger would save both airlines K150 million, give the merged entity a better capital base to work from and remove the need for capital injection by the government.
“I believe this strategy is best for both airlines going forward.
“I have discussed this with the prime minister and he is supportive.”
Polye said the merger proposal would be thoroughly discussed.