MPG business arms suspended

A number of companies were set up using taxpayers’ funds during the term of former Morobe Governor, Ginson Saonu.

The most notable one was Morobe Resources Holdings, which was an amalgamation of Kumgie Holdings and Morobe Sustainable Investment Ltd. The managing director of MRHL was Elizabeth Lolo Bradshaw, who was terminated on January 30th.

Another business arm was Morobe Alluvial Mining Ltd, which was established on May 14th, 2020, to directly help local alluvial miners, especially in the districts of Bulolo and Wau-Waria.

MAML was reportedly allocated K5 million in 2021 and 2022, while over K20 million was used to set it up.

MAML’s chief executive officer, Brigitta Pondros, was terminated on March 8th.

Pondros admitted to this newsroom that MAML liabilities have amounted to K21 million.

Provincial administrator, Max Brutan, said while these companies have been allocated millions of Kina annually, they have not been generating income for the province. This was why the company heads were terminated and their operations suspended. 

“Basically for the reason that none of these business arms – that have been funded by the Morobe Provincial Government over the last five years – have paid dividends to the Morobe Provincial Government,” Brutan told Lae media.

“Number two reason being that their operations are not in consultation with the Morobe Provincial Government. Hence, when the new government came in, under the leadership of honourable Luther Wenge, they put a resolution through to dissolve these business arms.

“As it is now, there is a team put in place by the Morobe Provincial Government – headed by my deputy administrator, economic sector, Robin Kiki – they are now recouping all the machines that have been purchased by the Morobe Provincial Government money that was allocated to the operations of the business arms.”

Brutan further said once a new board of directors is in place, a new management team will be appointed for the business arms and operations will resume.

Loop Author