Parties told to file statements in UBS Reference

Parties involved in the K3 billion Union Bank of Switzerland loan reference that was referred to the high court for interpretation of questions early last year have been told to file statements in the case.

Lawyers representing the Ombudsman Commission, Prime Minister Peter O'Neill, the Attorney General and the State appeared before the Supreme Court today and were directed to file statements within the next two weeks that will be used in the case hearing.

Former Chief Ombudsman Rigo Lua and former Acting Chief Ombudsman Phoebe Sangetari are also parties in this case as interveners.

They were all directed to return to court on Oct 3 where the draft index book is expected to be settled before a hearing date for the Supreme Court Special Reference is set.

This is the special reference that was referred to the Supreme Court by Justice Catherine Davani on Jan 28, 2015 over certain constitutional questions surrounding the alleged improper borrowing of the loan by the government.

On Aug 1, the Supreme Court received the facts and well as constitutional questions that needed interpretation from the referral judge.

National Court allowed O’Neill to obtain a reference under section 18(2) of the constitution for interpretation at the Supreme Court, while the National Court proceeding was stayed, pending the outcome of the Supreme Court reference – a matter still before the high court.

This is all in relation to the alleged improper borrowing of K3 billion loan from the Union Bank of Switzerland AG by the government. This was to purchase 149,390,244 shares in Oil Search Limited and improper tender and procurement of consultants in relation to the borrowing.

The National Court last year also allowed Prime Minister O’Neill certain orders restraining the Ombudsman Commission from publishing a preliminary report of the alleged improper borrowing.

In a related matter, the UBS loan case that was re-filed by Opposition Leader Don Polye in May is also still before the Supreme Court and will return to court in two weeks time for further directions. 

The matter also came for directions before Justice Stephen Kassman before it was adjourned by consent from all parties to Sept 19.

The case filed by Polye is challenging the legality of the government’s decision to acquire the K3 billion from the Union Bank of Switzerland.

 

Author: 
Sally Pokiton