There is enough paper trail to demonstrate that there is nothing illegal or corrupt in the decision to spend K46.6 million to acquire land for the relocation of PNG Defence Force bases.
Minister for Public Enterprise and State Investment William Duma in a personal explanation to Parliament today said the allegation raised by his predecessor on the floor was not accurate.
Duma said it was a National Executive Council decision dating back to 2012 to relocate PNGDF establishments out of Port Moresby.
PNGDF headquarters Murray Barracks, 1RIPR regiment base at Taurama and the Naval Base at Fairfax Harbour were to find a new home.
He said in 2015, NEC approved the redevelopment of Port Moresby Fairfax Harbour master plan and on December 23, 2016, KCH was to provide an amount of K46 million for Naval base relocation.
Duma said the decisions were made before he took over the portfolio.
“We have a company owned by the State called Kumul Consolidate Holding (KCH) who have been expected and required to implement the decision of the executive government.
“On the 12 Sept 2016, the Board of Directors of Kumul Consolidate Holdings in a meeting resolved and approved for Kumul Consolidate Holdings to provide funding of K46.6 million to enable the compulsory acquisition of the land.
“A month later a MOU was entered into by Department of Defence, Kumul Consolidate Holdings and the company in question, where KCH agreed to pay the money on behalf of the State.
“I have been briefed that the PNG Defence Force after conducting investigation identified Portion 406 and 405, Village Manu as suitable for the relocation of the army barracks and associated facilities,” Duma said.
He told Parliament that he did not interfere with the process of acquisition of the land, he is not a shareholder of the company in question and the postal address given was different from his.
Duma said the land acquired was a total of 867 hectares valued by the Valuer Generals Office.
Meanwhile, Parliament on Tuesday was informed that K46.6 million was paid to a company with links to a senior minister in the O’Neill- Dion Government for the purchase of land to relocate the PNGDF Naval Base from Fairfax Harbour.
“I have in my possession information, Mr Prime Minister connects your Minister for State Enterprise (Minister Public Enterprise & State Investment), Hon William Duma, (and) Member for Hagen to the sale of K46.6 million of this land at Manumanu where it is 10km inland and I do not understand how you will build a wharf,” Peoples Progress Party leader Ben Micah told Parliament.