PNGSDP

He said whilst the decision of the Singapore Court of Appeal ruled to dismiss the appeal by the State of Papua New Guinea against PNG Sustainable Development Program Limited, the judgment also found that there was an "intuitive attractive" in the State's case which was persuasive.

The State brought claims against PNGSDP in the Singapore Courts in 2014 for breach of its agreement with the State and a charitable purpose trust.

The High Court of Singapore did not grant the State's claims on the basis that there was no such agreement and trust.

The Prime Minister made this statement when responding to queries raised by Opposition leader Patrick Pruaitch on the PNGSDP funds.

Pruaitch called on PM Peter O’Neill to stop futile attempts to derail social and economic development programs sponsored by PNG Sustainable Development Program Ltd in Western Province.

O’Neill in a statement said the delaying tactics are just another way for Sir Mekere to try and keep his hands on the money of the people of Western Province for a little while longer, but his efforts will ultimately fail.

“It appears that Sir Mekere has cunningly established a retirement fund out of the money that belongs to the people of Western Province, and he is desperate to keep this,” he said.

“He would like to have access to this money for the rest of his life.

The chairman of PNGSDP Sir Mekere Morauta said the State has had a major setback in its three-year effort to gain control of PNGSDP and the Long Term Fund.

He added that because the State is on the back foot, it has now resorted to contrived twists and turns to delay the inevitable.

“I am increasingly confident that our lawyers will deliver the “knockout” blow that will lead to a favourable court decision.

“This means PNGSDP will then be able to get on with its core role of delivering sustainable development projects in the Western Province and PNG generally.”

Sir Mekere is seeking standing to bring the challenge as a private citizen – former Prime Minister and senior public servant, businessman, economist, chairman of PNGSDP and former chairman of OTML.

He announced in January 2016 that he had begun new legal proceedings seeking to have the Mining (Ok Tedi Tenth Supplemental Agreement) Act 2013 declared unconstitutional and invalid.

Should the Court declare that Sir Mekere has standing, a full trial of the substantive issues will follow.