Decision over title illegal: Court

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A COURT has found that a decision by the registrar of titles, Benjamin Samson, to cancel a State lease acquired by Desh Besh Enterprises Ltd for a piece of land in Port Moresby in 2017 was illegal.
Justice Nicholas Miviri presiding in the National Court in Waigani made the ruling on Nov 12 after he granted a judicial review application in favour of Desh Besh Enterprise, the plaintiff in the matter.
Justice Miviri said Samson had not followed the procedure set out in Section 160 (2) (3) and Section 161 (1) (a) of the Land Registration Act (1981) when he cancelled the company’s State lease.
The lease was for Allotment 202, volume 80, Folio 214 (Hohola).
Justice Miviri said Samson’s decision was improper and unlawful.
He said the allegation of fraud against the plaintiff should have been properly discharged through the court, not at the discretion of the registrar of titles.
Justice Miviri said there should have been a court issued summons produced to secure attendance of the plaintiff in court consistent with Section 160 (2) of the Land Registration Act. The National Housing Corporation (NHC), Samson and the State were defendants in the case.
Desh Besh Ltd filed its case in the National Court after Samson on Dec 4, 2017, cancelled the State lease for Section 227, Allotment 202, volume 80, Folio 214 (Hohola), Tokarara, National Capital District.
The court heard that the subject property was previously portion 182 (cat no. 49/1176) vacant land that formed part of the piece of land on which the NHC was located.
Portion 182 was subdivided in March 2017, creating allotments 201 and 202, under Section 227.
On March 9, 2017, then minister for lands and physical planning, Benny Allen, granted special lease over Section 227, allotments 201 and 202, to the NHC under Section 92 of the Land Act.
On March 10, 2017, the title for Lot 202 was transferred to Desh Besh pursuant to a purported contract of sale and transfer instrument dated Feb 5, 2017, for K700,000.
At the same time, Lot 201 was sold and transferred to Desh Besh for K50,000 under a purported contract of sale and transfer instrument dated Feb 5, 2017. The total price for both allotments was K750,000.
Desh Besh paid K300,000 on June 10, 2016, for both allotments and refused to pay the balance (K450,000).
Since April 2017, subsequent managements of NHC under then acting managing director Kenneth Cooke issued notices to Desh Besh demanding the payment of the outstanding K450,000.
However, Desh Besh refused to pay because both parties had agreed to pay K300,000 pursuant to a purported settlement statement dated June 15, 2016.