Minister explains deal

By GYNNIE KERO
PUBLIC Enterprises and State Investments Minister William Duma says he had no hand in the Kumul Consolidated Holdings’ decision to pay K46.6 million for a land in Central for the defence force.
He told Parliament that it was a Cabinet decision to relocate the naval base and two military barracks to the piece of land outside Port Moresby.
He said Cabinet approved K50 million for the relocation exercise to the piece of land at Milinch Manu, Aroa.
Duma refuted claims in Parliament by his predecessor, Kavieng MP Ben Micah, that the decision by KCH to pay K46.6 million was fraudulent.
Micah also had claimed that Duma had links to a company which KCH was understood to have undertaken the transaction with for the relocation of the naval base and the barracks.
But Duma denied having any shareholding interest in Kurkuramb, saying he was not even the Minister when Cabinet had approved in 2015 that KCH buy the naval base site.
“Ben Micah has forgotten that he started the process and is making defamatory allegations,” he said.
“The three entities of Government – the defence and lands departments and the KCH –  were required to assist the PNGDF relocate its barracks and naval base.
“I was not the minister for public enterprise when the decision was made by the cabinet.”
Duma said Cabinet, at the instigation of Micah, authorised PNG Ports Corporation to purchase Motukea Island from Curtain Brothers for more than K800 million, shifted PNG Ports operations to Motukea and directed PNGDF to shift the naval base elsewhere.
“There are many NEC decisions which started in Oct 2012 starting with the relocation of the naval base at Port Moresby Harbour and Murray and Taurama barracks to new locations outside of Port Moresby.
“In each of the NEC decisions, the Government demonstrated its intention to relocate the two barracks and naval base.
“(It) allocated funds and authorised KCH to do all things required to achieve the objective of clearing the prime land along the Port Moresby harbour in preparation for the redevelopment of the Lakatoi City concept.
“All these are in line with existing (Cabinet) decisions.
“PNG Ports, Lands Department, Defence Department and KCH merely implemented the decision of the Government.
“There is nothing to show fraudulent conduct on the part of the chairman and directors of KCH.
The board made a decision which is normal and transparent.”
He said the State Solicitor had advised KCH that there was nothing fraudulent or corrupt about the transaction.