Officers accused of fraud-related offences

A DISMISSED assistant police commissioner and a suspended senior police officer are facing fraud-related charges linked to the police pension scheme.
Former Assistant Commissioner of Police (Human Resource) Sylvester Kalaut, 44, of Walis Island in Wewak, East Sepik and suspended director of police human resources Supt Bob Visikela Kerry, 56, of Wingei in Yangoru-Saussia, East Sepik appeared before Waigani Committal Court Magistrate Tracy Ganaii last Friday.
They are each facing two counts of dishonestly applying (funds), one count of conspiracy to defraud and one count of abuse of office. The case will return to court on June 26.
Police allege that Kalaut and Kerry colluded and signed cheques for more than K900,000 belonging to pensioners.
The money was kept in the Police Pension Suspense Account.
The alleged offences were committed between Dec 21, 2018 and Oct 25, 2019.
Police alleged that on Oct 29, 2018, Kalaut wrote to the Bank South Pacific requesting that signatories to the pension suspense account be changed.
It was approved.
Kalaut, Kerry and a Lucy Thomas became official signatories as of Nov 20, 2018.
The total amount involved was K948,815.67.
Police alleged that in less than a month, the two made commitments and expenditure of K565,907 to cover costs associated with pension audit beginning January, 2019.
Also in 2019, Kalaut and Kerry allegedly diverted funds from the account, including K64,383.86 in overtime for HR management staff, K256,706.95 in HR awareness, K32,925 in medical expenses, K29,892 in advances and other costs totaling K383,907.81.
The purpose of the account was to hold in suspense money returned by the bank as rejects for pensioners whose accounts were deemed to have been closed.
Kerry was arrested on May 16 and Kalaut on May 17.