PNG Ports cleared of corruption claims

The National Main Stories

STATE Enterprises Minister William Duma says a probity report prepared by an international law firm has cleared the PNG Ports Corporation Ltd of corruption allegations made by an Australian media company.
“The probity report is conclusive,” he said.
“It clears PNG Ports of any impropriety in the process of selecting a terminal operator (in Lae) in 2015.”
PNG Ports instituted an internal probity review to establish the facts and circumstances following the allegations by the Australian Broadcasting Corporation (ABC) and the Organised Crime and Corruption Reporting Project (OCCRP)
The probity review examined the process leading up to the appointment of International Container Terminal Services Inc. (ICTSI) of the Philippines as the port terminal operator. Duma said the international law firm Norton Rose Fulbright was appointed the independent probity adviser.
It provided independent advice and audits of each phase.
“A technical assessment panel consisting of independent external consultants from Pacific Marine Management and Hamburg Port Consultants was appointed to assess proposals, supported by a public-private partnerships consultant and general manager of the PNG Ports project management unit,” he said.
The PNG Ports probity report states that:

  • THE (terminal operator) selection process conducted by PNG Ports was with high standards of probity and ethics consistent with the expression of interest documentation, terms of reference, documentation, communication protocol and probity protocol and plan, and;
  • THE law firm Norton Rose Fulbright does not have any concerns from a probity perspective in respect of the recommendations of the committee or the overall process. The PNG Ports and its staff acted appropriately and professionally at all times in what has been a complex and challenging procurement.

Duma noted that the probity report established that the allegations relating to transactions involving former officials of PNG Ports were external to PNG Ports and did not relate to the company’s operating account and internal processes and procedures.
Duma said the terminal operator appointment was part of a PNG Ports redevelopment plan supported by the Australian Infrastructure Financing Facility for the Pacific.