The right decision by our PM

 PRIME Minister Peter O’Neill has made a bold decision not to step aside following his referral by Public Prosecutor Pondros Kaluwin to Chief Justice Sir Salamo Injia for a leadership tribunal to probe his involvement in the controversial K3 billion Union Bank of Switzerland (UBS) loan.

O’Neill says it is not necessary for him to step aside because the precedent has been set by Grand Chief Sir Michael Somare, who was the last prime minister to be referred to a leadership tribunal. “Why should I step aside or resign, it’s for the tribunal to make that decision,” he told a press conference on Saturday.

While political rivals and critics will disagree, we believe O’Neill made the right decision to stand his ground. There is too much at stake for the prime minister to step aside now, especially on the eve of the 2015 Budget.

This will be the O’Neill Government’s third master money plan since taking office in 2012 and the chief architect will want to be on centre stage when the budget appropriation bills are presented, debated and approved by Parliament.

The country will be holding its breath tomorrow to see if the Government will better its 2014 Budget, which was the country’s first money plan to reach over K15 billion.

O’Neill forecasts “a good budget” that will focus on development in the communities, districts and provinces. “It will be a budget that we can be proud of.” There is no doubt that O’Neill has achieved more positive outcomes in his re­latively short tenure as Prime Minister than all his predecessors.

He may have a dark cloud hanging over him but maintains the UBS loanthat was borrowed to buy a 10.1% stake in Oil Search Limited is in the best interests of the country and people.

“It is important that we continue to be participants in the resource development in the country. Otherwise, we will continue to be bystanders while other people come and continue to develop our resources.” 

As an astute businessman, O’Neill knows the real value of such an investment and the significant benefits it will bring to the country.

He has been severely slated over the transaction, with some critics describing it as a major disaster waiting to happen. 

The critics, especially in PNG’s hyperactive social me­dia, have likened the transaction to a massive fraud master-minded by O’Neill.

While O’Neill has welcomed the decision to refer him to a leadership tribunal, he has raised a valid point which may or may not have been given due consideration by the Ombudsman Commission and Public Prosecutor.

O’Neill says the decision to borrow K3bn from the Swiss bank was a collective one made by the National Executive Council. “It’s not a one-man decision. NEC made that decision so I’m very surprised that I am targeted to be referred and of course to be put before a tribunal.”

We agree. Why should the Prime Minister cop all the blame for a decision that was made collectively by Cabinet?

In all fairness, the Ombudsman Commission should have recommended to the Public Prosecutor to refer all cabinet ministers who were involved in the UBS loan decision.

The fact that the Prime Minister, as chairman of the NEC, was targeted by the Ombudsman does not bode well for the country’s top watchdog.

Moreover, O’Neill could feel justified in complaining that the Ombudsman might be practicing double standards in a number of allegations of misconduct sent to the watchdog to deal with. Interestingly, it took less than six months for the Ombudsman to complete its investigations into the UBS loan deal and make the recommendation to the Public Prosecutor.

One would have thought the nature of the complaint, and the massive transaction itself, would have required more time and resources to investigate, given that there are financial, investment and market issues requiring expert advice for the watchdog to consider.

It is understandable the actions by the Ombudsman Commission and the Public Prosecutor to refer the Prime Minister were probably the most difficult decisions as they involved the country’s chief executive.

We can only hope that no stones have been left unturned in their pursuit to seek the truth about the UBS transaction