PNG court to rule on O'Neill corruption case

PNG's national court will decide today if fraud investigators can arrest and question Mr O'Neill over allegations he personally authorised an illegal payment to a law firm.

Prime Minister Tony Abbott is greeted by PNG Prime Minister Peter O'Neill in Port Moresby, Friday March, 21, 2014. Mr Abbott is making a three day state visit to Papua New Guinea.  (AAP Image/Alan Porritt) NO ARCHIVING

Peter O'Neill with Tony Abbott in Port Moresby last year. (AAP) Source: AAP

(Transcript from SBS World News Radio)

Papua New Guinea's Prime Minister Peter O'Neill has called a Commission of Inquiry into a corruption charge that saw him served with an arrest warrant.

The national court will decide today if fraud investigators can arrest and question Mr O'Neill over allegations he personally authorised an illegal payment of about 31 million dollars to a law firm.

Gary Cox reports.

(Click on the audio tab above to hear the full report)

Papua New Guinea's embattled Prime Minister says the police, courts and government departments have been politically compromised.

He's launched an inquiry to be led by Australian judge Warwick Andrew.

The PM wants to know how a warrant was served for his arrest.

Mr O'Neill has also won a temporary injunction against the warrant, which alleges he's defrauded the country.

In a statement Mr O'Neill said the continuing saga needs to be brought to an end, through what he called the correct legal process.

In Port Moresby it's known as Parakagate.

One of PNG's longest running fraud investigations, it centres around a letter authorising payments to one of the country's most powerful lawyers, Paul Paraka.

Allegations were first raised last year, when Opposition Leader Belden Namah produced the letter allegedly bearing Mr O'Neill's signature.

Mr O'Neill told SBS it's fake and he's the victim of political stunt

"We are very suspicious of the arrest warrants because similar magistrates, similar courts similar police who have got no courage .. and as a result of that, we feel that this is politically motivated."

But a leaked letter to PNG's Police Commissioner marked "very confidential" outlines new evidence.

The letter from Taskforce Sweep chair, Sam Koim, says:

"We have now received the Forensic Examination Report from the Sydney-based Forensic Document Services Pty Ltd confirming that the signature on the letter... directing payments to Paraka Lawyers is PM O'Neill's."

The letter concludes:

"There is more than sufficient evidence to mount a case of misappropriation, conspiracy to defraud and official corruption against Prime Minister Peter O'Neill."

And it's alleged some of the money is coming to Australia.

Between February 2012 and February this year, almost $3 million was transferred to Australian-based wives and girlfriends from bank accounts linked to Mr Paraka.

 

 

 

 


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By Gary Cox


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