Home > Corruption > Tom Rangip and Pacific Paradise Foods unlawfully paid K14.85 million

Tom Rangip and Pacific Paradise Foods unlawfully paid K14.85 million

The Commission of Inquiry into the Finance Department investigated payments totaling K14,850,105 made to Tom Rangip and his company, Pacific Paradise Foods,  for food that was supposedly supplied to PNG Defence Force soldiers based at military barracks around the country.

The Commission concluded: “PPC’s claim for the supply of food to the PNGDF was fraudulent in nature [and] based on falsified invoices. Goods claimed as supplied were either not supplied at all or was short supplied”.

Think about what that K14.85 million could have achieved if it had been spent on our hospitals or refurbishing a police station? Instead it was stolen from the people of PNG by Tony Rangip.

The Commission of Inquiry is not the only body to have uncovered this fraud. An earlier, investigation conducted by the Financial Inspection Services division of the Department of Treasury and Planning (as it was then) also found that claims by Rangip for payment were completely flawed.

That inquiry found:

  • Rules on tender procedures, consideration of tenders and awarding of contract were not followed
  • Defence Tenders Board exceeded the limits of its financial delegation
  • Twice, PPC was awarded supply contracts although it had no financial capacity, facilities and experience in servicing large volume transactions
  • Most payments to PPC appear to have been fraudulent and based on fictitious supplies
  • Goods covered by a K5,390,855.99 claim under 9 invoices appear not to have been supplied
  • Clear suggestions of corrupt practices done in connivance with senior officers of the Department (of Defence) and the Force

An Audit Report compiled by the Auditor General’s office in 1999 also found gross irregularities and concluded that K7,597,782.16 worth of invoices should be disputed.

Despite all these many failings and the two separate earlier investigations which each found serious malparactice, Mr Rangip and his company were able to continue to steal and no action has been taken to recover the monies.

The Commission of Inquiry found that certain Solicitors General have been grossly negligent in protecting the State’s interests in this matter.

Read the Commissions findings on Tony Rangip

  1. meri png
    June 4, 2010 at 1:15 pm

    absolutely appalling. do this ppl even think about the chances of being caught!!

  2. Tsankist
    June 7, 2010 at 4:58 pm

    On that Great Judgment Day, God will never ask about the fame and wealth you accumulated but he will ask how many poor people you fed and clothed (Luke 12:14, Romans 2:6-7). These sort of people will ocuppy the front seats of hell. I pray that God will deilver us from such selfish people who deliberately conspire to steal from the people of PNG.

  3. wantok
    July 4, 2010 at 4:36 pm

    I will put this blog in my who gives a flying fuck cateogory, gutless wanders want to write blogs in an desperate attemnpt to destroy reputations of good men. Get your facts straight, their are people in PNG making millions of Kina ripping off PNG, MR Tom Rangip is not one of them I can personally vouch for that.

  4. SHOCKED
    September 2, 2010 at 3:30 pm

    THIS WAS A CASE BACK IN 94, MR RANGIP WAS ONE OF THE FIRST PAPUA NEW GUINEANS THAT WAS COMPETING WITH WHITE PEOPLE AND FOUGHT FOR CONTRACTS TO SUPPORT PAPUA NEW GUINEAN BUSINESS MEN….WHEN HE FINALLY WON THE CONTRACT, SO MANY PEOPLE TRIED TO SABOTAGE THE BUSINESS…I WILL NOT MENTION ANY NAMES…AND NOW THAT I SEE THIS ITS JUST DISGUSTING HOW FACTS CAN BE SO WRONG!!! MR TR IS THE MOST PATRIOTIC PNGEAN AND IS TOO BUSINESS SMART TO DO CORRUPT DEALS…

  5. Shocked
    May 8, 2011 at 9:33 pm

    My goodness is this what we call journalism these days. Firstly you do not present any facts of substance in your so called report here and if you knew better you’d taken extra attention in sourcing this piece as it is total outright slander and defamation of a man who has legitimatelly worked hard and honestly for every penny brought into his businesses. This report has nothing of subtance to back as being factual. Mr Rangip is an honest hardworking man whose been cheated by the same goverment that continues to cheat and steal from their own people just like what they’ve done to him. The real cheats here are the government!

  1. May 21, 2013 at 9:16 am

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