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O’Neill’s illegal logging: 1302 days and counting…

January 16, 2017 Leave a comment

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We are now two weeks into the New Year, the public service is back at work, but we are still waiting to see ANY ACTION to reverse the huge SABL land grab. We are still waiting to see ANY ACTION to return the land to customary landholders and still waiting to see ANY ACTION to stop the illegal logging in SABL areas.

It is now 1,302 days since the reports of the SABL Commission Inquiry which detail the widespread fraud and mismanagement that has allowed foreign logging companies to gain illegal access to over 50 thousand square kilometres of land.

Since June 2013, more than three-and-a-half years ago, O’Neill has REPEATEDLY promised us the leases will be canceled and illegal logging stopped.

In September 2013, O’Neill said in Parliament:

“We will no longer watch on as foreign owned companies come in and con our landowners, chop down our forests and then take the proceeds offshore”

In June 2014, announcing an NEC decision supposedly cancelling the leases, O’Neill said

“We are taking these steps to reclaim our customary land illegally lost to foreigners with the help of corrupt public servants and leaders”

“As a responsible government we want to ensure that all citizens have access to the lands of their ancestors. We will not allow our land to be lost to unscrupulous people out to con our people” 

In 2015 the Chief Secretary stated:

“It is widely known that vast amounts of pristine forest have been logged to enrich a corrupt few people, while landowners have unknowingly lost their most valuable asset – their land”.

And just two months ago, on November 4, O’Neill told Parliament and the Nation:

“I am pleased to say that all the SABL leases to be cancelled, instruction has now gone to the Lands Dept and as of today I can assure you that leases are now being cancelled and where there are projects now existing, we’ve encouraged the landowners to renegotiate many of those leases arrangements that they have made with the developers.

“These leases were given without much thought in the past. As a result, a lot of the landowners stood to lose all their years of generations of ownership over the land that they have had for many years.

“We do not want the rightful landowners lose their rights to land.

“That is why we have instructed the department of Lands and Forestry to cancel all the SABL.”

But, despite all the promises, no action has been taken to cancel the leases, landowners are receiving no support from the government in their battles against the land grabbing and WE ARE STILL WAITING for the logging to be stopped.

For 1,302 days O’Neill has failed to ensure the SABL leases are revoked and has been complicit in the illegal logging of our forests by foreign logging companies.

Prime Minister Peter O’Neill has aided and abetted the theft of logs worth hundreds of million of Kina and the destruction of thousands of hectares of pristine forest.

Peter O'Neill: Theft of forest resources: Guilty

Minister Tkatchenko’s fingerprints all over PNG rugby

January 11, 2017 1 comment

Justin-Tkatchenko

Media reports say controversial Sports Minister, Justin Tkatchenko has been issued a “stern warning“ by World Rugby to refrain from interfering with Rugby matters in the country [see story below].

World Rugby is the international governing body for Rugby Union and has a zero-tolerance policy on political interference. It views the issue so seriously it could suspend PNG teams from participating in regional and international tournaments.

But Rugby Union is not the only rugby code where Minister Tkatchenko is heavily involved.

Justin Tkatchenko is the sole shareholder of PNG Rugby League Foundation Limited, where he is also a director.

PNG Rugby League Foundation is, in turn, the sole shareholder in PNG NRL Bid Limited, where Tkatchenko is also, again, a director.

So Tkatchenko owns both PNG Rugby League Foundation Limited and PNG NRL Bid Limited and sits on the board of both companies.

But his involvement doesn’t end there. Justin Tkatchenko is also a director for Team Kumuls Limited, owned by Sandis Tsaka.

How is that for political interference!

Minister Tkatchenko has recently applied for planning permission to build a lavish multi-million dollar estate in the exclusive Brisbane, Australia, suburb of Brookfield.

World Rugby Warns PNG Sports Minister Justin Tkatechenko

Source: NBC News/ PNG Today

Papua New Guinea Sports Minister Justin Tkatchenko has been issued a stern warning by World Rugby to refrain from interfering with Rugby matters in the country, NBC reports.

The warning comes after Tkatchenko verbally announced the election of Steven Kami as the interim president-elect for PNG Rugby Football Union during the official launching of the Jonah Lomah Legacy Cup late last year.

In a letter dated December 2016, World Rugby to asked Minister Tkatchenko not to show further involvement in governance matters of the PNG Rugby Football Union.

This warning also comes at a time when the PNGRFU remains in a dispute over its constitution and who to hold the head of the office in the country.

Under its bylaws, World Rugby has a zero-tolerance on political interference, with the consequence of suspending the countries representative teams from participating in regional and international tournaments.

The letter goes on to say further involvement by the Minister may jeopardise rugby’s national teams participation in regional and international tournaments.

World Rugby is sending an observer from Oceania Rugby to attend a selected PNGRFU Annual General Meeting, to ensure all agendas are ironed out before a new president is elected.

Minister Tkatchenko’s office confirmed with NBC News, they had received the letter and details of his response will be made public when World Rugby confirms receipt of the Minister’s response.

PNG Minister and Chinese Woman exposed in illegal land grab

January 10, 2017 2 comments

nixon-duban

Commentary By Bryan Kramer, PNGFacts

On 22nd December 2016 social media exposed an illegal land grab over two parcels of prime public land in Madang involving Minister of Petroleum & Energy and Member of Madang Open Nixon Duban and the Minister of Lands Benny Allan.

On 5th December 2016 Minister of Lands Benny Allan issued a notice under Section 72(d) of the Lands Act (Powers of Minister to Grant State Lease Directly) granting a business lease for development of commercial complexes and residences over land described as Sir Donald Cleland Park and Yabong Sports Field to a paper company Dawan Investments Ltd.

Minister of Land’s decision was made following the request of Member of Madang Nixon Duban in a letter dated 16 November 2016. Duban claimed that the Madang District Development Authority (DDA) resolved to develop the two parcels of land for the purpose of the 2018 APEC meeting.

nixon-duban-letter

Duban goes on to claim that it was also the Board’s (DDA) decision that Dawan Investments Ltd be awarded the title over the two parcels of land to commence immediate development. He requested the Minister immediately transfer the title to Dawan Investments.

Twenty days later on 5 December 2015 the Minister of Lands complied with Duban’s request awarding the title over both parcels of land to the company.

So what was the proposed development?

According to a letter purportedly authored by the Dawan’s Investment Managing Director – “it was the company’s intention to show case the economic opportunities for the summit” .. to construct a mega mall with a recreational playground”

However after the story broke on social media receiving much public criticism seems the scope of development has now changed to the development of two hotels. “The hotels are to carter for hundreds of executives and officers attending APEC meetings in town.” said Madang DDA CEO (District Administrator).

So was the granting of the title to Dawan Investments by the Minister of Lands illegal?

The short answer is Yes and before I explain why lets first establish some background facts surrounding this issue.

What do we know about Dawan Investments Ltd?

According to IPA records it is a locally registered company incorporation in June 2013. The company’s three directors include:

1) Mr. Stanley Kaut former IT officer with Nasfund and family relative of Duban, who resides at McGregor Police Barracks, 9 Mile Port Moresby;
2) Ms Pauline Galopo, admin officer and a family relative to Duban who resides at Gerehu Stage 3B in Port Moresby
3) Mr. Felix Abegul recent UPNG graduate employed with Madang DDA on administrative matters and to manage district projects;

Duban’s wife Debbie Duban is also the Company’s Vice-chairman and Treasurer. However her appointment is yet to be registered with the public records of IPA.

The company’s Shareholders include Mr. Stanley Kaut and Mr Lamak Kautit. Mr. Kautit’s residential address is the same as Duban’s in Port Moresby Section 33 Lot 1 Sogeri Road.

Former Director and shareholder of the company include Collin Iwap, Duban’s electoral officer and current District funds co-coordinator.

The company’s registered office is also Duban’s residential address in Port Moresby.

According to the company’s minutes the company was formed “to assist and serve as mediator between Government organisations, private sector and general public in terms of proposal preparations, security assessments and government implemented projects”

In summary the Member of Madang wrote to Minister of Lands insisting he transfer the title over the two parcels of prime public land to a company made up of this own staff, family relatives and wife.

A company that is registered less than three years ago, has no record of actually operating or track record to carrying out any development let alone the major development of a mega mall or two hotels.

Now it is important to note Duban’s letter to the Minister was in response to a letter he received from an unnamed person signing off as Managing Director of Dawan Investments Ltd.

Who wrote “my company has just received approvals from the National Physical Planning Board for the re-zoning and the proposed development which the company is planning to construct within the site.” [Sir Donald Cleland Park]

“…we would very much appreciate it if the title of the subject parcel of land to be granted directly to you under Section 72 of Lands Act, subsection (a) or Section 102 subsections 1 and 2 where it says the Minister of Lands and Physical Planning may grant a special business lease to companies or individuals as he sees fit”

Now this is where it gets interesting – the letter to Duban from the Managing Director was not authored on Dawan Investments Ltd company letterhead but a company by the name of Loyaluck Investments Limited.

IPA records confirm this company is owned by a Chinese company Plataus Resources Ltd, registered in Hong Kong only a year earlier (April 2015). The company’s sole director is a young Chinese woman Ms. Wen Lei Cui.

dawan-investment-letter

She is also the director of the companies behind Plataus Resources Ltd , Moneyman Investments Co Ltd and Dynamic Wealth Resources Ltd.

The signature of the person writing under the title of Managing Director of Dawan Investments does not match any of the signatures of the persons named as the company directors or secretary.

Yet he clearly refers to Dawan Investments as “his company” or was he referring to Loyaluck Investments Ltd whose ultimate holding is a Chinese company.

Duban was recently accused of associating with an young Chinese female by the name of Dora Lu. She is accused of acting as agent for Chinese companies playing a key role in comforting PNG Ministers of State and Department heads in the Petroleum and other key sectors. Is it a coincidence the ultimate holding company behind Loyaluck Investments Ltd is registered as a Resource Company also involving a young Chinese female.

duban allan lu

This begs the question whether Dawan Investments is just is a front used to acquire public land for Chinese nationals.

Back to the central question whether the granting of the title to Dawan Investments was illegal?

According to the notice issued by Minister of Lands he exercised his powers under Section 72(d) of the Lands Act to grant a direct lease to the company without having to follow the usual process of referring the application to the Lands Board.

The problem is Section 72(d) relates to granting of State Leases under Section 99, which states the Minister may, by written agreement grant a lease of Government land on which there is a building the property of the State.

Now neither parcel of land has Government buildings on it. Therefore the Minister’s decision to grant the lease under Section 72(d) was illegal.

Further even if the Minister of Lands had complied with the request of the Managing Director of Dawan/Loyaluck Investments and directed the land be awarded to Member of Madang Nixon Duban under Section 72(a) it would also be illegal as this provision only relates to granting of business or agriculture leases over customary land.

So now that we have established the granting of the lease to Dawan Investments is illegal will anything be done about it?

Well I’ve issued instructions to my lawyer in Madang to file proceedings seeking an extension to file an appeal against the Minister of Land’s decision and at the same time obtain a caveat (stay) over the land pending the outcome of proceedings.

With the National Elections around the corner I expect the good Minister of Lands to revoke his decision to avoid being dragged through the Court and implicated in an illegal land grab.

APEC Minister’s planning application creates confusion over his company name

January 10, 2017 Leave a comment
site-plan

Minister Tkatchenko is planning to build a lavish mini-estate

Papua New Guinea’s Minister for APEC, Sports and Special Events is applying for planning permission to build an elaborate mini-estate on an 8.5 acre property, 15 Upper Brookfield Road, recently purchased, in his wife’s name, in a the suburbs of Brisbane.

There is, however, confusion in the official documentation submitted by the Tkatchenko’s to the Brisbane City Council, over the name of the company making the development application.

On June 1, 2016, Tkatchenko’s wife, Catherine, signed a form stating the planning application for 15 Upper Brookfield Road is being made by an Australian company, Kitara Pty Limited.

owners-consent

The Planning Consultant firm Catherine and Justin have hired to manage their planning consent application, Clegg Town Planning, then submitted the full development application to Brisbane City Council. In their covering letter, dated 9 June 2016, Clegg’s clearly states the application is being made on behalf of their client, Kitara Pty Limited.

application-letter-9-june-2016

As an extract from the Australian Securities and Investment Commission shows,  Kitara Pty Ltd is an Australian listed company owned by two Chinese nationals, Lam and Hung Kam, based in Melbourne.

What is the connection between the Kam’s and Minister Tkatchenko’s planned rural estate in the Brisbane suburbs?

Perhaps none, as other documentation filed in respect of the planning application for 15 Upper Brookfield Road uses a completely different company name, Kitoro No.33 Limited – documents such as the Development Application Lodgement Form, lodged on 19 July, 2016:

application-lodgement

And the IDAS Form:

idas-form

Kitoro No.33 is, of course, a PNG registered company long associated with Minister Tkatchenko and some of his dubious business dealings.

So what is going on here? Did Catherine forget the name of her and her husbands company is Kitoro No.33 and mistakenly sign a form saying it was Kitara Pty Limited?

Or was this an attempt to intentionally mislead and deceive?

Maybe Kitara Pty, and the Han’s, are somehow connected to the Tkatchenko’s and their planning application?

But if so, why the sudden switch in the documentation to using the name Kitoro No.33?

If nothing else, someone needs to clear up the confusion and inform the council and the people of Brisbane just who is making the development application!

O’Neill’s illegal logging: 1295 days and counting…

January 9, 2017 Leave a comment

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Peter O'Neill: Theft of forest resources: Guilty

SABL_billboard

Kanoagil: The anatomy of an illegal logging operation

January 5, 2017 1 comment
Walter Schnaubelt

Public documents tell the story of how Walter Schnaubelt has pushed through his logging plans without first obtaining the informed consent of customary landowners

Two Malaysian owned logging companies are currently destroying the forests of southern New Ireland. Local MP and Minister for Mining, Byron Chan, says the authorities should investigate and the illegal logging operations should be shut down, but how was it possible for the logging to start in the first place and what are the chances those officials complicit in authorising the operations will now take action?

From a detailed study of the very limited public documentation on the organisations involved we are able to start to answer these questions; and those answers provide a unique and fascinating window into the anatomy of an illegal logging operation.

The documents expose how one person, in this case businessman and aspiring politician, William Schnaubelt, conspired with a small elite of local leaders to take illegal control over large areas of community owned forests. Deception, fraud and misinformation were all used to exploit the hopes, dreams and ignorance of local people while the willing connivance of public servants and politicians was used to secure the permits and authorities for the multi-million dollar logging operation.

Central to the whole Konoagil logging operation are four organisations, two companies and two associations, all set up by the central ringleader, William Schnaubelt.

Konoagil Agri Development, Laka Forest Development Limited, Kandas Landowners Association and Lak Landowners Association are all presented as ‘landowner’ organisations as if they are owned by the local communities and represent their views and interests. But all four organisations were set up without the knowledge and consent of customary landholders, all four are privately owned by a small group of individuals, all four make decisions affecting landowners assets in secret and local communities have no financial or beneficial interests.

Informed consent

Informed consent is supposed to be at the heart of any decisions affecting customary land in Papua New Guinea. Local people must give their informed consent before any changes are made in the use or management of their land. This is a fundamental right that is protected in the Constitution and in all laws affecting land and forests.

As the Supreme Court recently explained:

“These provisions are designed to ensure that customary landowners whose title is, after all, usually collective, rather than individual, are protected from the loss of their interest in the land whether it be a result of the actions of exploitative outsiders or fraudulent or self-interested co- owners”.

Unfortunately these legal protections mean little for people living in rural communities, without access to lawyers or the courts, and it is all too easy for people like businessman Walter Schnaubelt, working with a small group of unelected leaders and in concert with lazy or corrupt public servants and foreign businessman, to trample all over constitutional rights and legal protections.

The two foreign logging companies illegally destroying the forests of southern New Ireland are Millionplus Corporation and Islands Forest Limited. The companies have been given approval for their operations by the PNG Forest Authority despite the fact the people of Konoagil have not given their informed consent to the logging, indeed the people have been intentionally kept in the dark, fed lies and half truths and have been denied any opportunity to participate in key decision making.

Registering the organisations

To set up the whole illegal logging operation Schnaubelt started by registering the two phoney ‘landowner companies’, Konaoagil Agri Development Limited [registered on 21 February 2014] and Laka Forest Development Limited [registered on 19 December 2013], and the two phoney ‘landowner associations’ Lak Landowners Association and Kandas Landowners Association [Notice of Intention to Registered filed 5 March 2014]. All these organisations were registered without any consultation with the customary landholders or their Incorporated Land Groups (ILGs) and with no attempt to obtain their informed consent.

One of the so called ‘landowner’ companies, KADL, is owned by the other so called ‘landowner’ company, LFDL, and LFDL is in turn owned by three organisations, WA Holdings, LLA and KLA. The landowners have no direct or indirect financial or legal interest, no legal rights and no representation in any of these organisations.

Appointing the directors

Having organised the registration of the companies and associations, Schnaubelt then handpicked the 18 local men, one from each Konoagil Local Level Government ward, he would use to push through his logging plans. Schnaubelt took the 18 men all the way to the Kokopo Beach Village Resort, in East New Britain, so they could meet in complete secrecy over the course of two days, March 30 and April 1, 2014.

lla-kla-meeting-minutes

There, as the meeting minutes reveal, the 18, on the direction of Schnaubelt, as meeting Chairman, elected themselves as the directors of the two Landowner Associations.

appointment

Having appointed themselves as the decision making committees, the 18 then endorsed, with no prior disclosure and no consultation with the customary landholders back in New Ireland or the landowners ILG committees or even the ILG chairmen, Walter Schnaubelt’s scheme to set up the logging operation. This first involved appointing LFDL as the ‘landowner company’, agreeing that 50% of the shares would be held by the two ‘landowner’ associations and agreeing that the other 50% would be handed to a third party, WA Holdings (owned by Malaysian businessman Leslie Woo).

Seizing control of the land

This small handpicked group of men, who had no rights to make any decisions regarding customary land, had no delegated authority from the people themselves or from their ILGs, then, completely unlawfully, agreed to Schnaubelt’s plan that all the communities’ ILG certificates would be used to provide a 60 year lease over the whole of the Konoagil district to some unnamed and yet to be identified ‘developer’ who would log the forests, establish 35,000 hectares of oil palm and bring ‘development’.

resolution-lease

Not only was this a decision the meeting could not make as they had no rights to make decisions regarding the use of the ILG certificates much less the customary land itself, it also had no basis in law. Walter Schnaubelt completely misled the meeting by telling the directors the ILG certificates are land titles and giving those certificates to the ‘landowner’ company gave the company “the right to market our [sic] land on our behalf’. This is completely false, ILG certificates are NOT land titles.

To be clear, all this was done without any consultation with the landowners or their ILG committees and with no attempt to obtain their informed consent. Indeed, as the meeting minutes clearly show, at that stage, not all the ILGs had been formed.

Revealingly, the minutes of the landowner association meeting show that when Schnaubelt told the newly appointed directors it was now their job to go back to their LLG wards and tell the ILG committees that they had to endorse their appointment and explain they had already given away the land “all the ward directors raised concern”!

According to the meeting minutes, after listening to all their concerns for “about 25 minutes”, Walter Schnaubelt advised them to only speak to those in their communities who they knew had always supported them and to “leave the others to him”.

awareness

Endorsement from government officials

Disturbingly, even at this early stage, Walter Schnaubelt was already able to assure the 18 hand picked and self appointed ‘directors’ that his plans for logging had the full support of the Managing Director of the Forest Authority and the new Forest Minister, Douglas Tomuriesa.

nfa-minister

Indeed, according to Schnaubelt, the National Forest Board had already approved LFDL to “commence its project submission” officials would be visiting the area in six-weeks time to conduct the Forest Clearance Authority approval process!

fca-process

Thus the people and institutions who are supposed to protect the interests of landholders and ensure the full and vigorous application of the law had already been brought on board to facilitate the illegal logging. These are the same people, PNGFA Managing Director, Forest Minister and National Forest Board, Byron Chan is now calling on to investigate the permits given to the logging companies – what a joke!

Conclusion

The whole Konoagil illegal logging operation and the process used to obtain the logging permits makes a complete mockery of the words of our judges:

“Decisions about the transfer of interests in customary land must be made carefully and thoughtfully and in strict accordance with procedures prescribed by law” this must include “a thorough identification and investigation of the land and the customary landowners and their agreement to what is proposed. In PNG land is a critical natural resource required by National Goal Number 4 to be conserved and used for the benefit of the present generation and for the benefit of future generations.”

It seems futile to believe that the poor people of Konoagil will be able to successfully mount a legal challenge through the courts, against the might of the logging companies, government officials and their own corrupt leaders, to protect and defend their land and forests.

The fact is, legal protections and constitutional rights have no meaning when only one side has access to financial resources and the institutions of government supposed to uphold the law are already compromised!

A short timeline

2014
July 24  Notice of issue of shares in LFDL filed with the IPA
July 24  Notice of transfer of shares in LFDL filed with the IPA

May 2  LLA registered
May 2  KLA registered

Apr 25  Application for incorporation of LLA filed with the IPA
Apr 25  Application for incorporation of KLA filed with the IPA
Apr 1  Notice of issue of shares in LFDL prepared and signed
Apr 1  Notice of transfer of shares in LFDL prepared and signed

Mar 30  First meeting of the ‘Directors’ of the Landowner Associations
Mar 30  Shares in LFDL issued to WA Holdings Limited
Mar 30  Shares in LFDL transferred to Lak and Kandas Landowner Associations
Mar 5  Notice of intention to register Lak Landowners Association (LLA) filed with the IPA
Mar 5  Notice of intention to register Kandas Landowners Association (KLA) filed with the IPA

Feb 21  KADL registered

2013
Dec 19  LFDL registered as a company
Dec 18  Application for registration of LFDL filed with the IPA
Dec 12  Application for registration of KADL filed with the IPA

Nov 13  Application for registration of Konoagil Agri Development Limited (KADL) prepared and signed
Nov 13  Application for registration Laka Forest Development Limited (LFDL) prepared and signed

Minister Chan demands action on illegal Konoagil logging

January 3, 2017 4 comments
Mining Minister Byron Chan has reacted angrily to illegal loggi

Mining Minister Byron Chan is demanding action on illegal logging in his electorate

Mining Minister Byron Chan has reacted angrily to revelations on this blog about illegal logging operations in the Konoagil District of New Ireland. He is demanding action to stop the logging and police investigation of those responsible.

But is the Minister REALLY SERIOUS or is this just pre-election posturing? Will Minister Chan really ensure proper investigations are carried out and effective action is taken against those responsible for the theft of forest resources and destruction of the environment?

BY JEFFREY ELAPA, Post Courier, January 03, 2017

MINISTER for Mining and Member for Namatanai Byron Chan has called on authorities to investigate two foreign companies [Millionplus Corporation and Islands Forest Resources] involved in logging activities in his district.

Mr Chan is also calling on the authorities to investigate how Government authorities had allowed the companies to conduct business in the country and wants their Malaysian principals [Kie Yii LING, Ting Ping LAU and Tiing Siu HAH] deported.

He said he is outraged over their being issued environment and logging licences.

“I’m totally disgusted and immediately call for a full investigation into the illegal activities occurring at Forest Department and the Department of Environment and Conservation.

“I further call on the two Ministers Douglas Tomoresia (Forest) and John Pundari (Environment) to institute an investigation into the conduct of the two companies.

“I also call on the police fraud and anti-corruption unit to investigate the activities of these foreigners cheating my people. How can authorities allow foreign companies to conduct illegal businesses in the country.

“I also call on the Minister for Forest to cease the operation of the company and Immigrations to immediately deport the two foreigners and blacklist them as they have misled and abused the trust of my people and my district. We do not need people involved in illegal activities they also pose threats to the sovereignty of the nation.

“This is the kind of business conduct by foreigners under the guise of doing business and involved in local politics are not welcomed to stay in this country.

“My people are innocent like most rural Papua New Guineans. There have been a lot of false promises and false hopes given to my people and I’m really disgusted by the action of such foreign companies conducting business in my district and the country,” he said.

Mr Chan also called on local elites not to mislead the people for whatever motives they had.

“As a concerned national leader and leader of my people I’m calling for an immediate investigate by the authorities,” he said.