While many celebrate Paul Paraka’s 20-year sentence, a crucial aspect remains overlooked: the K162 million he stole is unaccounted for in any bank – there’s no K162 million in Paraka’s bank accounts. Over a decade, this substantial sum was likely laundered — a process concealing the illegitimate origins of criminal money.
Prominent figures in Papua New Guinea often launder stolen money to Australia , turning Australia into the “Cayman Islands of the Pacific” as Sam Koim put it.
Current Australian anti-money laundering laws don’t compel these professionals to disclose the real owners.
Exploiting legal loopholes, professionals like accountants, lawyers, and real estate agents facilitate the acquisition of Australian properties, shielding the identities of their PNG clients.
The Unexplained Wealth Act:
The unexplained wealth act is poised to revolutionize the money laundering landscape.
When individuals like Paraka face corruption charges, the legal battle pursues dual objectives: prosecution and reclaiming illicit gains. However, PNG laws only allow for recovery of corrupt money only after the courts rule that it was indeed the proceeds of corruption. However, the money is laundered before the court hands down the decision.
The unexplained wealth act empowers authorities to confiscate unexplained wealth without establishing its criminal origins, a game-changer. Regrettably, despite being passed, this crucial law awaits certification. So long as it’s not certified, the law cannot be used.
Let’s mobilize. Tag your local MP, urging them to champion the certification of the Unexplained Wealth Act.
The first time I took a banana boat ride out to open sea was from Kavieng to New Hanover. It was the scariest day of my life. There were about six of us including the skipper with only one life jacket on board. All of the passengers were from coastal provinces so naturally I assumed that the life jacket was intended for me as the only highlander on board. . It was a fine sunny day so I encouraged myself..You are seeing the world brother, before your kick the bucket…but I did not want to kick the bucket while heading out to see the world. I told myself that I could be among only a handful of highlanders or could even be the first to go to New Hanover from Kavieng. For my tribe, Yamka, I was absolutely certain that I was the first. There will be stories to tell why worry, I encouraged myself. . I tried to pump myself up. Usually pumping up worked with me, but not this time. Non of the pumping worked. The more pumping had the complete opposite effect. The fear and dread was overwhelming. . I could never have gone but the invitation had been given by the then Provincial Administrator of New Ireland Province so sink or swim after much self encouragement, that didn’t work, I took the plunge because the success of my work there in New Ireland depended on the Administrator. . On the boat I sat next to a Morobean, my friend and co-worker and the life jacket was at our feet on the boat’s floor. I moved the life jacket closer to myself with one of my feet. The Morobean noticed and said,” K** yu lusim display samting stap long namel.” I was still shaking inside so I said,”Hul yu, yu highlands or mi highlands.” His reply was a sad,” Mipla olgeta Morobe ino gat sol wara. Mi blo Pindiu ya na em wan kain olsem ples blo yu. Lusim samting ya stap namel na husait i laki bai win.” I told him not to joke and that this was not a winning or losing game, it was life or death. He looked at me seriously and said he was not playing around either, he was dead serious. . His words made me realise a long held perception that all coastal people were good swimmers, was not true at all. So that made two of us. I had some comfort knowing that I was not going to die alone. But whatever it took, the life jacket was mine by default as the only highlander on board and no Morobe from Pindiu, Heaven or wherever was going to take it. If something happened and we competed for the jacket, he was a small sized man, I was going to knock him out with half a punch, before the sharks got him. . The plan was, after I was rescued with the help of the life jacket, I would have said,” Sore mi traim best long savim em but shark kisim em.” It would have been the perfect cover. . Anyways, as we set out, the sea was all calm and I was growing in confidence by the minute. I recalled the many songs I hear on the radio about…sol wara slip sore…and actually laughed because the sea was indeed calm. What was all these fear and shaking about? . I didn’t realise that the closer the sea is to land, the shallowness calms the sea. . As we hit open sea, my confidence immediately melted. The bloody sea that appeared calm from a distance was not calm at all. The waves looked like small mountains dwarfing the little boat and looked like they were going to fall down on us. Bloody hell, why did I come? Fuck the work and the Administrator. Hell, it was not my private business but public service work. Who the hell wanted to die for the public. I should have stayed in the comfort of the hotel and let the Morobean and other coastals take the risk. . I thought of our big fat juicy over paid and under worked MPs who were relaxing away with all the perks, privileges and money whilst little struggling public servants like myself risked life in the name of serving the country. I wished they were here in my place right now to face this. . The skipper was truly a master. He maneuvered the giant waves in such a way that nothing fell on us. One guide was pointing to some islands and explaining…this is Limus, Governor Ian Ling Starkey’s island…This is an island where only birds live, no human is allowed there…This is the direction to Mussau…I listened and smiled occasionally but my “mong ting” that’s Melpa for side eyes, was always on the life jacket. . My Morobean later related to me that he had done the exact same thing. His side eyes were always on the life jacket too. I told him that he was a small man and I was going to knock him out for the jacket. He told me he knew that and was going for a timber that was used as a cross on either sides of the boat to knock me unconscious for the life jacket. I saw the timber and got angry with the Morobean because it was made of kwila and it should have finished me off and not given me a fighting chance with a mere unconscious knock. So much for being friends! . After hours of sitting on the edge and contemplating murder. We finally arrived on a group or rather string of islands separate by passages in between, about five or six such islands. The last of which was our destination. The village there is called Tsoilick. . The fear had made me oblivious to the sheer beauty of the place. It is truly paradise. The places and beaches I see on magazines of Fiji or any other place was not comparable to this. . It’s just natural and just there beckoning for visitors. I saw white sandy beaches stretching for miles. The sea breaking two three kilometres away and the water and white sandy beach coming right up to the shore. I soon forgot the fear. I even told the Morobean he can keep the life jacket on our return trip. I’d rather die here and let my spirit roam freely than in the highlands where trespassing is a big offence. . We stayed at the Administrator’s own guest house built right on the shore. You could just walk down the stairs onto the white sandy beach into the sea which was chest high during low tides. How I wished never to return back to Port Moresby, where I knew now was contaminated and so so unnatural.
From Tsoilick to the main island of New Hanover was only 30 minutes or so, so I took the ride there at night just to set foot on New Hanover as if it was a Neil Amstrong type visit to the moon. Set foot I did, may be the first Yamka to do so, but not first highlander because I was told that two or three were married there and were permanent residents there. “Ples blo ok nogat meri o”, so I thought. . Looking back now, I’d say that if there was a bikini wearing one such as seen in photos in tourism magazines,…sori tumas, Yamka would never have returned. I would have started a new Yamka tribe in New Hanover. . When I hear songs that refer to the sea as, ” sol wara slip sore”, I am quick to exclaim that that is bull shit and very misleading. From the shore it will look calm and serene but it is not. The waves are like mountains popping up every seconds and the valley so deep making the boat and the passengers look like ants. It is so scary. . The Morobean and I worked together for about seven years and is still a close friend of mine today. One time he took me to Pindiu, but that is another story. . Please if you get the chance, visit Tsoilick Island next to the main island of New Hanover. There is a beautiful guest house there at almost next to nothing and I tell you, you wouldn’t want to ever return, but it will be much better if your baggage included a bikini. . CHEERS!
After Academia Nomad followers voted for New Ireland as the place to visit, being doing research on it, and came across this funny story by Wilson Punim shared by a page called “A tap into my imagination”.
So decided set up a quiz on PNG politics. Tried to keep it basic, but allocated higher scores (as high as 3 points) if the questions are a bit different.
12 Questions, massive 24 points!
Share the link with friends. Leave your scores below if you want. K5 flex for first 5 who score 24/24.
The PNG Police Commissioner says the Pandemic Act of PNG gives him power as the Controller to intervene in issues affecting the country – including the fuel shortage in PNG.
The Pandemic Act was enacted to deal with “COVID-19”, not foreign currency rationing and fuel shortages. What will the Commission do: use the Pandemic Act to float the Kina?
This is what we don’t get. Bending the rules to fit our will and conveniences. From University rugby competitions to abuse of the Pandemic Act.
The Pandemic Act is one of the most abused piece of legislation the parliament has passed in decades. The Pandemic Act ensures that the tendering processes and accountability provisions in the Public Finance Management Act are suspended to expedite response during a crisis or contagious disease.
Using this provisions, the accountability provisions under Public Finance Management Act which requires, among other things, that a tender is put out for competent service providers to bid for provision of services were suspended during the height of COVID-19. This was supposed to allow the government to move swiftly to address the threats posed by COVID-19.
Instead, the suspension of accountability measures allowed the government to give contracts to their cronies. We are yet to see the reports on COVID-19 funds.
Where did the money go?
And now, the Commissioner is stretching the Pandemic Act way beyond its intended purpose.
This fuel shortage is a policy issue: the Central Bank thinks the best approach for PNG is to ration foreign currency.
Central Bank keeps the foreign currencies. Companies get the foreign currency from the Central Bank to import products like oil. The fuel shortage is a result of Central Bank issuing less foreign currency to Puma Gas Company than requested by Puma Gas.
As a result, Puma Gas cannot buy the volume of fuel it thinks is demanded by the PNG market.
Now, how will the Commissioner fix this problem using the Pandemic Act? It’s got nothing to do with COVID-19.
The Pandemic Act has outlived its purpose. The World Health Organisation has declared COVID-19 as not a pandemic anymore in May 2023. It’s about time the government remove the powers of the Police Commissioner under the Pandemic Act.
PNG has become the prime real estate in the big geopolitical rivalry in the Pacific.
In a short span of time, the prime ministers of India and Australia, the presidents of Indonesia and France, US Secretary of State and Secretary of Defence, and Chinese envoys have all paid visits to PNG. Even the Pacific leaders descended on Port Moresby when Biden’s now cancelled visit was announced.
Why is PNG a very important piece of real estate in the region?
Four factors:
Geographical location in the Pacific
PNG is the buffer between the formerly communist part of the world, which turned to authoritarianism and now having mixed successes with democracy – the Asian region – and democracies of New Zealand and Australia.
PNG is also geostrategically located between the largest Muslim country in the world in Indonesia, the quintessential enemy of the West in China, and a irrational nuclear loving dictator up north in the Korean Peninsula.
World War II has shown that in a war that involves an Asian country and the West, the battle will be won or lost on PNG soil.
PNG was the buffer between Asian and Southeast Asian countries that fell to the communist dominio effect.
And with the perception that terrorism is associated with the Muslim religion, PNG becomes important in containing Indonesia, the world’s largest Muslim population.
PNG’s leadership in the Pacific
Apart from Fiji, PNG is the most dominant player in the Pacific islands regional institutions. PNG is is the Big Brother among the Melanesian Spearhead Group (MSG). PNG is is a very influential member of the Pacific Islands Forum. To gain regional influence, every country that is interested in the Pacific are courting PNG.
Multinational Companies
PNG’s natural resources attracts established multinational companies from ExxonMobil to Total. Countries investing in PNG include US, Australia, China, France, Japan, and many more.
If for nothing, these world superpowers would still be interested in PNG because of their companies’ investments.
Poor and weak
Despite its rich natural resource endowments, PNG is poor, and has weak institutions. Due to the extractive and enclave nature of the resource companies, most of the proceeds of these mines and LNG companies are siphoned out of the country, leaving the populace to fight over fragments.
It’s weak institutions makes it vulnerable to exploitation.
The foreign powers then offer PNG resources and support that are irresistible. China offers loans, US provides resources to monitor PNG maritime borders against transnational crimes and illegal fishing. Australia and IMF provide grants and further loans.
For everything these superpowers give to PNG, it comes with conditions that advances their interests.
Intertwined: Geopolitics, access, commercial
So why are powerful countries interested in the PNG?
The answer would be: a combination of all the factors listed above. China wants to get a strong foothold in the Pacific. PNG’s geographical position, it’s influence among the Pacific island countries, and it’s vast population makes it the most important Pacific country. The United States, Australia, New Zealand, France and Japan are all interested in PNG for the same reason. Gaining access to a geostrategically important piece of real estate.
It’s also commercial. PNG has massive natural resources. LNG is becoming the more important since the Russian invasion of Ukraine caused fuel prices to skyrocket, but also with the emphasis on moving away from coal and oil. LNG has relatively less carbon emissions than oil and coal.
The opportunity to gain access in PNG presents itself in the form of a poor nation with vulnerable institutions and weak capabilities needing help.
Academia Nomad 