House hears accusations

over share purchases

The Placer Pacific con troversy erupted in last month’s sitting of parlia ment.

Somare charged prime minister Wingti with using “second and third” persons to accumulate 400,000 shares.

He also alleged that Sir Julius’ lawyer had asked for a full allocation to three Chan companies.

Wingti reserved his de nial until later. Chan, how

ever, wasted no time in issuing his rebuttal.

He immediately replied: “If we separate the party’s shares away from those shares received by my com panies and my wife and I insist that this is the only way to look at things then the party was cut in its request by 55 per cent.”

On allegations of the use of government-owned bank loans for the purchases, he was equally emphatic: “None of my companies or

my wife utilised the facilities of the PNG Banking Corporation.

“All loans were obtained from other banks and were fully secured by medium term deposits in excess of the money needed for the final purchase,” he said.

“The shares my wife ap plied for were disposed of at the earliest practicable opportunity and therefore I contend the Leadership Code had not been breached. ”