More problems

surface

And just when the Government thought it could breathe easy after the Reef Endeavour sailed out of Fiji waters, controversy surfaced again in the form of the sale of

its shipyard.

This time over the legality of the proposed sale of the public enterprise to

joint venture company MCI/Carpenters

Fiji Limited.

The debate, over the interpretation of Section 62 of the country’s Finance Act, has led the country’s Opposition

party to take legal action against the sale.

Section 62 of the Finance Act states that “serviceable public stores” not for Government purpos es may be given to any person in Fiji at the discretion of the

minister, provided

the value does not exceed $lOOO and in other cases, with the approval of the House of

Representatives.

The country’s

public enterprise

minister said the

$6.25 million sale of the shipyard need ed only the approval of the finance min ister.

Legal opinion was sought on the sale from the Attorney-General’s Office which stated the sale was legal.

The A-G said section 62 did not apply to the shipyard. This was disput ed by the opposition who said the ship yard was a “public store”.

The A-G was advised against the sale of the shipyard without parliamen tary approval because present legisla

tion does not cover such assets.

Parliament has yet to pass the Public

Enterprise Bill

which would con trol the sale of all ventures which are 100 per cent government owned.

But on February 1, the opposition filed a writ in the High Court chal

lenging govern

ment’s decision to sell the shipyard and slipway with

out parliamentary

approval. ■