K2.7 million probe set

LAWYERS have set the framework for further investigations into the Milne Bay Properties Ltd report which implicated leaders in alleged misappropriation of K2.7 million. Milne Bay Governor Tim Neville said leading lawyer Greg Sheppard was one of the lawyers involved in establishing this framework. Provincial legal officer Simon Alberic has been appointed company secretary following the sacking of board members except Ephraim Yabom. Mr Neville stunned the provincial assembly last week when he tabled a four-volume report on MBPL, the provincial business arm, in which it was alleged about K2.7 million had been misappropriated. He followed this up with the sacking of all directors and the appointment of new board members for the embattled provincial business arm. The report implicated former governor Titus Philemon in the way Mr Jerry Bagita was appointed to be general manager from a probationary officer status with the provincial administration. (Editor’s note: Mr Jack Bagita, who was wrongly mentioned in a report last Thursday on the Milne Bay Properties, is not the person referred to in this report. The Post-Courier is satisfied that Mr Jack Bagita, who works for a different employer in another town, was never employed by the Milne Bay Provincial Government as the general manager of Milne Bay Properties as the report of December 22 stated. The error is regretted). “There was a conspiracy from day one to appoint Mr Jerry Bagita as company secretary and signatory to the bank account when he was just a casual employee (of the Milne Bay public administration),” Mr Neville told the provincial assembly. He alleged Jerry Bagita was handpicked by former governor Titus Philemon. The position should have been advertised as provided for in the Milne Bay Properties Limited Act, he said. Mr Neville said a “conspiracy of this magnitude” had to have a “group of conspirators” within the provincial government. The report names Mr Philemon, then chairman of MBPL Hau’ofa Sailasa, and the directors of MBPL including Wilfred Leleca and Ephraim Yabom. Mr Yabom attempted to resign but was stopped. Two other directors, Timothy Seeto and Gerega Kila, had resigned of their own accord. Mr Neville said the conspirators needed the professional touch of a registered professional accountant that made “the conspiracy more realistic, effective and undetectable” (See separate report). He said the conduct of all implicated was improper, unethical and a breach of public trust and confidence. The report has recommended Mr Philemon, former administrator and chairman of the board, the former general manager and directors be referred to for investigation and possible prosecution.