Photo credit: Shane McLeod
Former National Fraud Director for the National Fraud and Anti-Corruption Directorate, Mathew Damaru said the lack of cooperation between government agencies has led to a halt in prosecutions of over 500 money laundering cases resulting in suspects still hijacking millions of kina from stolen public assets.
“There is outstanding money laundering investigations because of a no cooperation between the Police, Financial Analysis and Supervision Unit (FASU) of the Bank of PNG and the office of the Public Prosecutor. This has resulted in high profile suspects taking advantage of this unfortunate situation. Therefore, we can’t enforce the Proceeds of Crime Act to recover properties bought and attained through stolen public funds”, said Damaru.
Damaru stated this after acting Bank of PNG Governor and Director for the Financial Analysis and Supervision Unit (FASU) Mr. Benny Popoitai revealed that Police had failed to investigate and prosecute these high profile suspects for allegedly breaching the Money Laundering Act.
Prime Minister James Marape upon hearing this said that all these money laundering cases must be referred to the Independent Commission against Corruption (ICAC).
The Prime Minister was shocked to learn from Mr. Popoitai that Police have failed to investigate and prosecute this high profile suspects for allegedly breaching the Money Laundering Act. He affirmed that when the ICAC is fully established, these suspects will be arrested, investigated and prosecuted successfully.
However, recently retired Chief Superintendent Damaru who had been the head of NFACD for 20 years stated that police should not be the only agency to be blamed and held responsible for this lack of prosecutions.
“The three main agencies that are responsible for enforcing the Proceeds of Crime Act in PNG are; Police, FASU and the Office of the Public Prosecutor. Police are responsible for conducting investigations based on information gained and provided by FASU” he said.
He added that “Based on this information arrests are made and brought to the Public Prosecutor to be prosecuted. That is the process. During my time as Director for NFACD, there has always been a lack of cooperation between these three responsible agencies.”
