Port Moresby, a city where the elite profit while the rest suffer the consequences of their incompetence
Imagine a company that is in debt, heavily in debt and still racking up more losses.
Imagine a company that in 2016 alone lost over K354 million.
Imagine a company where the total liabilities exceed the total assets by more than K218 million.
Imagine that this is a company set up by the government to manage a nation’s interests in its abundant mineral resources.
Now imagine no more and say hello to Kumul Minerals Holdings Limited, formerly Petromin PNG Holdings Limited.
The two numbers above are from Kumul Minerals Holdings latest Annual Return, which is for the 2016 financial year.
How could a company that, according to Statute, is supposed to be the commercial enterprise that participates in mineral exploration, development, production, processing and marketing activities on behalf of the State, be run into near bankruptcy?
But never fear, the Directors, the people responsible for this appalling state of affairs, are still profiting handsomely.
While the company was racking up losses of K354 million in 2016 alone its Board members were still taking a handsome pay packet:
|
Director |
Remuneration |
|
Brown Bai |
K 159,759 |
|
Ian Goddard |
K 211,337 |
|
Jerry Wemin |
K 126,227 |
|
William Searson |
K 102,654 |
|
Richard Tengdui |
K 99,809 |
|
Issac Lupari |
K 68,232 |
|
Peter Pokawin |
K 23,959 |
|
Arunavu Basu |
K 182.816 |
|
Peter Graham |
K 59,028 |
|
Stanley Lira |
K 33,129 |
|
Richard Kuna |
K 34,379 |
In total K1,101,329 paid to eleven men [yes, all men, no room here for gender diversity let alone equality] many, if not all of whom, already occupy other well paid jobs.
K1.1 million paid for overseeing losses of over K354 million, losses that were almost three times greater than in the previous year, 2015 (K133 million).
And the excess does not end there. In addition to the Board remuneration, Kumul Minerals Holdings had 10 staff who earned more than K100,000 each in 2016.
One of those staff earned over K920,000, two more over K620,000, another over K450,000 and one over K300,000. Two more earned over K270,000.
In total, Kumul Minerals Holdings paid its staff just under K9 million in 2016 and spent a further K1.5 million on consultancy and professional fees.
Who is ultimately responsible for this negligent mismanagement of our nations mineral wealth, and the looting of an empty pot?
Well it has to be the trustee shareholder does it not? The person who effectively owns the company on behalf of the nation, who is none other than one Peter O’Neill.
It seems our trustee is not doing a very good job!