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PM orders Ha’apai Cyclone Ian project office closed, wants probe after TP$1.3 million unaccounted for

By
Kalino Latu
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The Tongan government has ordered the Ha’apai Cyclone Ian project to close its office after TP$1.3 million pa’anga could not be accounted for.

Prime Minister ‘Akilisi Pohiva told Parliament sums of TP$900,000 and TP$400,000 funded by the government to pay to a contractor were among the monies unaccounted for.

Hon. Pohiva, who returned to Tongatapu yesterday, said he wanted the Cyclone Ian Project office in Ha’apai to be investigated, the House was told this morning.

The World Bank, which funds the project, is involved in the investigation.

It is understood the office was administering millions of pa’anga funded by oversea donors and the Tongan government for the reconstruction of Ha’apai after it was destroyed by Cyclone Ian in 2014.

The Prime Minister said he was concerned at the progress of the reconstruction work, which was too slow.

The House was told 78 residential houses which were affected during the cyclone were not included in the reconstruction.

There were also a great concern at the salaries of 18 construction managers and consultants who were alleged to be paid a TP$1200 a day.

The Prime Minister said he became aware of the problem when he returned from Vava’u the previous week through Ha’apai.

It is understood Hon. Pohiva met with members of the public in Pangai on Monday.

Since the reconstruction project started there have been inconsistencies and several interruptions of the reconstruction process. At one stage the then government stopped work and demanded all those involved in the process to sign an agreement.

This occurred after it was revealed some tenants of houses which were damaged during the disaster did not own the land on which the houses were built.

Cyclone Ian

The Category Five cyclone was the most powerful storm ever recorded in Tonga and had a devastating impact on the Ha’apai island group.

An estimated 5500 people, about 70% of the Ha’apai population, were affected. Most of the 1100 existing houses and many public facilities were damaged or destroyed. A total of 14 people were injured and one person died.

The World Bank approved US$12 million to support the Cyclone Ian Reconstruction and Climate Resilience Project.

Total project cost was estimated at US$15.89 million.

The international body estimated the total physical damages and economic losses from the disaster at US$50 million, equal to 11 percent of the country’s GDP.

The closing date for the project is July 30 next year.

The main points

  • The Tongan government has ordered the Ha’apai Cyclone Ian project to close its office after TP$1.4 million pa’anga could not be accounted for.
  • Prime Minister ‘Akilisi Pohiva told Parliament sums of TP$900,000 and TP$400,000 funded by the government to pay to a contractor were among the monies unaccounted for.
  • Pohiva said he wanted the Tonga Cyclone Ian Reconstruction and Climate Resilience Project office in Ha’apai to be investigated, the House was told this morning.
  • The World Bank, which funds the project, is involved in the investigation.

Economic outlook still strong, but inflation rate and import costs rise

By
Philip Cass
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Tonga’s Reserve Bank says the outlook for economic growth is still robust.

In its latest statement on economic policy, the bank said predictions for economic growth had been revised upward to 3.7%.

This followed stronger growth of 3.7% and 3.4% for 2014/15 and 2015/16 respectively.

The projected growth for 2016/17 was mainly driven by anticipated stronger growths in construction, utilities, fisheries and mining and quarrying.

A number of events scheduled for 2016/17 supported the growth in tourism and trade sectors. Higher real GDP growth of 4.8% was projected by the Reserve Bank for 2017/18, up from last year’s estimate of 4.7%.

Growth was expected to be driven by construction, as Government continues the construction of sports facilities. Transport and communication, trade, fishing and tourism sectors were also expected to contribute to growth.

The overall balance of Overseas Exchange Transactions for the six months to February 2017 showed a surplus of $11.4 million.

This contributed to an increase in the gross official foreign reserves to $377.7 million in February 2017, compared with $366.3 million in August 2016.

This was sufficient to cover imports of merchandise goods and services for seven months, well above the Reserve Bank’s minimum range of three to four months of imports.

The level of foreign reserves was expected to remain at comfortable levels supported by expected higher receipts of remittances, higher export receipts, anticipated government receipt of budget support and grant funds from development partners.

However, this would be partially offset by the projected rise in import payments.

The Reserve Bank also noted that inflation continued to rise in February 2017.

There was a significant rise in the headline inflation rate of 8.9% in February 2017, compared with a 5.1% rise in August 2016.

The Reserve Bank said it expected inflationary pressure to continue due to the increased custom duty and excise tax effective in July 2016.

The annual headline inflation was forecast to gradually decline below the reference rate of 5% per annum after August 2017.

The main points

  • Tonga’s Reserve Bank says the outlook for economic growth is still robust.
  • In its latest statement on economic policy, the bank said predictions for economic growth had been revised upward to 3.7%.
  • However, the Reserve Bank also noted that inflation continued to rise in February 2017.
  • The bank said it expected inflationary pressure to continue due to increased custom duty and excise tax effective in July 2016.

Three dead, four wounded following courthouse shooting in Moscow

By
International Media
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Three people standing trial have been killed in a shootout at a courthouse in Moscow, Russian officials have said.

Five handcuffed defendants tried to escape as they were escorted by two guards at the Moscow Regional Court, according to Russia’s Investigative Committee, the country’s chief investigative body.

One of the defendants tried to strangle one of the guards, and the defendants managed to escape and seized the guards’ weapons, it said in a statement.

A shootout with the court’s guards ensued, and three of the defendants were killed while the two others were wounded.

The state-owned news agency RIA Novosti quoted a lawyer, Sofya Rubasskaya, who said she heard at least 20 shots.

Three guards were injured and taken to hospital, the agency said.

The prosecutor’s office for the Moscow region said it was looking into the incident to see if the guards had violated the procedure for escorting defendants.

The shooting took place before a hearing for a gang of nine people accused of terrorising Moscow roads and killing more than a dozen motorists.

She said the building had been evacuated.

Russia media dubbed the accused “the Grand Theft Auto gang.”

Prosecutors said the gang members were placing spikes on roads, forcing the motorists out of their vehicles and shooting them dead.

The nine men, all from central Asia, are charged with 17 murders and two attempted murders.

Earlier reports from Russian news agencies said four had been killed in the gunfight.

-independent.co.uk

Tongan-Rotuman poet will draw on family history during time in Hawai’i

By
Philip Cass
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Tongan-Rotuman poet David Eggleton will use a prestigious scholarship to write about Pacific people and his own family history.

Eggleton has been awarded the 2017 Fulbright-Creative New Zealand Pacific Writer’s residency.

He will take up the residency in Hawai’i.

His family came to New Zealand from Fiji.

A school dropout, he went on to become one of New Zealand’s most pre-eminent poets.

He is editor of Landfall, New Zealand’s longest-running literary journal.

Eggleton won best poetry book in the Ockham National Book Awards 2016 and the Prime Minister’s Award for Literary Excellence in Poetry that same year.

He told Radio New Zealand he felt motivated to apply after his mother died.

He said he would write about Pacific people in relation to his own family history and how they were brought up as a family  in Fiji and later in New Zealand.

In 2015 Eggleton won the Janet Frame Literary Trust Award for Poetry.

His first book of poetry, South Pacific Sunrise, was published in 1987.

He lives in Dunedin, which he once described as a “miserabilist’s paradise.”

The main points

  • Tongan-Rotuman poet David Eggleton will use a prestigious scholarship to write about Pacific people and his own family history.
  • Eggleton has been awarded the 2017 Fulbright-Creative New Zealand Pacific Writer’s residency.
  • He will take up the residency in Hawai’i.

For more information 

Tongan-Rotuman awarded Fulbright residency

Pilot lands plane ‘blind’ after hail storm breaks plane’s windows

By
International Media
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This is the moment a pilot landed a passenger plane ‘blind’ after giant hailstones damaged the cockpit’s windows.

Captain Alexander Akopov was praised after touching down safely at Ataturk Airport, in Istanbul, Turkey.

The storm had also disabled the Airbus A320’s autopilot.

Dramatic footage showed the Atlasglobal aircraft, which had 127 passengers on board, struggling to maintain its balance as to came into land.

Trouble had started ten minutes into the flight to Erkan, in Northern Cyprus, after the plane was hit by hailstones that cracked the cockpit windows, damaged the exterior and disabled the auto-pilot.

Capt Akopov, from Ukraine, said he celebrated with another crew member like it was his second birthday when he landed.

‘I have been flying for 30 years,’ he said.

‘It was hard, but the main thing is that people are alive.

‘Well, did you see the plane landing? Was it okay? The passengers are alive. It is normal. This is our professional reliability.’

Separate video from the inside of the plane showed passengers crying and screaming as the aircraft rocked from side to side.

Everyone was relieved when it landed safely, including those watching at Ataturk airport who applauded.

The airport had been closed because of the weather but the pilot was still allowed to land because of the emergency.

Ukrainian president Petro Poroshenko congratulated Captain Akopov personally after calling him following the emergency landing.

He also awarded him the Ukrainian Order of Courage.

The two members of cabin crew were also praised for their bravery.

Four alleged smugglers caught with 1.4 tonnes of cocaine on yacht off Tonga

By
Kaniva Staff
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Four alleged smugglers had been arrested by French navy after a 1.4 tonnes of cocaine has been intercepted off Tonga.

According to Radio New Zealand, a New Caledonian newspaper said the operation was launched a week ago when a navy vessel was sent out in a joint mission with police and customs officials.

“The report of Les Nouvelles Caledoniennes gave no details of where the yacht was caught but it said it happened several days ago and four people were detained”.

“The navy vessel, Le Vendémiaire, returned to its Noumea base this morning, with dozens of masked military men guarding the offloading of the drugs which have been moved to an undisclosed destination for destruction”.

The Tonga police has confirmed that they and their Transnational crime squad have no knowledge of the operation, One News reported.

The seizure comes about five years after the Tongan authorities had seized more than 200 kilograms of cocaine from a yacht that had run aground at an uninhabited atoll in Vava’u, Tonga.

Reserve Bank, PICB adjourned to settle ruling on security deposit

By
Philip Cass
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The Supreme Court has adjourned a case between the Pacific International Commercial Bank and the Tongan Reserve Bank until September 29 so that both parties can agree on a security deposit.

Lord Chief Justice Paulsen, presiding, said PICB should pay a security deposit for costs before the PICB’s challenge to the Reserve Bank’s decision proceeds.

The hearing was the latest in a series of appeals and hearings that began when the Reserve Bank withdrew PICB’s operating license on July 26, 2016.

The judge said the kernel of PICB’s case was that it was entitled to be given 10 working days to respond to the Reserve Bank’s intention to revoke its licence.

It said the Reserve Bank’s notice was unlawful and of no effect because it did not afford to PICB the prescribed period for a response.

The PICB launched its first action against the Reserve Bank on August 2, 2016, asking that the decision be quashed and ordering the reserve Bank to allow the PICB a chance to submit reasons why its license should be cancelled.

It also asked for TP$10 million in general damages and TP$5 million in punitive  damages.

He said the PICB sought interim relief from the Reserve Bank’s orders, but abandoned the application.

The PICB also argued that the Reserve Bank owed PICB a duty of care to supervise its operations carefully and reasonably.

The PICB argued that the Reserve Bank had failed in its duty by failing to give PICB a reasonable opportunity to submit reasons why its license should not be revoked.

In his commentary on the hearing Lord Chief Justice Paulsen said that in revoking a banking licence, the Reserve  Bank  was concerned with the prudential supervision and public confidence in the operation   and  stability   of  the  financial   system  ‘and  to   protect  the interests of client’s, investors  and  general  public  depositors.

“To impose on the Reserve Bank a common law duty of care as alleged  in this case would be inconsistent with the performance by the Reserve Bank’s of its supervisory functions and its duty to protect clients, investors and general public depositors,” the judge said.

He said it might also  discourage the performance of the Reserve Bank’s duties for fear of civil liability.

The PICB argued that it was vulnerable and had no way of protecting itself from the negligent decision  of  the  Reserve Bank to revoke its licence.

However, Lord Chief Justice Paulsen said that PICB was a substantial commercial enterprise concerned with making profits from providing banking  services.

“It was  well  able  to  protect itself by conducting its operations  prudently  and  carefully  in  accordance with the requirements  of the  Act and its  licence,” the judge said.

“I can see no tenable argument that the Reserve Bank owed PICB a duty of care.”

The main points

  • The Supreme Court has adjourned a case between the Pacific International Commercial Bank and the Tongan Reserve Bank until September 29 so that both parties can agree on a security deposit.
  • Lord Chief Justice Paulsen, presiding, said PICB should pay a security deposit for costs before the PICB’s challenge to the Reserve Banks decision proceeds.
  • The hearing was the latest in a series of appeals and hearings that began when the Reserve Bank withdrew PICB’s operating license on July 26, 2016.

For more information 

Reserve Bank says shutting down Pacific International was in best interests of Tonga

North Korea tensions continue to mount as USA flies bombers over region

By
International Media
-

The USA has flown two bombers over the Korean Peninsula and a top general issued a warning to North Korea as tensions between the two countries continue to rise.

It follows North Korea’s successful launch of an intercontinental ballistic missile that travelled about 1,000km in the air before landing in the sea off Japan.

Two American B-1 bombers have now flown to the region and were escorted by South Korean fighter jets as they performed a low-pass over an air base near the South Korean capital, Seoul.

Meanwhile, General Terrence J. O’Shaughnessy, Pacific Air Forces commander, said: ‘If called upon, we are ready to respond with rapid, lethal, and overwhelming force at a time and place of our choosing.’

He added that North Korea is ‘the most urgent threat to regional stability’.

He said: ‘Diplomacy remains the lead. However, we have a responsibility to our allies and our nation to showcase our unwavering commitment while planning for the worst-case scenario.’

Flight data from North Korea’s recent missile test indicates that parts of the USA, including Los Angeles and Chicago, are within range of Pyongyang’s weapons.

But the US has also conducted its own successful missile test.

A Terminal High Altitude Area Defense, or THAAD, system, launched successfully over the Pacific Ocean from Alaska, the US Missile Defense Agency said.

Vice President Mike Pence has again called for North Korea to end its nuclear programme.

He said: ‘The continued provocations by the rogue regime in North Korea are unacceptable and the United States of America is going to continue to marshal the support of nations across the region and across the world to further isolate North Korea economically and diplomatically.

‘But the era of strategic patience is over. The president of the United States is leading a coalition of nations to bring pressure to bear until that time that North Korea will permanently abandon its nuclear and ballistic missile programme.’

-http://metro.co.uk

Kolofoʻou man jailed for five years on passport fraud charges

By
Kaniva Staff
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A 50 year-old man from Kolofoʻou, has been sentenced in the Nukuʻalofa Supreme court on Friday 28 July to five years imprisonment on passport fraud charges.

Justice Charles Cato suspended the last 12 months of his sentence.

The man was charged with passport offences which included false declaration, forgery, knowingly dealing with forged documents and bribery.

This case involved conspiring with people including government servants to forge documents in  support of an application for a Tongan passport for a foreign national.

Deputy Commissioner Viliami ʻUnga Faʻaoa said: “Since the Passport Taskforce began on 25 August 2015, 32 arrests have been made to date in relation to the passport investigation, with 13 persons pleading guilty and 19 persons awaiting trial”.

“This sentence sends a very clear message about the seriousness of the offending and a deterrent to people tempted to commit such crime in the future,” said Deputy Commissioner Faʻaoa.

Russia’s President Putin expels 755 US diplomatic staff

By
International Media
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Russia has retaliated against new US sanctions by ordering 755 American diplomats to leave – a move that will create a fresh crisis in the relationship between the two countries.

Days after the both houses of the US Congress voted almost unanimously to impose fresh sanctions on Moscow, Vladimir Putin said he was responding to “unlawful” behaviour by Washington.

“The American side has made a move which, it is important to note, hasn’t been provoked by anything, to worsen Russian-US relations. [It includes] unlawful restrictions, attempts to influence other states of the world, including our allies, who are interested in developing and keeping relations with Russia,” Mr Putin told the Rossiya 1 TV channel.

“We’ve been waiting for quite a long time that maybe something would change for the better, we had hopes that the situation would change. But it looks like, it’s not going to change in the near future… I decided that it is time for us to show that we will not leave anything unanswered.”

The US sanctions bill also included measures against Iran and North Korea and was passed over Russia’s 2014 annexation of Crimea and its alleged interference in the 2016 US election.

The move by politicians on Capitol Hill has pushed Donald Trump into a corner. The White House had made clear it was against the measure, but the President has said he will sign the bill, rather than use his veto power and risk fresh accusations that he is soft on Moscow.

Russia had warned on Friday that it intended to expel the diplomats and to seize two properties used by US diplomats. However, Mr Putin’s comments on Sunday were the first to make clear the number of US envoys he intends to force to leave.

An official at the US Embassy in Moscow said there were about 1,100 diplomatic and support staff in Russia, including US citizens and Russians, Reuters reported last week.

​Earlier on Sunday, Deputy Foreign Minister Sergei Ryabkov said the vote for the sanctions was the “last drop” and ​said Moscow would retaliate “in kind.”

“We have a very rich toolbox at our disposal. It would be ridiculous on my part to start speculating on what may or may not happen​,” Mr Rybakov told ABC. “I can assure you that different options are on the table and consideration is being given to all sorts of things.”​

The move by Russia takes place against ongoing controversy in the US about Mr Trump’s relationship with Moscow and possible collusion between his campaign and Russia over its alleged effort to interfere in the presidential election. Earlier this month, it was revealed Mr Trump’s eldest son, his campaign manager and his son-in-law, had met with a Russian lawyer linked to the Kremlin after they were told she had compromising material about Mr Trump’s rival, Hillary Clinton.

Special prosecutor Robert Mueller is currently heading a federal probe into possible collusion and there are several investigations underway on Capitol Hill. Mr Trump has repeatedly denied any such collusion and said he and his officials are the victims of a political “witch hunt”.

Last December, Barack Obama ordered 35 Russian diplomats to leave the US and the seizing of two compounds, one in New York and the other in Maryland, that had been used by the diplomats. He said the actions were being carried out in response to Moscow’s alleged attempt to interfere in the election.

Many observers had expected that Mr Putin would respond in kind. However, apparently assuming that relations between the two countries might improve once Mr Trump office, he held off from doing so.

Mr Trump had spoken enthusiastically of his with to have better relations between the two countries and to seek Russia’s help in countering Isis in Syria. Earlier this month at the G20 in Hamburg, the two men met for several hours and hatched a ceasefire deal for a small part of Syria.

Critics of Mr Trump say he has repeatedly refused to criticise Mr Putin and that he has been in denial about Moscow’s attempt to influence the election.

-Independent

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