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Royal Commission considered to investigate Lulutai new aircraft purchase following repeated groundings and requirement to replace engines

By
Kalino Latu
-

The Eke Government is considering approaching the king to set up a Royal Commission to investigate Lulutai Airlines’ controversial purchase of the new twin Otter aircraft in 2023.

Minister for Pulic Enterprises Paula Piveni Piukala

It follows reports that the plane encountered multiple maintenance issues, and both of its engines are due to be replaced in two months. The aircraft was commissioned by the Crown Prince in November 2023.

The concerns emerged after Kaniva News previously reported that experts in civil aviation had serious concerns about the twin otter’s condition. 

The Minister for Public Enterprises said this afternoon he has considered seeking the king’s consent for the Royal Commission after he discovered that the new aircraft’s two engines are due to be replaced in April this year.  

“It costs millions”, he said during a media briefing.  

Mr Piukala believed the due diligence process had not been thoroughly followed when purchasing the twin otter.

He described the situation as dangerous (“fakatu’utāmaki”).

He said the airline has three aircraft, but only the twin otter is still operating. Mr Piukala said that the plane has been repeatedly grounded for maintenance checks.

The Deputy Prime Minister joined Piukala during the media briefing and said the Director of Civil Aviation had grounded the twin otter on Tuesday due to a regulatory violation. He said the Lulutai completed the necessary requirements and it was allowed to resume service on Wednesday.

Computer sensor damage

As Kaniva reported previously, about four months after the twin otter arrived in Tonga, a computer sensor was damaged, causing the aircraft to be grounded.

The data sensor was part of the aircraft’s  Air Data Attitude Heading And Reference System (ADAHRS).

Ousted chief executive Poasi Tei received public criticism after it was discovered that the new part was sent to Tonga in a passenger’s luggage. The luggage was held at Brisbane Airport for inspection after it appeared the part should not have been placed in the passenger’s cargo.  

The outgoing government of Hu’akavameiliku previously said it paid US$6.25 million into two accounts with the Bank of America and the Abu Dhabi Commercial Bank to purchase the new aircraft for Lulutai Airlines.  

Former Prime Minister Hu’akavameiliku, who was accused of providing misleading information in Parliament and failing to respond to MPs’ questions about the purchase of the aircraft, finally confirmed the purchase in August 2023. 

We contacted Hu’akavameiliku for comment at the time.

Aircraft expert comments 

As we reported at the time, Kaniva News contacted some experts in aircraft engineering and sales asking whether they had any knowledge about the twin otter. 

Some who did not want to be identified, as they did not want to be seen as getting involved in the political side of this deal, said the aircraft was currently in China and had allegedly been grounded since 2018. 

They said the five-year period of the aircraft’s inactivity from 2018 to 2023 should have been a concern for Tonga because aircraft parts had certain timeframes which require replacements when they were expired. 

An expert said he was surprised after he learnt the money was paid in full while the aircraft was sitting in China. 

He said that from his experience the payment should have been deposited part by part in a process in which Tonga should only deposit the last portions of payment when the aircraft arrived in the kingdom or departed China. 

It is understood the aircraft was inspected as part of the purchase. However, it is believed the person who inspected the aircraft was sent by the aircraft agent. 

“The interest of the agent is to sell the aircraft while at the same time Tonga should have done their own inspection to make sure the aircraft is safe according to New Zealand safety rules and requirements which apply in Tonga,” an expert said. 

“Some parts of the aircraft are calendar time, meaning after two or three years they have to be replaced, no matter whether the aircraft is in operation or is being grounded”, the expert claimed. 

He said Tonga should have been involved very closely with the inspection process to make sure it did not spend extra money to replace the parts once the aircraft arrived in Tonga. 

“Tonga should know about this and should have asked the seller to replace such parts of the aircraft because the aircraft was not a brand new”. 

Kaniva News contacted former Lulutai CEO for comment at the time.

Lulutai employs Real Tonga director as interim CEO to assist in airlines review process

By
Kalino Latu
-

Lulutai airlines has officially appointed the director of Real Tonga Tevita Palu as its interim chief executive officer.

Palu Aviation and Real Tonga owner Tēvita Palu

The appointment comes after the government terminated the contract of former CEO Poasi Tei, following our report this morning.

The Minister for Public Enterprises has confirmed that Palu has been brought in because of his expertise in aircraft services.

The government expected Palu to conduct a review and provide a report on Lulutai Airlines’ current technical and mechanical status and forecast of its future performance, the Minister for Public Enterprises, Piveni Piukala said.

As Kaniva News reported yesterday, the government has been really concerned about the airline’s operation, with Piukala describing it as nosediving (“meleuku”) and “very cloudy.”

He said the government was assessing the possibility of winding up the company.

Piukala said that the previous governments had invested approximately $21 million in the airlines, an investment he questioned regarding its reliability.

In the year 2013, the government of Tu’ivakanō entered into a partnership with Real Tonga to establish a national airline dedicated to meeting domestic transportation needs.

The move forced Chathams Pacific, a New Zealand-owned company that operated Tonga’s sole domestic airline, to pull out.

After about seven years, in 2020, the Tu’i’onetoa government decided to establish a government-owned airline, leading to the creation of Lulutai.

Palu previously said Real Tonga had been put out of operation by Covid-19 and local politics.

He said at the time that with the border open, a safe and reliable air service was necessary while he attempted to persuade the then government to reinstate his airlines in the air services.

Palu said that aircraft from New Zealand were readily available for delivery to Tonga and were waiting on Tongan Government approval.

Goverment terminates Lulutai CEO Poasi Tei’s contract amid airlines review

By
Kalino Latu
-

The Eke government has reportedly fired the Lulutai Airlines chief executive officer, a reliable source told Kaniva News.

Tonga’s Minister of Information, Hon Poasi Tei. Photo/Kalino Lātū (Kaniva Tonga News)

It is understood that the Prime Minister is expected to make an official announcement this afternoon.

Kaniva News contacted the Prime Minister for comment.

Tei was appointed by former Prime Minister Hu’akavameiliku after Parliament dismissed the chief executive officer due to his court conviction for electoral bribery.

The news comes after the Minister for Public Enterprises, Piveni Piukala, said Lulutai Airlines service was taking a nosedive (“meleuku”) and its operation was “very cloudy”.  

Piukala said the airline’s management has asked for $7 million to revive the company.  

“In a scenario where there is no $7 million, the company must be wound up,” Mr Piukala said during a media briefing last week.

Piukala said that the biggest challenge they faced while reviewing Lulutai was that the previous governments had invested approximately $21 million in it.  

He said he had just learned of a $10 million loan the airlines secured from the Retirement Fund Board.  

He stated that out of the $10 million, $6 million was spent on the new Twin Otter, while $4 million was allocated for share purchases. 

The Prime Minister said the government was reviewing the airlines to assess its financial viability. 

PM Eke wanted to understand Lulutai’s operational capabilities, including assessing the staff to determine whether they possess the necessary qualifications.

The news follows revelations about civil servants’ concerns regarding their retirement funds and whether Lulutai Airlines could repay its loans. 

Lulutai Airlines has been controversial since its inception in 2020 by the Tu’i’onetoa government, in which most of the outgoing Cabinet Ministers were members.   

Experts, including assessors from the IMF, said that airlines in the Pacific Islands are generally not profitable ventures, except for Fijian airlines, in which Qantas holds a 46 percent share.

Lulutai has been accused of providing poor service, failing to communicate effectively with customers, and not offering an online service for passengers.

If Lulutai were to be liquidated, it would become the 14th airline to be shut down in the kingdom.

Lulutai seeking $7 million subsidy as gov’t assesses possibility for the airlines to be ‘wound-up’

By
Kalino Latu
-

The government is assessing the possibility of ceasing Lulutai Airlines services due to its inability to meet financial obligations, the Minister for Public Enterprises says.

Minister for Public Enterprises Paula Piveni Piukala. Photo/Fale Alea ‘O Tonga

The news follows serious concerns among public servants after revelations that Lulutai had borrowed millions of their retirement funds.

The Minister for Public Enterprises, Piveni Piukala, said Lulutai Airlines service was taking a nosedive (“meleuku”).  

He said the government-sponsored company’s operation was “very cloudy”.  

He also said the airline’s management has asked for $7 million to revive the company.  

“In a scenario where there is no $7 million, the company must be wound up,” Mr Piukala said during a media briefing last week.

Piukala said that the biggest challenge they faced while reviewing Lulutai was that the previous governments had invested approximately $21 million in it.  

He said he had just learned of a $10 million loan the airlines secured from the Retirement Fund Board.  

He stated that out of the $10 million, $6 million was spent on the new Twin Otter, while $4 million was allocated for share purchases. 

The Prime Minister said the government was reviewing the airlines to assess its financial viability. 

PM Eke wanted to understand Lulutai’s operational capabilities, including assessing the staff to determine whether they possess the necessary qualifications.

The news follows revelations about civil servants’ concerns regarding their retirement funds and whether Lulutai Airlines could repay its loans. 

Loan guarantee   

Eke previously said in an interview with Kaniva News that Lulutai’s loan from the Retirement Fund Board might be secure because the government guaranteed it.  

However, he was concerned about the airline’s lack of transparency and the allegations of associated financial losses.   

He said that if Lulutai failed to repay the money, the government would need to reallocate funds from other parts of the budget, which would be a problem.  

Lulutai Airlines has been controversial since its inception in 2020 by the Tu’i’onetoa government, in which most of the outgoing Cabinet Ministers were members.   

Experts, including assessors from the IMF, said that airlines in the Pacific Islands are generally not profitable ventures, except for Fijian airlines, in which Qantas holds a 46 percent share.

Lulutai has been accused of providing poor service, failing to communicate effectively with customers, and not offering an online service for passengers.

If Lulutai were to be liquidated, it would become the 14th airline to be shut down in the kingdom.

Man hospitalised after early morning brawl in Auckland’s CBD

By
Kaniva Staff
-

By 1News Reporters

A man has been hospitalised after a group of men were reportedly fighting on Galway St in Auckland’s CBD early this morning.

A man has been hospitalised after a group of men were reportedly fighting on Galway St, in Auckland's CBD.
A man has been hospitalised after a group of men were reportedly fighting on Galway St, in Auckland’s CBD. (Source: 1News)

Auckland City CIB Detective Senior Sergeant Martin Friend said police were called to an aggravated assault in central Auckland around 3.15am.

On arrival, he said officers found a man who had suffered serious injuries, and he was transported to hospital.

“The man is in a serious but stable condition. His injuries are not thought to be life-threatening,” Friend said.

Galway Street in Auckland's CBD, as picture don Google Maps.
Galway Street in Auckland’s CBD, as picture don Google Maps. (Source: Supplied)

An investigation was now underway into what occurred and to identify the offenders responsible.

Friend said police would be reviewing CCTV footage as part of inquiries, and urged anyone with information to update police online, by calling 105 or anonymously via Crime Stoppers on 0800 555 111.

Gang members charged after cache of guns found at Auckland property

By
Kaniva Staff
-

By 1News Reporters

Police have recovered a number of guns and hundreds of rounds of ammunition after searching a property in Auckland’s Papatoetoe last night.

(Source: New Zealand Police)

The police Eagle helicopter located a vehicle of interest linked to an incident where a gun was allegedly pulled on a person on Monday night.

Area commander for Counties Manukau West inspector Dave Christoffersen said police then went to the property the car was parked outside.

Armed staff asked those inside to come out, which they did, and police searched the property.

They found “numerous” guns as well as ammunition. The haul included two shotguns, two SKS assault rifles and a MSSA rifle.

(Source: New Zealand Police)

Two patched members of the TwoEight Brotherhood gang have since been charged — each facing 10 charges relating to the unlawful possession of firearms and ammunition.

“There is no tolerance for intimidation or violence, and we will continue to go after those who are involving themselves in this offending,” Christoffersen said.

“Police will continue to investigate the initial firearms incident from Monday night, which fortunately did not result in any injuries.”

Virgin pilot sounded alarm on Chinese live fire drill in Tasman Sea

By
Kaniva Staff
-

By 1news.co.nz

A Virgin pilot was the first to receive warnings from the Chinese military mid-flight of a live fire exercise in the Tasman Sea, before alerting aviation officials.

Airservices Australia representatives told a parliamentary hearing yesterday evening, 49 flights had to be diverted last Friday after the People’s Liberation Army-Navy broadcast it was undertaking hazardous activity in the busy airspace.

Nationals senator Bridget McKenzie grilled officials on the chronology of events.

Airservices Australia chief executive Rob Sharp confirmed his organisation became aware of the risk to aircraft at 9.58am on Friday.

“It was in fact Virgin Australia advising that a foreign warship was broadcasting that they were conducting live firing 300 nautical miles east of our coast,” he said.

“That is how we first found out about the issue.”

Sharp said within two minutes, by 10am, air traffic control commenced a hazard alert to let all flights in the area know there was danger.

Deputy chief executive Peter Curran told the hearing the Virgin pilot had received the transmission on an emergency frequency monitored by pilots – but not air traffic control.

“We cannot hear what was said, and the pilot of the Virgin aircraft heard what was said from the Chinese vessel, relayed it to air traffic control, and air traffic control passed that through our system and started giving hazard alert into all the aircraft on the frequency,” he said

Curran said just after 10am the organisation’s national operations centre contacted Defence Joint Operations Command to advise of the situation.

He said Airservices Australia wasn’t sure if it was a potential hoax or real, but that the information was passed on.

Curran said the usual notice period for a military to provide an alert about activity was 24 to 48 hours.

In response to the reports, Prime Minister Anthony Albanese reaffirmed the Australian military was aware soon after the alert was received.

“I’ve spoken with the chief of the defence force about what has occurred,” he told reporters.

“Australia has had frigates both monitoring by sea and by air.”

The live fire exercise follows a run in with the Chinese military earlier this month, where a fighter jet fired flares in front of a RAAF surveillance aircraft over the South China Sea.

New category 1 cyclone Seru to affect Tonga, Rae moving away from the groups

By
Kaniva Staff
-

Tonga’s MetService said that a new tropical cyclone, Seru, is expected to affect the Tonga groups. 

It said the system does not directly threaten Tonga in the next 24-48 hours. 

Tropical Depression (TD) 10F has intensified into the Tropical Cyclone Seru.

It was located near the East Northeast of Port Villa, Vanuatu, a location facing west-northwest of Nuku’alofa, Tongatapu at 4pm this afternoon.  

Tropical Cyclone Seru is slowly moving towards Tonga.  

The maximum wind near the centre is about 35-40 knots (70-80km/hrs).  

Meanwhile, the Service said Tropical Cyclone Rae is expected to move away from Tonga’s southern waters tomorrow morning.  

The Category Two Tropical Cyclone Rae is expected to affect Tonga’s southern waters over the weekend.

However, it no longer poses any direct threat to Tonga land areas. 

Lawyer Tupou accuses Prof Lafitani of lying about Tonga’s democracy and questions his knowledge of law and the status of Lo’au University

By
Kalino Latu
-

Lawyer Nalesoni Tupou has accused Professor Siosiua Lafitani of lying and challenged his legal expertise after Lafitani claimed that Tupou was not telling the truth when commenting on matters related to the kingdom’s democracy.

Professor Siosiua Lafitani (L) and Lawyer Nalesoni Tupou

The Auckland-based Tongan lawyer was responding in support of a previous editorial by Kaniva News debunking Professor Lafitani’s claim that Tonga’s 2010 political reform was not a change to democracy.

Tupou and Kaniva News are among a number of media personnel Lafitani has accused of promoting speculative information (“fakanāfala”) and unenlightened thinking (“fakakaukau fakapo‘uli”) because of his view that Tonga is not a democracy.

Lafitani has continued his attack against Kaniva News editor Kalino Latu. We will respond to that in a separate story shortly.

As our editorial mentioned previously, Lafitani also made untruthful claims including allegations that he was the first scholar to have introduced the idea of democracy to Tonga in 1988.

He also claimed that the word democracy was not written in the Tongan constitution and that was why he believed Tonga was not a democratic form of government.

After Kaniva News ran the editorial with supporting evidence refuting Lafitani’s false claims Tupou shared the editorial on Facebook warning Lafitani that we had printed the truth. 

“Loi ‘a Lafitani”, Tupou wrote in Tongan, saying Lafitani was lying.

Tupou told Lafitani he, as a lawyer, had successfully represented court cases in Tonga which had been based on democratic principles.  

Tupou contacts Lafitani

Lafitani claimed in his response to Kaniva News’ editorial on Facebook that Tupou had contacted him after the story was published.

In their communication, Tupou asked Lafitani to correct his claims reported by Kaniva News.

Tupou also wanted to know about Lafitani’s expertise in law and constitution.

He said Lafitani was a “social scientist and anthropology scholar . . . . never a scholar of law or constitutional law.”

He asked Lafitani about the location of his Lo‘au University and whether it was registered in Tonga or Texas. He also wanted to know who was funding his university.

Lafitani’s responses

Lafitani declined to respond to Tupou’s inquiries whether he was qualified in law and constitutional matters.

He also refused to respond to the queries about his university’s registration and who was funding it. He claimed that Tupou’s queries were of a personal nature, drawing a parallel with the Tongan practice of “lau ako mo lau ngaue,” which involves the practice of bragging about one’s intelligence and achievements.

He insisted that Tupou’s queries should have been directed to the Lo‘au University’s board of directors, but said the University was not accountable to Tupou.

Regarding his claim that he was the first person to introduce democracy to Tonga in 1988, he told Tupou he and Kaniva News should do thorough research about his 1988 speech. He failed to mention that we pointed out that the Late ‘Akilisi Pohiva’s Matalafo Laukai radio programme had introduced the idea of democracy to the country  in 1981, seven years before Lafitani’s speech.

This was followed by the Kele‘a newspaper, which was established in 1986 to pursue the Matalafo Laukai programme after the government banned it in 1983. Pohiva was dismissed from the public service as a teacher in 1984 because he openly shared his ideas for a democratic government. 

Lafitani also claimed that his lecturer, Professor Futa Helu of ‘Atenisi University, was unhappy about his speech and told him in Tongan that he was “kaaimu’a.” This is a negative saying similar to English proverb “the early bird catches the worm.” In this sense, it means Professor Helu wanted to be the one who first made such a speech about democracy. 

Editor’s comment:

Professor Lafitani should be transparent about his background and his university. He was the one who first made serious accusations against Tupou and Kaniva News.

He has promoted his university to the public, so the public, including Tupou, has the right to know everything about the university including who is funding it and whether it is registered or not.

These are essential requirements that are common in most recognised universities in the Pacific, including New Zealand and Australia.

Those universities have official websites in which everything about the institutions such as lecturers’ qualifications and backgrounds, constitution, policy, contacts, schedules, courses and a repository for their students’ research thesis and dissertations are made available to the public.

Lo‘au University no longer appears to be operating its two websites, known previously as Nuama and Lo‘au ‘University. It appears the University is now being operated through Facebook and has some videos on Youtube.

The university was launched by Minister for Education Dr. ‘Ana Maui Taufe’ulungaki on January 7, 2014. It was described by the media at the time as “Tonga’s first online virtual university.” 

Former council building inspector sentenced for accepting bribes

By
Kaniva Staff
-

By 1News Reporters

A former building inspector for Auckland Council has been sentenced to 11 months’ home detention after pleading guilty to 21 charges of accepting bribes as a public official.

A judge's hammer (file picture).
A judge’s hammer (file picture). (Source: istock.com)

Nicholas Bright accepted the bribes, which included cash payments and home renovations, in connection with his role as a building inspector, the Serious Fraud Office said.

It added the “corrupt activities” lasted for over two years.

The renovation work included gas fitting work, installation of a heat pump, double-glazed windows and a new carpet. The cash payments totalled more than $35,000.

Auckland Council referred the matter to the SFO after an internal investigation identified irregularities in Bright’s inspections.

Serious Fraud Office director Karen Chang said tackling bribery and corruption involving public officials remains a “key strategic focus” for the SFO – particularly where health and safety may be compromised.

“When public officials engage in corruption, it weakens New Zealand’s reputation as an attractive place to invest. As this case highlights, it can also have real consequences for everyday Kiwis, undermining confidence and trust in the safety and compliance of our buildings.”

Chang encouraged public sector professionals in key roles, such as procurement and finance, to engage with the SFO’s counter fraud centre.

“The SFO is committed to strengthening counter-fraud capabilities across the public sector. I encourage agencies to connect with our Counter Fraud team to enhance their systems and processes for identifying fraud risks and red flags.”

In being sentenced at the Manukau District Court, Bright received credit for pleading guilty early, remorse and cooperating with the investigation.

A company director who is linked to the case is set to appear in the Manukau District Court next month.

‘Significant breach of our trust’

In a statement to 1News, Auckland Council building consents manager Ian McCormick said it was “extremely disappointing” to learn of “this individual’s significant breach of our trust”.

“Thankfully, the council had good systems in place which allowed us to identify anomalies in the former staff member’s behaviour, and to quickly launch a full audit and investigation. This was followed by an immediate suspension and referral to Police.

“While the former staff member’s behaviour was unacceptable, we have thoroughly reviewed all work carried out in relation to this individual and have not found any evidence of compromised building work.”

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