19 Sep 2005

New Solomons political party vows to probe loan disbursement

3:20 pm on 19 September 2005

A newly formed Solomon Islands political party has promised to investigate how millions of dollars of loans from a Taiwanese bank was dispersed, if it wins next year's election.

The Social Credit Party launched its 2006 election platform in Honiara yesterday.

In 2001, the Solomons government borrowed 25 million US dollars from the Taiwanese Exim Bank to settle compensation claims from property owners who lost them during the ethnic tensions.

The Social Credit Party is alleging the money was misused.

Party president and former prime minister Manasseh Sogavare, whose administration had paid out the compensation claims, says it would clamp down on corruption.

He says corrupt leaders are liabilities to Solomon Islands because they help themselves to state finances and need to be brought to justice.