PNG's Somare implicated in Singapore laundering case

1:02 pm on 2 September 2016

Papua New Guinea's former prime minister Sir Michael Somare has been implicated in a money laundering case in Singapore.

Former Papua New Guinea Prime Minister Sir Michael Somare

Former Papua New Guinea Prime Minister Sir Michael Somare Photo: RNZ / Johnny Blades

The Straits Times reports that in 2010 a married couple laundered US$3.6 million which had been meant to set up community colleges in PNG - then gave US$784,000 of it to Sir Michael, the country's prime minister at the time.

Singaporean woman Lim Ai Wah, was given five years' jail while her American husband, Thomas Doehrman, got five years and 10 months - both found guilty on falsification of accounts and charges of transferring the benefits of crime.

Doehrman had been the trustee of a fund set up by the PNG government to set up community colleges in the country.

In their police statements, Lim and Doehrman said bribes had to be paid to Sir Michael in order to get business from PNG.

Deputy Public Prosecutor Alan Loh said the fact that some of the laundered money was traced to Sir Michael's bank account in Singapore will cause public disquiet.