23 Feb 2004

PNG Government to cancel leases of rent defaulting companies

4:21 pm on 23 February 2004

The Papua New Guinea Lands department is to begin forfeiting land from 145 corporations which have outstanding rents totalling almost 5 million US dollars.

The Post Courier newspaper reports that Lands chief, Pepi Kimas, says corporations had failed to settle their debts, despite special payment options to do so.

He says he has decided to use the law to directly forfeit the lease.

Mr Kimas says he was empowered to take action on defaulting individuals and organisations to get the courts to restore their titles.

He says he is amazed by corporations choosing to ignore the law, and owe the department so much rental money.

Mr Kimus says there are corporations with properties with outstanding rents from 15 point 5 thousand to 341-thousand US dollars.