PROMINENT Opposition MP Kerenga Kua has called on Bank South Pacific (BSP) and other banks to freeze the proceeds from the recent sale of Motor Vehicle Insurance Limited (MVIL) shares.
“I call upon BSP if it is the banker to independently freeze the accounts where the proceeds of the sale are banked,” Mr Kua told a news conference yesterday.
“The same goes to any other bank where the proceeds of the sale are held. This is because there is serious case of the banks knowingly (after this notice) endorsing a case of money laundering here.”
The Sinasina-Yonggamugl MP said the proceeds from the sale must not be spent on any state sponsored activities as envisaged by State Enterprises Minister William Duma.
Mr Kua said: “Until the question of the legality of this transaction is established, because this is one of the biggest fraudulent exchanges by the government and theft of other people’s money.
“Knowing the State is not a shareholder in MVIL, it is important to immediately move to protect that account and freeze it, if that account is with any other banks like, Kina Bank, Westpac, ANZ for that matter the same thing applies.
“The banks now are put on notice particularly BSP to put a freeze of that account, suspend all transactions on it and we must now answer the question of whether it is money laundering, If the banks continue to allow financial transactions to take place before we go to the bottom of the enquiry, in those banks are knowing facilitating money laundering.
“A bank cannot properly and responsibility take the risk of transecting on those accounts whist the controversy remains unsolved through an independent and competent authority, such as a commission of Inquiry under the Commission of Inquiry Act (to be appointed by the Prime Minister) or through the courts in a civil action.
“This may also include any investigations to be concluded by other state authorities such as the police, the Ombudsman Commission and the Independent Commission Against Corruption (ICAC).