The suspended executives of the Lihir Mining Area Landowners Association (LMALA) on Lihir island, New Ireland province have claimed that they have been reinstated by the Court.
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| LMALA’s Sebastian Yanasa (standing), Joe Chik Chaki (sitting L) with their group at Londolovit village on Wed, Jan 23. Image: CYRIL GARE. |
They were seeking community reps in the ‘court reinstated’ LMALA board to fulfil the requirements for an Annual General Meeting (AGM) planned for an unspecific time.
The Investment Promotion Authority (IPA) had suspended LMALA executives on June 19, 2017 allegedly for mismanagement and tax evasion following a 2015 business audit report. It is not clear who sanctioned the business audit of LMALA at that time however reports were that IPA and Newcrest were behind it.
An interim LMALA board installed by IPA had paid K180,000 in taxes recently. But the suspended LMALA board and executives have taken IPA to court and also sought orders preventing the interim LMALA board to operate.
But Mr. Yanasa and his team fell short to provide a “black and white” copy of the Court decision that reinstated them when cornered by the Londolovit community through its Londolovit Sagomana Association (LSA) chairlady, Ms. Roselyne Arau.
“We (Londolovit) remain Thomas, we are not convinced until you prove it to us with a black and white copy of the Court decision,” Ms. Arau said.
Other board members of the water resource owner’s LSA; Willie Liomso, Nick Kopruh and Robin Wesparo all had expressed dislike for the return of the “old executives” to manage the operations of the LMALA once again claiming that LMALA under their stewardships “had ignored and neglected the water issues of the Londolovit people for over 20 years”.
Ms. Arau closed further discussions with the visiting LMALA team until they provide: a true copy of the court decision that reinstated them, a copy of the business audit report which will identify where Londolovit’s benefits under tenements ME 73 and LMP 34 have been going to since 1995 (if any), clarity to the mine impacted communities on which leadership to trust and follow between the IPA installed and Court reinstated LMALA executives and board.
Meanwhile, there was so much anxiety among landowner groups under the 14 tenements of the Lihir project.
Landowners have accused Newcrest of taking advantage of the “absence” of LMALA - the umbrella body that cover the interest of all LO groups under the mine’s 14 tenements to bulldoze its new “proposed terms” (agreements) using the LAR (Lihir Agreement Review) process which is ongoing at the time of print.
They described the new proposed terms as “dangerous and frightening” as it will supersede all original agreements and related benefits sealed in 1995 when the mine first started operations (first gold exported from Lihir in 1997).
The “new proposed terms” – among others - seek to:
- avoid umbrella structure of LMALA;
- put in place “direct relationship” with tenement holders (LO’s);
- establish a new “Foundation” in place of LMALA to “ensure effective operational governance, discipline, and accountability” of all parties;
- remove the current 5 year cycle of review, agreements under the new “proposed terms” will now extend to the entire “life of the operation” of the Lihir gold mine; and
- others.
“This is the frightening part; new “agreements will be for the life of the operation”. Meaning this LAR is the last to be signed, there shall be no more reviews during entire life of the mine.
This has raised fear and so much anxiety among all landowner parties. We are cautious and not ready to put pen to paper as yet,” LSA’s Roselyne Arau said.
She appealed to Lihirians to be wary of Newcrest’s “divide and rule” techniques that is already creating infighting among LO groups “while it is continuously extracting our water and gold behind our backs”.
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