Maru alleges a crime syndicate within the East Sepik Provincial Administration

An investigation has been ordered into the finances of the East Sepik Provincial Government and Administration.
Prime Minister Peter O'Neil ordered the investigation, following revelations of a crime syndicate involving bank and government officers, which resulted in the disappearance of 1-point-2 million Kina to rehabilitate the Boram General Hospital in Wewak.
Yangoru-Sausia MP and Trade, Commerce and Industry Minister Richard Maru alleges that officers from the provincial administration, treasury and banks, colluded in stealing the money.
"So it seems to me the person who made the claim, the provincial administration, secretary to the officer, the provincial treasury office, and BSP staff, all worked together to quickly process this bogus claim.
"So I believe, there's a whole network, a syndicate that operates within the province."
A team is already on the ground to look into the matter.
Meantime, the Boram Hospital Board says, it had never called for tenders, nor awarded any contracts to fix the hospital's toilets.
Chairman Allan Bird told NBC News, the board is only allowed to award contracts of up to 500-thousand Kina, under the Public Finance Management Act.
"So how that contract was awarded, as far as I'm concerned, there's no basis for it to be awarded.
"There was no scope done, there was no call from the hospital to use this fund, so all of these things were done completely without our knowledge."
Mr. Bird says people of East and West Sepik, especially mothers and children, will continue to suffer following the theft.