Document content

• Page 2 of 51

• P.O Box 1831 TELEPHONE: (675) 320 3200
  PORT MORESBY 121, NCD FACSIMILE: (675) 320 3263
  Papua New Guinea EMAIL: [email protected]

  DATE: 17/03/2014

  His Excellency Sir Michael Ogio CMG, CBE
  The Governor-General
  Government House
  KONEDOBU
  National Capital District

  Your Excellency,

  Section 220 of the Constitution* requires the Ombudsman Commission to furnish to the Head of State, for
  presentation to Parliament, an Annual Report on its functions and workings as well as other such reports as
  necessary from time to time.

  The Commission hereby submits its 2013 Annual Report. It covers the period 1 January 2013 to 31 December
  2013 and includes the Commission’s 2013 Audited Financial Report.

  We advise that at the finalisation of this Report, Ombudsman John Nero; BAC, MBA has passed away hence
  the omission of his signature.

  Yours sincerely,

  Rigo A. Lua; OBE Phoebe Sangetari; LLB, LLM
  CHIEF OMBUDSMAN OMBUDSMAN Sec-
  tion
  220 of the Constitution is quoted here in full.

  * Section 220 of the Constitution states:
  1) The Ombudsman Commission shall at least once in each period of 12 months, at such time as is fixed by or under an Act of the Parliament or,
  subject to any such Act, by the Head of State, acting with, and in accordance with, the advice of the National Executive Council, give to the
  Head of State, for presentation to the Parliament, a report on functions and workings of the Commission, with such recommendations as to
  improvement as the Commission thinks proper.
  2) Nothing is Subsection (1) prevents the Commission from making, on its own initiative or at the request of the Parliament or of the National
  Executive, other reports on any aspect of the functions and workings of the Commission.

• Page 3 of 51

• 2013 Annual Report

  Ombudsman Commission
  of
  Papua New Guinea

  ANNUAL REPORT 2013

  For the period

  1 January 2013 to 31 December 2013

  Page i

• Page 4 of 51

• 2013 Annual Report

  TABLE OF CONTENTS

  1. MESSAGE FROM CHIEF OMBUDSMAN……………………………………………………… 6
  2. EXECUTIVE SUMMARY………………………………………………………………………… 7
  3. VISION, MISSION AND VALUES………………………………………………………………. 9
  4. PROGRESS AGAINST KEY RESULT AREAS………………………………………………… 10
   Accessibility and Service Delivery………………………………………………………………………….. 10
   Internal Screening and Assessment……………………………………………………………………… 10
   Public Education Program………………………………………………………………………………. 12
   Leadership Code Compliance and Administrative Investigation……………………………………………. 13
   Complaints and Administrative Investigation…………………………………………………………… 13
   Case Summaries…………………………………………………………………………………………. 14
   Annual Statements Assessment…………………………………………………………………………. 17
   Constitutional Compliance, Litigation and Legislative Reform……………………………………………… 19
   Corporate Capacity Development and Governance…………………………………………………………. 20
   Recruitment and Selection………………………………………………………………………………. 20
   Learning and Development……………………………………………………………………………… 21
   Twinning………………………………………………………………………………………………… 22
   IT Development…………………………………………………………………………………………. 24
   Budget Compliance……………………………………………………………………………………… 25
  5. CHALLENGES FOR THE YEAR………………………………………………………………… 27
  6. RECOMMENDATION FOR IMPROVEMENT………………………………………………… 28
  7. FINANCIAL AUDIT REPORT…………………………………………………………………… 29
  8. APPENDICES……………………………………………………………………………………… 40
   Appendix I – Major Reports produced under Section 22 of the Organic Law on the
  Ombudsman Commission as at 31 December 2013 for the last
  15 years starting with the most recent………………………………………………………. 40
   Appendix II – Leaders referred for prosecution under the Leadership Code as at
  31 December 2013 for the last 15 years starting with the most recent……………………… 41
   Appendix III – Government Bodies under the Ombudsman Commission’s Government
  Bodies Liaison Program…………………………………………………………………… 45
   Appendix IV – Former Members of Commission…………………………………………………………… 47
   Appendix V – List of Abbreviations………………………………………………………………………… 48
  9. CONTACT………………………………………………………………………………………….. 49
  10. FIGURES
   Figure 1……………………………………………………………………………………………………… 10
   Figure 2……………………………………………………………………………………………………… 10
   Figure 3……………………………………………………………………………………………………… 10
   Figure 4……………………………………………………………………………………………………… 11

  Table of Contents Page ii

• Page 5 of 51

• 2013 Annual Report

   Figure 5……………………………………………………………………………………………………… 12
   Figure 6……………………………………………………………………………………………………… 13
   Figure 7……………………………………………………………………………………………………… 13
   Figure 8……………………………………………………………………………………………………… 17
   Figure 9……………………………………………………………………………………………………… 20
   Figure 10…………………………………………………………………………………………………….. 21
   Figure 11…………………………………………………………………………………………………….. 22
   Figure 12…………………………………………………………………………………………………….. 23
   Figure 13…………………………………………………………………………………………………….. 25
   Figure 14…………………………………………………………………………………………………….. 26

  Table of Contents Page iii

• Page 6 of 51

• 2013 Annual Report

  MESSAGE FROM CHIEF OMBUDSMAN

  I t is with great honour that I present the Ombudsman Commission of
  Papua New Guinea’s (OCPNG) 2013 Annual Report. The report ba-
  sically highlights our challenges, achievements, financial information
  and the plans for future development. The report, we believe will be
  informative to you.

  OCPNG continues to fulfil its mandate under the Constitution, the Or-
  ganic Law on the Ombudsman Commission and the Organic Law on Duties
  and Responsibilities of Leadership. In managing the affairs of the Commis-
  sion, the members and officers of the Commission tried to achieve
  some impact and measurable output under the 2013 Ombudsplan
  (Annual Business Plan) and the Strategic Plan 2011 – 2015.
  Rigo A. Lua; OBE
  Chief Ombudsman During my tenure as the Chief Ombudsman, the OCPNG has taken a
  new approach to strengthen the internal affairs (staff welfare and per-
  formance) to prepare it for greater responsibilities and carry out its mandated functions more effectively
  and proactively. It is my vision that by the year 2019, the Ombudsman Commission will be a vibrant,
  primer institution in pursuit of promoting good governance and quality leadership in Papua New
  Guinea.

  The Commission has gone through some challenges this year due to a lot of outstanding matters not pro-
  gressed as a result of lack of quorum, and some unprecedented events but we were able overcome them.
  In the last five months of 2013 we managed slowly but gradually with the assistance of the two Ombuds-
  men and officers of the Commission to advance some of the shelved matters. Some of the notable achieve-
  ments this year include; retrenchment of four officers, improved Terms & Conditions of Employment, Re-
  cruitment drive, Contract issues and other administrative matters as well as constitutional. I started with
  improving the new Terms & Conditions of Employment for our officers to basically improve the perfor-
  mance level so that the Commission delivers the expected level of service to the people of Papua New
  Guinea.

  I wish to pay special tribute to the four longest serving officers who were retrenched this year as well as
  our current committed officers from the headquarter and regional offices who unceasingly commit their
  time and efforts in driving the vision of this institution. I call upon the officers of the Commission to con-
  tinue to provide their expertise and assistance required by us to deliver the aspirations of the people of
  Papua New Guinea.

  I acknowledge and express my deepest appreciation to the senior management, and all the officers of the
  Commission who have contributed to this year’s achievements of most of our strategic objectives.

  Above all I thank God for the inspiration in the development of this new vision and pray for his continual
  guidance as we endeavour to take the Commission forward.

  Message from the Chief Ombudsman Page 6

• Page 7 of 51

• 2013 Annual Report

  EXECUTIVE SUMMARY

  The Ombudsman Commission of Papua New Guinea started the year with yet another passing of a critical
  personnel required by law in its overall operation. Gabe Hekoi was serving as the Acting Ombudsman
  during the time of his passing in February 2013. Mr Hekoi’s substantive position was Secretary to the
  Commission and was appointed to his acting capacity when Ombudsman Phoebe Sangetari was elevated
  to Acting Chief Ombudsman following the death of Chronox Manek in 2012.

  The fluctuation of vacancies at the top management level amounted in the lack of quorum to hold Com-
  mission meetings to deliberate on both Administrative and Constitutional matters. Administrative matters
  include human resource, training, contracts, discipline and other support services in the operation of the
  Commission. Whilst Constitutional matters refer to leadership, complaint administrative investigations
  and other essential matters to do with the mandated functions of the Commission.

  Commission meetings have a great impact on the work of the Commission as that is when decisions on
  important matters are made. The quorum at the meeting is two as specified under Section 14 (3) of the Or-
  ganic Law on the Ombudsman Commission (OLOC), Chief Ombudsman and an Ombudsman. The Chief Om-
  budsman presides at all meetings of the Commission. Apart from the Members of the Commission
  (MOC), the Secretary and the Counsel to the Commission are required to be present during these meet-
  ings. Other officers may attend at the invitation of the Commission.

  The Commission meets at such times and places as are fixed by the Chief Ombudsman. Normally, the
  meetings are held twice a month and about 24 meetings altogether in a year. In some circumstances, there
  are special meetings that are held when urgent matters and/or business needs arise. In the event of an
  equality of votes on a matter, the Chief Ombudsman has the casting as well as deliberative vote on the
  matter (Section 14(5) of the OLOC).

  It was a relief for the Ombudsman Commission when the Chief Ombudsman was appointed in July 2013,
  almost a year after the position was vacant. This meant Commission meetings were held and matters that
  awaited deliberation, progressed.

  One of the first matters that MOC deliberated on when the new CO took office was the implementation of
  the improved staff Terms & Conditions of employment. This was a timely decision made to boost officers’
  morale after the prolonged appointment of a Chief Ombudsman which created uncertainty and backlogs
  of cases.

  Following the implementation of the staff Terms & Conditions, unattached officers were finally retrenched
  after years of waiting. It was the Commission’s first retrenchment exercise since its establishment, hence,
  the cause of delay in implementation because the Commission had to ensure that the retrenchment exer-
  cise was properly done according to the Public Service guidelines. In December the Commission released
  four (4) of its long serving officers who had together contributed more than 60 years in the service of the
  Commission.

  Despite the many challenges the Commission encountered it managed to deliver some of its planned ac-
  tivities. Prior to the Local Level Government elections in 2013, OCPNG carried out a nationwide aware-
  ness exercise on good leadership qualities. The awareness was aimed at educating voters on the type of

  Executive Summary Page 7

• Page 8 of 51

• 2013 Annual Report

  leaders they should vote for during the elections. It was similar to the awareness exercise that the Com-
  mission delivered before the 2012 National Elections which the Commission believes had an impact in the
  high turnover of sitting MPs being voted out.

  However, some matters such as recruitment continue to be a challenge to OCPNG. The Commission has
  as much as possible injected resources to its recruitment drive to fill the vacancies, however its efforts
  have not materialized due to a number of reasons. One of which has been a great concern and that is the
  Commission’s lack of competitiveness in the labour market to attract suitably qualified and experienced
  people.

  The implementation of the learning and development programs has been a success for the Commission as
  manifested by the number of officers who attended various training programs in-country and overseas
  during the year.

  In addition to the capacity building of officers, the Commission has also benefited well from the training
  provided by the Pacific Ombudsman Alliance (POA) tailored programs resulting in the attendance of
  eight (8) officers at no cost to OCPNG.

  Meanwhile, the twinning program has been one of the success pillars of corporate capacity building of
  staff skill competencies and most programs for the year were implemented except for a few due to situa-
  tions and circumstances beyond both offices’ control. Twinning is an exchange program between OCPNG
  and the Commonwealth Ombudsman of Australia.

  The challenge for the broad area of corporate capacity building through the various modes is effective
  monitoring and evaluation and reporting and proper documentation to ascertain the return value by offic-
  ers in their work in the service of the Commission.

  Budget and planning are an important aspect in
  the operation of the Commission as seen in this
  picture, a group discussion during one of the
  meetings.

  Executive Summary Page 8

• Page 9 of 51

• 2013 Annual Report

  VISION, MISSION and VALUES

  Vision
  The vision of the Ombudsman Commission is to be a vibrant, premier institution in pursuit of promoting good governance and
  quality leadership in PNG by the year 2019.

  Mission
  To promote and protect the integrity of our leaders and to help improve the work of government bodies and investigate any com-
  plaints against them to ensure there is good governance, accountability, transparency and quality leadership in the public sector.

  Values

  For the Commission to realise its Vision and fulfil its Mission, it is committed to seven (7) fundamental values in all its dealings
  in areas within its jurisdictions where it provides the oversight.

  1. Unity
  In unity we advance, divided we fail in the discharging of our mandated functions under the Constitution and the Organic
  Law on the Ombudsman Commission and the Organic Law on the Duties and Responsibilities of Leaders (OLDRL).

  2. Leadership
  We will provide leadership in our fight for transparency, accountability, good governance and quality leadership in the pub-
  lic sector as an oversight agency.

  3. Impartiality
  We will carry out our duties with impartiality by not supporting any one person or group more than the other and maintain
  our political neutrality.

  4. Integrity
  We recognize the importance of maintaining the personal integrity of each of the Members of the Commission and all offic-
  ers in the service of the Commission.

  5. Independence
  We will preserve the independence of the Ombudsman Commission and ensure that it is not subject to improper influences
  in carrying out its functions.

  6. Responsiveness
  We will be responsive to the needs and aspirations of the people of Papua New Guinea.

  7. Respect
  We will respect individuals and their rights regardless of who they are.

  Vision, Mission and Values Page 9

• Page 10 of 51

• 2013 Annual Report

  PROGRESS AGAINST KEY RESULT AREAS

  Under the Ombudsman Commission Strategic Plan 2011 – 2015, there are four (4) Key Result Areas;
   Accessibility and Service Delivery
   Leadership Code Compliance and Administrative Investigation
   Constitutional Compliance, Litigation and Legislative Reform
   Corporate Capacity Development and Governance

  1. Accessibility and Service Delivery

  Intake Screening & Assessment

  Intake Screening Unit is the Commission’s point of entry. This is where complaints are registered and assessed.
  Complaints received are either declined or escalated for investigation at this level. Complaints are declined on the
  basis that they are out of the Commission’s jurisdictions and due to other reasons specified under Section 16(3) of the
  Organic Law on the Ombudsman Commission however; the Commission also provides advice to complainants and re-
  fers them to the appropriate bodies to address their grievances. OC Regional Offices also receive and assess com-
  plaints at their respective offices.

  The following graphs show the different complaint modes, agencies most complained against, complaint issues and
  the different provinces complaints received from.

  Figure 1 shows the different modes used to collect complaints.

  2% 2%
  Complaint analysis: Most of the complaints re-
  3%
  ceived by the Ombudsman Commission is
  through writing followed by complainants visiting
  different offices of the Commission and laying
  21% complaints in person. The third mode of collecting
  Letter
  complaints is during Commission’s visits, be it
  Visit to Us
  Visit By Us
  PEP trips or investigative trips, complaints are
  52%
  Fax gathered during those events.
  Email
  20% Own Initiative

  Figure 2 shows the top 10 agencies most complained against.
  4%
  Complaint analysis: The Department of 4% Dept of Police
  Police has topped the ‘most complained 4% Private Business/Agencies
  against’ government body for the last
  7% 29% Dept of Education
  three years. In the last two years it was
  Dept of Health
  increasing at a rate of 2% each year. The 6%
  PNG Correctional Services
  increase rate is due to the high number of
  complaint cases carried over from the pre- Dept of C.I.S.
  7%
  vious year and new complaints received. Dept of Lands & Physical Planning
  However, this year the rate slightly Western Prov Administration
  dropped. 8% Dept of Defence
  18%
  East Sepik Prov Administration
  13%

  Progress Against Key Result Areas Page 10

• Page 11 of 51

• 2013 Annual Report

  Figure 3 shows the top 10 complaint issues.

  Complaint analysis: The main com-
  plaint issue recorded this year and the 5%
  4%

  previous two years was to do with Entitlements
  5%
  OC Information
  final entitlements. Most of these com-
  6% 32% Unlawful exercise of office authority
  plainants are public servants mainly
  Terms & conditions
  teachers and nurses. This graph shows
  7% Advice to Complainant
  the different complaint issues received
  Misappropriation
  in 2013.
  8% Delay in general
  Failure to make a decision
  Termination
  8%
  17% Fraud
  8%

  Figure 4 shows the top 10 provinces complained received from.

  Complaint analysis: This graph shows the percent- 3% 2%
  2%
  National Capital District
  age of complaints received from different provinces 5%
  East Sepik
  in the country. National Capital District has been the Oro
  leading province with the highest number of com- 5%
  Western Province
  plaints received for the last couple of years. One of 7% 44%
  Simbu
  the most obvious reasons why the Commission re-
  Milne Bay
  ceive a lot of complaints from NCD is because of the 10%
  Madang
  availability of OC services in the Head Office com-
  West New Britain
  pared to the most remote places of the country. 10%
  Eastern Highlands
  12%
  East New Britain

  An officer
  explaining the
  complaint form
  to a complainant
  during a Public
  Education
  Program.

  Progress Against Key Result Areas Page 11

• Page 12 of 51

• 2013 Annual Report

  Public Education Program

  The Ombudsman Commission continues to carry out awareness in various parts of the country in 2013 in its endeavour to reach
  out to as many people as possible including the general public, students and leaders on its roles and functions and the require-
  ment of the Leadership Code.

  In 2013, the Public Education Program targeted mainly students, leaders and ordinary people because it is important for every-
  one to know the Roles & Functions of the Ombudsman Commission while it is equally important for Leaders to know their du-
  ties and responsibilities under the Leadership Code which OC administers. The Commission believes that students are the coun-
  try’s future leaders and it is equally important for them to know the qualities of good leadership and good governance.

  Figure 5 shows areas that the Commission visited during the year.

  District/Institution Province
   Rigo  Hiri Central
   Abau

   Divine Word University Madang

   Goroka  Kainantu Eastern Highlands
   Asaro  Henganofi
   Daulo

   Gumine  Gembolg Simbu
   Chuave  Kerowagi
   Kundiawa

  Apart from its annual Public Education Program, the Commission carried out a nation-wide awareness on qualities of
  good leadership before the 2013 Local Level Government Elections.

  The Commission had visited some of the most remote areas in the county. While some of these visits were maiden
  trips others have been revisits.

  The Commission in its PEP distributed pamphlets/brochures and posters during open meetings and forums. Talk-
  back shows were held in provincial radio stations, mainly National Broadcasting Corporation and were conducted in
  both English and Tok-Pisin.

  The bulk of the population that have heard about the Commission understands that the Commission is there to inves-
  tigate misconduct of leaders. They know very little about the Commission’s traditional role of investigating com-
  plaints against government bodies and the bureaucracy.

  Utilizing the external media through visual audios, radio plays & jingles and television commercials is seen as the
  way forward to disseminate the message more effectively. Compared to print and meeting/forums, audio and televi-
  sion advertisements leave a deep impression on people’s mind because they are replayed messages.

  By the end of the year, the following government bodies were actively involved with the Commission’s Government
  Bodies Liaison Program.
   Central Provincial Administration
   Simbu Provincial Administration
   Eastern Highlands Provincial Administration
   PNG Defence Force
   Royal PNG Constabulary

  Progress Against Key Result Areas Page 12

• Page 13 of 51

• 2013 Annual Report

  Leadership Code Compliance & Administrative Investigations

  Complaints & Administrative Investigations

  In 2013, a total of 367 cases were investigated. Of the 367 cases, 210 were new cases and 157 were carried over from
  the previous year.
  Figure 6 shows complaints distribution life cycle.

  Complaint analysis: After complaints are
  assessed and are found to be within OC
  jurisdictions, they are escalated to the
  6%
  investigation team. The investigation
  26% Admin Complaint Assessment
  team does further assessment on the
  complaint and a preliminary investiga-
  Admin Complaint Preliminary
  tion is done. If there is prima-facie evi- 68% Investigation
  dence in the investigation, a full investi- Admin Complaint Full Investigation
  gation is carried out. For a full investiga-
  tion to be carried out it has to be en-
  dorsed by the MOC. Very few complaints
  reach the full investigation stage mainly
  because of the following;
   Not enough information/evidence
   Complaint issues resolved in the pre-
  liminary stage

  Figure 7 shows some of the outcomes of the administrative investigations carried out by the Commission in 2013.

  Progress Against Key Result Areas Page 13

• Page 14 of 51

• 2013 Annual Report

  Case Summaries

  These are some of the case summaries of complaints OC received and was dealt with under the Organic Law on the
  Ombudsman Commission.

  1. DELAY IN REFUND OF CONTRIBUTIONS BY NAMBA- 2. ALLEGED NON RECEIPT OF RESI FUNDS
  WAN SUPER LIMITED (NSL) This complaint relates to allegations that K1million
  A teacher in the Autonomous Region of Bougainville allocated by Department of Education (NDOE) as
  (AROB) who was retired complained against the Nambawan Rehabilitation of Education Sector Infrastructure
  Super Limited for the delay in executing his refund of con- (RESI) funds was misused and the school did not
  tributions after retirement in year 2006. He complained get its allocation as per its proposal.
  about the long delay in processing refund since his retire- The School Board prepared and made a project
  ment was approved by the Teaching Service Commission in proposal submission to Department of Education
  2006. to secure funding under the RESI program and it
  Since submitting the separation form he had been following was approved to the value K332, 811.10.
  up with Education office in Buka year after year and the The Commission commenced enquiries with the
  form was not forwarded to NSL by the Division of Education Central Provincial Administration and the Provin-
  in Bougainville. Due to the delay the complainant regis- cial Administrator responded to the Commission’s
  tered his complaint with Ombudsman Commission. Upon letters and provided a Report compiled by the
  commencement of investigation it was confirmed the delay District Administrator for Rigo District outlining
  was caused by the Division of Education in Bougainville. the use of K10million DSIP funds on projects ap-
  With the involvement of the Commission the documents proved by Rigo JDP&BPC in 2013.
  were processed and forwarded to the NSL.
  Vatugoro Primary School RESI funding was also
  Upon receipt of the documents NSL processed the payment included with an amount of K350, 000.00 in 2013
  and the complainant was paid an amount of K63, 625.75 in as it was not in the funded list in 2012 when
  2013 seven years after he was retired from the teaching K1million RESI fund was disbursed to the District
  service. This is a case of failure by the Division of Education by NDOE in 2011.
  in Buka which was responsible for the delay which created
  hardship for the complainant as he had made numerous Upon receipt of the funds by the school the file
  trips to and from Buka town over the years. was closed.

  4. COMPLAINT AGAINST OF-
  3. FAILURE TO CEASE TEACHER’S DEDUCTION TO KWILA INSURANCE
  FICE OF WORKERS COMPEN-
  A teacher in Milne Bay Province complained against the Division of Educa-
  SATION (OWC)
  tion – Milne Bay regarding non cessation of deduction of insurance premi-
  An employee of a company com-
  um to Kwila Insurance.
  plained that he had submitted a
  The complainant is an Elementary School Teacher in Milne Bay Province.
  Workers compensation claim
  He had alleged that his request for the cessation of his insurance premi- after he was injured at work. He
  ums paid to Kwila Insurance had not been effected upon request and the claimed that there was unreason-
  deduction continued. The complainant alleged that he took up an insur- able delay despite submitting
  ance policy with Kwila Insurance and his policy which had matured, there- relevant documentation
  fore wanted deductions ceased and sum assured paid forthwith.
  The Commission wrote to the
  Despite his request to the Department of Education the deduction contin-
  OWC and after exhausting all
  ued.
  avenues to establish whether
  He said that he had signed all documents as supplied by Kwila and were payment had already been made
  sent to Education Division but no action had been taken. to him a site visit was made to
  We contacted the Division of Education and on 25 September 2013 the the OWC where it was estab-
  complainant confirmed cessation of deduction. lished that the OWC had paid him
  Through the cooperation of the OIC salaries in Alotau and the Manager for already.
  Kwila Insurance Office, the matter was successfully dealt with. Hence, the case was closed.

  Progress Against Key Result Areas Page 14

• Page 15 of 51

• 2013 Annual Report

  5. ENOCH ABEL AGAINST PNGDF 6. ALLEGED NON-TRANSFER OF TITLE TO SECTION
  The commission received a complaint about improp- 507 LOT 16, WEWAK, ESP
  er discharge against PNGDF, that the decision was The complaint is regarding alleged non-transfer of title
  against a medical report declaring him ‘fit for re- to property described as Sec. 507, Lot 16, Wewak, by
  engagement’. The complainants appeal to the PNGDF the National Housing Corporation to the complainant.
  was unsuccessful on the grounds that he had serious
  disciplinary issues. The investigation was to deter- The property was paid off from NHC under the Govern-
  mine whether discharge procedures stipulated in the ment Sale – Off Scheme in 1996. From 1996 to 2011,
  PNGDF Manual of Personnel Administration (PNGDF fortnightly deductions were made to NHC totaling K22,
  MPA) were correctly followed and whether the deci- 940.00, but the property title was not transferred to
  sion not to retain him was fair. the complainant. Subsequent enquiries into the matter
  were made and the findings were made;
  Engagement into the PNGDF is reviewed after two
  years continuous service. Once a re-engagement The total mortgage selling price of the property was
  evaluation is done, the PNGDF makes a decision K22, 940.00.
  whether to retain a member or discharge him based The property was originally described as Section H,
  on the evaluation report. In this case, the PNGDF did Allotment 01 – (A) and it was sub – divided into three
  not re-engage the complainant based on the evalua- separate allotments. The property described as Sec-
  tion report and the history of offences he had com- tion 507, Allotment 16 is a sub-division of the above
  mitted. The complainant had been warned in the last exercise.
  disciplinary proceedings against him that he would be
  That on 06 December 2013, complainant was advised
  discharged. The Ombudsman Commission therefore
  that he had received his Owners Copy of the title to the
  concluded that the decision of the PNGDF not to re-
  property.
  tain him was an administrative decision and was justi-
  fied. The verification process conducted between 03 January
  2011 and February 2012 confirmed that the proce-
  In regard to the question whether correct procedures
  dures in subdividing the original property into three
  were followed in his discharge, the investigation
  allotments were proper and the non-transfer of the
  found that the Commanding Officer did not follow
  property title to the complainants was improper and
  the process stipulated in the MPA. The MPA requires
  unfair when all requirements were complied with.
  retention evaluations to be done three months prior
  to the due date. In this case the complainant’s en- This long delay was caused by the NHC due to its in-
  gagement expired in February and his retention eval- competence in handling the matter. The title has now
  uation was done in October. He was not given notice been granted to the complainant on 06 December
  as required by the MPA. This finding was referred to 2013 which he confirmed when contacted by tele-
  the PNGDF to ensure in future procedures were fol- phone.
  lowed.

  7. COMPLAINT AGAINST VANIMO GENERAL HOSPITAL BOARD
  This was a full investigation into a complaint about the decision of the Vanimo General Hospital Board to award as a
  parting gift, a motor vehicle owned by the Hospital to the outgoing Chief Executive Officer (CEO) of the Hospital. The Public
  Hospital Act 1994 requires Hospital Boards to acquire and dispose of assets in compliance with the requirements of the
  Public Finances (Management) Act.
  The investigation by the Ombudsman Commission found that the Board made the decision to award the vehicle as a gift in
  recognition of the outgoing CEO’s purportedly outstanding performance. This was based on a submission by the then
  Chairperson of the Board who is now deceased. The investigation found that the Board did not seek proper advice before
  making the decision. In the opinion of the Board the Chairperson (deceased) had sought appropriate advice before making
  the submission therefore approved it. The Ombudsman Commission found that the decision was in breach of the Public
  Hospital Act and the Public Finances (Management) Act.

  Progress Against Key Result Areas Page 15

• Page 16 of 51

• 2013 Annual Report

  8. OI AGAINST MADANG PROVINCIAL ADMINISTRATION
  This is an Own Initiative investigation into an allegation of improper appointment of board members to the Madang Provin-
  cial Education Board (MPEB). The allegation was made against the Provincial Education Advisor (PEA), the Department of
  Education (DoE) and the Minister for Education.
  The investigation was to determine whether the appointment procedures stipulated in the Education Act were correctly
  followed in the appointment of board members. The investigation found that correct procedures were followed by the
  Provincial Administration and the Provincial Education Advisor who made recommendations to the Minister for Education
  to make appointments.

  9. CONVICTIONS – MADANG PROVINCE 10. COMMITTAL COURT – ORO PROVINCE
  Three Reservists were charged for unlawful assault, discharging of Three separate wilful murder cases by
  firearms, possession of unlicensed firearms and possession of fire- Popondetta Police using firearms have been
  arms while under liquor under the Police Oversight arrangement. investigated through the Police Oversight
  The Madang District Court found them guilty and ordered them to arrangement in Oro Province. A total of
  pay K10, 000.00 each to the victims of human rights abuses and three regular Police Force members and a
  K100.00 each court fine. The court further ordered that the unli- Reservist have been arrested and criminally
  censed firearm used in the illegal raid to be destroyed and the ve- charged and committed by Popondetta Com-
  hicle impounded sold. Furthermore, the Madang National Court in mittal Court for Trial in the National Court.
  2013 sentenced the Commander of Task Force to two years jail for The suspect Police Force members are
  unlawful shooting that caused grievous bodily harm to a grade nine awaiting National Court Trial.
  student in one of the high schools in Madang Province.

  11. COMMITTAL COURT – ENGA PROVINCE
  Three high profile cases have also been investigated in Enga Province under the Police Oversight arrangement. These in-
  clude wilful murder, rape and sexual harassment cases. Two Mobile Squad members and a Mobile Squad Unit Commander
  have been arrested and charged for wilful murder of a young man without any justification. Another Mobile Squad member
  was arrested and charged for raping a young girl and the same mobile Squad Unit Commander was arrested and charged
  for sexually harassing a female Police officer. The Police officers involved in the three offences have all been committed for
  mention and trial in the Committal Court.

  Progress Against Key Result Areas Page 16

• Page 17 of 51

• 2013 Annual Report

  Annual Statements Assessment

  Section 4 of the Organic Law on the Duties and Responsibilities of Leadership states that a leader must submit
  his or her Annual Statement within three months after becoming a person to whom the Leadership Code
  applies.

  Figure 8 Percentage of Annual Statements issued and received from various categories of Leaders

  Annual Statements turnover

  7%
  8%
  Annual Statement received in 3
  months
  Annual Statement received after 3
  months
  85% Annual Statements not received or
  submitted

  Members of Parliament Department Heads
  120 20
  18
  100
  16
  14
  80 Annual Statement received in 3 Annual Statement received in 3
  months 12 months
  60 Annual Statement received after 3 10 Annual Statement received after 3
  months months
  8
  40 Annual Statements not received or Annual Statements not received or
  6
  submitted submitted
  4
  20
  2
  0 0
  MPs Department Heads

  Overseas Mission Heads
  Statutory Authorities
  9
  16
  8
  14
  7
  12
  6 Annual Statement received in 3
  months 10
  5
  Annual Statement received after 3 8
  4 months CEOs

  3 Annual Statements not received or 6 Board Chairman
  submitted
  2 4

  1 2

  0 0
  Overseas Mission Heads Annual Statement received Annual Statement received Annual Statements not
  in 3 months after 3 months received or submitted

  Provincial Administrators ABG
  25
  14

  12 20
  10 Annual Statement
  Annual Statement received in 3
  received in 3 months 15 months
  8
  Annual Statement Annual Statement received after 3
  6 received after 3 months months
  10
  4 Annual Statements not received or
  Annual Statements not
  submitted
  received or submitted 5
  2

  0
  0
  Provincial Administrators
  ABG

  Progress Against Key Result Areas Page 17

• Page 18 of 51

• 2013 Annual Report

  Other statutory bodies

  40
  35
  Annual Statement received in 3
  30 months
  25 Annual Statement received after 3
  20 months

  15 Annual Statements not received or
  submitted
  10
  5
  0
  Other statutory bodies

  A total of 309 Annual Statements were issued to the leaders in 2013. Out of the 309 Annual Statements is-
  sued to the leaders, 257 were returned to the Commission within the three months required period of time
  for the Statements to be returned. Twenty three (23) were returned after the required three-month grace
  period. By 31 December 2013, 21 Annual Statements were still not received from the leaders for the year.
  The late and non-submission of Annual Statement by leaders represents 14.24 percent of Statements
  which were supposed to be received in 2013, which is quite low compared to 2012 which was 14.5 per-
  cent.

  The late submissions of Annual Statements were from leaders from other statutory bodies like the Nation-
  al Youth Commission, National Development Bank, and those that do not fall under the meaning of a
  ‘statutory authority’ which comprised nine (9) late submissions. Whilst leaders from the Autonomous Re-
  gion of Bougainville House of Representatives pose the highest number of leaders who failed to submit
  their Annual Statements.

  Late and non-submission of Annual Statements by leaders shows that the leaders may be treating the An-
  nual Statements as a trivial matter and insignificant when these are really of equal importance as other
  breaches of the Leadership Code. Annual Statements submitted by the leaders speak volumes of them-
  selves, their conduct and leadership and governance in terms of transparency, accountability and integri-
  ty. Above all their true state of affairs for the 12 months whilst remaining a leader.

  The Commission’s experience with the Annual Statements in 2013 is almost similar to that of 2012. Statis-
  tics for both 2012 and 2013 indicates that many leaders are not consulting the Commission in seeking as-
  sistance to complete their Annual Statements within the grace period allowed by Law.

  Leadership Code Compliance
  In 2013, there were 146 cases carried over from the previous year and there were 242 complaints investi-
  gated. Of the 242 cases, 96 were new cases. 98 were completed and closed and there were 14 full reports
  produced with draft Right To Be Heard (RTBH). By the end of the year, 144 cases were still outstanding
  hence they were carried forward to 2014.

  The four (4) main categories of allegations were;
   misappropriation,
   personal gain,
   abuse of power and
   integrity issues.

  Progress Against Key Result Areas Page 18

• Page 19 of 51

• 2013 Annual Report

  Constitutional Compliance, Litigation & Legislative Reform

  The Office of Counsel deals with all legal and advisory matters that come before the Ombudsman Com-
  mission.

  In 2013, the Ombudsman Commission issued only one (1) Right To Be Heard (RTBH).
  RTBH is basically to give the leader in writing the allegations alleged against him and to afford him that
  opportunity to respond to those allegations. This is to ensure that a leader is given a fair opportunity to
  state his reasons in respect of the allegations and that fairness is accorded in respect of the law.

  Leadership Tribunals
  There were two (2) leaders referred to the Public Prosecutor for the breach of Section 4 (6) of the Constitu-
  tion and Section 27 on the Organic Law on Duties and Responsibilities of Leadership. A leadership Tribunal
  was set up for one of the leaders referred.

  The leaders brought before the Tribunal were charged for breach of Section 27 of the Constitution and Sec-
  tion 4 (6) and Section 23 of the Organic Law on Duties and Responsibilities of Leadership.

  Advisory Matters
  The Commission through the Office of Counsel continues to provide advisory services both internally and
  to its external stakeholders. This year the Commission provided 104 internal advice and 185 were distrib-
  uted to the external stakeholders.

  Court Proceedings
  In 2013, the Commission continued to be involved in a wide range of court proceedings including the reg-
  istration of one fresh case. The Commission was involved in three (3) court proceedings carried over from
  the previous years. Of those cases, two (2) relate to referral of leaders while one (1) relate to review of ad-
  ministrative decision of the Commission on employment.

  Special Projects
  The Office of Counsel was engaged in the Legislative Review of the OC legislation which commenced in
  April 2013. This is one of the three impact projects of the Commission.

  The Legislative Review process was still on-going by the end of the year.

  Progress Against Key Result Areas Page 19

• Page 20 of 51

• 2013 Annual Report

  Corporate Capacity Development and Governance

  Recruitment and Selection
  The Commission continue to encounter difficulties in filling vacancies carried over from previous years
  and those created by officers leaving or appointed on promotion within its establishment of 146.

  The Commission’s inability to attract and retain suitably qualified people due to its uncompetitive remu-
  neration and terms and conditions of employment compared to those offered in the external labour mar-
  ket. The delay in the appointment of a Chief Ombudsman since May 2012 through to the first half of 2013
  compounded the Commission’s predicament in convening Commission meetings to make constitutional
  and administrative decisions, including recruitment matters.

  The appointment of the Chief Ombudsman in July 2013 was a relief to the Commission to hold meetings
  to deal with constitutional and administrative matters including recruitment and approving the improved
  terms and conditions for officers in the Service of the Commission.

  With the new improved and better terms and conditions of employment the Commission has equal com-
  petitive advantage to recruit and retain qualified and experienced officers and provided an optimistic cat-
  alyst for the Commission in its recruitment drive in the second half of 2013 and the preceding years.

  Figure 9 below shows the establishment as at 1 January 2013 to 31 December 2013. The year began with a
  staff strength of 95 and 51 vacancies and experiencing fluctuations during the year attributed to two (2)
  new intakes and four (4) officers leaving employment.

  The year closed with a staff-strength of 92 and 53 vacancies at the end of the year.

  No recruitment has been done to fill nine (9) vacancies in the two (2) new Regional Offices of the Autono-
  mous Region of Bougainville and Southern Region due to the absence of physical infrastructures arising
  from the technical difficulties of setting up the operations of the respective offices.

  Staff establishment

  150

  Total establishment
  No. of officers

  100 Staff on strength
  Total vacancies
  50
  New Intakes
  Resignation
  0
  J Terminations
  F M A M J J Death
  A S O N D
  Months

  Progress Against Key Result Areas Page 20

• Page 21 of 51

• 2013 Annual Report

  Learning and Development
  The Commission has always seriously focused on building its workforce capacity to enable officers to ac-
  quire the necessary competency skills to add value in their work.

  The annual learning and development plan/calendar provides details of relevant competency based, tech-
  nical, soft skills and career development programs for officers. These corporate, technical and career de-
  velopment skill needs are identified through annual performance appraisals as an integral part of the per-
  formance management process in the Commission. An annual learning and development plan/calendar is
  developed and implemented after conducting a training need analysis based on the Commission’s priori-
  ties and business needs creditable and reputable registered training institutions or education agencies
  both in -country and overseas.

  In 2013 a budget of K1, 067, 500.00 was allocated to implement the learning and development programs
  for officers throughout the year.

  However due to the delay and uncertainty in the appointment of a Chief Ombudsman in the first six
  months of the year, an annual learning and development plan/calendar was not developed for implemen-
  tation.

  In the midst of this uncertainty, the Human Resource Unit took an initiative to progressing a three-year
  medium term development plan.

  Training activities both in-country and overseas during the year were facilitated and delivered on an ad
  hoc basis based on Commission priorities and business needs.

  From the budget of K1, 067, 500.00, K442, 115.00 was expended or committed to facilitate these ad hoc
  training activities as and when available.

  Figure 10 below shows the number of programs undertaken in-country and overseas and attendance by
  gender and the level of positions on the establishment. A total of 50 officers and an executive participated
  in the programs which comprised of 37 males and 22 females and addressed the skill deficiencies at all
  levels.

  Senior Middle Lower
  Programs In-country Overseas Males Females Exec
  Mgnt Mgnt Level
  Corporate

  Technical /Specialist 53 8 33 19 1 3 20 29

  Career Development 6 3 3 2 1 3

  Total 59 8 36 22 1 5 21 32

  Progress Against Key Result Areas Page 21

• Page 22 of 51

• 2013 Annual Report

  Figure 11 below shows the number of reputable and creditable training institutions engaged by the Com-
  mission to deliver training for staff. A total of 14 training institutions in-country and overseas were en-
  gaged and most of which have been associated with the Commission over the years based on their history
  of creditability and deliverance of quality training.

  Institutions No of programs In-country Overseas Location No of officers
  conducted
  Divine Word University 2 PNG Madang 3

  University of Papua New Guinea 2 PNG Port Moresby 2
  Communication Arts Professional
  1 PNG Port Moresby 2
  Association
  PNG Human Resource Institute 4 PNG Port Moresby 4
  PNG Australia Law & Justice Part-
  1 PNG Port Moresby 1
  nership & IEA College of TAFE
  Olygen PTE Ltd 2 PNG Port Moresby 3
  Information Systems Audit & Con-
  trol Association (ISACA) PNG 1 PNG Port Moresby 4
  Chapter
  Institute of Internal Auditors (PNG
  1 PNG Port Moresby 1
  Chapter)
  Ombudsman Commission & Com-
  2 PNG Port Moresby 32
  monwealth Ombudsman
  CPA PNG & CPA Australia 1 PNG Port Moresby 4
  Information Systems Audit & Con-
  trol Association (ISACA) Oceania 2 Australia Sydney 4
  Chapter
  International Ombudsman/Thai
  1 Bangkok 1
  Ombudsman
  Commonwealth Secretariat 1 Australia Sydney 1
  Malaysian Anti-Corruption Acade-
  1 Malaysia Kuala Lumpur 1
  my

  Twinning Program
  Twinning program is a capacity building exchange program between the Ombudsman Commission of
  Papua New Guinea and Commonwealth Ombudsman Office, Australia and has been in operation since
  2006. This is a Development Budget Activity fully funded by AusAid through the Law and Justice Sector
  Program and has been a success over the years.

  The twinning program’s original purpose was focused on addressing capacity building skill needs for the
  operational divisions of the Commission including Complaints & Administrative Investigations, Leader-
  ship and Regions & External Relations.

  The agreed activities delivered were three (3) long term placements for the main operations divisions and
  four (4) short term placements , three (3) of which have been extended to addressing the capacity needs in
  the service departments of the Commission.

  There were two (2) one month placements in Human Resources and Policy & Planning, management ori-
  entation and short term placements from the Commonwealth Ombudsman Office to assist set up the tele-
  phone Toll Free Service.

  Despite the challenges, most programs were implemented according to the activity implementation
  schedule and those that were not implemented were due to unforeseen causes and circumstances beyond

  Progress Against Key Result Areas Page 22

• Page 23 of 51

• 2013 Annual Report

  both institutions’ control.

  Figure 12 Number of programs implemented

  Placement Host
  Location Duration Date Male Female Total
  Program Institution
  CO Short Term Ombudsman
  Port Moresby 3 weeks 11.08.2013 to 31.08.2013 1 1 2
  Placement Commission
  CO Short Term Ombudsman
  Port Moresby 1 week 08.09.2013 to 14.09.2013 1 1
  Placement Commission
  1 week
  CO Management Ombudsman
  Port Moresby 15.09.2013 to 20.09.2013 2 1 3
  Orientation Commission
  2 weeks

  OC Long Term Commonwealth
  Canberra 8 weeks 15.09.2013 to 16.11.2013 1 1
  Placement (CAID) Ombudsman

  OC Long Term
  Commonwealth
  Placement Canberra 8 weeks 15.09.2013 to 16.11.2013 1 1
  Ombudsman
  (Leadership)
  OC Management Commonwealth
  Canberra 1 week 07.10.2013 to 11.10.2013 2 2
  Orientation Ombudsman
  CO Short Term
  Placement & Course
  Ombudsman
  Facilitator for Inves- Port Moresby 3 weeks 17.11.2013 to 07.12.2013 1 1
  Commission
  tigations Training
  Course for CAID
  CO Course Facilita-
  tor for Financial
  Ombudsman
  Investigations Port Moresby 1 week 25.11.2013 to 29.11.2013 1 1
  Commission
  Training for Leader-
  ship

  OC officers including officers from the Public Service Commission
  flank around the investigation training facilitator Simon Bonny
  (2nd right) from the Commonwealth Ombudsman, Joseph Molita
  – Director Complaints Division and Ombudsman John Nero.

  Progress Against Key Result Areas Page 23

• Page 24 of 51

• 2013 Annual Report

  Information Technology Development

  Information Technology (IT) continued to maintain and improve IT efficiency through effective service
  delivery through alignment of its assets and resources completed major IT infrastructure upgrade pro-
  ject carried forward from 2012.

  IT focus was on maintaining the current IT operations and replacement of obsolete assets.

  Major Projects in 2013 accomplished were;
   Replacement of 40KVA UPS with a new one
   IT infrastructure upgrade

  The replacement of 40KVA UPS was the only major project planned and implemented successfully on
  time within the same year. The establishment of conducive work environment in IT with reliable pow-
  er to protect asset; ensuring assets are always fit for purpose delivering high system availability to OC
  operations.

  The IT infrastructure upgrade involved the replacement of obsolete IT hardware and upgrade of new
  software licenses. This project was initially planned in 2012 but was carried forward to 2013 and impar-
  tially implemented. It is anticipated that it will be completed by mid-2014.

  In 2005 and pre-ceding years, IT projects were co-funded with donor agencies such as Aus-aid. Given
  the significance of IT service in enabling the work operations of the institution, OC invested in IT pro-
  jects in anticipation to receive value for money. The benefits of its investment will soon be realised af-
  ter 2014 as IT tools become available and play a pivotal role in core service delivery of OC.

  IT Manager giving an
  update on IT Projects
  during the quarterly
  performance
  management review
  meetings.

  Progress Against Key Result Areas Page 24

• Page 25 of 51

• 2013 Annual Report

  Budget Compliance

  The Ombudsman Commission continues to effectively monitor all expenditure and other financial
  matters through its Finance Unit. The unit provides accurate and updated information in relation to
  the Commission’s financial position.

  It ensures that all requirements of the Public Finances (Management) Act and other relevant legisla-
  tions are complied with.

  Annual Budget and Reports
  As part of the public body, the Ombudsman Commission is required to submit its annual budget
  estimates consistent with the budget ceiling provided by Department of Treasury.

  In 2013, the Ombudsman Commission received a budget ceiling of K 18.1m. The budget was the
  same as the 2012 budget. The budget ceiling is usually increased by 5% But this was not the case in
  the 2013 financial year.

  However, despite the minimal increase in the budget allocation, the Commission’s spending of its
  appropriation is consistent with GoPNG requirements in meeting its obligation, and the annual
  business plan for the year 2013.

  The Commission’s funding is dictated by the Government of the day. We can proudly admit that
  despite minimal or zero increase in budget allocation, we are reasonably satisfied in our perfor-
  mance and achievement of the Key Performance Indicators during the reporting year.

  Figure 13 Budget allocated to the Commission

  Budget allocation over 3 years

  K18,200,000

  K18,000,000
  2011
  K17,800,000
  2012
  K17,600,000 2013

  K17,400,000

  K17,200,000
  Year

  Progress Against Key Result Areas Page 25

• Page 26 of 51

• 2013 Annual Report

  Quarterly Reports
  As a mandatory requirement by GoPNG, Ombudsman Commission is required by law to provide
  quarterly finance and performance reports to the GoPNG through Department of Treasury. The
  Commission has complied with these requirements and provided its quarterly reports on a timely
  manner during the year.

  Figure 14 The table below illustrates when Commission’s 2013 quarterly reports were submitted.

  Period
  Quarter Date Submitted
  From To
  1st 01 January 2013 31 March 2013 30 April 2014
  2nd 01 April 2013 30 June 2013 27 July 2014
  rd
  3 01 July 2013 30 September 2013 15 October 2014

  On the overall, the Commission is committed to pursuit of excellence in its performance through
  responsible and transparent decision making process and can be held accountable for its own ac-
  tions and decisions.

  Progress Against Key Result Areas Page 26

• Page 27 of 51

• 2013 Annual Report

  CHALLENGES FOR THE YEAR

  The Ombudsman Commission of Papua New Guinea encountered a lot of challenges in 2013 as a result of
  the transition in the higher management level. Most of the senior management positions were not substan-
  tively occupied as a result of chain reaction effects which trickled down from lack of quorum at the MOC
  level.

  There were notable challenges that the Commission encountered in the first six months (January – June of
  2013) which was apparent when the new Chief Ombudsman was appointed on 2 July 2013.
  Some of the notable challenges were;

   MOC Quorum: Lack of quorum at the MOC level in the first six months of the calendar year 2013
  resulted in the delay in the decision making process.

   Retrenchment Exercise: The carryover of the retrenchment exercise that was one of the challenges
  that dragged on until the end of the year when it was eventually addressed.

   OCPNG T&C: Delay in approval of the Terms and Conditions of Employment which was ad-
  dressed at the end of the year however the challenges in efficiently and effectively managing the
  new Terms and Conditions continue to be a challenge.

   Recruitment, Selection, Contract and Training: Lack of training for the Commission Officers and
  the workload which emanated as a result of lack of manpower at HR unit with overwhelming de-
  mands to roll out its Recruitment, Selection and Training has been one of the great challenges to the
  Commission.

   National Issues: Since 2013 is a transitional period for the OCPNG most of the issues of national in-
  terest were not proactively approached due to in-house matters and the pursuit to internally strate-
  gize and improve on the Commissions service delivery.

   Internal Disciplinary Process: Internal disciplinary process is also a challenge as most of the disci-
  plinary matters were not dealt with instantaneously which affected the Commission’s performance.
  The most recent disciplinary matters were addressed towards the end of the year however most pre-
  vious matters are still outstanding.

   Outstanding Matters: The Commission tried its very best to address the previous matters that were
  delayed due to lack of quorum at the MOC level and the vacancies at the senior management. There
  were overwhelming matters over the last one and half years that the Commission tried to clear out
  within the six month period (July to December 2013) when the new Chief Ombudsman was appoint-
  ed.

   2013 National Budget: The government through the National Budget appropriated less than the re-
  quested amount hence some of the planned activities/projects of the Commission were not fully im-
  plemented in the 2013 financial year.

  Challenges for the Year Page 27

• Page 28 of 51

• 2013 Annual Report

  RECOMMENDATION FOR IMPROVEMENT

  Considering the Constitutional mandate the Commission has for its citizens, the Commission must en-
  deavour to continuously seek to improve its service delivery levels as well as mandated key performance
  outcomes. This is necessary so that high service delivery level is maintained through out in achieving the
  key performance outcomes with minimum constraints. In order that this is attainable, the following is rec-
  ommended;

   The formation of ‚Executive Management Committee (EMC)‛ chaired by the Secretary to the Com-
  mission be established ASAP and must immediately commence its role in performing its adminis-
  trative function in managing and making decisions.

   That all efforts be made to fill all vacant key positions in 2014 without much delay.

   The Commission to prioritise and review the current staff establishment and make necessary chang-
  es in line with Commission priorities with its Constitutional mandate and the Government’s 2050
  Vision.

   The Commission’s new ‚Terms and Conditions‛ on OC Manual be finalised quickly and approved
  for immediate adoption and implementation in restoring low staff moral and improve performance.

   Ensure establishment of mechanism in place so that policies and procedures are regularly reviewed
  to ensure their effectiveness.

   Review and strengthen the current and existing system to ensure that ‛ Public Feedback‛ is active
  and welcome all feedback, both compliments and complaints

   Ensuring that the public body learns lessons from complaint are taken note of and uses these to im-
  prove service delivery

   Identifying systemic problems and correcting them.

   Where systemic problems are identified, they should be corrected immediately without much delay

  Recommendation for improvement Page 28

• Page 29 of 51

• 2013 Annual Report

  FINANCIAL AUDITED REPORT

  Financial Audited Report Page 29

• Page 30 of 51

• 2013 Annual Report

  Financial Audited Report Page 30

• Page 31 of 51

• 2013 Annual Report

  Financial Audited Report Page 31

• Page 32 of 51

• 2013 Annual Report

  STATEMENT OF CASH RECEIPTS AND PAYMENTS
  FOR THE YEAR ENDED 31 DECEMBER 2013

  Financial Audited Report Page 32

• Page 33 of 51

• 2013 Annual Report

  NOTES TO AND FORMING THE FINANCIAL STATEMENTS
  FOR THE YEAR ENDED 31 DECEMBER 2013

  1

  Financial Audited Report Page 33

• Page 34 of 51

• 2013 Annual Report

  OMBUDSMAN COMMISSION OF PNG
  2013 ACCOUNTS
  NOTES TO FINANCIAL STATEMENT— continued

  2

  Financial Audited Report Page 34

• Page 35 of 51

• 2013 Annual Report

  OMBUDSMAN COMMISSION OF PNG
  2013 ACCOUNTS
  NOTES TO FINANCIAL STATEMENT— continued

  3

  Financial Audited Report Page 35

• Page 36 of 51

• 2013 Annual Report

  OMBUDSMAN COMMISSION OF PNG
  2013 ACCOUNTS
  NOTES TO FINANCIAL STATEMENT— continued

  4

  Financial Audited Report Page 36

• Page 37 of 51

• 2013 Annual Report

  OMBUDSMAN COMMISSION OF PNG
  2013 ACCOUNTS
  NOTES TO FINANCIAL STATEMENT— continued

  5

  Financial Audited Report Page 37

• Page 38 of 51

• 2013 Annual Report

  OMBUDSMAN COMMISSION OF PNG
  2013 ACCOUNTS
  NOTES TO FINANCIAL STATEMENT— continued

  6

  Financial Audited Report Page 38

• Page 39 of 51

• 2013 Annual Report

  OMBUDSMAN COMMISSION OF PNG
  2013 ACCOUNTS
  NOTES TO FINANCIAL STATEMENT— continued

  7

  Financial Audited Report Page 39

• Page 40 of 51

• 2013 Annual Report

  OMBUDSMAN COMMISSION OF PNG
  2013 ACCOUNTS
  NOTES TO FINANCIAL STATEMENT— continued

  End of Notes to and forming part of the Accounts for the Year Ended 31 December 2013, prepared in-accordance with
  the IFAC Cash Reporting Standard (in Kina)

  8

  Page 40

• Page 41 of 51

• 2013 Annual Report

  APENDICES

  Appendix I Major Reports produced by the Commission under Section 22 of the Organic
  Law on the Ombudsman Commission as at 31 December 2013 for the last 15
  years starting with the most recent.

  Date Published Name of Report

  2013

  Investigation Report into the conduct of Dr Nao Badu, Chairman and CEO of National Economic and Fiscal Com-
  June 2011
  mission

  Alleged improper dealings into the National Housing Corporation property – Section 119, Allotment 8 on Land Vol-
  April 2011
  ume 25 Folio 133 Saraga Street Boroko, National Capital District

  Investigation into the Department of Lands and Physical Planning rezoning, leasing and registering of the land title
  2010
  for section 31 allotment 03 Kimbe issued to Quiquing Trading Limited.

  Investigation report into the Alleged Unlawful and Abuse of Human rights by Police, Three Mile Guest House, Port
  2009
  Moresby, National Capital District

  2009 Investigation Report into the Julian Moti Affair

  Investigation Report into the Appointment and Conduct of Hamish Sharp in the National Maritime Safety Authority
  September 2009
  Board

  Investigation into Administrative Practice – Payment of public funds to officers for sick leave by a Government De-
  July 2006 partment.

  Investigation into the decision of the National Forest Board to award the Kamula Doso FMA to Wawoi Guavi Timber
  July 2002
  company (a subsidiary of Rimbunan Hijau) as an extension to Wawoi Guavi Timber Resource Permit – Final Report

  Investigation into the lease and proposed purchase of Malagan House, 99 Creek Street, Brisbane by the Independ-
  November 1999
  ent State of Papua New Guinea.

  Investigation into the Purchase of the Conservatory Cairns by Public Officers Superannuation Fund Board and as-
  November 1999
  sociates transactions and arrangements.

  Preliminary Investigation Report of allegation of unfair decision to award multi-million Ramu Highway Upgrading and
  November 1998
  Sealing contract to Downer Construction by NEC.

  March 1998 Report of an investigation into the illegal occupation of state leases in Bereina town Central Province CF: 198/94

  Appendices Page 41

• Page 42 of 51

• 2013 Annual Report

  Appendix II Leaders referred for prosecution by the Ombudsman Commission under the
  Leadership Code as at 31 December 2013 for the last 15 years starting with the
  most recent.

  No LEADER OFFICE YEAR RESULT

  Acting Chief Executive Officer, Cof-
  101 ANTON BENJAMIN 2013 Pending
  fee Industry Corporation

  Commissioner, Independent Con-
  100 BILLY MANOKA 2013 Pending
  sumer and Competition Commission

  Ombudsman and Member of the
  99 JOHN NERO 2012 Pending
  Commission
  Pending
  LINDA WANGU TAM- Commissioner and Member of the
  98 2011 Term expired and not considered for re-
  SEN Public Services Commission
  appointment
  Guilty of 9 out of 16 allegations. Allegation 2
  MP, Member for Kikori Open and
  to 8, Fine of K500 for each allegation and
  97 MARK MAIPAKAI Minister for Inter Government Rela- 2011
  allegation 16, fine of K1000. A total of K4500
  tions and District Development
  fine.
  Guilty of 11 out of 14 allegations and dis-
  96 FIDELIS SEMOSO MP, Regional Member Bougainville 2011
  missed from office in 2012.
  Secretary, Department of National Guilty of 5 allegations. Fine of K1000 each
  95 JOSEPH LELANG 2011
  Planning & Monitoring allegation. A total of K5000.
  Secretary, Department of Mineral
  Pending – Term expired and not considered
  94 NELLY JAMES Resource and Geo-hazards Manage- 2010
  for re-appointment
  ment
  President, East Yangoru Local-level Pending – Lost office in 2013 Local-level
  93 ROBERT HOWEN 2010
  Government, East Sepik Province Government Elections
  Pending. Matter before the National Court for
  RICHARD CHARLES Commissioner of Correctional Ser-
  92 2009 judicial review. Term expired and not consid-
  SIKANI vices
  ered for re-appointment
  MP, Member for Aitape-Lumi Open
  Pending. Tribunal appointed but restrained
  91 PATRICK PRUAITCH and Minister for Treasury and Fi- 2009
  due to Court challenge.
  nance
  SIR MICHAEL Member, East Sepik Provincial, As-
  90 sembly and Prime Minister 2008 Pending appointment of Leadership Tribunal
  SOMARE

  89 TOM TOMIAPE MP, member for Tari Open 2007 Lost office in election
  ROBINSON SIRAM- Provincial Administrator, New Ireland Pending. Term expired and not considered
  88 2007
  BAT Province for appointment
  Chairman, Public Services Commis-
  87 JERRY TETAGA 2006 Pending
  sion
  Chief Executive Officer, Papua New
  Guinea Radio communications and
  86 CHARLES PUNAHA 2006 Pending
  Telecommunications Technical Au-
  thority (“PANGTEL”)
  MP, Governor of Southern Highlands
  85 HAMI YAWARI 2006 Pending
  Province
  MPA, member of Madang Provincial
  84 FRED MALIUPA Assembly and President, Usino Local 2006 Pending
  -level Government

  Appendices Page 42

• Page 43 of 51

• 2013 Annual Report

  Continued…

  83 JOHN MUINGNEPE MP, member for Bulolo Open 2006 Pending

  MP, Deputy Prime Minister and Min-
  82 SIR MOI AVEI 2006 Presently before a Leadership Tribunal.
  ister for Mining

  81 MELCHIOR PEP MP, Minister for Health 2006 Pending

  MP, minister for Planning & Monitor-
  80 ARTHUR SOMARE 2006 Pending
  ing

  79 GUAO ZURENUOC MP, member for Finchaffen Open 2006 Pending

  78 CHRIS HAIVETA MP, Governor of Gulf Province 2006 Pending.
  Guilty of 3 out of 5 allegations. Recommend-
  77 ANDREW BAING MP, Deputy Leader of the Opposition 2005
  ed for dismissal on 20.12.06
  Disqualified by virtue of Section 103(3)(c) Constitu-
  76 JAMES YALI MP, Governor of Madang Province 2005
  tion
  Guilty of 4 out of 6 allegations. Fine of
  MP, Minister for Lands & Physical
  75 PUKA TEMU 2005 K1000 each..
  Planning
  Clerk of the National Parliament.
  Term as Clerk expired. Assumed leadership
  After his term expired, Mr Pala as-
  74 ANO PALA ISO 2005 role as member of Parliament. Pending.
  sumed leadership role as member for
  Rigo Open in 2007 national election
  73 GABRIEL KAPRIS MP, Minister for Works 2005 Guilty of 2 out of 2 allegations and fined K2,000
  Guilty of 19 allegations. Recommended for dis-
  CHARLIE BENJAMIN MP, member for Manus Open 2005
  72 missal on 15.01.07
  Guilty of 4 out of 6 allegations. Recommended for
  71 GALLUS YUMBUI MP, member for Wosera-Gawi Open 2004
  dismissal on 02.03.07. Judicial Review pending.
  Guilty of 16 out of 23 allegations. Fine of K1000
  PETER IPATAS for each allegation. Public Prosecutor’s applica-
  MP, Governor of Enga Province 2004
  70 tion seeking leave for judicial review is still pend-
  ing
  Judge of the National Court and Su-
  69 MARK SEVUA 2004 Pending. Matter referred to JLSC on 12.09.08
  preme Court
  Tribunal disbanded due to lack of jurisdiction.
  68 RAHO HITOLO Ombudsman 2004
  Matter pending.

  Guilty –Judicial Review on payment of entitle-
  67 MARK WANI Auditor-General 2003
  ments successful.

  Managing Director, Mineral Re-
  Pending –Judicial review in National Court. Deci-
  66 DANIEL KAKARAYA sources Development Corporation 2003
  sion pending
  Ltd
  MP, member for Mendi Open, mem- Guilty – dismissed. Judicial Review application
  65 MICHAEL NALI ber Southern Highlands Provincial 2003 granted, tribunal decision quashed and matter
  Assembly referred for rehearing. Pending
  Managing Director, Public Officers
  64 CES IEWAGO 2003 Appointment revoked prior to request for tribunal
  Superannuation Fund
  Appointment expired after matter referred to tribu-
  63 REUBEN KAIULO Electoral Commissioner 2002
  nal

  Appendices Page 43

• Page 44 of 51

• 2013 Annual Report

  Continued…

  Chairman, National Gaming Control
  62 ALFRED DANIEL 2002 Appointment expired after request for tribunal
  Board

  61 MICHAEL NALI MP 2002 Guilty – fined

  MP; Minister for Finance, Planning
  ANDREW KUMBA-
  60 and Implementation and Rural Devel- 2002 Not guilty
  KOR
  opment
  59 THOMAS PELIKA MP; Deputy Leader of the Opposition 2002 Lost office in election

  58 JOHN TEKWIE MP 2002 Lost office in election

  57 YAUWE RIYONG MP 2002 Lost office in election

  56 IAIRO LASARO MP 2002 Lost office in election
  Guilty – dismissed – Applied for judicial review. On
  06/02,06 the Court considered that the breach of s.
  21(6) OLDRL did not result in any real and substan-
  tial injustice to Mr Zeming and declined to quash the
  tribunal’s findings and dismiss the application with
  55 MAO ZEMING MP 2002
  costs to the respondent, the State, who is the nomi-
  nal respondent representing the 1st, 2nd and 3rd
  respondents. Public Prosecutor is ordered to request
  the Chief Justice to appoint a Tribunal to inquire into
  the allegations again.
  54 BERNARD HAGORIA MP 2002 Guilty – dismissed

  53 PETER ARUL MP 2001 Resigned after appointment of tribunal

  MP; Minister for Corporatization and
  52 VINCENT AUALI 2001 Resigned after appointment of tribunal
  Privatisation
  MP; Governor, Southern Highlands Guilty – dismissed – judicial reviews unsuc-
  51 ANDERSON AGIRU 2001
  Province cessful.
  50 PETER WAIENG MP 2001 Resigned after appointment of tribunal
  MP; Governor, Eastern Highlands Guilty – dismissed – later reviewed by National Court
  49 PETI LAFANAMA 2001
  Province – decision on guilt affirmed but penalty altered to fine
  48 BEVAN TAMBI MP 2001 Resigned after appointment of tribunal

  47 JOHN KAMB MP; Minister for Communications 2001 Not guilty

  46 JACOB WAMA MP 2001 Resigned after appointment of tribunal
  Resigned after appointment of tribunal. Currently,
  President of Almami Local-level Government, Bogia,
  45 BERNARD MOLLOK MP 2001
  Madang Province. A position subject to the Leader-
  ship Code. Pending
  44 KUK KULI MP 2001 Resigned after appointment of tribunal

  43 JOHN WAKON Commissioner of Police 2000 Appointment revoked – judicial review of referral

  42 ANDERSON AGIRU MP; Governor, Southern Highlands 2000 Guilty – dismissed – judicial reviews unsuccessful

  Appendices Page 44

• Page 45 of 51

• 2013 Annual Report

  Continued…
  Guilty – dismissed – later reviewed by Supreme
  Court – decision on guilt affirmed but penalty altered
  41 PETER PEIPUL MP; Deputy Leader of the Opposition 2000
  to fine – slip rule application by Public Prosecutor
  rejected

  40 JIM KAS MP; Governor, Madang Province 2000 Guilty – dismissed – judicial review unsuccessful

  Secretary, Department of Attorney-
  39 MICHAEL GENE 2000 Appointment revoked prior to appointment of tribunal
  General; Attorney-General

  38 JERRY SINGIROK Commander of the Defence Force 1999 Guilty – dismissed – judicial review unsuccessful

  Appendices Page 45

• Page 46 of 51

• 2013 Annual Report

  Appendix III List of Government Bodies who are currently under the Ombudsman Com-
  mission’s Governmental Bodies Liaison Program

  NO ORGANISATION DATE JOINED

  Active Governmental Bodies
  1 Dept. of Education June. 2002
  2 Teaching Services Commission June. 2002
  3 Royal PNG Constabulary June. 2002
  4 PNG Defence Force June. 2002
  5 Correctional Service HQ June. 2002
  6 Bomana Metropolitan Gaol June.2002
  7 Simbu Provincial Administration June. 2003
  8 Post PNG Limited July. 2003
  9 Central Provincial Administration August. 2003
  10 NCD Commission November. 2003
  11 Enga Provincial Administration December. 2003
  12 Sandaun Provincial Administration September. 2004
  13 Oro Provincial Administration September. 2004
  14 Madang Provincial Administration March. 2005
  20 East New Britain Province Administration March. 2005
  21 Bougainville Autonomous Region Administration October. 2005
  15 Gulf Provincial Administration February. 2006
  16 Milne Bay Provincial Administration March. 2006
  17 WNB Provincial Administration September. 2006
  18 Port Moresby General Hospital June. 2008
  19 Dept. of Health October. 2008
  Non-active Governmental Bodies
  1 National Housing Corporation December. 2002
  2 Dept. of Lands & Physical Planning January. 2003
  3 Dept. of Personnel Management March. 2003
  4 Dept. of Foreign Affairs & Immigration April. 2003
  5 Dept. of Works June. 2003
  6 Electoral Commission of PNG June. 2003
  7 Magisterial Service HQ July. 2003
  8 PNG Forest Authority April. 2004
  9 Southern Highlands Provincial Administration June. 2004
  10 East Sepik Provincial Administration August. 2004
  11 WHP Provincial Administration November. 2004
  12 Manus Provincial Administration December. 2004

  Appendices Page 46

• Page 47 of 51

• 2013 Annual Report

  Continued…

  13 Western Provincial Administration March. 2005
  14 EHP Provincial Administration August. 2005
  15 National Broadcasting Corporation December. 2005
  16 Office of Workers Compensation May. 2006
  17 National Judicial & Staff Services September. 2006
  18 Dept. of Trade & Industry September. 2006
  19 Office of the Clerk of National Parliament September. 2006
  20 Dept. of Agriculture & Livestock September. 2006
  21 Dept. of Prime Minister & NEC September. 2006
  22 Dept. of Finance September. 2006
  23 National Intelligence Office September. 2006
  24 Morobe Provincial Administration November. 2009
  27 Telikom PNG January. 2010
  28 Public Service Commission April. 2010
  29 New Ireland Provincial Administration June. 2010

  Appendices Page 47

• Page 48 of 51

• 2013 Annual Report

  Appendix IV Former Members of the Commission

  Chronox Manek; LLB, LLM, OL Ila Geno Peter Masi Raho Hitolo; MBE
  Chief Ombudsman Chief Ombudsman Ombudsman Ombudsman
  01.08.08 – 01.10.12 01.01.01 – 01.07.08 23.05.01 – 03.05.07 06.01.99 – 05.01.05

  Simon Pentanu Ninchib Tetang Joe N. Waugla Jim Ridges
  Chief Ombudsman Ombudsman Ombudsman Ombudsman
  01.01.95 – 31.12.00 5.1.93 – 4.1.99 20.12.92 – 19.12.98 10.10.86 – 20.12.92

  Ango Wangatau Sir Charles Maino Jean L Kekedo; OBE Keith E. Anderson
  Ombudsman Chief Ombudsman Ombudsman Ombudsman
  23.6.86 – 31.12.92 5.1.85 – 31.12.94 1.3.82 – 8.10.86 19.11.80 – 10.12.84

  Sunny Cherian Andrew Opu Maino OBE Frank Hedges Sir Ignatius Kilage CBE
  Ombudsman Ombudsman Ombudsman Chief Ombudsman
  6.10.78 – 25.1.79 17.12.75 – 28.2.82 8.12.75 – 4.1.78 4.12.75 – 4.1.85

  Former Members of the Commission Page 48

• Page 49 of 51

• 2013 Annual Report

  Appendix V List of Abbreviations

  AMS – Asset Management System MPA – Manual of Personal Administration
  AusAid – Australian Aid MP – Member of Parliament
  BAC – Bachelor of Commerce MPEB – Madang Provincial Education Board
  BMA – Bachelors in Business Administration MOC – Members of Commission
  BPC – Budget Priority Committee NACS – National Aids Council Secretariat
  CAID – Complaints Administrative Investigation Division NDOE – National Department of Education
  CEO – Chief Executive Officer NEC – National Executive Council
  CBE – British Empire NHC – National Housing Corporation
  CMG – Companion of St Michael and St George NSL – Nambawan Super Limited
  CO – Commonwealth Ombudsman OBE – Order of British Empire
  CPI – Consumer Price Index OC – Ombudsman Commission
  DOE – Department of Education OCPNG – Ombudsman Commission of Papua New Guinea

  DSIP – District Services Improvement Project OLDRL – Organic Law on Duties and Responsibilities of
  Leadership
  EMC – Executive Management Committee OLOC – Organic Law on Ombudsman Commission
  GoPNG – Government of Papua New Guinea OWC – Office of Workers Compensation
  HQ – Headquarters PEA – Provincial Education Advisor
  IPSAS – International Public Sector Accounting Standards PEP – Public Education Program
  IT – Information Technology PNG – Papua New Guinea
  JDP – Joint District Project PNGDF – Papua New Guinea Defense Force
  KVA – Kilowatts Volts and Amps POA – Pacific Ombudsman Alliance

  LJSP – Law and Justice Sector Program PALJSP – Papua New Guinea and Australia Law and Justice
  Sector Program
  LLB – Bachelors in Law PANGTEL – Papua New Guinea Radio Communications and
  Telecommunications Technical Authority
  LLM – Masters in Law RESI – Rehabilitation of Educational Sector Infrastructure
  LTD – Limited RTBH – Right To Be Heard
  MBA – Masters in Business Administration T&C – Terms & Conditions
  MOC Members of the Commission UPS – Uninterrupted Power Supply

  List of Abbreviations Page 49

• Page 50 of 51

• 2013 Annual Report

  CONTACT DETAIL

  Head Office – Port Moresby Momase – Lae

  Ground Floor 3rd Flooor
  Deloitte Tower Vele Rumana Building
  Douglas Street 4th Street
  P. O Box 1831, PORT MORESBY 121 P. O Box 2259, LAE
  Papua New Guinea Morobe Province
  Papua New Guinea
  Telephone: (675) 320 3200
  Facsmile: (675) 320 3260
  Email: [email protected] Telephone: (675) 472 2117/1797
  Facsmile: (675) 472 2755

  Highlands – Mt Hagen New Guinea Islands – Kokopo

  1st Floor Tropicana Building
  Agilta Kona Haus Tagigira Street, Section 6, Allotment 26
  Section 12, Allotment 26 P. O Box 359, KOKOPO 613
  P. O Box 745, MT. HAGEN East New Britain Province
  Western Highlands Province Papua New Guinea
  Papua New Guinea

  Telephone: (675) 982 8792/8795
  Telephone: (675) 542 1786/1986 Facsmile: (675) 982 8953
  Facsmile: (675) 542 2497

  Contact Details Page 50

• Page 51 of 51

• Ombudsman Commission of Papua New Guinea