THE Native Land Trust Board will file a court injunction on Monday in an attempt
to stop a Fiji Electricity
Authority goodwill payment of $5million to Monasavu landowners.
The legality of the $52.8 million settlement, to be paid out within the next
98 years, has come under legal
scrutiny because of the absence of the NLTB as "money handlers" in
the matter. Speaking on condition of
anonymity, given the current political situation, a prominent Suva lawyer said
the NLTB's exclusion from
handling the pay-out was illegal. Part 4 of the joint statement reached at Deuba's
Centra Pacific Harbour Hotel
on Friday stated -
"The FEA has agreed to make payment in relation to settling the court
action on terms. A goodwill payment will
be made by the FEA of $5 million and a settlement deposit sum to the landowners
solicitor, Fa & Company
Trust Account upon executing and filing the Deed of Settlement. In consideration
of this payment the
landowners will provide a Notice of Discontinuance in relation to these proceedings
with respect to FEA."
The lawyer said under existing laws all monies concerning land must be handed
to the NLTB, 20 percent of
which will be deducted as poundage. The Monasavu decision means the NLTB would
not "get its cut, which is
wrong". While the NLTB general manager Maika Qarikau remained silent on
the issue, he said the problem had
a far wider ramification as it sets a precedent for other claims of similar
nature.
"They (landowners) are all looking at Monasavu as an example of what can
be reached with government so that
they can base their claims on it," Mr Qarikau said. "The unfortunate
thing about the Monasavu issue is that it has
taken a different twist." Mr Qarikau said there were certain procedures
and principles to be followed as stipulated
by government and NLTB, which is also applicable to other catchment areas.
"The Monasavu case did not follow what was agreed," he said. While
he was happy the matter has been resolved,
he said that he would continue to pursue policies that should be adopted to
address other landowners' concerns
in terms of the use of their land for the catchment of water, consumption and
electricity generation. He said the
Monasavu issue has not been solved entirely. "What was in the landowners
claim was for compensation for past
use and the agreement reached had nothing to do with this. "It is just
a golden handshake for them to become
friends."
According to Sireli Fa the landowners legal adviser, the $5.8 million will
be deposited into the Trust Account
once the Deed of Settlement was signed. Mr Fa said there was work to be done
before money was paid. This
involves settling some minor details before FEA signs the agreement prior to
the payment. The main features of
the Joint Statement of Understanding include;
FEA payment to the Monasavu Landowners of $52. 8m. Alternatives such as the
provision for equity participation in the FEA by the Landowners as
payment are to be pursued.
The FEA does not wish to acquire a lease over the catchment area comprising
some 25, 000 acres. This area is now able to be employed by the
landowners to their benefit.
The landowners have agreed to make payment in relation to settling the court
action on terms. A goodwill payment will be made by the FEA of $5m as
a settlement deposit sum to the Landowners Solicitor, Fa & Company Trust
Account upon executing and filing of a Deed of Settlement. In
consideration of this payment the landowners will provide a Notice of Discontinuance
in relation to these proceedings with respect to the FEA.
Additional future payments indexed to the CPI of:
i) $1, 000,0000 will be made for the next five years and
ii) $460, 000 thereafter for 93 years. These terms may be the subject of variation
or discontinuance of this understanding. It is a requirement of the
landowners that such future payments be indexed to the CPI to maintain the purchasing
power of these payments, the FEA is at this time, unable to
agree to this.
Fiji's Daily Post
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