A former officer of the Papua New Guinea Defence Force has been charged with fraud.
EMTV reports Powaseu Kisokau has been charged with 106 counts of misappropriation and one count of money laundering by the National Fraud And Anti-Corruption Directorate.
The charges relate to the misappropriation of about $US370,000 from the Defence Force Commercial Support Program Trust Account.
The police told EMTV that Mr Kisokau and others transferred the funds to other accounts and later used the money for their own use.
Mr Kisokau has been detained at the Boroko Police Station in Port Moresby and will appear in court for mention next week.
The former officer is listed on social media as the director of Paladin Solutions, one of the service providers for refugees detained on Manus Island.
The company has been asked for comment.
In January 2018, it was reported by the Guardian that Paladin was paid $US420,000 each day by the Australian government for its services to the refugees.