Pacific

PNG PM questioned over fraud case

16:07 pm on 16 June 2014

Reports from Papua New Guinea indicate that the Prime Minister Peter O'Neill has been served with an arrest warrant in relation to a major fraud case.

The head of PNG's anti-corruption investigative unit Taskforce Sweep, Sam Koim, has confirmed to the ABC that his team had effected the arrest warrant on Peter O'Neill.

Papua New Guinea Prime Minister Peter O'Neill. Photo: RNZ

The arrest is in relation to alleged unlawful payments of 29 million US dollars in state funds to a law firm led by Paul Paraka.

The Prime Minister is alleged to have signed a letter authorising some of the payments.

Mr O'Neill, who has previously claimed that the letter was a forgery, is expected to be brought in for questioning by police later today.