LEADER of Opposition Hon Matthew Wale has questioned why GNUT is abetting Wan Chen Company in building a warehouse to be rented by a Chinese SOE.
GNUT, along with the Finance Minister, has granted exemptions worth 29M for Wan Chen to build the warehouse project.
This new Warehouse will be rented to BNBM Company, a new Chinese SOE hardware company establishing operations in the Solomon Islands.
The Opposition Office has been informed that exemptions originally granted for the construction of a wharf and resort have been diverted to fund the warehouse intended for use by the Chinese SOE.
There is not even a foundation to construct a resort at the site, which was part of the exemption granted.
The Opposition Leader has questioned why the Government is aiding this company.
“What’s so special about this company that warrants the Government to forego $29M in exemptions? Why this preferential treatment? On the face of it, it does not look right,” Hon Wale said.
The Opposition Office understands that the owner of Wan Chen, Mr Harry Chen, also owns Goodwood Wharf and Injoy Restaurant. He is also the Vice President of the newly set up SOE association under the Chinese Embassy.
Hon Wale said it is surprising that the GNUT is using government revenue to subsidise foreign interests.
The Opposition Office has been informed that 297 tons of steel bar and 4500 tons of cement over three shipments were fully exempted already.
All these steel materials were used to build Chen’s new BNBM warehouse at Ranadi and also taken to Chen’s TBC hardware at Henderson to sell to the public.
“Surprisingly, the Finance Minister also tried to cover up for himself and Wan Chen claiming that materials have not arrived into the country yet, but documents have shown otherwise.
“How many indigenous businesses need support and will never get it from GNUT. Yet it is so easy for a foreigner to receive a huge subsidy of 29m from GNUT,” Wale said.
Hon. Wale said the Government must explain to the people.
The Opposition Leader said the current arrangement between the company and GNUT would see Wang Chen Company getting rental income from BNBM at the expense of taxpayer’s money.
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Opposition Press Release
