99-YEAR LEASE AGREEMENT GOING THROUGHAPPROVAL PROCESS
New Kayangel governor, Richard Ngiraked, said that the approval process in the state legislature is continuing for the 99-year lease of the seabed around Ngerbelas island, however, hehas returned the $100,000 check written to the state that was not deposited in the bank as it was held in the state office.
He said the lease agreementsigned bythe outgoing governor and the company -Grand Legend International Asset Management Group Co. Ltd. that requires the first payment of $100,000 to be made and it was made in a check. The check and the agreement were presented to him after he took office. He signed a new agreement so that it could be submitted to the legislature for approval. The check was kept in the office and was not intended to be used until and if the agreement is approved.
The legislature is doing its job under the law in holding hearings and if they approve then the check can be used, added Governor Ngiraked who was elected in May last year aftera closely contested election.
When asked why he returned the check to the official of the company when it was not illegal to hold or deposit it in a bank to await the approval process, Ngiraked said after the story about the lease was published in December, he saw many questions and negative comments publicly and in the social media which are not true. He wanted to set the records straight.
“As a former national tax official, I am very familiar with government financial transactions and the need for proper handling of funds going into government which must comply with the law,” Gov. Ngiraked said.
GovernorNgiraked said he is supporting the proposed resort for Ngerbelas, which will stimulate economic development of the state and can provide employment to the people but the size of the area of 699,900 square meters of seabed around Ngerbelas, may be too large and can be reduced and still can accommodate such major and unique resort.The state legislature held a first hearing in Kayangel last month and will do a second in Koror this month according to the state speaker.