Govt owes Nambawan K160M in rent

THE government owes Nambawan Super about K160 million in outstanding rent, according to chief investment officer David Kitchnoge.
Govt owes Nambawan K160M in rent Govt owes Nambawan K160M in rent Govt owes Nambawan K160M in rent Govt owes Nambawan K160M in rent Govt owes Nambawan K160M in rent

David Kitchnoge

Staff Reporter

Kitchnoge said the government leased and rented many Nambawan properties but had not kept up to date with its rent payments.
"The state owes more than 2½ years in outstanding rent. There places a real impact on members' returns. Last year, the state paid K50 million of the total amount owed but since then it has not been paying up."
The outstanding rents are for the NSL properties in Port Moresby including the IRC building, Vulupindi Haus, Treasury building, Eda Tano Haus (Lands Department headquarters), parts of Aopi Centre, Higher Education and Ombudsmen Commission Office.
The main ones in Lae are the NSL Haus and Morobe Haus, The National newspaper reports.
"We are the largest landlord of the state, which is allowing the outstanding rent to build up again," Kitchnoge said. We strongly urged the State to please settle some of the outstanding rent to help us manage the provision made against that asset.
"If the state doesn't pay up, then we expect certain provisions made, and, therefore, the returns to our members will be lower than what it was last year. The main collectable for us is actually outstanding rentals from the state.
"This has been allowed to grow over time. When we do not collect, the auditors come at the end of the year and make accounting provision," Kitchnoge said.



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