The 7 Sins of NLTB.

In a follow up to a S.i.F.M posting on Natadola, an article published by Fiji Sun reveals the gross malpractice in the negotiation phase of the project. Other investigations, as reported by a Fiji Village article-that FNPF was investigating the allegations of the loan being unsecured.

Recent report by Radio NZ of a whistle-blower from Fiji National Provident Fund outlining the alleged malpractices in Natadola, sent to the office of APRIL's Chief Executive Keni Dakuidreketi. Ironically, it was the same Dakuidreketi who was heavily involved in securing the native land in question, by virtue of being a board member of Native Lands Trust Board. This issue has ignited heated dicussions in online forums like Fiji Exiles and My Fiji Friends.

APRIL's foreign investor license cancelled
Friday June 01, 2007

The foreign investor license for Asia Pacific Resorts International Limited (APRIL), the sacked project managers of the multi-million dollar Natadola project, and two other related companies has been cancelled.

Interim Commerce Minister Taito Waradi confirmed that the licenses have been cancelled by the Fiji Islands Trade and Investment Bureau. It is understood that the FTIB had initially issued a notice of cancellation of licences for APRIL, the Natadola Land Holdings Ltd and a related company Hotel Property Pacific Limited (HPPL) early last month.

The companies were given 15 days to reply. The licenses were cancelled two weeks ago.
Waradi says if the companies wanted to appeal the decision, they have to appeal to the ministry. "And it hasn't come yet. So I don't know whether they are going to appeal or not," [Waradi] said.

A principal of APRIL, Keni Dakuidreketi says he does not wish to comment on this "because there is a legal process involved".

No comments could be obtained from FTIB on why the licenses were cancelled. Both FTIB chief executive officer Lailun Khan and board chairman Jim Ah Koy are out of the country. Ah Koy said he has been in New Zealand for three weeks and could not make a comment.

APRIL has been in the spotlight since the newly appointed Fiji National Provident Fund board axed the company along with contractors COTEBA in March claiming the Natadola project was 26 weeks late and only 10 per cent of the work had been carried out after about $60 million was pumped into it.

Felix Anthony, the chairman of Natadola Bay Resort Ltd (NBRL) also claimed that Interpol reports show that the promoter of the Natadola project Gerard Saliot had a criminal record, which he did not disclose when obtaining a work permit.

APRIL and its chief executive officer Saliot are the founders of the Natadola project. Anthony went on to reveal details of Saliot's past and cancelled APRIL's contact as project managers.

In 2004, the NBRL had hired APRIL to be project managers for this development. Saliot is the principal of the three companies.

Fijilive

APRIL subsequently had their Foreign Investor License revoked as reported by Fiji Live article; the decision of which, is currently being appealed by APRIL according to a Fiji Village article.

The following is an excerpt from a Fiji Sun article:

Natadola has no proper documentation
Fiji Sun.
Last updated 6/21/2007 8:28:02 AM

The ousted project manager of the Natadola Development Project did not provide proper documentation on the project, the Fiji National Provident Fund claims in its report to Cabinet. The FNPF also alleged that with the native defects it has, the Natadola investment does not have valid security.

Defects that are sufficient to void the native land lease include;

• No survey carried out over the native land as requirement of the Native Land Trust Board


• De-reservation of native land not completed on the date of sale on July 2, 2004


• De-reservation of native land for the new lease not completed


• No evidence exist that section nine of Native Land Trust act was satisfied objectively prior to the issuing of the lease of the land sold to NLH


• Dissatisfaction by landowners manifested in Civil action 33 of 2007


• Conflict of Interest that exist at all times between NMRL and NLTB on the issue of common directorship

The report also stated that the value attributed to the land and the concept contributed by APRIL, $20million, was greater than valuations of land prepared by Jones Lang LaSalle and Colliers, which was $5.5million.

• APRIL was entitled to a 15 per cent ‘special dividend’ on gross land sales


• APRIL secured fees from Management Works, was paid a monthly fee of . The whole Natadola project is unknown and it is not prudent investment procedure to have such an investment


• APRIL gained from contributing a defective land lease and not cash to finance the project


• Management services appear to have been given to APRIL to undertake because of its existing involvement in the project. The basis of APRIL’s dollar value of monthly fees is unclear and there appears to be no tender process in this regard


• Feasibility Studies were done by Euro-Asia Management which is an donkey of APRIL and thus independence is questionable


• NBRL continues to pay outstanding invoices to contractors who were contracted by APRIL since August 2006


• Due diligence and analysis originated from APRIL and not from FNPF or FIL


• Increases in total budgeted costs by $73.1 million from $270 million in 2003 to $343 in 2005.

Fiji Times article, quotes the Interim Fijian Affairs Board Minister who commented on the unsecured lease of the land occupied by the Natadola project. Undoubtedly, this very aspect of unsecured lease of native land, raises serious questions on the integrity of NLTB and quality control mechanisms into their entire portfolio of hotel projects in Fiji.

Lease hinders resort: Minister

Saturday, June 16, 2007


THE issue of the unsecured native land lease title at Natadola Resorts could have been ironed out had there been a clear line of communication between all the parties involved and the Native Land Trust Board, interim Fijian Affairs Minister Ratu Epeli Ganilau says.

He said while the Fiji National Provident Fund required a properly secured lease to release the funds, the NLTB said a provisional or temporary licence was enough for the developers to begin work and even use this provisional title to solicit funds for development purposes.

However, yesterday landowner representative Ratu Osea Gavidi said landowners would now take their land back and would not allow Fiji National Provident Fund Investment Limited to continue development in the area.

Ratu Osea said landowners had been neglected in the ordeal and they were now doing what was best for them. [Gavidi] said they would consult the NLTB regarding their options and if the NLTB did not act in their best interests, they would seek legal redress.

Ratu Epeli said the NLTB's stand was that after issuing the provisional title developers could then secure the permanent title while development continued.

A subsequent article by Fiji Times in light of these discrepancies in Natadola, forced the Interim Minister to offer equity of the Hotel project as a good will gesture to the landowning units, after being manipulated by officials employed by NLTB.

Shares offer for landowners

Saturday, June 23, 2007

LANDOWNERS at Natadola have been offered equity shares in the multi-million dollar hotel project being developed on their land.

This was revealed by interim Minister for Fijian Affairs Ratu Epeli Ganilau at his first meeting with the landowners of the vanua Nasoqo, at Sanasana Village, in Nadroga, on Thursday.

[Ganilau] said the meeting was prompted by a visit initiated by landowners of Nasoqo, who raised several concerns about the Natadola project. He told the villagers they would have to clarify with the FNPF the company they would invest in and how much shares would be offered.

"This was the first vanua delegation to have visited me in my capacity as interim Minister for Fijians Affairs and Provincial Development," [Ganilau] said. Ratu Epeli said at the meeting it was clear to him the issues they wanted to him to look into, which was why he wanted to update them on progress made since then.

The delegation requested: The continuation of development at Natadola; that another meeting be held between the Fiji National Provident Fund and the landowners before they make a decision on APRIL, the original land developers; that the trickle effect of development on the land not be reserved to the lease premium or royalty but equity shares be offered by the FNPF so they could have ownership of the overall development.

Ratu Epeli said the FNPF had decided APRIL no longer held the licence to develop the area. He warned landowners to be vigilant of rumour monger."I urge you, the landowners, to be firm and to love one another in this matter," he said.

What is concerning is that, why weren't these project shares part of the original negotiations by NLTB?
Reviewing the reports into Natadola, it is now apparent that officials within the NLTB had undercut the landowners for their own financial gain. What irks most landowners and the greater public is that, Why didn't these transactions raise any red flags in the entire system of Fiji's land tenure?
What happened to accountability, checks and balances?

A Fiji Live article covers the preliminary investigations in Native Lands Trust Board and their involvement with Hotel developments in Fiji.

NLTB investigation report ready
Thursday June 21, 2007

A report on the investigation into Fiji’s Native Land Trust Board will be submitted to the Interim minister for Fijian Affairs tomorrow. The report will be submitted by the Independent Investigating Team into Institutions Fijian (IITIF), which was set up by the interim Government to investigate all Fijian institutions.

“A report will be handed over to Ratu Epeli and interim Prime Minister Voreqe Bainimarama for their scrutiny and also if the need arises than the Fiji Independent Commission against Corruption (FICAC) will be involved,” said board member Ponipate Lesavua.

“Altogether 68 cases of corruption, illegal land sales, misuse of funds and secret dealings between certain chiefs and hotel developers are contained in the report,” he said.

He also said contained in the report are investigations regarding Fiji-born millionaire, Ballu Khan concerning his involvement with NLTB. “Although the NLTB board has carried out its own investigations into Khan, our team have come out with a different matter altogether.”

“Credit should be given to KPMG after auditing NLTB and this has also made our work much easier.”He said certain discrepancies have been labeled against Khan which is contained in the report.“This will not be revealed until it has been scrutinized by Ratu Epeli.”

A prominent chief is also under investigations for allegedly swindling thousands of dollars out of landowners and making dubious deals with hotel developers in the Coral Coast.“The case regarding the chief has been classified as a criminal case and we will surely involve police in this matter.”

IITIF have wrapped up investigations on the Native Land Trust Board and will be moving to the Ministry of Fijian Affairs soon before a ‘clean up’ at the Great Council of Chiefs begins.

The team comprises Colonel Apakuki Kurusiga as chairman and Ratu Luke Yavaca as deputy chairperson. Other members are former Senator and police inspector Ponipate Lesavua, Kalaveti Batibasaga, a consultant on indigenous affairs and Alifereti Roko, the senior auditor at the Ministry of Finance.

Other Fijian institutions subject to scrutiny by the team include the Fijian Affairs Board, Native Land Commission and all other interdependent institutions like the Fijian Scholarship Unit and Provincial Councils.

Fijilive

Club Em Designs

Icons of Disrepute.

Radio Fiji article covers the press conference by APRIL Development's repesentatives, who are struggling to remove the stigma of misappropriation, levied by the new board of Fiji National Provident Fund. APRIL's website is also interesting, simply because Natadola Marine Resort, is the first ever project undertaken by APRIL, which was addressed by an earlier posting by S.i.F.M, highlighting the relative infancy of APRIL in resort construction. Furthermore, APRIL Development's listed services is as follows:

APRIL Development offers a complete range of development and management services including:

General Management

* Development Brief
* Development Program
* Development Cost
* Revenue Budget
* Finance / Commercial Assessment
* Concept Design
* Conditions of Contract
* Project Co-ordination
* Reporting
* Human Resources

Marketing and Sales Management

* Promotion and Public Relations
* Marketing Strategy and Programs
* Sales Management


Financial Management

* Budgeting
* Cost Evaluation
* Cost Control
* Cash Flow Monitoring

Note: Engineering Project Management is NOT included. Also missing, is the portfolio of other projects which APRIL was previously engaged in, as a verifiable track record of their capacity to handle a project of this magnitude and cost.

This video (below)from Youtube shows the pristine Natadola coastline prior to the ill-fated construction project.


The Natadola Marine Resort Project also demonstrates the underhand negotiations used by Native Lands Trust Board(NLTB) to secure approval from landowners; as well as the lack of adequate compensation given to native landowners, in terms of top soil removal, or address outstanding issues of royalties and consent.



Even NLTB's Deputy General Manager acknowledged in a Fiji TV interview, that disagreements between factions of native landowners, is a fairly common occurence. The NLTB representative did not elaborate or confirm whether the Native Lands Trust Board was actively preying on this division in inter-tribal conflicts, to facilitate or manufacture the consent of landowners, for large projects such as Natadola.

This is an excerpt from a Fiji Sun article:

Tribes fight over FNPF project

By Cheerieann Wilson

Natadola landowners have claimed that Ratu Osea Gavidi does not represent their interests in the Fiji National Provident Fund resort project.Turaga Ni Yavusa Leweitahalulu, Ratu Ilami Nabiau told the Fiji Sun yesterday, the landowners had terminated Ratu Osea’s service as their spokesman in 2000.“He is from the chiefly family in Cuvu. He does not own any strip or piece of land in Natadola,” he said.“As the project progressed we discovered problems because FNPF had released $60 million.

APRIL used $15m of that and landowners have not been paid the full amount of $1m, we are still owed money since the project started two years ago.”However, Ratu Osea maintained last night that he is their representative, as he was traditionally approached with a tabua (whales tooth).“No one has presented me with another tabua to say that I was out.

I have the support of the seven mataqalis and Ratu Ilami is one that does not think of the big picture.“He is one of those that are trying to split up the vanua and he has not attended the meeting here in Suva,” Ratu Osea said.Ratu Ilami said Ratu Osea should have met with the landowners in the village. They should have called for the meeting here in the village.

They should have at least come here and meet with the owners and explain what they want to do, if they wanted us to sign papers or make changes, at least come here to us and explain the allegations that have been made against them.”Ratu Ilami indicated that only three yavusas were represented at the meeting with the Interim Minister for Fijian Affairs Ratu Epeli Ganilau yesterday; yavusa Ketenamasi - Ratu Timoci Kulikata; yavusa Tacini - Napolioni Naloga; yavusa Esiga - Inoke Nainunu.

He claimed that the of the four yavusas of Lewaitahalulu, Nalotawa, Burenitu and Koronani did not attend.Ratu Osea claimed that he has the support of the seven yavusas along with the TuiNahoqo, Ratu Timoci Kolikata.These people take their advise from Apisai Tora and Peniasi Kunatuba who is in jail now.” When contacted Mr Tora said he will make a comment today.Yavusa Esiga member Bati Qainiuri said Ratu Osea came into the picture of the Natadola project site because of his involvement with APRIL.

“He will bribe and will take advantage of other landowners that are not educated enough. He is not the owner of the mataqali land. He says that he called a meeting with all landowners last night (Monday night) then how come we were not involved,” he asked.Ratu Osea said if others wanted to say something, they should first seek the mandate of the vanua first.“We are asking for a few more days to allow the mataqali landowners to meet with APRIL and then decide on its future in the project and the Minister has said he will go back and speak with the board.“I blame Felix Anthony for everything that has happened.

I wrote to him on March 9 and 15 to seek his assurance that any decision on Natadola or APRIL should be put on hold until after APRIL met with the landowners.“On March 5, I went to the village with Mosese Nakabea and Jo Sadole who told villagers that another engineer would handle the project. The village community chairman Jonetani Saukuru wrote to Mr Anthony to plead with FNPF not to make any decisions on Natadola or APRIL.“He did not respect the plea from the vanua. He has disrespected the vanua.

I spoke with Mr Anthony on March 15 and he assured me on the phone that no decision would be made yet on Natadola and yet later that day we saw the announcement on TV. He made the announcement that Thursday and flew out of the country for 10 days“We are waiting for him to return.

He has failed to respect the vanua Nahogo.”Meanwhile, APRIL Natadola project director, Keni Dakuidreketi maintained that APRIL is still the manager and developer of the resort.“There has been no legal termination of our contract. There are agreed dispute provisions that are being ignored.

This is very bad for the investment climate,” he said. Mr Dakuidreketi said allegations about construction problems at Natadola were misrepresented. He said the Holmes Consulting Group is a leading NZ firm of structural engineers and had conducted a detailed review of the design of the resort’s InterContinental hotel, now under construction.

“These followed issues that were raised by COTEBA, as the Natadola project manager. “These issues were not raised by HLK Jacob as it claimed. The Holmes review confirmed that the InterContinental design complied with the relevant NZ codes of practice and by reference, to the National Building Code of Fiji.”Mr Dakuidreketi said a specific technical approach had been used to minimise earthquake damage.

(Above image: Artist impression of Natadola project)


(Above image: First phase of earth movement at Natadola)




(Above image: Building structure emerges at Natadola)

This is the excerpt of the Radio Fiji article:

There are claims that the $140 million dollars Natadola Hotel Project is now in jeopardy with most of the work having ground to a halt.

Today Asia Pacific Resort International Limited, APRIL publicly defended itself against pressure from the Fiji National Provident Fund to cancel its contract as project managers.

Early this month Natadola Bay Resort Limited chairman Felix Anthony said they were not satisfied with APRIL’s performance, saying the project was 24-weeks behind schedule and that the project lacked accountability.

But APRIL project manager Keni Dakuidreketi says the Fund’s decisions have been disastrous for the project.

“They have effectively halted most of the work and thrown the project into chaos. The delays caused are adding to costs. Legal arrangements with consultants and contractors have been breached and payments to them are in default. They are not being remunerated in accordance with their contracts.” said Dakuidreketi.

Dakuidreketi says a number of forces and issues are at play in the campaign against them.

“Some of these may be political, others connected to commercial rivalry, ambition and resentment. We repeat APRIL rejects allegations against it. It is a reputable company, committed to properly meeting its responsibilities at Natadola. It abides by its contractual obligations and takes seriously the professional and proper performance of those obligations. We stress we practice accountability in the expenditure of funds.”

It also appears that another director of APRIL Development, Berenado Vunibobo(pictured above[R]) has skeletons in his closet. Vunibobo, a former former Fiji Government Minister was named by former Fiji Public Prosecutor, Peter Ridgeway, in a Radio N.Z article, as being present during a meeting at Fiji Parliament, subsequent to the 2000 coup.

This is the excerpt of Radio NZ article:

Treason trial prosecutor again names prominent Fiji people allegedly involved in 2000 coup

Posted at 23:55 on 09 March, 2003 UTC

The names of prominent Fiji people have again featured in the treason trial of coup accomplices, Josefa Nata and Timoci Silatolu.

The state prosecutor, Perter Ridgeway, named them in his summing up of the trial

He said the lands minister, Ratu Naiqama Lalabalavu, the deputy speaker of parliament Ratu Rakuita Vakalalabure, the high commissioner to Papua New Guinea Ratu Inoke Kubuabloa, the former finance minister Berenado Vunibobo, the former general manager of the Native Lands Trust Board Maika Qarikau as well as George Speight and his father were among those present at a meeting in parliament soon after the coup.

Mr Ridgeway said the meeting assigned Nata to draft decrees and abolish the constitution, assisted by Ratu Inoke Kubuabola who was then the opposition leader.

Mr Ridgeway said Nata had lied and deceived the court when he claimed that he was in parliament to secure the release of the hostages. The prosecutor said video evidence showed Nata looking relaxed and chewing gum as George Speight threatened the lives of the hostages.

Club Em Designs

Natadola Project -Grapes of Wrath Or Sour Grapes

The 'landowner' factor has catapulted the Natadola Resort project well under the official spot light for several major inconsistencies, both in Engineering and Financial accountability.

The Natadola Resort project is still simmering in the headlines, by way of a Fiji Times report, which described threats of repossession, made by the landowners of the Natadola real estate. It appears that the landowners were advised by Osea Gavidi, of Viti Levu Resource Owners Association.

This is a micro excerpt of Fiji Times article:

FNPF wrong, say tribes

Fiji Times Wednesday, March 21, 2007

A GROUP of landowners has hit out at the Fiji National Provident Fund for discrediting the work done by Asia Pacific Resort International Ltd developers of the $180million resort at Natadola.

The landowners are from seven yavusa, 12 mataqali and 18 tokatoka of the vanua o Nasoqo in Nadroga who own the land on which the resort is being constructed. Their chief is the Tui Nasoqo Ratu Timoci Kolikata.

Speaking on behalf of the landowners, advisor Ratu Osea Gavidi said a delegation yesterday discussed the matter with interim Fijian Affairs minister Ratu Epeli Ganilau.

He said they had asked the interim minister to intervene and stop the FNPF making unilateral decisions on APRIL and director Gerard Saliot without consulting the landowners.

He said the delegation was shocked at the way in which FNPF was handling the matter because the people held the project dear to their hearts since all the land at Natadola was committed to the project.

"He (Ratu Epeli) has pledged to approach FNPF over the matter as the project spans 1145 acres of Native land. The vanua wants equity in the project," Ratu Osea said.

Ratu Epeli could not be reached for a comment.

The landowners last night met with Mr Saliot and APRIL officials. Ratu Osea said the matter would be further discussed with the Native Lands Trust Board today. NLTB spokesman Semi Tabakanalagi confirmed the land in question belonged to the seven yavusa.

Ironically, it is the same Gavidi, who seemed to be the mouth piece to a fraudulent scheme with the fictional bank O.I.T.C last year, claiming that a certain foreign investor was willing to donate US$6 Billion to establish a indigenous operated banking enterprise in Fiji, which was reported by a Fiji Village article.

This is the excerpt of the FV article:

Media chased from MOU signing
By fijivillage
Mar 3, 2006, 17:57


Members of the media were chased out after the signing of the Memorandum of Understanding between the Office of the International Treasury Control and the Viti Land and Resource Owners today.

The press conference with foreign national Dr. keith Scott who claims to be the Head of Cabinet of OITC was abruptly terminated after specific questions regarding the validity of the 6 billion dollars being offered by the company to set up a commercial bank was brought up.

Questions on when and how the initial 3.8 billion would come through were left half answered by Dr. Scott after front man for the resource owners Masi Kaumaitotoya called for security to escort the media out.

Doctor Scott also revealed at the Bose Ni Turaga earlier this week that he would transfer the first payment of $3.8 billion by yesterday afternoon. However nothing has eventuated since the announcement.

When questioned earlier today on why the transfer was not done, Resource Owners Association President, Ratu Osea Gavidi said there is no bank account in Fiji that can hold $3.8 billion.

In the MOU, 50% is to be funded by the OITC and the other 50% is to be provided by the landowners who are expected to use their land and resources as monetary value.

This afternoon, members of the media who were at the press conference were handed a copy of the MOU which contains a signature under the name Dr. Ray. C. Dam. The document under the OITC header also shows its offices based in Malaysia, Netherlands, USA, Australia and Ecuador, however no information on the company or Dr. Dam is available at this stage.

The MOU states that OITC will provide total 2.805 billion dollars for an acquisition of trucks and timber milling plant and equipment for landowners, development of a Community Aged Center, development of community owned tourist and resort centre construction of modern prisons for Fiji and reforestation programme through Triunion investment Holding company and the resource owners association.

Meanwhile, Fiji Police are now seeking the assistance of their overseas counterparts to try and establish the authenticity of the claims being made by foreign national Dr. Keith Scott and the background of his company called OITC.

Director CID Joe Rasiga has confirmed with Legend FM news that a weeks search for information on Dr. Scott and OITC has been fruitless and now Interpol has been called in.

The issue of landowners choosing which company as their preferred project managers, for a construction site on their land is nothing more than obstructive hair splitting.

Although, the land rightfully belongs to Natadola; the concerns of the project financiers (FNPF) supersedes those petty issues of land ownership. Once the approval was given by the Natadola landowners for this particular project, it is counter-productive for the landowners to choose which building contractor or project manager is more favorable. To micro-manage which crane operator or which Electrician should take their job because another does not meet their liking is a complete mockery of indigenous affairs. Those decisions are well out of their jurisdiction of landowners; once their approval for the project is given.

FNPF's subsequent decision would be crucial, because it does not want the construction quality to be compromised, furthermore it wants a fair return for their investment, by ensuring those engineering standards remain as, a degree of excellence.

Gavidi, appears to be riding on the band wagon of cultural insensitivity; that inextricably could frustrate the project's major financier. Gavidi's ignorance of the fundamentals of Engineering standards and the contractual aspects from FNPF's standpoint could accelerate that level of frustration.

FNPF could respond by withdrawing financial backing and terminating the project altogether, if the threats by landowners are taken seriously. Without capital drawn from Fiji National Provident Fund (FNPF), Natadola would only be a well-frequented beach. Money changes those perceptions, as rapidly as a blink of an eye.

APRIL claims rival company raided office

Fiji Live-Monday March 19, 2007
Sacked project managers of the multi million-dollar Natadola Project, Asia Pacific Resort International Limited (APRIL) are claiming their replacements tried to forcibly remove documents from the company's offices.

APRIL's project director Keni Dakuidreketi alleges that representatives from local engineering consultants HLK Jacob "tried to remove files" on the Natadola Project but were told leave by APRIL staff.

However, HLK Jacob director Brian Jacob has categorically denied any involvement by his staff saying it was not his company's responsibility to remove documents from APRIL. He said it was not his staff but members of the Natadola Bay Resort Ltd (NBRL) that tried to enter APRIL's offices.

Jacob said the Natadola Project is currently under investigations and the only people that can have access to the documents are the fraud investigators and his company was in no way involved.

Dakuidreketi said no one would be allowed to enter APRIL premises without a court order. He also said APRIL was concerned about the alleged "close relationship" between HLK Jacob and Northern Projects Fiji, which is the building contractor for the first phase of the Natadola Project.

Northern Projects Fiji representatives referred all questions to the NBRL that last week fired APRIL and Natadola's construction managers COTEBA citing non-performance.
NBRL chairman Felix Anthony said last week that while $60 million of the projected $140 million has been spent on Natadola to date, only 10 per cent of work has been completed with the project late by 24 weeks.

He said that since they were hired in mid-2004, NBRL has paid APRIL $8 million in management frees to oversee the project, but have been unsatisfied with the results.
Fijilive

One niggling matter to comprehend is that, how was APRIL Development awarded the role as construction project manager in the first place, especially when the main representative of APRIL-Messr Keni Dakuidreketi is not qualified as a Civil Engineer nor does he or APRIL have any experience whatsover in structural design or in major building construction.

By virtue of these facts, it is mind boggling how APRIL could have the knowledge or experience as a construction project manager (a specialized field in Civil Engineering) to justify the exorbitant management fees it charged.

This is Dakuidreketi's CV posted on the website for Yaqara Group Ltd .

Director
Keni Dakuidreketi
Fijian
B App Sc (Prop Mgmt) Aust.

As Managing Director and founder of Rolle Hillier Parker - Fiji since 1990 (world wide associated with Hillier Parker & ONCOR Group of Companies), Keni has had extensive property experience with coordination and financing large scale property developments in Fiji. From 1984 - 1987 he was the Estate Officer with the Fiji Native Land Trust Board and worked as Director of Valuation for Harrison Grierson Consultants for 3 years.

He is Chairman of Fiji Rugby Union, Chairman of the Lands Transport Authority, a Board Member of the Housing Trust Authority, the Native Lands Trust Board and Natadola Marine Resort Ltd and sits on a number of other high profile community boards and organisations. Keni was a member of the Interim Civilian Administration and was appointed Minister of Youth, Sports and Employment Opportunities. Keni is a principal and runs a successful business in real estate management and consultancy as well as a management consultancy company.

Consulting Engineers appointed by FNPF have accused the former Natadola Resort project manager of substandard work and that the existing building designs within Natadola project; do to meet the New Zealand building code, which Fiji had adopted.

Threat to stop FNPF project-
Firm defends contract amid landowner demands

By CHEERIEANN WILSON
Fiji Sun.

Natadola landowners yesterday warned the Fiji National Provident Fund that they would terminate leases in the multi-million-dollar hotel project if it fails to reinstate sacked project manager, Asia Pacific Resorts International. Viti Landowners and Resource Owners Association interim president Ratu Osea Gavidi said 18 landowning clans of Natadola met last night to discuss the removal of APRIL, which had breached an earlier agreement with the initial developers. He said members of the tokatoka would not allow any company appointed to replace APRIL into Natadola.

FNPF board member Daniel Urai said APRIL was removed by legislation. “The issue of APRIL's termination is not determined by the FNPF. FTIB (Fiji Trades and Investment Board) cancelled APRIL's licence because it failed to declare previous bankruptcy and fraudulent convictions. APRIL was removed through legislation,” he said last night.

APRIL's replacement, HLK Jacob Limited, yesterday revealed that APRIL had approved its appointment by former construction manager COTEBA last August for supervisory structural services for the project. “We were appointed to this with APRIL’s approval from a shortlist of four local engineers on the basis of our track record in major projects. Obviously, APRIL had no objection at that stage, including independence issues, otherwise we would not have been appointed,” it said in a statement.

HLK Jacob stated that it uncovered a lot of discrepancies in the structural design in regards to the compliance with Fiji and New Zealand building codes.
“COTEBA and APRIL were notified of this issue in October last year – we have records of all these correspondences. We were strongly of the opinion that the structures were not designed to the NZ code as required under the Fiji Building Code,” it added.

HLK Jacob stated that no action was taken until January this year when engineer, Holmes Group, was appointed on behalf of the project structural engineer to review the design. Holmes Group agreed the design was not in full compliance with the NZ Earthquake Code and recommended a number of remedial works.

Holmes Group also recommended that any major deviations from earthquake codes could be handled if NBRL accepted an alternative design solution. Holmes Group, however, would not take any responsibility for any of its recommendations. HLK Jacob then resigned on January 23, this year, because it did not believe that the approach taken by APRIL and COTEBA to downplay the matter was in the best interest of FNPF and NBRL. “We were approached three days later by the FNPF board asking reasons for our sudden resignation. And we outlined our reasons to them,” it said.

HLK Jacob, in a letter to COTEBA Limited in January, stated that it was left with no choice but to resign as structural engineer because:

Structural design codes for the project had not been addressed by the structure engineers; and It has been over three months since the issue was raised but work continued without any resolution.

FNPF engaged HLK Jacob to act as its representative and technical adviser. “Our commission was to look in the technical affairs of the project. A series of correspondence were sent to APRIL/ COTEBA/ NPF for their response to the delays, cost variations, lack of progress and other critical issues,” the company said. “We received the responses and this was presented to the FNPF board and management.

Our brief was to put forward all the facts and opinion on cause. We, at no time, recommended their removal. “Our appointment as project/ construction managers is only an interim one at this stage until NBRL resolves how it intends to move forward.”

HLK Jacob director Sanjay Kaba last night denied claims by APRIL project director Keni Dakuidreketi that its representatives tried to enter the offices of APRIL at Natadola.“We understand that they tried to remove files. Our staff said HLK Jacob Ltd had tried to forcibly enter the offices of APRIL at Natadola,” Mr Dakuidreketi said.

Mr Kaba said the matter was between the FNPF and the landowners. Mr Dakuidreketi said in a television interview that FNPF did not consult with APRIL but instead obtained an opinion of the progress of the project from a contractor. He revealed that FNPF met APRIL and had said that it would need to review the MOU that had earlier been agreed to. However, APRIL was caught by surprise hours later when FNPF announced that it had been fired.

Efforts by APRIL Developments to stop the deluge of negative publicity with repeated media appearances was mediocre at best and could not distract the public from serious allegations of malpractice, recently publicized by the new board of Fiji National Provident Fund (FNPF)-the project's major financial backer.

Dakuidreketi responded in a Fiji Times article:

Mr Dakuidreketi said the Holmes Consulting Group, a leading New Zealand firm of structural engineers, had conducted a detailed review of the design of the resort's InterContinental hotel. This followed issues raised by COTEBA as the Natadola project construction manager. The issues were not raised by HLK Jacob as claimed, said Mr Dakuidreketi.

The Holmes review confirmed that the InterContinental design complied with the relevant New Zealand codes of practice and by reference, to the National Building Code of Fiji, [Dakuidreketi] said.

"A specific technical approach had been used to minimise earthquake damage as a few minor modifications were suggested by Holmes Consulting to lessen the risk of damage," Mr Dakuidreketi said.

"The cost of these was expected to be small and well worth the investment. These modifications only apply to work that is still to be done. It is not necessary to demolish large parts of work already completed as proposed by HLK Jacob."

Burchill VDM Pty Ltd, the consulting engineer for the hotel, has also endorsed the construction. Mr Dakuidreketi said. Burchill VDM is a leading Australia-based urban development consultancy and has worked on many major tourism projects.

Mr Dakuidreketi said HLK Jacobs favoured a much more expensive and unnecessary option to deal with the minor modifications required. "That, in itself, raises questions about HLK Jacob's approach. It is quite misleading to suggest there were major design flaws. This is not the case," he said.

He said as project managers, APRIL had presented all technical reports to the Boards of Natadola Bay Resort Limited and FNPF Investment Limited (FIL). APRIL's attempts to convene a meeting of all the technical consultants involved in the project have been rejected, he said.

Louis Gerard Saliot quit last week when confronted with details of his previous convictions, said Natadola Bay Resort Limited chairman, Felix Anthony yesterday.

Although, Burchill VDM Pty Ltd is a reputable company in Construction Management; arguably one would point out that, HLK Jacob would be more appraised about New Zealand's building code than Burchill, since it is a New Zealand company and has completed more projects in New Zealand than Burchill.

One wonders how APRIL became the middle-man in this million dollar project at Natadola. APRIL's use of consultancy Engineers, Burchill is equally an issue, since APRIL branded itself as project manager in construction; albeit with no qualified Engineers in their employment, nor experience to justify their excessive management fees.

It seems abundantly clear that, APRIL conveniently sub-contracted out Engineering consultancy to Burchill, but kept the lions share of the fees. This raises more questions like:

1. Why didn't Burchill itself become the principal project manager, rather than APRIL?

2. Did APRIL get the million dollar project, because Dakuidreketi was also a Board member of Native Lands Trust Board?

As the major funder for the project Fiji National Provident Fund(FNPF) was well within their rights to ask for an independent evaluation of the project. It is nothing short of prudent financial reasoning, for FNPF to get 3rd party analysis ensuring that works rendered, were made according to engineering specifications, entailed under New Zealand's building code.

HLK Jacob, a New Zealand company with major projects under its wing, was then acquired by FNPF to review the project and found some major discrepancies within the design and issued a work stoppage order.




Those discrepancies is disputed by APRIL Development's point man:

"Mr Dakuidreketi said HLK Jacobs favoured a much more expensive and unnecessary option to deal with the minor modifications required. "That, in itself, raises questions about HLK Jacob's approach. It is quite misleading to suggest there were major design flaws. This is not the case," [Dakuidreketi] said".

Of course, Dakuidreketi was ill qualified and out of his depth to make that crucial call. HLK Jacob was exceedingly knowledgable about those concerns, since a structural failure would damage the mechanical integrity of the entire project, as well as their own repuatation as Consultant Engineers.

It well appears, as project managers APRIL (via Dakuidreketi's rationale) may have tried to minimize further costs incurring; by avoiding the structural recommendations made by HLK Jacob, without any concern for damages on the building or their reputation, since they are known merely as property managers and not construction experts.

Club Em Designs