Post Fiji Ltd has requested the government to write off a debt of $9.6 million owed by an unidentified Australian-based company, following an investigation that revealed the company is no longer operating. This information surfaced during the Public Accounts Committee (PAC) review of auditor reports for the years ending in 2019-2020 and 2021-2022, presented in Parliament on Thursday.
The PAC report indicated that Post Fiji had attempted to recover the outstanding amount. The company enlisted the services of an Australian investigative firm, Truth Investigations, to look into the assets of Mr. Shaffe Khan, the Director of Logistics Consultant International Pty Ltd, which is the debtor company. However, a national property search did not reveal any properties registered in Khan’s name.
Post Fiji explained to PAC that it had engaged both an Australian legal firm, Commercial Litigation and Insolvency Lawyers, and a local firm, Sherani and Company, in efforts to reclaim the debts. Despite these attempts, it was concluded that recovery was not feasible since Logistics Consultant International Pty Ltd had been voluntarily wound up and deregistered.
After exhausting all recovery options, Post Fiji management submitted a recommendation to the company’s board on May 19, 2023, suggesting that the debt be written off. The board has since consulted with the Ministry of Public Enterprise and is currently awaiting a response.
In light of the significant amount involved, PAC has recommended further investigation into the matter and emphasized the importance of resolving this issue before 2025, including addressing the write-off recommendations to the Ministry of Finance.