Monday, 29 August 2011 8:19 AM

RIPEL Exits with SBD$34 Million

The NCRA government has signed a SB$34.8 million dollar exit agreement on RIPEL of Russell Islands - ending eight years of the investment's non-activity and labour disputes in the country.

The signing took place at Cabinet office on Friday in front of Lavukal landowners, investor - Cross Pacific Trading Company along with other foreign investors and mortgagees of the investment.

Managing Director of RIPEL, Patrick Wong had previously claimed a total loss of US$9 million dollars in company assets and lost revenue.

In announcing the agreement, Prime Minister Danny Phillip says the agreement effectively hands over RIPEL assets on Yandina to the national government.

The agreement also protects the Government and government agencies from any further legal action by Mr Wong and his mortgagees.

Meanwhile, Prime Minister Phillip describes the signing as "victorious for the people of Russell and for Solomon Islands."

He says previous national administrations had failed to achieve such an agreement. "This achievement is testimony to what can be achieved when a government is focused," said PM Philip.

The NCRA government took only 6 months to reach a final agreement with the RIPEL operators.

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