Labour Leader Calls on PM Rabuka to Address Corruption Allegations

Fiji Labour Party Leader Mahendra Chaudhry has called on Prime Minister Sitiveni Rabuka to respond to serious allegations regarding a luxury gift he allegedly received from a local businessman.

Mr. Chaudhry has urged the Prime Minister to address claims that he was gifted a gold Rolex watch worth over $150,000 in return for political favors. “This is a very serious allegation, and the Prime Minister must clear the air by addressing it directly,” said Mr. Chaudhry.

Recent photographs circulating online have shown Mr. Rabuka wearing a gold Rolex watch and a Montblanc gold pen, further fueling speculation. According to reports on a blog run by a reputable Australia-based journalist who writes extensively on Fijian affairs, the Rolex watch is similar to one Mr. Rabuka allegedly received following the 1987 coup from Mahendra Motibhai Patel, then chairman of Prouds, Fiji’s leading retail outlet.

“The journalist raises the question of whether this latest Rolex watch is a ‘thank you gift’ from Mahendra Patel, who was granted a presidential pardon late last year after being convicted of abuse of office and sentenced to prison,” Mr. Chaudhry stated. Patel had previously fled to Australia to avoid serving his jail sentence.

Mr. Chaudhry emphasized that in democratic nations, high-value gifts to government officials must be declared. “In Western democracies, there are strict laws requiring heads of government and ministers to declare gifts above a certain value. We hope the proposed Code of Conduct Bill will include similar provisions,” he said.

The Labour Leader also questioned the Prime Minister’s silence on allegations of a possible link between a seven-year tax holiday granted to Fiji Water and his visit to the home of its billionaire owners, the Resnicks, in Los Angeles in March 2023.

“Just a few months after Mr. Rabuka’s visit, Fiji Water was granted a lucrative tax concession in the 2023/24 Budget, at a time when corporate tax rates were raised for other businesses and ordinary Fijians were hit with a 6% VAT increase,” Mr. Chaudhry pointed out.

He further noted that the chairman of the 2023 Fiscal Review Committee, Suva lawyer Richard Naidu, had advocated for the VAT hike to 15% while his law firm, Munro Leys, serves as the local consultant for Fiji Water. “There has been widespread speculation about Mr. Naidu’s role in this decision, but he has chosen to remain silent on the matter,” said Mr. Chaudhry.

Labour has repeatedly called for a thorough investigation into what it describes as a “Fiji Water tax scam.”

“The Prime Minister cannot continue to remain silent on these serious allegations. Transparency and accountability are crucial, and the people of Fiji deserve clear answers,” Mr. Chaudhry asserted.

The Labour Party has vowed to push for greater scrutiny of the government’s actions and ensure that public interest is prioritized over special favors for the wealthy and well-connected.