A contra deal between  the Fiji Sugar Corporation (FSC) and South Pacific Fertilizers Pte Limited (SPF) is now under scrutiny.

The deal involved the transfer of the Lautoka Bowling Club, previously owned by FSC, to SPF.

It is understood that FSC is facing financial difficulties, prompting the sale of this property.

The transaction has sparked outrage and claims that it breaches a Cabinet decision on the sale of FSC properties.

The deal was confirmed yesterday by the Minister for Multi-Ethnic Affairs and Sugar Industry, Charan Jeath Singh.

“Apparently, FSC owes between $8 to $10 million to the fertilizer company, so it’s like a debt swap,” Mr Singh explained to this masthead.

“South Pacific Fertilizer is the owner of the property now.”

When contacted yesterday, Minister for Youth and Sports Jese Saukuru said he was unaware of the deal involving the Lautoka Bowling Club property.

“That sale should have been stopped because we have stopped it in Cabinet,” a disappointed Mr Saukuru said.

“FSC is not supposed to sell off any of those properties. They were taken that time as compulsory acquisition for the setting up of sugarcane mills in Fiji, so they don’t have the power to do that.”

Mr Saukuru said the Lautoka Bowling Club property should be given back to the landowners if not utilised.

“If they are not using it for their purpose, FSC should return that land first to the original landowner.

“When the thing came back to Cabinet, we asked the Minister concerned not to proceed with the sale of the FSC land, but I don’t know why he has gone ahead with that.”

SPF chief executive officer Ashween Ram refused to make a comment over the contra deal.

“I will not be able to make a comment now but it is appropriate for the board to speak at a later time,” Mr Ram said.

Mr Singh said the property was retained within the sugar industry as SPF is an inter-company.

Mr Singh added that the Lautoka Bowling Club would not be closed down.

“I think they (SPF) will still retain the bowling club. They will not get rid of that,” he said.

“It will still be there but I will have to find out more from the directors of SPF, what their plans are down the line.

“The bowling club (members) should not worry about it because it’s the corporate responsibility of the fertilizer company to continue giving the bowling club space to use for sports.”

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