11 Jun 2002

Tonga government to look at laws governing its Trust Fund

11:26 am on 11 June 2002

The government of Tonga says it will review the legislation governing its Trust Fund.

This comes after it confirmed that it is taking legal action in the United States against a total of three people and six companies in an effort to recover 20 million US dollars missing from the Fund.

Those being sued include a former financial adviser to the King, Jesse Bogdonoff, who was Tonga's court jester.

The government says its audits show the Trust Fund, which was built primarily from the sale of passports to foreigners during the 1990s, show that 20 million US dollars has been lost.

The Government says it has sent its Attorney General and Justice Minister Hon 'Aisea Taumoepeau to San Francisco to give the trustees a proper understanding and assessment of their position.

It says it has also directed that the legislation governing the trust fund be reviewed. .