Embroiled in scandal, PNG's Paraka launches political party

5:10 am on 23 July 2016

The head of the law firm at the centre of a fraud case which has engulfed Papua New Guinea's prime minister is forming his own political party.

Paul Paraka on Thursday registered his Grassroots United Front Party and says he has given a lot to grassroots communities through his law firm, and wants to now provide political leadership.

However, Mr Paraka faces more than 30 corruption-related charges involving alleged fraud of more than US$70 million.

The case has embroiled the Prime Minister, Peter O'Neill, who is alleged to have authorised US$30 million worth of payments to Mr Paraka's law firm.

But in an interview with the Post Courier newspaper, Mr Paraka denied the allegations, and said the truth would eventually prevail.

He says he has been victimised by the same political decisions that have destroyed the dreams and aspirations of many Papua New Guineans.