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Kolitagane: Viti Corp Now A Profitable Entity

Viti Corporation Company Limited had reassured the Public Accounts Committee that they are addressing issues raised in its 2005 and 2006 auditor general’s report audited accounts. While making submissions in
01 Sep 2016 09:17
Kolitagane: Viti Corp Now A Profitable Entity
Ministry of Public Enterprise permanent secretary, David Kolitagane (middle), Senior Economic Planning officer,Salote Lalabalavu Sukani (right) and Acting Director Monitoring,Laisa Bolalevu making submissions before the Public Accounts Commiittee at the committee room in Parliament yesterday. Photo:Arieta Vakasukawaqa

Viti Corporation Company Limited had reassured the Public Accounts Committee that they are addressing issues raised in its 2005 and 2006 auditor general’s report audited accounts.

While making submissions in Parliament yesterday, Corporation chairman and Public Enterprise permanent secretary, David Kolitagane, told the Committee it would include the completion of outstanding audits.

He said business activities until January 2005 was mainly agriculture, aquaculture and livestock production.

However because of poor management of the farm and on the brink of insolvency, Mr Kolitagane said it was restructured and focused on leasing out its property of 2700 acres of land for agriculture purposes.

“Therefore Viti Corp’s main business activity is administering the lease of its land in Navua to Fiji National University,” he said.

Mr Kolitagane said pre-restructure, the Corporation could not meet its debt obligations and required Government intervention.

“Since then, the company has not received any Government assistance,” he said.

Mr Kolitagane further said the company had turned around from being a consistent loss maker to a profitable entity.

“The company has adopted a lean structure and is overseen by a three member board,” he said.

Mr. Kolitagane said that Viti Corporation did not have a dedicated management team as his ministry undertook any administrative responsibilities and required support services, therefore there were no administrative and personnel costs incurred.

He said they recently approved that Fiji National University sub-lease portion got the Viti Corporation land to the private sector with the intention of creating employment, self-sustainability, cluster farming, food security, increasing investments and exports.

“Moreover, currently Viti Corp enjoys a healthy cash flow position and the board is pursuing strategies to enhance returns to the company,” Mr Kolitagane said.

The Chairman of the Public Accounts Committee, Mohammed Abe Dean acknowledged the improvements made by Viti Corp since restructure.

 

Edited by Jonathan Bryce

Feedback: arieta.vakasukawaqa@fijisun.com.fj

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