Timor government defends rice deal

Updated June 29, 2009 20:32:48

East Timor's government has defended prime minister Xanana Gusmao's authorisation of a multi-million dollar contract to company in which his daughter was a major shareholder. The government says it's taking action to eliminate corruption in government. And East Timor's parliament has now approved plans to establish an anti-corruption commission in East Timor. But the leader of the National Unity Party, MP Fernanda Borges, says the new commission's first task should be to investigate the prime minister's office.

Presenter: Steve Holland, with additional reporting by Stephanie March
Speakers: Statement issued by Agio Pereira, secretary of state for the council of ministers and official East Timorese government spokesman (statement read by Tom Fayle); MP Fernanda Borges, president, National Unity Party and former finance minister, East Timor

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