The man who led PNG's successful NRL bid has stood down from the expansion team's board over corruption allegations.
PNG Prime Minister James Marape on Friday said Wapu Sonk had agreed to step down effective immediately as a franchise board director but added it was "not a presumption of guilt".
The allegations made by the Sydney Morning Herald relate to Mr Sonk's business dealings as managing director of Kumul Petroleum.
The report claimed documents and corporate records linked Kumul Petroleum to suspect dealings with a huge Chinese government firm and a "plot to funnel contracts" to a company Mr Sonk owned in Australia.
Mr Sonk was chair of the NRL PNG team bid, helping secure a $600 million backing from the Australian government.
He was named on the new franchise's inaugural board in June.
Mr Marape said while the matters were unrelated to the NRL franchise, they were claims that "cannot be ignored".
"I have spoken to Mr Sonk and while he is currently overseas I have requested that he step down from his role ... he has agreed to do so," he said in a statement.
"Mr Sonk is entitled to due process and the opportunity to clear his name.
"Stepping down allows him the space to do so without casting a shadow over the franchise process or compromising the confidence of our partners."
Mr Marape said his government was committed to "full transparency" and co-operation with relevant investigations.
"The integrity of this national franchise is paramount. We will not allow it to be undermined by external controversy ... this moment demands clarity, accountability, and the upholding of public confidence," he said.
"Our national sporting future - and our international reputation - depend on it."
Comment has been sought from Minister for Pacific Island Affairs Pat Conroy.
The PNG expansion team was officially announced in December 2024, with the team set to join the competition in 2028.
At the time Mr Sonk said "the whole country will be involved" in picking a moniker and designing the jersey for the team in PNG where rugby league is the national sport.
Former Canterbury Bulldogs boss Ray Dib was named PNG club chairman in June, with the Australian Rugby League Commission announcing a seven-member board.
The Australian government will kick in $600 million over 10 years in an agreement that expires at the end of 2034.
