Murray McCully

Wellington, Dec 23 NZPA - New Zealand's relationship with Fiji was in crisis tonight after tit-for-tat expulsions of top diplomats from Suva and Wellington.

Fiji's self-appointed prime minister Commodore Voreqe (Frank) Bainimarama ordered the expulsion of New Zealand's acting high commissioner Caroline McDonald at 5pm.

Within two hours Fiji's acting high commissioner in Wellington, Ponsami Chetty, had been declared persona non grata.

In both cases, they have a week to leave.

The row over Cdre Bainimarama's insistence that a student visa be granted to the son of senior official boiled over after confusing signals from Fiji that it was not going to expel Ms McDonald and that it wanted to improve relations with New Zealand.

Cdre Bainimarama was told last Tuesday the Government was not going to grant the visa, which would breach travel sanctions imposed on Fiji after the military coup two years ago.

"This government has no intention of making concessions while having a gun pointed at its head," Foreign Minister Murray told reporters tonight."

"We have attempted to work constructively to resolve issues of contention between New Zealand and Fiji.

"That has been made difficult by the fact that Cdre Bainimarama has employed ultimatums and threats to advance his case."

Mr McCully said the Government had decided to ignore "some of the provocation" from Fiji and had tried to work through the issues around the demand that a visa be granted to George Nacewa, the son of Rupeni Nacewa who is a secretary in the office of Fiji's president.

"But from day one we have had nothing but threats and ultimatums," he said.

Mr McCully said no specific reasons had been given for the action against Ms McDonald and there was no basis for expelling her.

"The precise allegations against her are not clear but any allegation she has not conducted herself appropriately is of course quite false," he said.

"It's a simple matter of a deliberate and direct threat being made that this would be the consequence of New Zealand not acceding to an ultimatum.

"New Zealand could not accede to that ultimatum but we gave Cdre Bainimarama room to think better of that course of action. He decided not to take that room."

Fiji's action against Ms McDonald followed an outburst yesterday by the interim government's attorney-general, Aiyaz Sayed-Khaiyum, who alleged New Zealand and Australian authorities were tapping phone lines and using locally-hired Fijians as spies.

Mr McCully said he had no knowledge of any such activity, and reference to locally-hired Fijians was "one of the less pleasant aspects" of the statements that had been made.

Ms McDonald is the second high commissioner to be given marching orders by Cdre Bainimarama.

In June last year Mike Green was declared persona non grata after being accused of meddling in Fiji's domestic affairs.

Mr McCully said he did not know when Ms McDonald would leave but officials were "making rapid plans" to get her out of Fiji.

The diplomatic breakdown comes as Pacific Island Forum leaders prepare to make another attempt to persuade Fiji to hold democratic elections next year.

Regional prime ministers, including Mr Key, are due to meet in Papua New Guinea at the end of January to discuss a way forward.

Mr McCully said the Government had to respond "quickly and directly" to Fiji's action against Ms McDonald but it had no wish to compromise progress in dealing with Fiji on wider issues.

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