The tension began when Mr Singirok was cross-examined on his address in early March to the Special Force Unit in Wewak.
In his address, he stated that the hiring of Sandline was too expensive based on a report. Mr Cooke, in an attempt to challenge the existence of such a report, called Mr Singirok a liar.
Mr Singirok raised his voice twice in the courtroom saying: "Don't call me a liar."
When Mr Singirok failed to appear in the afternoon, the commissioner, Justice Warwick Andrew, suspended Mr Singirok from giving any more evidence. He also said the general could be subjected to prosecution under sections 10, 11 and 19 of the Commissions of Inquiry Act.
In the early part of the proceedings, Mr Singirok continuously defied the use of his personal diary. He told the inquiry that Mr Cooke was questioning the credibility of his diary and his personal life which he took as an insult.
He also told the inquiry that until now he had strongly believed that what the Government wanted him to do was unlawful and that his actions were lawful.
Mr Singirok further argued that all set procedures involved in the Sandline deal were ignored, the contract was not binding and the intention of the Government to use a military solution on Bougainville was of a great concern to him.
Also giving evidence later in the day was the Attorney-General, Sao Gabi.
When questioned by defence counsel Peter Donigi on the legality of the contract, Mr Gabi said he became aware of the contract after the contract was approved by the National Executive Council.
He agreed with Mr Donigi that he was obliged to give advice prior to NEC decision on such matters.
"In my term in office, this was one submission that we never saw before it went to cabinet," he said.
Mr Gabi also said there was a standard procedure but was not followed due to security reasons. He said that the submission containing the Sandline deal was never tabled before the National Security Council and that all members of the council needed to agree.
He added that he was not aware of the reason why the submission was not brought before the council.
PNGBC's foreign exchange executive director, James Forrester, also appeared to give evidence before the inquiry.
He told the inquiry that transactions involving the transfer of funds for the Sandline deal were supposed to be handled by the Central Bank of Papua New Guinea and not commercial banks, as they involved the Government.
Elizabeth Leny and Jacqueline Kapigeno are third-year journalism students at the University of Papua New Guinea.
