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DPL investigates the sale of Rota Resort
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Posted on Sep 26 2008
Public lands officials have launched an investigation into the recent sale of the Rota Resort & Country Club after learning the property had changed hands without the local government’s approval.
Department of Public Lands chief John S. Del Rosario on Friday said his staff is examining the details of the sale, a move that comes in the aftermath of an order by the CNMI Attorney General’s Office directing the resort’s new owners—a branch of the Guam-based firm JMSH LLC—to vacate the property or face a lawsuit.
However, Del Rosario declined to give details on the issue during a press conference, saying it “involves an active investigation.”
“We’re reviewing everything we need to know,” he added.
The AGO order, issued Monday, points to a report in the Saipan Tribune on the resort’s sale—which followed a report in the Pacific Daily News—and says that if the report is accurate, the resort’s new owners are trespassing on public lands.
The order prompted an outcry among lawmakers, who said the new investment at the resort is crucial to reviving Rota’s suffering tourism industry.
The resort’s sale came after JMSH had already poured millions into the resort to revive its operation. The company has also launched a major campaign to boost tourism through chartered airline service to the island from Korea and planned a series of renovations to attract new visitors.
DPL controls the property on which the resort sits.
The resort’s management has not responded to several requests for comment on the matter. Meanwhile, staff at the resort said their management has yet to give them any notice of a closure and they are continuing to take reservations.
Charles Reyes, spokesman for Gov. Benigno Fitial defended the AGO’s order this week, saying the office is merely enforcing the law.
