‘Fight bankruptcy proceedings’

Active and retired members of the Commonwealth pension program were urged to fight and stop the proceedings in the bankruptcy petition filed by the NMI Retirement Fund’s board of trustees Tuesday, citing that beneficiaries have the right to do so.

During a tense and emotional gathering at the American Memorial Park Tuesday night that was attended by hundreds of active Fund members and retirees, Glen Hunter urged them to fight the bankruptcy proceedings.

“You can stop it! Let’s fight this bankruptcy proceedings. They [the Fund board] should talk to you in advance but they never did. They said they protect you and will protect you and your benefits but they actually are impaired,” Hunter told the crowd.

His words prompted a brief scuffle with Fund counsel Carolyn Kern, who grabbed the microphone from Hunter and ordered him to stop speaking. This provoked a round of booing from the crowd, who all urged Kern to give back the floor to Hunter. She immediately apologized and gave the microphone back.

Hunter accused the Fund board of hiding important information from Fund members—from the plan to file for bankruptcy, to the creation of a pension corporation, to the rate to be paid to the bankruptcy counsel, among others.

Becky Cruz, a retiree, gave an emotional plea to the board. “Please be honest with us. Why are we not consulted in this decision? Why did you leave us on the side? That’s our money and we have the right to it, so please don’t treat us like a trash because we’re not,” she said.

Another retiree, David Sablan, also voiced out his sentiments, describing the Fund’s decision as unfair to members. The Fund’s contract with members, he said, should be honored.

A visibly angry Juan I. Tenorio scored the Fund board for taking such a drastic action that will impact his life—not the trustees’.

Maggie Sablan, who spoke on behalf of her retired parents who live off-island, asked the board for answers on how she would explain this development to her parents, whose pension checks are their only means of living.

In the more than two hours of heated discussion and exchanges, Fund representatives Richard Villagomez, Viola Alepuyo, Braddock Huesman, and Jeremy Coffey were sitting ducks for the recrimination and blame that were lavishly doled out that night.

When asked by members how they can be of help to the situation, Alepuyo encouraged them to speak up and scream with the Fund in seeking assistance from the Legislature and the Fitial administration. Alepuyo cited the numerous efforts extended by the Fund in seeking help from Legislature, which she said fell on deaf ears.

The court had determined in June 2009 that the central government owes the Fund $317 million in employer contribution since 1999. This resulted in a significant decline in the Fund’s assets as it continues to pay for members’ benefits.