Former finance chief found liable

Former finance secretary Antonio R. Cabrera was held liable by the public auditor over the mishandling up to $100,429 in public funds, a report released yesterday showed.

The auditor recommended that Secretary of Finance Lucy DLG Nielsen require Cabrera to return the money. Legal action may be considered if Cabrera resists the recommendation, the report said.

Public Auditor Leo LaMotte also recommended that Nielsen request the Attorney General’s Office to prosecute Cabrera for misconduct in public office.

The audit report covered payments to Cabrera from 1995 to 1997, excluding payment of his salary and other benefits.

Up to $30,000 of the funds found misspent was disbursed as travel advances, $66,581.51 for reimbursements of questionable official representation and $3,667.15 for other accounts.

The audit showed that Cabrera received two cash advances of $20,000 and $10,000 for two off-island trips, which were recorded directly as official representation instead of advances.

The first trip to several Far East countries was made to accompany former governor Froilan C. Tenorio and other CNMI officials to meet investors. Cabrera and other officials who participated in the trip were issued travel authorizations and were separately given travel per diem allowances.

The second trip to the Philippines was made to attend the National Defense Council Foundation awards said to be co-hosted by the former governor and NDCF.

Cabrera, however, was not issued a TA for the trip.

Instead of liquidating the advances after the two trips, Cabrera requested additional reimbursements of $33,077.25 by submitting receipts for his expense, the report said.

Cabrera, the audit said, was also reimbursed for various questionable official representation expenses totaling $66,581.51.

These included payments for hotel accommodations and meals without justification or supporting documentation, items that are inappropriate to be charged for official government expense such as liquor and cigars, unaccounted for equipment, duplicate charges, unidentified expenses and personal expenses such as purchase of expensive shirts, suits and leather accessories.

Cabrera was reimbursed $14,058.02 for hotel accommodations and $13,934.35 for hotel charges, amount which OPA said was too high for his five-day stay in the Philippines.

Personal expenses incurred by Cabrera included educational computer software, which was intended for 8- to 10-year-old children.

He also requested reimbursement for computer and other equipment totaling $6,394.92. He purchased the items during his trips abroad. The items, OPA said, were not turned over by Cabrera to DOF and have not been accounted for.

OPA noted that Cabrera failed to ensure that official representation expenses were incurred only for official purposes.