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‘NMI govt owes people and businesses millions of dollars’
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Posted on Dec 02 2011
By Ferdie de la Torre
Reporter
Reporter
The CNMI government literally owes many people and businesses millions and millions of dollars as there is no law that addresses the payment of court judgments, according to attorney Michael W. Dotts.
Dotts told Saipan Tribune that the CNMI government owes money not just with his client, businessman Anthony Pellegrino and his Marine Revitalization Corp., but also with the NMI Retirement Fund as well as hundreds who are owed compensation for lands that were taken.
Dotts said there are families who have had loves ones injured at the hospital who have not been paid their judgments.
There are also businesses and individuals who have sued and obtained court judgments against the CNMI who have not been paid, he added.
“The CNMI literally owes millions and millions of dollars and it hurts everyone that there is no process in place for all those people who are owed money to be paid, even if they are paid only a little at a time,” Dotts said in an email.
In 2005, the Department of Lands and Natural Resources agreed to a court judgment ordering it to pay $5.65 million to Pellegrino or MRC. DLNR, however, did not comply with the order, resulting in the court’s three judgments in favor of MRC and Pellegrino.
By October 2010, the government’s debt to Pellegrino and MRC has already ballooned to $8.5 million due to accrued interests.
Dotts said the government’s debt was reduced to about $5 million after the CNMI Supreme Court held that judgments against the CNMI don’t accrue interest.
Dotts said the high court’s ruling basically took away from Pellegrino and MRC about $3 million in interest.
He said the Supreme Court held that courts are powerless to enforce court judgments and ruled that judgments must be paid by legislative appropriation.
