Flashback – April 24, 2000-2002

[B][U]April 24, 2000[/U][/B] [B]US auditors to probe Saipan seaport scandal[/B]

Federal auditors are expected to begin a thorough investigation into the financial controversy surrounding the dredging and construction of the $43 million Saipan harbor which was completed April last year after almost six years since the project started. Ports Authority Board Chair Roman S. Palacios made the audit request to the Office of the Inspector General of the interior department following a recommendation by the Governor’s Transition Committee because of the increase in the project’s scope and cost. Palacios explained that the long delay in the project’s completion warrants a federal audit of the multi-million Saipan harbor improvement.

[B]CUC wants govt to settle unpaid utility bills[/B]

Unable to collect payment from the government during the past few months, the Commonwealth Utilities Corporation has demanded at least $1.5 million each month to partly settle its huge debt representing unpaid utility bills since last year. The government-owned utility firm has been in talks with the Department of Finance for the last two weeks to try to negotiate a payment schedule to reduce arrears amounting to over $11 million, according to CUC Board Chair Jesus T. Guerrero. “We are working with the finance department to make that payment. We are asking them to make a schedule of payment,” he told in an interview Although they are not expecting a full settlement of the debt in view of the financial difficulties confronting the government, utility officials are hoping to receive at least $1.5 million in monthly payment.

[B][U]April 24, 2001[/U][/B] [B]Garment firm seeks to collect over $56K[/B]

A Saipan garment manufacturing company has filed a civil court complaint against a security services agency for breach of contract and unjust enrichment in connection with the latter’s alleged failure to pay proper wages to its employees. Locally-based firm KGC International doing business as Villagomez Security Services allegedly failed to pay 14 of its employed security guards the proper overtime payments required under the CNMI and US minimum wage and overtime laws, according to plaintiff Hansae (Saipan) Inc. The guards during the years 1998-2000 were detailed by its employer to the Hansae garment factory on Saipan.

[B]Got ‘fraudulent’ mail?[/B]

The Attorney General’s Office yesterday warned Northern Marianas residents against fraudulent telephone and mail sweepstakes promotions. Consumer counsel David Lochabay said AGO has been receiving reports of CNMI residents who have fallen prey to these fake trade promotions. These illegal activities come in many forms but Mr. Lochabay said some unsolicited material typically arrives by mail, informing the recipients they have won a prize which generally involves a large amount of money. AGO said it turned out that the “winners” would have to send money before they can even collect their prize, be eligible for the next raffle drawing, or proceed to the next level.

[B][U]April 24, 2002[/U][/B] [B]DOLI to relax ATB regs US visa holders may be exempt[/B]

Foreign nationals who have U.S. visas need not secure an Authorization to Board letter from the Department of Labor and Immigration to come into the Commonwealth once an amendment to the ATB regulations is finally adopted. The proposed amendment also incorporates other provisions that would relax the strict requirement to secure an ATB. Labor and Immigration Secretary Joaquin A. Tenorio yesterday said that the proposal is being considered “very highly” and that it may just take “a week or so” before the new policy becomes effective.

[B]AGO: Budget cuts have to apply to all[/B]

The long and short of it is that, yes, the Governor has the authority to cut the budgetary allotments of other branches of government. However, such cuts have to be proportionately applied to all branches, departments and agencies. Thus ruled the Attorney General’s Office yesterday on the question whether the Governor has the constitutional authority to cut the third and fourth quarter allotments of the Executive, Legislature, Judiciary, and all other governmental agencies. However, Attorney General Robert Torres pointed out that the Planning and Budget Act of 1983 stipulates that the Governor’s authority to reduce allotments requires such cuts to be proportionate.