OAG closes out one OPA recommendation

The Office of the Attorney General submitted an official response to a fourth outstanding audit recommendation this month in its effort to improve compliance with recommendations from the Office of the Public Auditor. The closure of the fourth recommendation would bring the OAG’s number of outstanding recommendations, all of which were issued between April 23, 1997, and Aug. 6, 2003, down from 11 to seven. This reduces the Office’s amount of outstanding recommendations by 36 percent.

The recommendation was redirected to the OAG on Dec. 12, 2000, and it concerned bribery and fraud in connection with a Tinian land survey contract. Specifically, a contractor bribed several public officials to approve a drastically overpriced contract for unnecessary work that was never performed. The U.S. Attorney’s Office filed an action against the contractor and the parties stipulated to a plea agreement whereby he was sentenced to eight months in prison. The contractor also agreed to pay restitution, valued at $151,314.69 as of October 2009. OPA requested the OAG to investigate the recovery of restitution award.

During its investigation, the OAG discovered that contractor had filed for bankruptcy in 2009, which would ordinarily make it more difficult to collect the outstanding restitution. However, the U.S. Attorney’s Office placed liens on the contractor’s real properties in 2002. Recently, the court also approved the United States’ request to foreclose upon the several real properties to satisfy the judgment. The bankruptcy trustee, U.S. Marshal’s Office, and the U.S. Attorney’s Office are working to sell the properties and satisfy the judgments.

The OAG feels that it has fulfilled the requirements of OPA’s request by submitting a written report of the investigation with the supporting documents and anticipates that OPA will close the audit recommendation upon review.

The OAG plans to respond to a fifth OPA audit recommendation next month. The recommendation was redirected to the OAG on Dec. 24, 2002, and concerned CPA personnel policies. Specifically, certain CPA officials have been receiving 14 hours of annual leave bi-weekly. Also, CPA has been advancing unused annual leave and salary. OPA is concerned that such policies are contrary to employment contracts and limitations set by CNMI law. On Dec. 1, 2009, the attorney general met with OPA and discussed the OAG’s findings regarding the advance of unused annual leave and salary. The OAG will submit a written opinion on the issues.

The OAG is pleased with the progress that has been made since renewing its focus on bringing the office into compliance with OPA recommendations. However, most of the remaining recommendations require complex research and investigation that will take more time to resolve. The two offices are working diligently to close all of the remaining open recommendations as quickly and efficiently as possible.[I] (Office of the Governor)[/I]