Bid to stop casino law denied

Superior Court Associate Judge David A. Wiseman denied yesterday attorney Ramon K. Quichocho’s bid to stop Gov. Eloy S. Inos and the CNMI government from implementing the casino law while his lawsuit remains pending.

In a two-page order, Wiseman said a more detailed decision would be forthcoming.

Wiseman said he would also express in his forthcoming ruling the court’s concern with the valid issues raised by Quichocho regarding the “questionable authority” of the Lottery Commission being exercised in view of Public Laws 18-38 and 18-43.

Inos signed House Bill 18-179 (the Saipan casino bill) into law and it became Public Law 18-38. The governor later signed House Bill 18-182 (amending the casino law), which became Public Law 18-43.

Wiseman heard Quichocho’s motion for a preliminary injunction against Inos and the CNMI government on May 30, 2014. Quichocho appeared for himself. Assistant attorney general David Lochabay appeared for the CNMI government and for Inos in his official capacity. Assistant attorneys general Reena Patel and Teresita Sablan represented the governor in his personal capacity and for the Lottery Commission respectively.

In his order, Wiseman said that after weighing the factors and reasons that must be presented for consideration to grant a preliminary injunction, the court “finds those factors unsatisfied.”

Quichocho filed the lawsuit for himself and on behalf of the CNMI taxpayers, challenging the constitutionality of the casino law.

He is suing Inos, the CNMI government, and the Lottery Commission for alleged violation of the NMI Constitution, illegal expenditure of public funds, breach of fiduciary duty, and breach of trust.

Quichocho wants the court to declare the casino law and any expenditure of public funds under that law as unconstitutional and unlawful.

Quichocho argued, among other things, that the Commonwealth Casino Commission and not the Lottery Commission has the authority to expend the $2 million non-refundable application fees.

He alleged that the Lottery Commission’s use of the application fees to hire casino investigators violates the statute.

In the defendants’ opposition, Patel said Quichocho has not met his burden for a preliminary injunction based on the evidence submitted.

Patel asserted that the government needs new revenue to pay land compensation judgments, provide essential public services, and to meet its obligation to retirees.