By Nazario Rodriguez Jr.
Horizon news staff

Senator Santy Asanuma has filed a bill that seeks to require national and state government agencies, boards and commissions and all other entities in Palau that receive an appropriation from the Republic to deposit funds into banks that are insured with the U.S. Federal Deposit Insurance Company (FDIC).
SB No. 7-181 had been passed on first reading during the first day of the Ninth Regular Session last week.
According to findings, Asanuma noted that the FDIC preserves and promotes public confidence in the U.S. and Palauan financial systems by insuring deposits in banks and other financial institutions for at least $100,000.
He said that the FDIC is able to identify, monitor and address risks to the deposit insurance funds and limits the effects on the economy and the financial system such as bank or other financial institution.
Asanuma said that there are many national and state government entities and other agencies in Palau that do not use Palau FDIC insured banks to deposit their funds.
His bill would compel all government entities to do so.
The bill also states that every entity is subject to random audits and inspections by the Public Auditor at any time during business hours after giving reasonable notice to the entity that is to be audited.
It also said that the National Treasury after it receives any funds should deposit such funds into a FDIC bank in Palau.
All deposits would be subject to prior approval of the Financial Institutions Commission.