Bruce Jorgensen, counsel for the group, said they will also ask the court to issue an order prohibiting Fund officials from entering into settlement negotiations regarding the $231 million unpaid CNMI government contributions.
“There will also be submitted a request that the U.S. court maintain the status quo, by issuing an order precluding Fund personnel and others, from initiating or engaging in ostensible ‘settlement negotiations,’ and from entering into any settlement agreements, relating in any manner to the recent CNMI Superior Court judgment against the CNMI, until such time as the U.S. court appoints a federal equity receiver who upon appointment, would be charged with oversight as to any such negotiations,” said Jorgensen in an interview.
Fund officials are scheduled to begin tomorrow negotiations regarding the local court’s judgment.
The Fund asked for another schedule but Speaker Arnold I. Palacios, R-Saipan, and Senate President Pete P. Reyes, R-Saipan, told Fund Administrator Mark Aguon, they cannot accommodate the request because of a conflict of schedule among lawmakers.
“We are not able to give our consent on your request to reschedule the meeting. Once again, the original meeting schedule will stay, Tuesday, Aug. 25, 2009, at 2 p.m. in the House Chamber,” Palacios and Reyes said in joint letter to Aguon.
The Fund’s negotiating team includes at least three trustees of the board, in-house counsel James Hollman and board counsel Viola Alepuyo.
Jorgensen filed a lawsuit on behalf of the group of retirees last June.
This time, he said his clients will also ask the federal court for a certification to proceed with the federal litigation by means of a “class action” proceeding, and other relief described in the first amended complaint.
Attorney Timothy J. Lord is scheduled to file today an application for pro hac vice admission as Jorgensen’s co-counsel.
Hawaii-based attorney William J. Plum, who has expertise on business law, is expected to be nominated for appointment as federal equity receiver.
Plum served as vice chairman and board member of the Hawaii State Bar Association’s Collection Law Section, and is a member of the Hawaii Judiciary’s District Court Rules Committee, as well as a mediator on the U.S. Bankruptcy Mediation Panel of the District of Hawaii.
He co-authored the 1997, 2002, and 2006 Hawaii State Bar Association Continuing Legal Education’s Hawaii Collection Law Manual.
