THE Department of Public Lands has ordered Marianas Global Inc. to vacate the exclusive concession area on Managaha within 15 days of the notice of termination or by Oct. 26, 2024.
Acting DPL Secretary Richard Villagomez issued a notice of termination on Oct. 11, citing MGI’s “failure to cure” violations of the Managaha Island Master Concession Operator Agreement “within 30 days.”
The termination notice was addressed to MGI Chief Executive Officer Young Hee Yoon.
DPL notified MGI of its violations on July 31, 2024.
“Concessionaire’s deadline to cure the stated violations was extended to Sept. 30, 2024, as requested by the letter from the concessionaire’s counsel dated Aug. 28. No response was received by that date. Rather, the letter from concessionaire’s counsel, sent after the deadline for cure, requests additional time to respond to the notice of violations ‘until after the DPL secretary has acted on the regulations’ proposing changes to the commercial use of Managaha rules and regulations,” Villagomez said in his notice.
He denied MGI’s request for additional time “as the concessionaire has an obligation to comply with the concession agreement regardless of whether DPL decides to adopt changes to regulations.”
According to sources, MGI started winding down its operations on Managaha on Sunday.
Villagomez said “DPL will enter into and upon the [exclusive concession area] to take possession of all its property and improvements and evict the concessionaire without liability of trespass.”
He said MGI can appeal the notice within 30 days.
MGI has yet to issue a statement regarding the termination of its Managaha concessionaire agreement with DPL.
Previously, DPL proposed to make changes to the regulations on the commercial use of Managaha, but these were opposed by marine sports operators and other community members.
Later, it was learned that MGI has not paid rent in the amount of $800,000 plus interest of $12,000, for a total of $812,000.
MGI’s Managaha Island Master Concession Operator Agreement with DPL was signed on April 18, 2023.
