Rep. Raymond D. Palacios, Covenant-Saipan, on Thursday last week introduced House Bill 17-131 which authorizes the governor to negotiate a payment agreement with Joaquin M. Manglona.
In a telephone interview yesterday, Palacios said he introduced the bill to save the government from incurring more interest on the amount it owes Manglona.
Palacios said he does not have any idea how much the government owes Manglona but he noted that the government’s debt to the Marine Revitalization Corporation has grown from $3.5 million to $8.5 million because of the commonwealth’s failure to make any payments.
The settlement Demapan proposes will “offset and credit” any tax obligations of Manglona or members of his immediate family.
Manglona sued the CNMI government over its unpaid obligations to the businessman 13 years ago.
The current financial condition of the CNMI government does not permit cash payments, but Palacios said Manglona has indicated willingness to consider “other methods” that will allow the government to satisfy the judgment.
Demapan said his measure can be also applied to other court judgments against the CNMI government.
