When asked why the board changed its position at this time, Chairman Sixto Igisomar responded, “We filed the cross-claims to take control of the litigation and to preserve our claims, as this is what a number of retirees and the CNMI leadership indicated they wanted. It had always been the intention of the board to sue Merrill Lynch for any harm done to the Fund, the issue was the timing of such suit.”
Fund Administrator Richard Villagomez had this to say: “The Fund will continue with the fiduciary audit of the Fund-Merrill Lynch relationship that was previously commissioned so that it can bolster or possibly expand the claims against Merrill Lynch.”
The claimed basis of the retirees’ standing was that the board “refused to bring suit,” which was never true, and certainly is not now.
According to Igisomar: “The board is best situated to protect the interests of the Fund and it will continue to do so by seeking recovery from any person or entity that has caused it harm.
