IT is unfortunate that a member of the Legislature has, once again, cast irresponsible innuendoes against an individual based upon incomplete data. The Office of the Public Auditor contacted all government agencies in November and December of last year regarding its survey of bank deposits. The Commonwealth Development Authority received notice on Dec. 21 and responded on Dec. 27.
CDA’s response showed that slightly more than 10 percent (10.4 percent) of its funds were deposited in non-FDIC banks. Previously, in 1995, CDA had received a legal opinion from its counsel which stated that under certain conditions CDA could deposit funds into non-FDIC banks. As OPA continues its survey, the propriety of these non-FDIC deposits will be determined. CDA and all government agencies should welcome this review, discussion and related procedural development.
However, the completion of this survey will take some time. Meanwhile, the inferred, unsupported innuendoes against CDA’s chairman remain.
For the record, during the past two years my staff had requested and processed all quotes and related documentation for the renewal of certificates of deposits with the various banks in the CNMI. I, as CDA’s comptroller, made the final decision for the placement of funds.
Recently, for additional security and oversight, the concurrence of the executive director has also been required. Only in the absence of the director is the chairman’s concurrence necessary. To the best of my knowledge, the concurrence of the chairman has never been necessary.
OPA, will continue in its deliberate and professional manner to complete its survey. I am positive that OPA’s findings will be beneficial to all parties. I am also confident that at the conclusion of the survey, CDA’s policies will be found appropriate and that no board member or staff person benefited from the placement of CDA’s deposits.
DAVID J. BLAKE
Garapan, Saipan
