CNMI permanent residency: Why not?

I disagree with Saipan Chamber of Commerce president Charles Cepeda’s statement refuting Governor Fitial’s proposal of permanent residency to bring in more and varied foreign investors.

I can only assume the president’s position reflects the SCC body in the majority. If it is his personal opinion, however, then our business interests are inadequately represented and the community will suffer because of it. In essence, Cepeda wants to muzzle the governor into inaction. In our community and at this critical juncture in our economy, nothing could be worse than not to act. That’s what the governor is doing.

Is Cepeda forward-thinking? No. His call is to ignore the wider spectrum of [foreign] investors with new monies out there, in favor of limiting investors to a mere handful presently here. They are already stretched dangerously thin. They cannot give us what they don’t have.

His reference to “fraudulent investors” who are “just pretending” and his call that we should investigate all investors because of “fraudulent dealings going on right now” is valid. In my dealings I have personally run across them from time to time in the last two decades. On the other side of the coin are those investors who are risk-takers, who might not have “enough” monies, but are taking the chance by coming here. This group was critical during the bubble years and should not be prevented from doing so again. I’ve brought in many of those good guys who still contribute and flourish in the CNMI today.

And the crooks? That’s [business] life. Crimes of any stripe can never be prevented ad infinitum, and our prisons are full of such behavior. And without doubt we’ll see more local criminals jailed for many other crimes, other than those fraudulent investors Cepeda fears. Additional measures can be put in place to hopefully allay his concerns. Bear in mind, though, you can’t arrest a person for what he thinks. However, if Cepeda knows of any fraudulent investors (who are in the act of committing a crime) and doesn’t report it, then he would be held criminally responsible for not reporting such matters immediately to the proper authorities.

Are these preventive measures foolproof? Nope. But that’s no reason to obstruct the governor’s proposal to attract a wider variety of other kinds of new businesses. Cepeda can only refer to the silver market of retirees as the magic bullet. After nearly a decade it has yet to provide proof of his assumption. His position is to stymie the much needed money our community desperately demands. He is blind to the fact that in 2006 China alone has a dozen billionaires and 300,000 millionaires (and counting), the run-and-shoot kind, much younger than Cepeda looking for their first American (CNMI) adventure. With bulging pockets, they are looking to start up new companies. Can we say the same for South Korea, Japan, the Philippines or other Asian countries? We can provide the venue here through permanent residency. That’s just a few of the governor’s targets that he’s working on.

I view Cepeda’s opinion as well-meaning. However, given his lack of exposure to the roller-coaster life of rough-and-tumble business, a young life relatively spent in an indigenous island climate, and that he is protective of a specific body of business members with their own agendas, he has yet to experience the travails the governor has had since the First Constitutional Convention more than three decades ago, and the problems that can occur if not corrected soon.

That’s the key: Acting now.

By reference I bring to the fore the beginnings of the CNMI garment industry two decades ago and the crucial role our present governor played at that precise moment in history. Up until 1984, a “black hand” gripped our islands, a less-than-subsistence economy existed and everyone knew there was no future. Yet, through personal hardship and dedication, then Speaker Fitial overcame adversity to finally bring the factories in and the resulting prosperity to the islands. Then came a torrent of other investors because of it. Monies in our pockets.

What’s the point? The cause-and-effect that most islanders fail to remember within the last 20 years: How they are able to buy the new car, live in air-conditioned comfort, raise a healthy family and enjoy most of the better things in life. Unarguably, our community faces hard times as it did before 1984. Governor Fitial’s actions today are precisely his actions two decades ago. Permanent residency to attract different types of investors can only benefit all.

Do we all want a return to prosperity?

Holani Smith
Tanapag, Saipan