DPW official, businessman arrested

Investigators at the Attorney General’s Office arrested over the weekend an official of the Department of Public Works and a businessman over the alleged illegal transfer to a private company $1,185 worth of diesel fuel and a $58,000 bulldozer that belonged to the government agency.

Then DPW acting director for Transportation Automotive Heavy Equipment Division (TAHED) Antonio Sablan Demapan, 53, was arrested for theft, theft by unlawful taking or disposition, removal of government property, and misconduct in public office.

John Tenorio Sablan, 49, owner of JG Sablan Company, was arrested for receiving stolen property and removal of government property.

Demapan was served with an arrest warrant at his residence in Kagman Friday at 6:10pm. He is the brother of chief justice Miguel S. Demapan.

Sablan was arrested at JG Sablan Rock Quarry in Lower Base Friday at 4:15pm.

A bail of $50,000 cash bail was initially imposed for the temporary release of Demapan and $25,000 cash bail for Sablan.

At yesterday’s hearing, Superior Court associate judge Juan T. Lizama allowed Demapan to post a $10,000 property bond.

Sablan posted bail last Friday, Saipan Tribune learned yesterday.

AGO investigator Juanette David Atalig of the White Collar Crime/Government Corruption Unit stated in her report that on April 16, 2008. three DPW employees appeared at her office and requested an investigation into possible criminal misconduct involving Demapan and Sablan.

Atalig said one of the employees alleged that 352.6 gallons of diesel fuel were “donated” to JG Sablan Company in Lower Base.

The fuel were said to be donated by the Commonwealth Utilities Corp. to TAHED for official usage for DPW’s equipment only.

Atalig said the employee added that a bulldozer, owned by the government and in the custody of DPW, was transferred to Sablan without following proper procedures and without any documentation or necessary approvals.

The actions were allegedly conducted during working hours utilizing government vehicles at the direction of Demapan during his position as acting director for TAHED.

Atalig said investigation showed that on Feb. 26, 2008, the bulldozer was removed from DPW’s TAHED compound without authorization from DPW Secretary, DPW Procurement and Supply office, or any request for survey addressed to the Division of Procurement and Supply Office, CNMI government.

The investigator said the hauling of the bulldozer was done by KPS company, a private company hired by Sablan.

The bulldozer was allegedly to be exchanged for a water storage tank without knowledge and approval of DPW Secretary or the director of Procurement and Supply Office.

Atalig said DPW or TAHED reportedly does not need any water storage tank whatsoever.

Additionally, only replacement parts are needed to make the bulldozer operable, but such repair is not a priority at DPW.

Atalig said there is also another private company that has indicated an interest in purchasing the bulldozer.

On March 4, 2008, while on duty Demapan allegedly instructed two DPW employees to upload diesel fuel at Power Plant No. III at Isley Field using the government service truck and instructed them to deliver the fuel to JG Sablan Company in Lower Base.

The two employees off-loaded 352.6 gallons of diesel fuel into the storage tank of JG Sablan Company.

An employee of JG Sablan received and signed his name on the form. Demapan and Sablan were allegedly present and seen talking during the off-loading of the fuel.

DPW’s TAHED is not authorized to make any donation for the benefit of a private company, Atalig said.

According to an analysis report, the investigator said, the diesel fuel still meets the fuel specification requirements and therefore is still viable for its intended use as a diesel fuel.