Gov’t sues Cabrera for misuse of funds

The Attorney General’s Office yesterday filed a civil suit before the Superior Court against former Finance Secretary Antonio R. Cabrera for misusing and misappropriating public funds amounting to $74,307.59.

A complaint filed by Assistant Attorney General Allan L. Dollison accused Mr. Cabrera of passing on his personal expenses to the CNMI government, which include a pair of imported Italian Ferragamo shoes worth $248 bought from DFS Saipan and $6.94 worth of donuts from Winchells Garapan.

Amid the decline in government revenue as a result of the slowdown in the island’s economy, Mr. Cabrera’s private extravagant life was financed by the CNMI taxpayers. The charges brought against Mr. Cabrera were based on the recommendations of the Office of the Public Auditor in an audit report issued in August 1998 detailing the alleged misuse of funds by the former secretary.

“It constituted an abuse of office at the highest level, since he was well aware that he oversaw and managed the department that paid out these funds, thus insuring that no request, no matter how ridiculous or absurd would be denied,” the complaint said.

In using public funds for his own personal purpose, Mr. Cabrera violated the Commonwealth statute and the Constitution which provides that a public official can be held liable for funds or properties not expended for public purpose.

Based on documents submitted to the Court, the AGO said Mr. Cabrera mismanaged travel advances by claiming these expenses for official business. Apparently not satisfied, he even submitted the same receipts to seek reimbursement from the department.

Documents submitted by the AGO to the court showed that Mr. Cabrera sought a travel advance for a trip to the Philippines totaling $20,000 in 1996.

Of this amount, $10,000 was supposed to have covered payment for a banquet held in the Philippines, yet Mr. Cabrera sought reimbursement of a hotel bill in excess of $13,924 for a five-day stay in Hyatt Regency Manila including the banquet fee.

The former finance chief also regularly sought reimbursement for the personal expenses her incurred from the department he used to head, thus, no one dared question or decline his request when he submitted his expense report.

Mr. Cabrera was reimbursed for the meals, liquor, beer and cigars he bought regularly in various local establishments in Saipan amounting to $32,006.31.

Aside from this, Mr. Cabrera submitted unidentified expenses for reimbursement amounting to $12,603.47 which were mostly supported only by credit card receipts without sufficient detail. In addition, there were duplicate charges amounting to $2,356.76.

Personal expenses amounting top $2,522.48 includes bookends, utility box with seal, pens, shirts and suits, cuff links, tie, educational computer software and films purchased in Washington D.C., China and Hawaii. Items bought from China were supported by invoices which were in Chinese and the former finance secretary did not even explain the nature of these charges. The public auditor was only able to determine these expenses which were written in Chinese through a translator.

“These expenditures cannot possibly meet the public purpose test and requirement, and thus constitute an improper expenditure of public funds,” the complaint added.

The former finance head received reimbursement for more than $6,394.42 in equipment purchased from various computer companies and electronic stores during his travels. However, all these equipment remain unaccounted for.