House stops judiciary from tapping trust funds
Under time pressure to pass the proposal, the House of Representatives yesterday approved an amendment to Public Law 11-105 to prohibit the Superior Court to make money out of trust funds temporarily entrusted to the judiciary.
HB 12-200, sponsored by Speaker Benigno R. Fitial, now heads to the Senate for action. The Legislature has until this Sunday to enact the legislation under the 10-day period granted by the U.S. District Court before it can rule the law unconstitutional.
Judge Alex R. Munson decided in favor of the plaintiff, James E. Hollman, in the lawsuit he filed against the CNMI government, challenging the constitutionality of PL 11-105 that was signed by the governor in October last year.
That law allowed the Superior Court to establish interest-bearing accounts for trust funds it is currently in possession pending disposition of the money in such cases as heirship and estate settlement.
Mr. Hollman, guardian to Vo Minh Tan who is one of the beneficiaries of the Hillblom estate, had questioned an earlier order by Superior Court Pro-Tem Judge Alex Castro that had asked him to defend interests earned from the Hillblom account.
Both the Attorney General’s Office and Superior Court Presiding Judge Edward Manibusan, who has expenditure authority over the trust accounts, admitted deficiencies of PL 111-105, prompting them to ask for repeal of those questionable provisions.
If the Legislature fails to act on the measure by Sunday, the government will be ordered to pay $5,000 in attorney’s fees and litigation costs being sought by Mr. Hollman.
It is not known when the Senate will act on HB 12-200, although it has scheduled committee meetings on Rota on Friday.