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Lizama: CDA should help out Bennett
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Posted on Dec 09 2016
Former Superior Court associate judge Juan T. Lizama said the Commonwealth Development Authority should maximize its best efforts to help out former Board of Education teacher representative Ambrose Bennett over his failure to pay his commercial loan with CDA.
CDA is suing Bennett and his company, the Lil & Bro’s Trike Dealership & Rentals, for allegedly not paying the commercial loan plus accrued interest, penalty charges, legal fees, and costs totaling $39,828.49.
CDA included Lizama as a co-defendant because it was the former judge who executed a fee simple mortgage to secure the amounts Bennett and his tricycle dealership company owe under a promissory note.
When asked for comment about the lawsuit, Lizama said he executed the fee simple mortgage.
“I was kind enough to be willing to help Bennett start out a business,” the former judge said.
According to CDA, Lizama mortgaged to CDA his interest in the real property containing 1,186 square meters of land.
Lizama said CDA is entitled to sell the property at auction.
If CDA is not satisfied with the bidding, CDA can purchase the property, but they have to sell the property within 10 years.
Lizama said CDA cannot hold the property in fee simple for more than 10 years.
“They have to sell it. But they cannot take fee simple title without a foreclosure. They have to foreclose the property first,” the former judge said.
Bennett told Saipan Tribune on Tuesday that he is thankful to CDA for the loan “but it is just unfortunate that the economy was terrible at the time” he opened his company.
Bennett admits the principal amount but protests the interest.
CDA extended a loan of $61,000 to Bennett and his company on April 1, 2011.
