U.S. District Court for the NMI designated Judge Frances M. Tydingco-Gatewood will only hear today the CNMI Settlement Fund\u2019s trustee\u2019s request to approve the $7.4-million settlement that the NMI Retirement Fund\u2019s former investment consultant, Merrill Lynch, has agreed to pay the Fund.<\/p>\n
In an order on Wednesday, Tydingco-Gatewood said she needs more time to review Settlement Fund trustee Joyce C. H. Tang\u2019s most recent report and attachments pertaining to the status of the Settlement Fund.<\/p>\n
Tydingco-Gatewood said the presentation of Tang\u2019s report on the status of the Settlement Fund shall be held on Dec. 17, 2015, at 9am.<\/p>\n
Today is the original schedule for the hearing on the Merrill Lynch settlement issue and Tang\u2019s report on the status of the Settlement Fund.<\/p>\n
Tydingco-Gatewood said she will participate in today\u2019s hearing by video teleconference from Guam due to the anticipated inclement weather affecting the Mariana Islands.<\/p>\n
The judge allowed Tang to appear at the courthouse in Guam for the video teleconference hearing. Counsel on Saipan shall participate from the courthouse at the U.S. District Court for the NMI.<\/p>\n
The judge said all other off-island counsel may participate by telephone.<\/p>\n
Tang and NMI Settlement Fund counsel Dean A. Manglona asked the court to approve the $7.4 million settlement and payment of attorney\u2019s fees and reimbursement of costs.<\/p>\n
Tang said Manglona has reviewed the closing statement and detailed cost report, along with supporting invoices and\/or receipts. She confirmed that the charges are supported by documentation, and are reasonable and necessary.<\/p>\n
Manglona said the settlement was the product of difficult, complicated, and often contentious negotiations.<\/p>\n
Attorney General Edward Manibusan, counsel for Gov. Eloy S. Inos and the CNMI government, does not oppose approving the $7.4-million settlement.<\/p>\n
Out of the $7.35-million settlement, $1.84 million will go to attorney\u2019s fees and $390,535.60 will go to law firms\u2019 expenses and costs. This leaves $5.12 million in net proceeds for the Settlement Fund.<\/p>\n
Merrill Lynch was the Retirement Fund\u2019s consultant until 2010. During the time of the consultancy relationship, the value of the Fund\u2019s assets reportedly declined substantially.<\/p>\n
Mariano Taitano, Roman Tudela, and Patricia Guerrero sued the Fund\u2019s board, Merrill Lynch, and others in Superior Court, alleging various causes of action for damage relating to the decline in the Fund\u2019s assets.<\/p>\n
The case was submitted to arbitration before the Financial Industry Regulatory Authority. Taitano, Tudela, and Guerrero subsequently transferred their claims against Merrill Lynch to the Settlement Fund.<\/p>\n
The parties in the claims against Merrill Lynch reached a settlement deal during a final attempt to mediate in Miami, Florida last July 31.<\/p>\n","protected":false},"excerpt":{"rendered":"
U.S. District Court for the NMI designated Judge Frances M. Tydingco-Gatewood will only hear today…<\/p>\n","protected":false},"author":23,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[26,51,1186,733],"class_list":["post-214974","post","type-post","status-publish","format-standard","hentry","category-local-news","tag-cnmi","tag-guam","tag-merrill-lynch","tag-settlement-fund"],"_links":{"self":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts\/214974","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/users\/23"}],"replies":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/comments?post=214974"}],"version-history":[{"count":0,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts\/214974\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/media?parent=214974"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/categories?post=214974"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/tags?post=214974"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}