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Court issues dismissals and continuations in some lawsuits against 1602 recipients

Several of the Development Bank of American Samoa (DBAS) civil cases came before the High Court this week involving DBAS customers who failed to comply with conditions of their section 1602 housing program contracts.

 

Close to $5 million in federal 1602 funds is involved in these lawsuits with a total of 18 project owners taken to court by DBAS.  However the number of cases has been decreased after dismissal motions were filed and accepted by the court in four of the cases last month.

 

The suite involving Chairman of the DBAS Board, Senator Nuanuaolefeagaiga Saoluaga Nua and his wife Usu went before the court this week and attorney for DBAS, Sharron Rancort told the court that there would be amendments to the complaint in this matter based on an occupancy violation of the 1602 program rules. The apparent rules violation relates to the senator’s 1602 apartment building in Manu’a being rented to tenants who are not qualified under program rules. 

 

The other three 1602 lawsuits calendared for this week have been continued because two of the project owners did not appear while discussions are ongoing with the third.

 

The no shows were Ripley Development Company Inc. and Arthur Ripley, and Maria Shimasaki. Ripley received $1million while Shimasaki was awarded $104,550.

 

The DBAS case against Joe and Elinor Hollister has been continued to November 17 as the parties are continuing negotiations in this matter.

 

DISMISSALS

 

Rancourt says the four cases that have been dismissed came before the court on September 5 for status hearings and the bank moved to dismiss the suits against Fred Ahoia, Dennis Ahoia, Komesina and Carlena Afalava and Anthony Tuiolosega because they had completed their 1602 projects.

 

According to the government cases, Anthony Tuiolosega, the administrator of the estate of Tagaloa Tuiolosega and Antonia Tuiolosega was awarded $105,804; Fred Sony Ahoia was awarded a grant of $211,310; DBAS employee Komesina Afalava and his wife received a grant of $167,801 and Dennis Ahoia was awarded $211,310.

 

Another case that is likely to be dismissed is against Meko and Moana Aiumu, who

 

received $82,603. Their attorney Fiti Sunia said his clients obtained a certificate of occupancy for their project, earlier this week. Rancourt said DBAS would conduct an inspection and if all is in order, the bank would then file a motion to dismiss this case as well.