Pago Pago, AMERICAN SAMOA — Before Fuiavailili Keniseli Lafaele received formal notice of his removal from the American Samoa Government Employees Retirement Fund board last Friday, he got a letter from the Chairman of the Board of Trustees Tuaolo M. E. Fruean denying his request to attend a National Conference on Public Employee Retirement Systems, known as NCPERS, for the Fund.

NCPERS are events essentially geared to public employee retirement trustees, administrators, state and local officials, and service providers seeking to advance their knowledge and connections. They comprise guest speakers, workshops, exhibits, etc. — all involved in the pension industry.

Samoa News obtained a copy of the letter, dated April 15, 2025, which clearly points to the Chairman of the board being upset with Fuiavailili’s publicizing of issues he believes are causing harm to the viability and integrity of the Fund.

In the letter, Tuaolo, who is also President of the Senate, states that Fuiavailili’s “recent actions — including misstatements, letters to the editor that sowed mistrust and miscommunication, and blatant disregard for fiduciary responsibilities” is the reason for his request being denied.

Tuaolo further noted that “it is astonishing that you would even have the audacity to ask for this privilege,” adding that Fuiavailili’s “conduct has repeatedly undermined this Board’s integrity and the trust the Fund and its members placed in us.”

The chairman of the Fund alleges that this is “part of a longstanding pattern of behavior” where Fuiavailili’s “decisions and actions have reflected self-interest over responsible governance.” Tuaolo continues that “trustees are expected to act with integrity and prioritize the well-being of the Fund”, and that Fuiavailili has repeatedly disregarded these principles in favor of his “own personal agendas”.

Samoa News should point out that Sen. Tuaolo does not identify what self-interest and personal agendas Fuiavailili is suppose to be serving. He does however observe that “additionally, your personal attacks on me as the Chairman have further demonstrated an unacceptable lack of respect and professionalism in this role.

“Such behavior erodes trust and undermines the collaborative spirit necessary for effective governance,” he writes in his letter. “Let me be clear: as long as I am Chairman of the Board, I will not allow you to continue abusing this institution for personal gain or undermining confidence in our governance.

“Your participation in this conference does not align with the Fund’s priorities, and considering your behavioral pattern, we will not entertain further opportunities.”

Tuaolo concludes, “the Board will proceed with the necessary steps to remove you from the board in accordance with governance procedures. Have a good day.”

There is no indication that the letter was cc’d to anyone else on the board or anyone who is a part of the ASGERF administration.

The formal notice of Fuiavailili’s removal from the ASGERF board followed nine days later and was dated, Apr. 24, 2025. It was signed by Caroline Wendt, Acting Executive] Director of ASGERF.

Notable: the Pulaali’i & Pulumataala Administration has said it intents to replace and reconstitute all boards. It’s unknown at this time if this includes the ASGERF board.

Of interest, there is an upcoming annual ASGERF board meeting set for off-island next month (May). At this board meeting, there will probably be a vote to approve renewing all service providers’ contracts — these are the actuary, auditor and investment advisor — or attaining new service providers. This means while the board could be replaced, the contracts its members approves and signs at this meeting will continue to be in effect, per contract terms.

Some of the concerns Fuiavailili highlights is what he terms as serious governance and management failures within the Fund and encompass issues such as the following:

Impact Of Politics And Culture On The Fund 

There is no doubt about the significant role of power politics in administering the People's retirement fund, especially during election season.

The Samoan culture of respect (ava fatafata) and deference to political and traditional leaders plays a significant role in the board and management deliberations and decision-making. These two elements (politics and culture) go hand in hand.

This led to the reappointment of the Senate president and a private sector trustee to the board for another 5-year term. This powerful combination of politics and culture influenced board decision-making relative to the renewal of contracts (without performance evaluation), approval of ASGERF-paid travel for Fono members to attend meetings off-island, and blocking a TAO audit scheduled for the ASGERF in June of last year.

Noticeable Pattern To Maintain The Status Quo

In the past two years, requests for proposals (RFPs) have been made for an auditor, a pension administration software provider, an actuary, and the executive director as these contracts expired.

To this day, we have the same service providers and have not conducted evaluations of their performance as service providers. The investment advisor's contract expired earlier this year, and a performance evaluation has not been done, nor has an RFP been issued to solicit proposals. 

TAO Audit Of The ASGERF

Having another auditor audit the Fund operations and performance is a standard best practice, and it does not cost the Fund a penny.

Remarkable administrative expenses in 2019, 2020, and 2021 remained unexplained. The TAO audit would have identified and explained these expenditures and any performance gaps that the board and management must address immediately. 

As Fuiavailili stated in one of his Open LTEs, the path forward is for the retired and active ASGERF members to “formally organize and actively shape the policies governing the Fund.

“You do not need to wait for elections in two or four years to make your voice heard.

“With strength in numbers, you can influence public policy now.”

And, according to ASGERF board chairman Tuaolo, airing such views publicly has cost Fuiavailili his seat on the retirement fund board.