Manglona to give deposition in tax refunds case - KUAM.com-KUAM News: On Air. Online. On Demand.

Manglona to give deposition in tax refunds case

by Sabrina Salas Matanane

Guam - The Calvo Administration says a class action lawsuit filed in April to force the government to pay past due tax refunds is another reason why the Legislature should move on his $300 million bond proposal, which they stripped out of the budget.

On the same day lawmakers must pass and send a budget to Adelup, Department of Administration director Benita Manglona will be giving a deposition in a tax refunds class action lawsuit on August 31. It was in April Attorney Ignacio Aguigui filed suit on behalf of Rae and Jeff Paeste and Sharon Zapanta and all other taxpayers waiting to receive their refunds. According to the lawsuit, the class alleges they have not been given a notice of disallowance of claims by the government, and will continue to suffer economic hardship because of the government's continued failure to promptly pay refunds.

The Calvo Administration says a class action lawsuit filed in April to force the government to pay past due tax refunds is another reason why the legislature should move on Governor Eddie Calvo's $300 million bond proposal which the Committee on Appropriations stripped out of the budget.  According to a media release Department of Administration director Benita Manglona has been summoned to give a deposition in the tax refunds class action lawsuit on August 31.  Deputy Tax Commissioner Paul Pablo already was deposed last month.

We should note the Government of Guam has a history of class action lawsuit brought against it. In 1993, GovGuam retiree and former GovGuam Retirement Fund deputy director Candelaria Rios filed a class action suit against the government. After a 13-year fight Superior Court Judge Arthur Barcinas ruled the government owed the class $123 million for the years it had not paid its recipients.

In December 2004, a class action lawsuit was filed against GovGuam for the non-payment of the Earned Income Tax Credit. The government settled the case incurring tens of millions more in debt to those owed EITC.

According to Adelup, the government was able to pay most of these overdue obligations to the people by floating bonds in 2007 and 2009. Governor Calvo says he wants to "pay the people their tax refunds before a court has to force us to do it adding that if a court forces us to pay these refunds, not only will our government collapse, but the people owed refunds will be shortchanged their refunds by attorney's fees."

We should note Deputy Tax Commissioner Paul Pablo was already deposed in the tax refund class action last month.

  • NEWS HEADLINESMore>>

  • NWS's Chip Guard says El Nino event possible in the fall

    NWS's Chip Guard says El Nino event possible in the fall

    Expect some kind of El Nino event to develop in the next two to three months. That's the prediction of the National Weather Service's Charles "Chip" Guard, who's been monitoring weather conditions in and around Guam and Micronesia for more than 30 years. More >>
    Expect some kind of El Nino event to develop in the next two to three months. That's the prediction of the National Weather Service's Charles "Chip" Guard, who's been monitoring weather conditions in and around Guam and Micronesia for more than 30 years. More >>
  • UFC legend BJ Penn loves Guam

    UFC legend BJ Penn loves Guam

    KUAM Sports caught up with the man himself, UFC Legend BJ Penn at a training session held at Custom Fitness. BJ says it's nice catching up with some old faces and the island reminds him of home. He said, "I love Guam and I have never seen a place more likMore >>
    KUAM Sports caught up with the man himself, UFC Legend BJ Penn at a training session held at Custom Fitness. BJ says it's nice catching up with some old faces and the island reminds him of home. He said, "I love Guam and I have never seen a place more likMore >>
  • Student Health Services Act signed into law

    Student Health Services Act signed into law

    Taking extra steps to ensure the protection of our island's children, Bill 224, or the "Student Health Services Act", was officially signed into law by Governor Eddie Calvo on Wednesday. Introduced by Senator Mary Torres, the bill was designed to give parMore >>
    Taking extra steps to ensure the protection of our island's children, Bill 224, or the "Student Health Services Act", was officially signed into law by Governor Eddie Calvo on Wednesday. Introduced by Senator Mary Torres, the bill was designed to give parMore >>
Powered by Frankly