GEDA forced to charge-off $4M in bad debt

by Mindy Aguon

Guam - The Guam Economic Development Authority is only expected to collect $0.13 for every dollar it gives in loans through the Guam Development Fund Act or the Agricultural Development Fund.  Because many of the loans were deemed uncollectible, GEDA charged-off $4 million in uncollectible loan balances in the last two years. 

Among them, $1.5 million was given to Alliance Air, $480,000 to Radva Pacific, $384,000 to Blaikbayan Express (dba, Guam Fresh), $329,000 to Guam Business Development Corporation, and another $208,000 for Crystal Sands Multimedia.  GEDA Administrator Tony Blaz says the loans date back more than two decades where GEDA had no recourse than to charge-off the loans as the collateral had been seized and foreclosed on and GEDA already sued the guarantors who either settled their liability or filed for bankruptcy.


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