6 Aug 2012

CNMI utility ordered to return $800K to customers

10:26 am on 6 August 2012

The CNMI House of Representatives has ordered the Commonwealth Utilities Corporation to give back some $800,000 it collected from customers supposedly to repay a planned $10 million loan that did not materialize.

CUC planned to enter into a $10-million loan deal with Independence Bank of East Greenwich to meet federal requirements but the loan did not materialize..

Regardless, CUC has already billed $929,000 toward the debt service but actual collection is estimated at $800,000.

Under the resolution, the $800,000 could be given back to CUC customers through reimbursement or offsetting.