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Trump-era officials under fire as nuclear fund for Bikini islanders is squandered

Former staff have criticized the interior department for ignoring the risk of fraud after the Trump administration ceased scrutiny of a $59m fund for nuclear survivors, which is now depleted

Pete McKenzie

Former staff have lashed the US Department of the Interior for failing to predict that a 2017 decision to lift oversight from a $59m trust fund for Pacific Islanders displaced by American nuclear testing would lead to the fund’s exhaustion through mismanagement and alleged fraud.

Tom Bussanich, who in 2017 was a senior official in the department’s Office of Insular Affairs, said that he “would have bet money that there would have been issues with the trust fund and that the money would have been wasted”. Allen Stayman, a former director of the Office of Insular Affairs, dismissed the office as “the agency of acquiescence”.

Meanwhile, confidential bank documents reviewed by the Guardian reveal red flags that could have alerted the department to potential issues had it been scrutinising the fund, including the transfer of millions of dollars to two personal checking accounts over which the fund’s trustees had no oversight……………………………..

Earlier this month, the New York Times reported that the fund had been whittled down to about $100,000, largely through extravagant spending by Anderson Jibas mayor of the Bikinian council, on projects including land development in Hawaii, new ships and planes, and an apartment complex in the Marshall Islands………………………………………

The release of large sums to checking accounts that trustees could not scrutinise might have attracted concern from American officials, but by then the interior department was no longer receiving information about the fund from the Bikinian council or bank officials. The department declined to comment on the bank documents…………………….

From 2018, Jibas refused to provide the council’s financial documents to the Marshallese auditor-general, forcing Marshallese police to forcibly seize the documents in 2021. In an interview with the New York Times, Jibas admitted he occasionally used money from the fund to pay for personal items.

Jibas told the Guardian that he had also directed between $200,000 and $250,000 from the fund towards the construction of a two-story house for his personal use. He claimed this project had been approved by the Bikinian council…………………………… more https://www.theguardian.com/world/2023/jun/05/bikini-atoll-nuclear-fund-interior-department

June 7, 2023 - Posted by Christina Macpherson | secrets,lies and civil liberties, USA