By: Eoghan Olkeriil Ngirudelsang
KOROR, Palau (AP) — A criminal case against former Speaker Sabino Anastacio was dismissed earlier this month after he paid back taxes owed from real estate sales made in 2016.
Court records show Anastacio sold land in Aimeliik state in January 2016 worth $1,875,734.40. He was required to pay $75,029.38 in income taxes but failed to do so, leading to prosecution.
Under a stipulated agreement, later amended by the court, Anastacio was given until July 31 to pay the outstanding tax liability. Payment records from the Bureau of Revenue and Taxation show he paid the $75,029.38 on July 30 to the national treasury.
Following that payment, Special Prosecutor Tamara Hutzler filed a motion on Aug. 8 to dismiss the case with prejudice. Judge Salii granted the motion on Aug. 14.
The case has raised questions over whether the special prosecutor has the authority to negotiate agreements with private attorneys that waive penalties and interest on unpaid taxes. According to Palau law, only the director of the Bureau of Revenue and Taxation holds the authority to compromise and waive penalties or interest.
The years of nonpayment had accrued penalties of $780,305.51 and interest of $2,650,682.81, according to court filings.
