BY DANIEL M. PEREZ
Journal Staff
HAGÅTÑA, Guam — The government of Guam could face a potential $61 million debt liability following a federal lawsuit against the Guam Visitors Bureau, according to a warning issued by the island's chief legal officer.
Attorney general Douglas Moylan, addressed the civil complaint filed against the tourism agency, stating it was "impossible not to have heard" about the severe allegations.
The $61.5 million civil suit, filed June 1 in the District Court of Guam by a former employee identified as "Jane Doe," accuses Carl T.C. Gutierrez, former president and general manager of GVB and former governor, of a prolonged course of sexual harassment and assault between October 2022 and August 2024.
The legal exposure presents a substantial financial risk to local taxpayers and public funds. Moylan emphasized the potential long-term fiscal impact if the public corporation is held liable for the actions of its former executive leadership.
The complaint also names George Chiu, board chairman of the Guam Visitors Bureau and executive vice president of Tan Holdings Corp., accusing him of facilitating improper hotel accommodations during a June 2024 trip to Saipan, Northern Mariana Islands, where an alleged assault occurred.
Joseph C. Razzano, attorney for the plaintiff, is seeking relief under federal civil rights laws, arguing that the bureau's lack of internal human resources oversight, operational failures, and lack of training directly led to a violation of the plaintiff's constitutional rights.
While Gov. Lourdes A. Leon Guerrero, previously distanced the executive office from the independent public corporation, the attorney general's office is treating the multi-million-dollar litigation as a significant threat to the territory's financial stability.
The tourism bureau has since retained an off-island investigator to review its internal policies but has declined further comment on the active proceedings. mbj
Journal Staff
HAGÅTÑA, Guam — The government of Guam could face a potential $61 million debt liability following a federal lawsuit against the Guam Visitors Bureau, according to a warning issued by the island's chief legal officer.
Attorney general Douglas Moylan, addressed the civil complaint filed against the tourism agency, stating it was "impossible not to have heard" about the severe allegations.
The $61.5 million civil suit, filed June 1 in the District Court of Guam by a former employee identified as "Jane Doe," accuses Carl T.C. Gutierrez, former president and general manager of GVB and former governor, of a prolonged course of sexual harassment and assault between October 2022 and August 2024.
The legal exposure presents a substantial financial risk to local taxpayers and public funds. Moylan emphasized the potential long-term fiscal impact if the public corporation is held liable for the actions of its former executive leadership.
The complaint also names George Chiu, board chairman of the Guam Visitors Bureau and executive vice president of Tan Holdings Corp., accusing him of facilitating improper hotel accommodations during a June 2024 trip to Saipan, Northern Mariana Islands, where an alleged assault occurred.
Joseph C. Razzano, attorney for the plaintiff, is seeking relief under federal civil rights laws, arguing that the bureau's lack of internal human resources oversight, operational failures, and lack of training directly led to a violation of the plaintiff's constitutional rights.
While Gov. Lourdes A. Leon Guerrero, previously distanced the executive office from the independent public corporation, the attorney general's office is treating the multi-million-dollar litigation as a significant threat to the territory's financial stability.
The tourism bureau has since retained an off-island investigator to review its internal policies but has declined further comment on the active proceedings. mbj
