Federal government files suit against Hawaii telecom company

HONOLULU — The federal government is trying to foreclose on the assets of Sandwich Isles Communications Inc. to recover $128 million in principal and interest the company owes.

The Star-Advertiser reported Thursday that a lawsuit filed by the U.S. Department of Justice says the government is suing over delinquent U.S. Department of Agriculture loans.

Sandwich Isles has an exclusive license to provide telecommunications services on Hawaiian Home Lands, and borrowed more than $166.7 million from the department to help finance its fiber optic telecommunications network across the Hawaii Islands.

The suit seeks a foreclosure judgment against Sandwich Isles and an order requiring the company’s assets be sold.

Sandwich Isles said that it is still reviewing the complaint to explore potential next steps.


Information from: Honolulu Star-Advertiser, http://www.staradvertiser.com

  1. harryoyama2 April 26, 2018 8:19 pm Reply

    The government should have investigated this new start up company to see if it can handle the network before loaning out $128 million of taxpayer’s money. No way are they going to recover that amount.

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