Molloy v. Government Employees Services Commission

42 V.I. 89, 2000 WL 1060434, 2000 V.I. LEXIS 8
CourtSupreme Court of The Virgin Islands
DecidedMay 15, 2000
DocketCiv. No. 171/1994
StatusPublished
Cited by1 cases

This text of 42 V.I. 89 (Molloy v. Government Employees Services Commission) is published on Counsel Stack Legal Research, covering Supreme Court of The Virgin Islands primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Molloy v. Government Employees Services Commission, 42 V.I. 89, 2000 WL 1060434, 2000 V.I. LEXIS 8 (virginislands 2000).

Opinion

Swan, Judge

MEMORANDUM OPINION

Before the Court is Petitioner Claude A. Molloy, Sr/s ("Petitioner" or "Molloy") writ for review of the January 20,1994 Decision and Order by Respondent, Government Employees Services Commission ("GESC"), dismissing Petitioner's appeal from the termination of his employment as the Administrator of the Government Employees Retirement System ("GERS").

I. FACTS

In May of 1993, Petitioner was appointed Administrator of GERS. At the request of the GERS Board, the then Governor of the Virgin Islands, on July 29,1993, submitted Petitioner's name to the Legislature for approval.

On September 20,1993, the Legislature, sitting as the Committee of the Whole, confirmed Petitioner's appointment as GERS Administrator. Subsequently, on November 4, 1993 and while employed by the GERS as its Administrator, Petitioner appeared before the Legislature's Committee on Government Operations. Petitioner asserts that during this appearance before the Committee, he provided the Legislature with his analysis of the then proposed Early Retirement Bill. Petitioner believed the Office of Budget and Management opposed the bill because of the bill sponsor's reliance upon inaccurate data on the eligibility and cost associated with the proposed legislation.

Petitioner further contends that he received information concerning the value of the property connected with GERS' proposed purchase of Havensight Mall. According to Petitioner, the Thirty-Two Million Dollar ($ 32,000,000.00) purchase price for the Havensight property did not represent the fair market value of the property. Moreover, Petitioner contends that on the day he was [91]*91scheduled to receive additional information regarding the value of the property at the Havensight Mall, he was called into the GERS conference room by the GERS Board of Trustees. Once in the conference room, he was tendered a November 15, 1993 letter in which the GERS Board of Trustees terminated Petitioner from his position as Administrator of the GERS.

In his Petition for Review filed with the Court on February 11, 1994, Petitioner stated that he was terminated for several reasons, including his disclosing the aforementioned information to the Legislature, pursuant to his statutory duties as GERS Administrator. Petitioner asserted that the information he provided the Legislature led to the passage of the Early Retirement Bill. Petitioner also asserted that he was fired because of his political opinions or affiliation. Importantly, Petitioner also filed a lawsuit in the Territorial Court against the GERS, seeking injunctive relief and damages, because of his termination as Administrator of the GERS. (See, Claude A. Molloy, Sr. v. Government Employees Retirement System, Civil No. 137/1994). In addition, Petitioner asserted that he was terminated for inquiring whether a GERS Board member had received a mortgage loan in excess of the statutory limit on the amount of a loan from the GERS. Petitioner also contended that he was terminated for inquiring whether the GERS Board members breached their fiduciary duty to the GERS beneficiaries, by utilizing high quality securities earning income instead of available uninvested funds for the purchase of Havensight Mall. Lastly, Petitioner also asserted that he was terminated, because he inquired whether all funds utilized in the purchase of Havensight Mall were properly substantiated.

In response to his termination, Petitioner wrote a letter dated November 19,1993, to the GESC asserting that he was wrongfully discharged from his position and simultaneously appealing his termination to the GESC.

On December 6,1993, Petitioner filed a statement with Respondent, which is the functional equivalent of an appeal, in which he asserts that pursuant to Title 3, Sections 530 and 531 of the Virgin Islands Code, jurisdiction over his appeal appropriately lies with the GESC.

In his argument, Petitioner contended that as Administrator he was a "classified" government employee, because he did not hold [92]*92a position of a poficy-determining nature. Petitioner further contended that his position as Administrator did not require a confidential relationship with a policy-making official, since the person holding the position is designated by the Governor and approved by tire Legislature. Therefore, Petitioner asserted that as a regular employee he is statutorily protected against arbitrary dismissal, and he could only be dismissed "for cause", pursuant to 5 V.I.C. § 530(a).

On December 9, 1993, the GERS filed a Motion to Dismiss Petitioner's appeal. In its Motion, the GERS argued that the GESC lacked jurisdiction over the matter because, 1) the position of Administrator was placed in the "unclassified" service, pursuant to Section 3(c) of Act No. 5225 (March 24, 1988); 2) the position of Administrator is of a poficy-determining nature and within the "exempt" or "unclassified" service as defined in Section 451(b) (8); 3) Petitioner is not a regular employee; therefore, he did not have to be discharged only for cause, but that he serves at the pleasure of the GERS Board.

The GERS further asserted that the Respondent lacked jurisdiction pursuant to Title 3, section 531 of the Virgin Islands Code, to hear appeals claiming discriminatory discharge asserted by "exempt" employees.

On January 27, 1994, after a hearing which afforded the parties an opportunity to be heard, Respondent entered its decision, in which it determined that it did not have jurisdiction under Title 3, Sections 530 nor section 531 of the Virgin Islands Code to entertain Petitioner's appeal.

The Respondent further held that Petitioner was not a regular employee, as contemplated by Title 3, Section 530 of the Code, and furthermore, since Molloy was an officer of the government during his employment as Administrator, he is excluded from the class of employees entitled to an appeal pursuant to 3 V.I.C. § 531.

Subsequently, Molloy filed a petition for Writ of Review of the Commission's January 27, 1994 Decision.

ISSUES

The issues presented by Petitioner's appeal are: 1) Whether the Administrator of the Government Employees Retirement System is [93]*93a classified or regular employee and, therefore, can appeal his termination, pursuant to Title 5, Section 530 of the Virgin Islands Code, to the GESC; 2) Whether the Administrator of the Government Employees Retirement System ("GERS") has a right to appeal his termination on both a non-merit factor and on his political affiliation to GESC, pursuant to Title 3, section 531 of the Virgin Island Code; 3) Whether GESC has jurisdiction to hear Petitioner's appeal in which he claims a violation of the Whistleblowers Protection Act and 4) Whether GESC erroneously applied the relevant and applicable law to Petitioner's appeal by dismissing the matter for lack of jurisdiction.

The pivotal issue, however, is whether the Respondent has jurisdiction to hear the Petitioner's claim that he has been wrongfully terminated.

DISCUSSION

This Court's authority to review GESC's decision is derived from 5 V.I.C. § 1421, which provides in pertinent part:

"Any party to a proceeding before or by any officer, board, commission, authority, or tribunal may have, the decision . . . reviewed for errors therein as prescribed in this chapter and rules of court. . . ."

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42 V.I. 89, 2000 WL 1060434, 2000 V.I. LEXIS 8, Counsel Stack Legal Research, https://law.counselstack.com/opinion/molloy-v-government-employees-services-commission-virginislands-2000.