Pago Pgo, AMERICAN SAMOA — During the Senate Government Operations Committee hearing held yesterday, Tuesday, September 1, 2026, explosive information was revealed about the long rumored $10 million or more of government funds that was allegedly invested, with no specifics available. 

Yesterday’s hearing, however, ended the drought and highlighted two names that seemed to be the main players in the decision to invest ASG funds — Brett Butler and Gov. Pulaali’i Nikolau Pula, with the Acting Treasurer caught in the middle.

Mrs. Carri-Lee Magalei-Tulafono, the Acting Treasurer, was the committee’s only witness. The hearing was carried out mostly in English, due to English being her first language, although she does speak Samoan. She seemed to be nervous during the hearing, and at one point was assured by Senate President Tuaolo M. Fruean to not be nervous — just to be truthful in her testimony.

Senator Togiola T.A. Tulafono, chairman of the committee began the hearing with a summary of the purpose of hearing. He stated that the government has submitted to the Fono a Supplementary funding bill, asking to reprogram funds to pay for local needs. Some of the funds are from federal programs, Togiola noted — Medicaid was specifically mentioned — and he wondered if that was even legal. 

He continued that among the questions the committee wanted to ask was why ASG is tapping into these funds when there is allegedly money that it has invested that could be used instead to pay these obligations down, as well as others, such as the money owed to the Retirement Fund — all without incurring more debt.

The senator pointed out that the Fono wants to know about the money ASG has invested. Is it $10 million or an additional $10 million for a total of $20 million? Where is it invested? Who authorized the investment? Is there a statute that granted this authority to invest the money? 

Togiola alluded to the money coming from the federal government, asking when the funds were deposited, and where. However, Magalei-Tulafono later in her testimony clarified that the funds were interest-earned from federal ARPA money deposited into a bank account under ASG’s name.

The Acting Treasurer opened her testimony by saying that she was not aware of the Supplementary bill’s content, as she was not part of its inception; even though she said when asked by Togiola that she was Acting Treasurer at the time.

Togiola also asked about Brett Butler’s role at Treasury. 

Magalei-Tulafono noted that she was recommended by Brett Butler to become Acting Treasurer while he was being confirmed, and that she had not wanted the position, but it was supposedly only until Butler was confirmed. When she took the position, she said Butler moved from the Governor’s Office to Treasury under the title of Executive Treasury Specialist. Butler, who was not confirmed by the House, has led to Magalei-Tulafono still holding the position of Acting Treasurer. She later acknowledged she was being paid the Treasurer’s salary when asked.

As Acting Treasurer, Magalei-Tulafono clarified that there was $11 million of accumulated interest from ARPA money deposited at the Zions Bank in Salt Lake City, Utah, as of March 2026. And via an email, the governor authorized her to move $10 million of the $11 million (interest) to McKinley Beech Tree, an investment firm, to invest for DPA (Department of Port Administration) projects. She did not know any specifics about the projects. She noted that the balance of $1 million remains in the interest account at Zions Bank.

Togiola asked why that particular investment firm, to which Magalei-Tulafono responded that she didn’t know. She explained that the money was moved using a wire transfer, and that Butler, the governor and she were the authorizing parties. She added that she does not know if a final agreement exists with the investment firm, but that she does have a draft document of it; of which she has a copy. She okayed that a copy of the document be made for the Senate committee from her copy.

Magalei-Tulafono was asked by Senate President Tuaolo if she had contacted the Attorney General before she agreed to the transfer. She said that originally no, as Butler said he was taking full responsibility for the transaction. However, later at home, she spoke with her husband, who told her to get verification and that is when she got the Governor to send her a letter authorizing her to transfer the money. (She mentioned later that she had recently spoken to the AG on the issue.)

Tuaolo asked about returns on the investment. To which Magalei-Tulafono said there were none to date.

The Senate president explained that the governor had spoken with the Speaker of the House and him about paying the Retirement Fund the outstanding amounts owed soon. And yet, here they have used the money to invest off-island. Tuaolo said he was now going to stop his questions, because he was getting ‘cold shivers’ hearing about what was going on.

Sen. Utu Sila Poasa asked the Acting Treasurer about return terms on the investment. Magalei-Tulafono said she was told it would be 30 days for the first return, on April 30th or May 1st. The amount was to be $10 million of the original investment returned and an extra $10 million.

Utu’s response was one of astonishment, noting a 100% return. He asked if there was a write-up of the agreement with the investment company, to which Magalei-Tulafono said she asked Butler for the paperwork, but he is currently off-island. She told Utu that as of August, she has not seen a return on the investment.

Magalei-Tulafono confirmed to Togiola that it was Butler who told her about the return rate, and she reiterated that as of August, she has not seen a return on the investment.

Senator Magalei Logavi’i asked Magalei-Tulafono pointedly if when she refused to release the $10 million was the governor “involved in this order to release that money to Brett?“

The Acting Treasurer replied that she had an email that authorized her to sign the wire transfer for it. She then read out loud the copy of the email during the hearing:

“Carrie-Lee, as Governor of American Samoa, I authorize you, the Acting Treasurer of the American Samoa Government, ASG, to sign the necessary documents to invest $10 million for purposes of ASG airport infrastructure with McKinley. Feel free to contact me if you have any questions. Sincerely, Governor Pulaalii.“

A copy of the email was also obtained by the committee via her copy.

The chairman of the committee brought the hearing to an end by pointing out to Magalei-Tulafono that there is no such city or town known as Leawood in Kansas state. There’s a Leadwood, but no Leawood, he said. However, the Acting Treasurer stated — and spelled the city’s name out — that it was name of the city used on the wire transfer. Togiola responded, “That’s interesting…“

Togiola during the conclusion of the hearing acknowledged Magalei-Tulafono as a daughter of the Territory and as one of the stalwarts that has served as the backbone of the Treasury. He thanked her for testifying truthfully.

Where the inquiry will now head, is unknown. However, during the hearing, comments could be heard in the background by senators of the need to bring the head of the ARPA as well as Butler before the Senate committee for further questions.