The Commonwealth Utilities Corporation in the Northern Marianas has been fined 140,000 US dollars by the United States Environmental Protection Agency.
The EPA imposed the fine on the cash strapped utility after it failed to show how it would reorganize itself and bring its wastewater plants, collection systems, and public drinking water systems into compliance.
The EPA says the corporation's drinking water systems are a public health risk.
Under a stipulated order, the corporation was required by September last year to submit a plan showing how it would improve the efficiency of its operations and make the required organisational changes.
