Overview:
Angaur State has been thrust into political and financial turmoil following a recall election that removed its sitting governor, froze access to public funds and raised the possibility of national government intervention. While former governor Steven Salii has now been sworn in under constitutional mandate, unresolved legal, financial and public trust issues continue to cloud the island state’s path forward.
By: L.N. Reklai
Jan. 16 4:00 pm Update: Former governor Steven Salii, who was also the second highest votegetter at the last Angaur State General Election, was sworn in as the new governor of Angaur State yesterday, January 15th in accordance with Angaur State constitutional mandate.
ANGAUR, Palau (January 16, 2026)— Angaur State is facing a deepening political and financial crisis following a recall election that removed Gov. Natus Misech from office, leaving the state without both executive leadership and access to operating funds.
Under Article IX, Section 4 of the Angaur State Constitution, when a vacancy occurs in the governor’s office, the candidate who received the second-highest number of votes in the most recent general election is to assume the position. In the 2024 Angaur general election, that candidate was former Gov. Steven Salii.
As updated above, Salii accepted the mandate and was sworn-in as the new governor on January 15th. Salii is implicated in an ongoing investigation involving more than $86,000 in missing grant funds from Japan, raising further complications for the already unsettled state government.
Some Angaur residents have also voiced strong opposition to Salii assuming the governorship, arguing that the recall election reflects the electorate’s desire for change and that leadership decisions should be deferred until voters select a new governor through a special election.
“This action reflects serious concerns held by members of the Angaur community regarding the legitimacy and appropriateness of any interim governorship while the matter is pending resolution through a duly called special election, which is expected to take place within the next 60 days,” concerned citizens stated.
Former Angaur legislator and 2024 gubernatorial candidate Warren Fukuichi said the recall outcome should be respected.
“The people of Angaur have exercised their constitutional right through the recall process, and it is our position that the will of the voters should be fully respected by maintaining the status quo until the electorate has chosen its next governor in a lawful election,” Fukuichi said.
The Angaur Constitution provides another option if the individual next in line is unable or unwilling to serve. In such cases, the Angaur State Legislature may provide for a special election to fill the vacancy.
As the leadership impasse continues, Angaur’s situation has worsened due to longstanding financial and audit issues.
The Office of the Public Auditor has cited Angaur State for failing to comply with and correct negative findings from state audits conducted in 2016 and 2017. According to the auditor’s office, the lack of corrective action has resulted in $676,983 in public funds that remain unaccounted for.
In a letter to President Surangel S. Whipps Jr., Public Auditor Saturnino Tewid revoked Angaur State’s certification of compliance and ordered the Ministry of Finance to withhold the state’s block grant allotment until the certification is reinstated.
As a result, Angaur State currently has no access to funds needed to operate its government.
Angaur’s block grant for fiscal year 2026 totals $725,000 and covers the entire state payroll, including salaries and honorariums for legislators and traditional chiefs.
President Whipps addressed the situation during a press conference yesterday, urging the Angaur State Legislature to act swiftly to fill the vacancy.
“Get to work,” Whipps said. “Do your job and serve the people.”
If Angaur State fails to take action, Whipps warned that the national government could intervene under Palau’s Caretaker Act. Under the law, the Bureau of Domestic Affairs would step in to manage and operate the state government.
“This happened to Ngatpang State Government and could happen again if the Angaur State Legislature does not act,” Whipps said.
With Salii sworn in as the new governor, Angaur will not be managed by Domestic Affairs but it still has to address the financial crisis that cripples its operations.