TY Management Corp., which operates the Kapalua Golf Courses, has filed a federal racketeering lawsuit against Maui Land & Pineapple, alleging executives doctored records to inflate water rates by over 300% in a single year. The dispute centers on the Honokōhau Ditch System, which supplies water to much of West Maui.
- TY Management alleges MLP disguised capital improvement costs as maintenance expenses to illegally pass charges on to water users.
- TY’s water rate reportedly jumped from $0.49 to $2.15 per thousand gallons since 2025, a more than 300% increase.
- MLP’s projected operation and maintenance costs have grown nearly tenfold since 2022, according to the lawsuit.
- The Honokōhau Ditch System, which the lawsuit centers on, already drew a $140,000 state fine last year for falling below water-level standards.
- West Maui property owners and associations dependent on this water system may face indirect impacts if the ditch infrastructure and billing disputes remain unresolved.
Source: Alohastatedaily
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