In apparent first, a public pension plan files for bankruptcy

It's in the Mariana Islands. Part of the problem is funding but by far the bigger problem is the benefits:

While the defined benefit program was designed to serve retirees and their spouses, the fund had permitted the grandchildren and great-grandchildren of the first generation of retirees to receive benefits after the original retiree died, according to court documents.

These people thought they could give themselves and their children and grandchildren money forever. Keep in mind, this is a PUBLIC pension fund.

H/T Glenn Reynolds