22 Oct 2020

Ex-contractor wants to auction off Saipan casino's assets

6:44 pm on 22 October 2020

A Northern Marianas company who won $US6.8-million lawsuit against the Saipan casino, now wants to auction off its assets.

The 200 room hotel and casino Imperial Pacific Resort under construction in Saipan, CNMI

Photo: RNZ/Mark Rabago

Pacific Rim Land Development, former contractor of Imperial Pacific International, has asked the CNMI District Court to authorise the auction of the casino licensee's assets to meet the balance due on the civil judgement. The assets include gaming machines and vehicles.

The company is still owed more than $US5 million and it said auctioning 404 gaming machines and 45 vehicles would raise about $US3 million.

Two years ago Pacific Rim sued IPI for breach of contract for refusing to pay for services for substantially completed or completed agreed-upon construction work for IPI's casino-resort project.

Imperial Pacific has been under increasing pressure this month, facing legal action and complaints.

The Commonwealth Casino Commission filed a complaint against the company regarding the exclusive casino licensee on Saipan for failure to pay the annual regulatory fee that was due this month.

The commission has filed two claims against Imperial Pacific International for code and regulation violations, breach of contract and for declaratory order.

A request was made to declare that IPI committed violations and did not immediately self-report the facts that gave rise to those violations.

This comes on the heels of the casino regulator also filing a complaint against IPI for failure to pay the $US15.5 million casino license fee by the deadline of 12 August.

Earlier this month, the Commonwealth Lottery Commission gave IPI a six-month delay in paying the $US20-million community benefit fund it owes to the CNMI government.