Imperial Pacific International Fails To Pay Workers, Again

Troubles continue to pile up for Imperial Pacific International, operators of the Grand Mariana Casino Hotel (l.) in Garapan, Commonwealth of the Northern Mariana Islands. The company failed to pay employees for the fourth consecutive week, defying orders from the Commonwealth Casino Commission. Meanwhile, three Turkish workers filed a complaint against IPI for failure to be paid since October 1 and being forced to eat Chinese food.

Imperial Pacific International Fails To Pay Workers, Again

Troubles continue to pile up for Hong Kong-based Imperial Pacific International, parent company of Best Sunshine, which develops and operates casinos, hotels and restaurants in the Commonwealth of the Northern Mariana Islands, including the Grand Mariana Casino Hotel and Resort in Garapan. Recently the Commonwealth Casino Commission announced IPI may have breached orders related its casino license after IPI was forced to delay paying employees for the fourth week in a row.

IPI Chief Executive Officer Donald Browne told staff payroll was delayed again while the company sought additional funding. In an email to workers, Browne wrote, “IPI is committed to its employees. We are working tirelessly to find the funding needed to get the paychecks in your hands. We sincerely apologize for the inconvenience this continues to cause you.”

The action defies an order issued in June requiring IPI to have three weeks’ payroll deposited in a bank account under its own name at all times. The CCC also ordered IPI to appoint a new chief executive officer, which led to Browne, and to meet its financial obligations to private vendors and the CNMI government. At the time, CCC Chairman Edward C. Deleon Guerrero said if IPI failed to comply, “I’m sorry to say, we have to revoke the license and the game is over. If IPI does not comply, it could result in the suspension of its license, and if they do not comply with whatever the requirements of that suspension are, it may result in the revocation of that license.”

Browne said IPI was waiting for funds from its parent company in Hong Kong, which had not arrived as expected. “As you know our business has been closed due to the pandemic and we have no income to support payroll and other obligations. Although employees are understanding, this has created a severe hardship,” he stated.

Meanwhile, three Turkish construction workers, on behalf of 25 other Turkish H-2B workers, recently filed a complaint against IPI for not paying them the minimum wage and overtime plus their salaries since October 1. The recruited workers, who include master plumbers, carpenters, electricians, construction workers and foremen, said they were promised round-trip tickets and stated they had to borrow money from friends and relatives for their travel expenses. In addition, they claimed IPI promised to hire a cook specializing in Turkish food. Instead, they said, they were given Chinese food that was “practically inedible.”

There was some good news for IPI, as the CNMI Lottery Commission approved its request to defer the $20 million it had pledged to a community benefit fund for three years or upon completion of the Grand Mariana Casino Hotel in Garapan, whichever comes first. The commission also agreed to defer for five years the $36 million IPI has owed the community benefit fund for the past five years.

IPI officials said they’re waiting for permission to resume construction at the Garapan casino . Last month the Department of Public Works issued a stop work order for failure to submit complete construction documents.