Imperial Pacific International (IPI), which has operated the Imperial Palace Saipan is asking a U.S. District Court for time to pay its debts, which it owes to multiple creditors.
An attorney for IPI told the court that it has been required by the Commonwealth Casino Commission of Northern Mariana Islands to prioritize payments of its payroll.
The attorney told the court: “Part of compliance is timely paying payroll. IPI has been struggling to pay payroll. Should IPI not comply with the consent judgment, the sanctions could be severe. If IPI is not able to pay payroll, it would have to shut down.”
He continued, “I am also advised that IPI’s parent company has successfully raised funds and that it is only a matter of time before IPI has the ability to come current on all sanctions. I have not been told how much time.”
The Commission could revoke the company’s license, making it impossible to make payments except by selling off its assets, said the attorney.
The case involves seven construction workers who have sued IPI over alleged labor and other violations. The company received a default judgment against it for failing to comply with discovery orders.
