The Tinian Dynasty Casino in the Northern Mariana Islands won regulatory approval to reopen while undergoing reorganization.
The Tinian Casino Gaming Control Commission granted the casino’s application to reopen, so long as it abided by strict operating guidelines and close governmental scrutiny while continuing to undergo a Chapter 11 bankruptcy filing.
Owner Hong Kong Entertainment Investments has about $258 million in debts against only $55 million in assets and sought permission to continue operating while reorganizing to increase the odds of emerging from bankruptcy as a solvent company with its creditors at least partly paid off.
The alternative would be to close the casino and leave creditors to fend for what’s left of the company’s assets. Among its debts is $75 million owed to the U.S. Treasury for fines arising from financial crimes investigations, but the company reportedly settled that debt by forfeiting $3.04 million in assets in July.
The company still owes $285,000 to the IRS and $225,000 to the Commonwealth of Northern Mariana Islands.
