First Imperial Pacific gaming equipment auction postponed

The first of six auctions selling gaming equipment owned by casino operator Saipan Imperial Pacific International (CNMI) LLC has been postponed for one month following an offer from IPI to the creditor.

The auction was scheduled to take place today, Tuesday, November 30, after Clear Management Ltd, a company run by Silver Heritage Group co-founder Tim Shepherd, was appointed receiver in October. IPI was ordered at the time to reimburse USA Fanter Corporation $ 2.1 million for construction work on IPI’s Saipan Hotel and Casino, Imperial Palace.??Saipan, in 2019. Legal action was launched in January 2020 after IPI failed to pay.

AGI was informed Monday evening that the auction is currently on hold, with IPI offering to place around US $ 2 million in an escrow account pending judgment on the suitability of the resolution. If approved, it will end the limited receivership.

Clear Management had planned to hold one auction per month for six months from today, after taking remote bids on IPI’s gaming equipment over the past two weeks.

Imperial Palace??Saipan closed in March 2020 due to the COVID-19 pandemic, but IPI has since had its casino license suspended by the CCC following a series of complaints for failing to meet certain requirements of its agreement. license.

The complaints, filed by CCC Executive Director Andrew Yeom, concern IPI’s failure to pay its annual license fee of US $ 15.5 million in August 2020, failure to pay its regulatory fees. annual payments of US $ 3.1 million in October 2020, failure to pay US $ 20 million to the Community Benefits Fund in 2018 and 2019, failure to meet its minimum capital requirement of US $ 2 billion and failure to comply with an injunction by CCC to pay all amounts owed to its suppliers.

IPI was also granted six months from April to reimburse both the casino license fee of US $ 15.5 million and the regulatory fee of US $ 3.1 million, as well as a fine of 6.6 million US dollars, under penalty of having his license revoked.

However, the company is currently at risk of having its license revoked altogether, potentially leaving it with substantial integrated resort development that it cannot complete or use effectively.

Robert P. Miller