CCC: Bill to end IPI’s exclusive licence is unconstitutional

Last October, a bill was introduced to allow five casino licences in Saipan.
Last October, a bill was introduced to allow five casino licences in Saipan.

Andrew Yeom, the CCC’s executive director, said the local bill to allow five casino licences in Saipan would violate Article 1 Section 1 of the Contract Clause of the Commonwealth Constitution.

Northern Mariana Islands.- After being called to share his opinion regarding the House Local Bill 22-26 that would allow five casino licences on Saipan, Andrew Yeom, the Commonwealth Casino Commission’s executive director, said the bill is unconstitutional.

The bill had been introduced by Ralph N. Yumul, house floor leader. He stated as IPI had not been able to pay taxes and its US$15m exclusive licence fee, the island needed more than one operator.

However, Yeom argued because an exclusive casino licence has already been established, the local bill would violate Article 1 Section 1 of the Contract Clause of the Commonwealth Constitution.

According to Mariana’s Variety, Yumul had previously said: “We must move away from the current single licensee framework that is totally dependent on one business entity.”

Yumul said that if there were five casino licences each with an annual fee of US$5m, it would result in a total of US$25m which is US$10m more than what is being required by the current bill.

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CCC Commonwealth Casino Commission IPI