IPI equipment auction to be postponed until January 31

The CNMI Court has granted IPI’s request to extend the stay on receivership.

Northern Mariana Islands.- The CNMI has granted IPI’s request to extend the suspension on the limited receivership granted to USA Fanter Corp, which sued IPI for failure to pay the full contract for labour and materials at its property in Garapan.

A week ago, Imperial Pacific International agreed to provide $2.45m in replacement bonds as a security for the judgment in the lawsuit. Chief Judge Ramona V. Manglona of the District Court for the NMI said the district court was satisfied with IPI’s report and approved the stay on the limited receivership until January 31, 2022.

She ordered the two parties to return to the court on January 14 for a status meeting. The court issued a notice to deal with the creditors’ motions at a later time.

An auction of IPI’s assets was originally to take place at the end of this month. A week ago, the Saipan Tribune reported IPI creditors had filed a motion to oppose IPI’s request for a further stay on its receivership. Creditors wanted the appointed receiver, Clear Management, to go ahead with an auction of IPI’s assets. 

The joint motion stated: “The parties are working to reach agreements to adequately secure the other creditors’ judgments. If such agreements are reached, IPI’s opposition to the other creditors’ motion will become moot and plaintiffs’ opposition to IPI’s motion to extend stay will become moot.”