IPI licence revocation hearing rescheduled for February 12

The revocation hearing was to be held on January 31.
The revocation hearing was to be held on January 31.

The Commonwealth Casino Commission (CCC) has postponed the hearing due to ongoing settlement talks.

Northern Mariana Islands.- The Commonwealth Casino Commission (CCC) has rescheduled the hearing on the revocation of Imperial Pacific International (IPI)’s exclusive casino licence from January 31 to February 12. CCC’s executive director, Andrew Yeom, said ongoing settlement discussions with IPI were the reason for the delay. 

The main issue is IPI’s failure to pay its US$15.5m annual casino licence fee and US$3.15m in annual regulatory fees for the years 2020 to 2023. The accumulated debts to the CNMI government now surpass US$62m in casino licence fees and US$17.6m in regulatory fees.

Yeom said there had been progress in settlement talks, which include IPI’s initiative to dismiss civil claims. He said an emergency meeting would be needed to confirm any settlement and request action on lifting the licence suspension order. 

Last week, IPI took legal action against the islands’ governor, Arnold I. Palacios, and the CCC. In an amended complaint filed in federal court, the company seeks a jury trial, claiming unconstitutional impairment of contract, violation of the contract clause of the US and CNMI constitutions, violation of the takings clause of the US Constitution, violation of the due process clauses of the US and CNMI Constitutions and breach of the casino licence agreement (CLA).

The lawsuit argues that the imposition of the annual regulatory fees statute constitutes a substantial and unconstitutional impairment of the CLA. However, assistant attorney general Keisha Blaise, who represents the CCC, filed a 24-page motion to dismiss the lawsuit.

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Commonwealth Casino Commission Imperial Pacific International