IPI to guarantee bonds to further extend receivership

IPI will provide security to suspend enforcement of other creditors’ judgments.

Northern Mariana Islands.- Imperial Pacific International has agreed to provide sufficient security to suspend enforcement of other creditors’ judgments, which will further suspend the receivership currently scheduled to resume next month.

According to a joint provision, other creditors approached by USA Fanter have been working to reach a definitive agreement with IPI.

Ping Shun Corp, one of the creditors, said in a statement shared by Saipan Tribune: “In the event IPI defaults, as defined in the Stay Agreement, including by failing to increase the value of the supersedeas bond to $445,000 on or before Feb. 22, and fails to cure the default within the cure period defined in the stay agreement, then the $250,000 supersedeas bond posted by IPI shall be promptly released to Ping Shun.” 

Chief Justice Ramona Manglona said in a previous order that she did not fully discharge the receivership because other creditors had supported the original judgment against USA Fanter.

A few weeks ago, Manglona revealed “IPI fulfilled its promise to secure a bond totalling $2.45m” for the judgement in the lawsuit filed by USA Fanter Corp. In her order, the judge also approved IPI’s motion to suspend the judgment during the appeal period; to approve the appeal deposit; to suspend the execution of the judgment during the appeal period, and to stay the receivership.