NMI governor approves funding of CCC arbitration with IPI
The CCC had asked the government for funding to cover court-mandated arbitration with the casino operator.
Northern Mariana Islands.- The Commonwealth Casino Commission‘s request to fund arbitration proceedings with Imperial Pacific International has been approved by governor-general Ralph DLG Torres. He said defending the interests of the Commonwealth in arbitration was part of the government’s duty and told the CCC to submit a report on costs to the finance secretary.
Chief judge Ramona V. Manglona has granted IPI’s request for arbitration in its dispute with the CCC over its force majeure defence for non-payment of casino licence fees. CCC director Andrew Yeom the government aims “to minimize the ambiguous applications of force majeure defence and to narrow down the scope of the force majeure applications to the future references.”
He added: “This may ultimately [result in the] complete amendment of the force majeure related clauses in the [casino license agreement] as well.”
In October, the regulator filed a notice of appeal, against a court ruling that granted IPI a preliminary injunction preventing the regulator from revoking its casino licence. The casino operator had previously requested a temporary restraining order to prevent the CCC from revocation its exclusive casino licence and the court also granted IPI’s motion.
CCC posts revenue of $15,001 for fiscal year 2022
Yesterday (November 2), the regulator reported that its revenue for the fiscal year 2022 was $15,001. One dollar was the commission’s share of CNMI revenue appropriated from the general fund, while $15,000 was the “other regulatory fee” paid by casino operator Imperial Pacific International’s vendors and service providers.
That group includes IPWAN Security Services, the company that provides the security staff for IPI’s warehouses in Chalan Piao and Tanapag. However, according to Mariana’s Variety, it ceased providing services to IPI on October 24 due to unpaid services and wages.
The CCC reported that it spent a total of $1,016,613: $561,795 in employee salaries and benefits, $277,461 in executive compensation, $53,240 in operating expenses, $120,000 in office rent, and $9,117 in travel expenses. From an original team of 50, the regulator currently has just 10 employees left, in addition to the commissioners.
