Pacific Rim wants IPI’s ability to pay $6.9M examined

Pacific Rim Land Development LLC has asked the federal court to examine the ability of Imperial Pacific International (CNMI) LLC to pay the court’s $6.9-million judgment against the casino operator.

In its motion for order in aid of judgment filed in court Monday, Pacific Rim, through counsel Colin M. Thompson, asked the U.S. District Court for the NMI to also determine the fastest manner in which IPI can pay the unpaid balance of the judgment and to establish a payment schedule.

This developed as IPI, through counsel Michael Dotts, asked the District Court Monday to deny Pacific Rim’s third application for a writ of execution that seeks a court order to allow the sale of IPI’s property in the Imperial Pacific Resort & Casino in Garapan to satisfy the judgment. Pacific Rim is looking at IPI property such as furniture, fixtures, equipment, cash, and vehicles in the casino resort.

Dotts said IPI has satisfied about $3.1 million of the judgment following the court’s first and second writs of execution, but the $6.9 million has not been satisfied in full. Thus, Dotts pointed out, Pacific Rim must apply for an order in aid of judgment. Dotts said Pacific Rim failed to apply under the applicable CNMI statute, so the court should deny the third application for writ of execution because of this deficiency.

The lawyer said IPI has a wide variety of assets that can be sold under the direction of the court to satisfy the judgment. “Grabbing furniture and equipment and vehicles does not comport with the process under the Commonwealth statute,” he added.

In Pacific Rim’s motion for order in aid of judgment, Thompson certified that the court entered the court’s amended judgment on May 28, 2020, against IPI for $6,909,333. As of the date of this motion, the unpaid balance of the judgment is $6,090,333 plus interest, he added.

Thompson said Pacific Rim is applying for an order requiring IPI to appear to furnish information to aid in enforcement of the money judgment.

Chief Judge Ramona V. Manglona earlier granted Pacific Rim’s petitions for first and second writ of execution that ordered the U.S. Marshals Service to seize IPI’s money from four banks and two title companies on Saipan to satisfy the $6.9-million judgment.

Last April 27, Manglona entered a judgment in favor of Pacific Rim in the amount of $5.65 million against IPI for breach of promissory note. She later amended this to incorporate pre-judgment interest and attorneys’ fees. The amended judgment is now in the amount of $6.9 million, plus post-judgment interest.

IPI has appealed to the U.S. Court of Appeals for the Ninth Circuit to reverse Manglona’s judgment.

Pacific Rim is suing IPI for the work it did on IPI’s casino resort, which it said remains unpaid. IPI has countersued.