Deadline looms for Saipan casino applicant

Monday’s deadline draws near but as of yesterday, the government has yet to receive an application for an exclusive license to operate a casino on Saipan coupled with a $1 million nonrefundable application fee. Gov. Eloy S. Inos remains hopeful, though, and so does the casino bill’s main author, House floor leader Ralph Demapan (Cov-Saipan).

“With Monday fast-approaching, I’m hoping potential investors won’t overlook the date,” Demapan told Saipan Tribune yesterday.

When asked whether he’d amend the law to extend the deadline if no one meets the April 21 deadline, Demapan said he hasn’t considered his options yet.

But as with any other law, the casino law can be amended, he said.

“If no one turns in an application by deadline, at least we tried. And we will try again. We can’t just sit and wait for things to happen. We’ve got to do something to make sure government services are provided. We have to find ways to generate revenue for these services to be provided,” Demapan added.

Under Public Law 18-43, which amended the original Saipan casino law, “in the event that a license is not issued within 90 days after this Act becomes law, the commission shall establish new application procedures.”

This refers to the Lottery Commission, the members of which are the Department of Public Safety commissioner, the Department of Finance secretary, the attorney general, and the Department of Commerce secretary.

The governor told reporters that he was anticipating a wire transfer as early as Tuesday, after an entity inquired about the bank account for the purpose.

Press secretary Angel Demapan, meanwhile, confirmed that as of yesterday afternoon, the government has not received any application for the casino license although applications were picked up.

“…the application is rather complex and requires intricate details. It does take time to complete, so the administration is hopeful that interested parties will be able to submit it before the expiration of the deadline,” the press secretary added.

Any interested investor that turns in an application by April 21 would be in the running for securing an exclusive license to operate a casino on Saipan. It also has to pay a $30-million license fee by May 5, representing the license fee for the first and fifth year.

The governor said once the $30 million is paid, retirees will be able to receive their deferred 25 percent pension.

The exclusive casino license holder is required to develop a casino hotel-resort with at least 2,000 rooms and with an initial investment of $2 billion.