Show-cause order vs ex-foreign workers of Dynasty discharged

Mok

U.S. District Court for the NMI Chief Judge Ramona V. Manglona has relieved the former foreign workers of the defunct Tinian Dynasty Hotel and Casino from her order directing them to explain why their lawsuit against the owner and management of Tinian Dynasty should not be dismissed for failure to prosecute.

In her order issued Thursday, Manglona said as the former workers have shown cause, her order to show-cause is therefore discharged.

Manglona said in response to the order to show cause, plaintiffs filed a motion for default judgment against Hong Kong Entertainment (Overseas) Investment Ltd. and Mega Stars Overseas Limited, which will be heard on Feb. 14, 2019.

“The court finds that by filing the motion, plaintiffs have shown cause,” the judge said.

Eric F. Dona and co-plaintiffs, through counsel Samuel Mok, recently asked the court to enter a default judgment against HKE, owner of Tinian Dynasty, and its management, Mega Stars Overseas Limited.

Mok is counsel for Dona and six other co-plaintiffs. There are 15 named plaintiffs in this case.

Mok said that, last Aug. 13, the District Court issued an order striking the answers of HKE and Mega Stars and entering default against each of the defendants as a result of their failure to retain legal counsel despite being given ample opportunity to do so.

Mok said his clients’ claims for damages are not for a sum certain or a sum that can be calculated by the court’s clerk.

“Accordingly, an evidentiary hearing is requested before final judgment is entered against the defendants,” the lawyer said.

In the order to show cause, Manglona said that last Aug. 14, court’s clerk entered a default of HKE and Mega Stars Overseas Ltd.

The judge said more than four months have passed and plaintiffs have not applied to the court for a default judgment, or taken any action in this case.

Last August, U.S. District Court for the NMI designated Judge Frances Tydingco-Gatewood adopted Magistrate Judge Heather L. Kennedy’s recommendation to direct the clerk to enter a default judgment against HKE and Mega Stars.

Tydingco-Gatewood granted the workers’ motion to strike the answers of HKE and Mega Stars.

Kennedy in her recommendation stated that it is well-established that “a corporation may appear in the federal courts only through licensed counsel.”

In their lawsuit, Dona and co-plaintiffs alleged that HKE and Mega Stars lied to them about their immigration legal status.

Mok alleged that the owners and management of Tinian Dynasty lied that the workers were legally authorized to work notwithstanding the denial of their CW-1 petitions.

In February 2018, Chun Wai Chan, a corporate representative of both HKE and Mega Stars, informed the court that Tinian Dynasty’s casino operation stopped in August 2015, and when the hotel operation halted in March 2016 no more income could be generated since then.