THERE was a delay in the receipt of funds from Hong Kong, but there was sufficient cash on hand to cover payroll, Imperial Pacific International LLC’s attorney, Michael Dotts, stated in his 31st status report to the federal court.
Payroll was distributed on Aug. 13, he added.
“Out of an abundance of caution, some managers were requested not to cash the pay checks until Monday. On Monday, Aug. 16, the funds from Hong Kong arrived. IPI’s next payroll is due on Aug. 27 (Payroll 18),” Dotts said.
As for the additional amount owed by IPI to some of its employees, Dotts said this has been resolved and an amendment to the payment plan of the first amended consent judgment has been submitted for the court’s approval.
Regarding employee housing, food, and repatriations, Dotts said, “Nothing new to report.”
IPI and the U.S. Department of Labor have requested the District Court for the NMI to modify the amount and payment terms of the consent judgment that it approved on April 11, 2019, and the first amended consent judgment that it approved on March 29, 2021.
Pursuant to Section 1 of the first amended consent judgment, the parties have determined that the additional amount of Fair Labor Standards Act, or FLSA, liability is $135,468.
This figure was added to the amount due under the first amended consent judgment which now totals $1,613,898.08.
IPI has also requested a delay in the Sept. 1, 2021 payment to allow it to undertake safety work on the construction site to secure its construction cranes.
The Amended Payment Plan
April 1, 2021 – Paid $164,270.08
May 1, 2021 – Paid $164,270.08
June 1, 2021 – Paid $164,270.08
July 1, 2021 – Paid $164,270.08
Aug. 1, 2021 – Paid $164,270.08
Sept. 1, 2021 – Deferred
Oct. 1, 2021 – $164,270.08
Nov. 1, 2021 – $164,270.08
Dec. 1, 2021 – $164,270.08
Jan. 1, 2022 – $164,270.08 (the deferred Sept. 1, 2021 payment)
Feb. 1, 2022 – $135,468.00
Total: $1,613,898.72
“Should IPI fully comply with all terms of this amendment and the second amended consent judgment and make all of the payments required hereunder, then on or before March 1, 2022, the USDOL Secretary shall cause to be filed a Satisfaction of Judgment,” the proposed amendment stated.
The proposal also noted that IPI has been filing weekly status reports on payments, wages and compliance with the court’s orders.
IPI may submit weekly reports directly to the USDOL secretary without the need of filing them with the court so long as IPI remains in compliance with this amendment and the first amended consent judgment, the proposal added.
The proposed amendment needs the approval of Chief Judge Ramona V. Manglona.
Michael Dotts
