CLEAR Management Ltd., the court-appointed receiver, through attorney Michael White, has requested the federal court to issue an order approving Auction no. 6 of Imperial Pacific International’s gaming equipment.
White also asked the court to authorize payment of commissions to the receiver in connection with Auction no. 6 in the amount of $10,053.90; and expenses incurred from Aug. 1, 2023, to Sept. 8, 2023, in the amount of $25,097.73.
Likewise, White asked the court for an order approving attorney’s fees and expenses incurred through July 31, 2023, in the amount of $1,352.40.
According to White, Auction no. 6 was held on Sept. 8, 2023, and successful bids were received from four purchasers, totaling $100,539.
“Clear Management is entitled to a commission of 10% of the total of the successful bids received, or $10,053.90,” he said.
“A number of items offered at the sixth auction did not receive bids equal to or exceeding the reserve price. These items will be offered for sale at a subsequent auction,” he added.
On Oct. 26, 2021, District Court for the NMI Chief Judge Ramona V. Manglona appointed Clear Management as receiver for the purpose of selling Imperial Pacific International LLC’s gaming equipment to satisfy a judgment awarded to USA Fanter Corporation Ltd.
USA Fanter sued the casino investor for its failure to pay the full amount due to the plaintiff under their construction contract for labor and materials provided for the improvement of IPI’s real property in Garapan.
The lawsuit stated that IPI had paid USA Fanter $300,000 only and the unpaid balance due was not less than $2,089,345.28.
The judge issued a final judgment in favor of USA Fanter.
For his part, Joshua Gray, IPI’s former director of operations, prevailed in his discrimination lawsuit against the casino investor.
On May 30, 2023, the District Court granted Gray a default judgment against IPI. The following day, the court entered a judgement awarding Gray $5,686,182.20 against IPI.
The court also allowed Gray to participate in the receivership proceedings. He then applied for a writ of execution, which the court granted, requesting to have IPI’s vehicles, liquor, crystal dragons, computer hardware, furniture and equipment, including casino-related and security equipment, and other non-exempt personal property, sold in an auction to satisfy judgment.
Gray has also asked the court to appoint Clear Management as receiver in his case.
But an investment firm from the British Virgin Islands wants to intervene in the receivership proceedings involving Gray’s lawsuit and opposes the appointment of Clear Management as receiver.
The firm, Century Estate Investment Limited, loaned IPI $9 million.
As of Sept 26, Century Estate’s motion to intervene was still pending.
