THE South Korean IH Group, which recently signed an agreement with Imperial Pacific International, is “carefully reviewing” its investment agreement with Saipan’s beleaguered casino operator.
In May, IH Group agreed to provide IPI funding to reopen its casino and pay some of its obligations to its vendors, including payroll.
In an interview through an interpreter over the weekend, IH Group Chairman Kyunam Kim said the investment plan “is going well without a problem.”
However, he said, although there is now a “bilateral contract” between IH Group and IPI, “there are matters to be reviewed carefully” in the agreement pertaining to the implementation of “rapid investment promises.”
Kim said if a conflict in interest arises between the two companies, or any circumstances that will give IH Group a reason to cancel the contract, it would be impossible to get their investment back.
Therefore, he said, “a detailed review of the initial investment execution and mutual negotiation about expected issues are required.”
Asked to elaborate, Kim said, “I think it’s not desirable to open to the public before coordinating with IPI.”
IH Group, he said is thankful to IPI for its trust. However, he said, “the transfer of funds should be legal and shouldn’t leave any problem.”
He said it is very important for the IH Group to “accurately recognize possible problems before it can proceed.”
Kim added, “We are sure that it will be helpful for both companies to work together and share long-term plans. The Korean government also has a detailed investigation procedure for a large amount of money going abroad, so [we are] required to…wait….”
He said IH Group is willing to help solve these issues so “it is very important…for us to make a careful choice in consultation with a company’s solicitor….”
Kim also confirmed that the amount of money they plan to invest in IPI is “approximately” $150 million.
He said the IH Group is thankful to the CNMI government and its agencies “for all the help and interest they have shown us so far.”
The IH Group, Kim added, is “interested in major businesses” in the CNMI.
“It started as a personal relationship with many people in the CNMI and Rota. But now, [we are] expanding the scope of interest to tourism business,” he said.
The government’s “guarantee and support will be the most necessary factor that can contribute to economic activities here,” Kim added.
When IH Group’s investment projects begin, Kim said, many IH Group people will have to go through the federal immigration procedure.
He said federal immigration authorities are helpful, but “there are…situations when important persons unexpectedly [have to] return to [their] country at a critical moment. We would like to request cooperation with this problem….”
