IMPERIAL Pacific International LLC, IPI Holdings Ltd. and IPI chairwoman Cui Li Jie are in contempt of court for violating the previously entered consent judgment, and not paying current IPI employees for over two months, District Court for the NMI Chief Judge Ramona V. Manglona ruled on Thursday.
She issued a one-week stop work order at IPI’s hotel-casino construction site in Garapan, but excluded administrative and security personnel from the order.
The administrative personnel will process the payroll for IPI employees, while the security personnel will secure the construction site.
Cui Li Jie, through an interpreter, told the court that the payroll funds were arriving from Guam Thursday, and that utilities would be immediately restored at IPI’s staff housing units.
Imperial Pacific International, LLC chair and executive director Cui Li Jie stands at the entrance of the federal court building on Thursday morning.
Photo by Bryan Manabat
Former Judge Juan T. Lizama appeared for the IPI chair and did not dispute that she was not in compliance with the consent judgment.
But Lizama asked the court to delay the imposition of sanctions against IPI. The judge, however, denied his request.
She said sanctions were needed and should be immediately imposed.
Citing the other lawsuits filed against IPI by various other plaintiffs, she said: “I will only accept actions, and will not accept promises.”
The judge said she believes that the U.S. Department of Labor is working with IPI to maintain the viability of the casino project.
“I, too, would like to work with IPI but not at the expense of trampling human rights,” the judge added.
She ordered IPI chair Cui Li Jie to return to court on Jan. 28, 2021. She also required IPI to place $1 million in an escrow account prior to IPI employees returning to work.
From left, former Judge Juan Lizama, who represents IPI chair Cui Li Jie, and attorney Michael Dotts, who appeared for IPI LLC during Thursday’s hearing, pose for a photo.
Photo by Bryan Manabat
IPI CNMI was represented on a limited basis by attorney Michael Dotts who did not dispute that his client is not in compliance.
He added that a one-week stop work order is acceptable, and that “staff housing and food” are priorities.
Judge Manglona directed Dotts to file a status report on payroll no later than today, Friday, by 12 noon.
After hearing from U.S. Department of Labor attorney Charles Song, Judge Manglona said there will be no jail sanctions against the defendants.
She likewise discharged former IPI Chief Executive Officer Donald Browne from the petition of contempt.
Browne earlier told the court that he had no knowledge of any previous consent judgment.
The USDOL has asked the federal court to hold IPI and its primary officials in contempt for violating the consent judgment, which was entered on April 11, 2019, and for not paying its employees for two months.
