CHIEF Judge Ramona V. Manglona of the District Court for the NMI has granted the stipulation of the U.S. Department of Labor and Imperial Pacific International LLC for a second amendment to the consent judgment that the court approved on April 11, 2019, and the 1st amended consent judgement approved on March 29, 2021.
Judge Manglona ordered IPI to pay USDOL $2,195,726.01 which is comprised of $1,010,416.04 in back wages; $1,010,416.04 in liquidated damages; and $174,893.93 in civil monetary penalties.
IPI, as part of the stipulated agreement, offered its leased property across from Hopwood Middle School which IPI owned through an affiliate, Green Estate Holdings, as security for the monetary liability of $2,211,563.
The issued order noted that Green Estate Holdings has consented to the jurisdiction of the court for the purposes of enforcing the USDOL secretary’s security interest.
IPI also acknowledged that any future missed payroll will be subject to the assessment of liquidated damages and civil money penalties.
All other terms of the consent judgment and the first amended consent judgment — with the exception of the use of the Flame Tree property — to secure the payments remain the same, the order added.
According to the stipulation, IPI and USDOL had entered into a consent judgment requiring the casino developer to make payments for unpaid minimum wage and overtime premiums pursuant to the Fair Labor Standards Act or FLSA.
IPI, however, failed to make payments as required by the consent judgment.
On Jan. 21, 2021, the district court issued an order finding IPI in contempt and directing IPI to purge contempt by paying the unpaid payroll, among others, of its employees.
To purge contempt, IPI entered into the first amended consent judgment which set forth a series of payments and other conditions.
IPI made the required payments under the first amended consent judgement, but USDOL found IPI violating the Immigration and Nationality Act and the FLSA arising from IPI’s failure to pay the promised rate and accompanying FLSA overtime premium to its employees hired under the H-2B program.
Based on these violations IPI was again found in contempt of the court’s injunction against violations of the FLSA.
To address the violations and purge its contempt, IPI agreed to enter into a second amended consent judgment.
To resolve IPI’s H-2B violations, the parties will file consent findings before the USDOL secretary’s Office of Administrative Law Judges, the stipulation stated.
The monetary liability of IPI comprised of back wages for its more than 300 employees, liquidated damages, civil penalties, and interest on the payment plan amounted to $2,211,563.
IPI agreed to make payments from January 2022 to January 2024 and offered as security its Green Estate property.
“Defendants acknowledge and understand that any future missed payroll will be subject to the assessment of liquidated damages and civil money penalties,” stated the stipulation for the 2nd amendment consent judgment which was signed by attorney Kevin Abikoff who represents IPI, and attorney Charles Song who represents USDOL.
The other signatories were IPI Holdings Limited Executive Director Chen Feng, Green Estate’s Operation Manager Zheng Dongting, and IPI Director Tao Xing.
