The United States Courthouse in Gualo Rai, Saipan.
SAIPAN Stevedore Company is seeking relief from the federal bankruptcy court’s automatic stay to compel Imperial Pacific International to immediately address its containers, which remain at Saipan Stevedore’s storage facility and are accruing daily storage fees of $590.
Through attorney Vince Seman, Saipan Stevedore, as an administrative creditor, requested an immediate resolution regarding IPI’s containers.
“Like a secured creditor, Saipan Stevedore lacks adequate protection if there is a threat of decline in the value of the property,” Seman said.
“In this case,” he added, “Saipan Stevedore lacks adequate protection in two respects. First, even if this Court finds that Saipan Stevedore will be entitled to administrative expenses, there is no guarantee that this Court will award the entire amount that Saipan Stevedore will eventually seek, if and when a sale of Debtor’s [IPI’s] assets is ever approved. Second, Saipan Stevedore continues to lose immediate income due to the continued loss of use of the space in its storage facility that is currently occupied by Debtor’s Containers.”
According to Seman, since April 19, 2024, IPI’s containers have been accruing $590 in daily storage fees, or approximately $17,700 in monthly storage fees.
The containers consist of 19 40-foot containers at a daily rate of $23 and nine 20-foot containers at a daily rate of $17 for a total of 28 containers.
As of Feb. 5, 2025, Seman said, IPI had “accrued $189,390…in total storage fees. Debtor has not given any reason as to why Debtor’s containers cannot or should not be moved from Saipan Stevedore’s storage facility before a sale is approved. Debtor continues to accumulate administrative expenses by refusing to seek more economical alternatives to storing Debtor’s Containers rather than dealing with Debtor’s Containers in a more cost-conscious manner. [At] a minimum, Debtor should be trying to minimize any unnecessary expenses to the Estate, including moving Debtor’s Containers to a more cost-effective location.”
Seman asked the court to grant Saipan Stevedore’s relief from stay to require IPI to take such necessary steps accordingly.
Bankruptcy petition
IPI operated a casino on Saipan for four years until the Covid-19 pandemic forced its closure in March 2020.
On April 19, 2024, IPI filed for Chapter 11 bankruptcy, citing over $165.8 million in debts. Chapter 11 allows corporations to restructure while continuing operations.
Judge Robert J. Faris earlier scheduled a hearing for March 25, 2025, at 9 a.m., to consider the approval of the sale of IPI’s assets to the successful bidder, Team King Investment, “free and clear of all liens, claims, and encumbrances.”
However, the CNMI government and former IPI employee Joshua Gray, who has a $5.6 million judgment against IPI for discrimination and retaliation, are opposing the approval of the sale.
They also want to depose Team King’s principal, Hiroshi Kaneko.
IPI, the committee of unsecured creditors, the CNMI government, and Gray have filed a stipulation in court agreeing to push back the sale hearing to April 15, 2025 at 9 a.m.
