Court approves IPI assets sale plan

IPI and the creditor committee aim to hold a sale hearing on March 25.

Northern Mariana Islands.- The District Court for the NMI, under the supervision of designated bankruptcy judge Robert J. Faris, has approved the bidding procedure proposed by Imperial Pacific International (IPI) and its unsecured creditors to sell the company’s unfinished Garapan hotel casino and real estate assets.

The minimum bid for all IPI assets has been set at US$10m in cash. IPI and the committee will choose an initial “stalking horse” bidder, schedule an auction and set up procedures to assign and assume contracts. Both IPI and the committee aim to schedule a sale hearing on March 25, at 9am.

According to the Saipan Tribune, the NMI bankruptcy court will retain jurisdiction over any and all matters arising from or related to the implementation or interpretation of its order.

Last October, chief judge Ramona V. Manglona of the District Court for the NMI denied IPI’s bid to sell its unfinished Garapan hotel casino and real estate assets. Manglona also turned down IPI’s request to employ Keen-Summit Capital Partners to promote IPI’s property. Instead, the judge granted IPI creditors’ request to engage Intrepid Investment Bankers to market IPI’s properties as a holistic business rather than real estate property.

IPI filed for Chapter 11 bankruptcy last April, citing debts of over US$165.8m. Among the company’s largest unsecured creditors are the CNMI Treasury, MCC International, the Commonwealth Casino Commission (CCC), the law offices of Hughes Hubbard & Reed, Century Estate Investment, CNMI Division of Revenue and Taxation and Joshua Gray with claims ranging from US$5.68m to US$62m.

IPI and the creditor committee aim to hold a sale hearing on March 25. Northern Mariana Islands.- The District Court for the NMI, under the supervision of designated bankruptcy judge…