U.S. District Court for the NMI Chief Judge Ramona V. Manglona denied yesterday two other requests by a contractor to seize Imperial Pacific International (CNMI) LLC’s money from Bank of Saipan and IPI’s personal property.
Manglona will hear on July 23, 2020, to determine IPI’s ability to pay and the fastest manner in which it can pay the balance of the $6.9-million judgment to contractor Pacific Rim Land Development LLC.
Manglona denied without prejudice Pacific Rim Land Development LLC’s third and fourth applications for a writ of execution. She said Pacific Rim may reapply, but it must demonstrate good cause why the court should issue a writ.
Additionally, Manglona noted that Pacific Rim has filed a second application for a writ of execution on IPI’s accounts with the Bank of Saipan. Yet the court’s clerk already issued a writ of execution on the Bank of Saipan account last June 9 and the U.S. Marshal Service has already executed the writ and Bank of Saipan gave the court a check. She said Pacific Rim does not explain why an additional writ on the Bank of Saipan account should be issued, nor does this court see any difference between the writ being requested and the writ that was previously issued. Manglona said if Pacific Rim files a new application for this writ, it must explain why the court should issue the duplicative writ.
Hundreds of IPI construction workers recently held protests in front of the District Court after they failed to get their two paychecks allegedly because of the court’s writ of execution that resulted in the seizure and closure of IPI’s payroll account with the Bank of Saipan.
IPI, through counsel Michael Dotts, recently asked the District Court to deny Pacific Rim’s third application for a writ of execution that seeks a court order to seize and sell IPI property at the Imperial Pacific Resort & Casino in Garapan like furniture, fixtures, equipment, cash, and vehicles.
Dotts said IPI has satisfied about $3.1 million of the judgment following the court’s first and second writs of execution, but the $6.9 million has not been satisfied in full.
Thus, Dotts pointed out, Pacific Rim must apply for an order in aid of judgment, which Pacific Rim counsel Colin Thompson subsequently did.
Manglona earlier granted Pacific Rim’s petitions for first and second writ of execution that ordered the U.S. Marshals Service to seize IPI’s money from four banks, including Bank of Saipan, and two title companies on Saipan to satisfy the $6.9- million judgment.
Last April 27, Manglona entered a judgment in favor of Pacific Rim in the amount of $5.65 million against IPI for breach of promissory note. She later amended the judgment to incorporate pre-judgment interest and attorneys’ fees, amending the judgment to $6.9 million plus post-judgment interest.
IPI appealed to the U.S. Court of Appeals for the Ninth Circuit to reverse Manglona’s judgment.
Pacific Rim is suing IPI and five unnamed alleged co-conspirators, claiming it has substantially completed or completed the agreed-upon construction work on Sept. 30, 2018.
IPI has countersued.