USA Fanter Corp. Ltd. has proposed Clear Management Ltd. to serve as its receiver to carry out the auction of Imperial Pacific International (CNMI) LLC’s assets to satisfy a court judgment of $2.1 million.
In its filed memorandum in support of the motion for limited appointment of receiver in aid of execution, USA Fanter, represented by lawyer Colin Thompson, asked the federal court to appoint Clear Management as the party’s receiver.
If approved by the U.S District Court for the NMI, Clear Management will administer, collect, or sell any casino gaming property in which IPI has an interest, and to do any other acts required to satisfy the judgment of $2,089,345.28.
According to Thompson, the appointment of a receiver is an appropriate remedy that is needed to satisfy USA Fanter’s interest in IPI’s assets, as well as to prevent the potential diminishment in value of those assets.
“The appointment of a receiver is necessary when the judgment debtor’s holdings are illiquid and complex because enforcement of the judgment by the sheriff would be impractical and unduly burdensome, and an ordinary sheriff’s sale is unlikely to result in the recovery of the full value of such assets. Finally, the U.S. Marshal’s office will not engage in the sale of the assets in this civil matter,” he said.
Thompson said he is also currently working with other creditors to reach an agreement on a fair and orderly way to sell IPI’s various assets and distribute the proceeds.
If no agreement is reached, however, those creditors reserve the right to object to any proposed distribution of the sale proceeds for the assets that are the subject of this motion Thompson said.
USA Fanter also requested that it be awarded attorney’s fees and costs incurred in its collection efforts.
In a previous order, Chief Judge Ramona V. Manglona of the District Court for the NMI granted the request of USA Fanter to issue a writ of execution against IPI so that its vehicles and casino gaming machines can be seized and sold to satisfy the over $2 million judgment previously entered against the Saipan casino investor.