The U.S. District Court for the NMI has warned Imperial Pacific International (CNMI) LLC that after multiple contempt findings against it if it continues to fail to abide by court sanctions, the court will find its executives in contempt personally. <\/p>\n
In an order by U.S. District Court for the NMI Chief Judge Ramona Manglona yesterday, she warned IPI that if it fails to make payments toward the sanctions imposed on it in the lawsuit filed by its former employee, Joshua Gray, by today, she will have no choice but to personally fine and impose sanctions on IPI\u2019s executives, including jail time.<\/p>\n
\u201cHaving found IPI in contempt again, the court warns IPI that this is the final straw. The court is utterly appalled at IPI\u2019s flagrant disregard of the court\u2019s orders. Despite the fee order being imposed as sanction for IPI\u2019s failure to comply with the court\u2019s discovery order, IPI again disregarded the court\u2019s order by not paying that sanction. While the court recognizes that it is to impose the least possible sanction to coerce compliance, monetary sanctions against IPI are clearly ineffective as demonstrated by IPI\u2019s failure to even pay the attorneys\u2019 fees award,\u201d she said. <\/p>\n
\u201cIPI is ordered to immediately comply with the court\u2019s fee order by paying to plaintiff his attorneys\u2019 fees and costs in the amount of $19,616.25 no later than [today], Oct. 14. Ray Yumul, Tao Xing, and all other IPI directors, officers, and executives are on notice that a failure to comply with the fee order will result in a finding of contempt against IPI and them personally as well, and subject them to severe sanctions, including, but not limited to, a monetary fine and\/or incarceration of three days until the contempt is cured,\u201d Manglona added. <\/p>\n
Back on Sept. 30, the court issued an order to show cause against IPI ordering IPI to explain why the court should not find it in contempt and impose sanctions for its failure to comply with the court\u2019s July 8, order requiring IPI to pay to plaintiff his attorney\u2019s fees and costs in the amount of $19,616.25 no later than Aug. 9. <\/p>\n
The fee order was issued as a sanction against IPI after being found in contempt for failing to obey the court\u2019s previous discovery orders.<\/p>\n
In issuing the OSC, the court ordered IPI to show cause in writing no later than Oct. 4 why the court should not enter an order finding IPI in contempt; ordering immediate compliance; imposing sanctions such as a $2,000 per day fine or monetary sanctions and\/or incarceration against IPI\u2019s directors, officers, and executives, personally, including Yumul and Xing; and ordering IPI to pay plaintiff attorneys\u2019 fees and costs for having to pursue this OSC. However, IPI did not file any response by the Oct. 4 deadline. <\/p>\n
At the OSC hearing on Oct. 7, IPI represented that it still had not paid any part of the $19,616.25 owed to plaintiff, even though it had a portion of that amount in possession and paid other obligations since the order was issued. <\/p>\n
The court found IPI in contempt \u201cfor clearly and unambiguously\u201d violating the court\u2019s fee order. <\/p>\n","protected":false},"excerpt":{"rendered":"
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