Imperial Pacific International Holdings (IPI) says it still plans to complete construction of its troubled Saipan casino, Imperial Palace • Saipan, despite the property having been closed for the past two years and the local regulator poised to revoke its license.
The update formed part of IPI’s FY21 results announcement overnight, which saw the company fall to a HK$690.6 million (US$88.2 million) loss – narrowed from a loss of HK$7.39 billion (US$943.6 million) in 2020 due to reduced expenses. The suspension of casino operations saw the group record no revenue in 2021.
As previously reported by Inside Asian Gaming, the Commonwealth Casino Commission (CCC) is due to meet in May to determine whether to revoke IPI’s casino license for failure to comply with certain requirements under its license agreement.
The CCC has called on IPI to pay a US$15.5 million casino license fee and US$3.1 million regulatory fee it failed to pay in 2020, plus a US$6.6 million fine, to avoid revocation although IPI has disputed the need to pay up, citing a force majeure clause in its license agreement.
Despite uncertainty over its future, the absence of revenue and the fact that construction is stalled on Imperial Palace • Saipan, IPI said in its FY21 results announcement on Thursday that it “remains committed to our mission of enhancing the tourism of Saipan and creating local opportunities.
“Despite the current impact from [COVID-19], we believe visitation to the Island of Saipan still has great potential in the long run benefiting from the island’s favorable weather, stunning attractions, [proximate] location and flexible visa policies, with more hotels to be built and opened.
“Once the travel restrictions in Saipan are lifted, the casino in Imperial Palace • Saipan shall resume operations and be opened to public. We expect the successional opening of villas and hotel rooms of Imperial Palace • Saipan, subject to the lifting of the global travel restrictions, will enhance our capacity to welcome visitors to Saipan.”
