Imperial Pacific and its unsecured creditors committee have filed a motion for structured dismissal of the Saipan casino operator's Chapter 11 bankruptcy case. A hearing is set for August 4 before Judge Robert J. Faris in US bankruptcy court.
Under the proposed plan, remaining funds will be distributed to creditors while prior court orders covering Imperial Pacific's asset sales and regulatory matters stay in effect. The creditors committee will be dissolved once payouts are completed. The company owes more than $141 million to government agencies, contractors and former employees.
The US trustee initially objected to an exculpation provision in the plan that would have shielded Imperial Pacific, the creditors committee and their advisers from certain claims related to their conduct during the case. The committee later narrowed the language so that protection does not cover claims involving wilful misconduct, gross negligence, fraud or criminal acts.
Imperial Pacific filed for Chapter 11 protection on April 19, 2024. Its Saipan casino has been closed since March 2020.
