Saipan casino operator Imperial Pacific International (IPI) is the latest Asian gaming operator to reduce its employees’ work schedules in response to the coronavirus crisis.
On Tuesday, the Marianas Variety published a statement it received from IPI detailing the company’s plans to cut the work hours of staff at its Imperial Palace Resort by 30% due to the “impact on travel demands throughout all of Asia” from the coronavirus outbreak. But IPI stressed that it remains “fully committed to the [Commonwealth of the Northern Mariana Islands] as always.”
IPI then detailed its nearly six-year history on Saipan, during which “our company has struggled, our employees have struggled, and our ability to create a steady stream of income has suffered.” IPI says it “has invested around $1 billion in the CNMI and paid over $300 million in taxes and fees to the government,” while IPI itself “lost over $500 million accumulatively.”
IPI then attempted to explain its decision to ignore its business gross revenue tax (BGRT) obligations, saying “IPI’s understanding is that it overpaid taxes by over $40m which will result [in] a refund.” IPI reached a deal last week to pay roughly 60% of the $30m the government claimed it was owed.