Controversial Saipan Casino Shut Down After Super Typhoon Yutu Causes ‘Millions’ in Damage

Controversial Saipan Casino Shut Down After Super Typhoon Yutu Causes ‘Millions’ in Damage.

Costfoto / NurPhoto / Getty Images

Key Takeaways

Embattled Saipan casino developer (IPI) has announced it will close its Imperial Palace Casino “until further notice” from Friday after a super typhoon devastated the Pacific island three weeks ago.

Typhoon YutuA satellite image of Super Typhoon Yutu. Somewhere under that is Saipan and the Imperial Palace Casino, which may now be even more unfinished than it was when it missed its August 31 construction deadline. (Image: Vox)

Super Typhoon Yutu struck Saipan and Tinian in the Northern Mariana Islands on the morning of October 25, killing two people and destroying more than 3,000 homes. With windspeeds of up to 180 mph, it was the most powerful tropical cyclone of 2018.

Much of Saipan and Tinian remain without power and residents face water shortages a dangerous situation considering the humidity of the climate. But despite the Mariana Islands’ status as a US overseas territory, the devastation was largely ignored by the world’s media.

Yutu caused severe damage to Saipan’s airport, and commercial flights have been grounded since. The casino relies almost completely on the remote island’s tourist industry for revenues, which has been crippled.

Like a War Zone

“Super Typhoon Yutu left a trail of destruction on Saipan and Tinian,” said IPI in statement Thursday. “The natural disaster has been heart-wrenching because the storm left our beautiful islands looking like a war zone. The island-wide destruction affected personal property, our infrastructure, and the business community. Like so many others, Imperial Pacific International, LLC was included in this trail of destruction.

Imperial Pacific also suffered millions of dollars in unexpected damage, forcing the company to make adjustments to ensure typhoon cleanup and repairs are done safely so employees and development continues to be protected.”

The company said it has been running limited operations at the still-unfinished Imperial Palace since the storm hit. It has since undertaken assessment and “made the difficult decision” to temporarily shut down casino operations.

Bankruptcy Rumors Quashed

The news of the closure comes just after IPI issued a press statement denying social media rumors that it had entered bankruptcy proceedings, which it denounced as “slanderous, fake news.” The company added it had launched legal proceedings against the unnamed source of the rumors.

In August, IPI announced profits had fallen 91.3 percent in the first six months of 2018, mostly because it had been forced to write off $733 million of unrecoverable bad debt, most of which was owed by just ten high rollers.

It missed its August 31 deadline to complete the Imperial Palace, which itself was an extension from the previous 2017 deadline. After being granted a fresh extension by the island’s authorities to February 2021 it promptly laid off 80 construction workers, leading at least to suggest the company could be facing serious problems.

 

Article Sources
Usher Reportedly Injured in Las Vegas Dustup With Chris Brown editorial policy.
  1. Charlie Side Hustle: Pete Rose to Give Baseball Picks to UPickTrade Subscribers

Compare Accounts
×
Virginia Gov. Glenn Younkin Amends Skill Game Bill, Returns Legislation to Assembly
Provider
Name
Description
Virginia Gov. Glenn Younkin Amends Skill Game Bill, Returns Legislation to Assembly  Rivers Casino Portsmouth Pays $275K Fine for Regulatory Infractions  Stake.com Finds Work-Around to Sponsor Premier League’s Everton Club  West Virginia Pols Pitch Elections, Esports Wagering For Expansion  Las Vegas’ Odds of Luring MLB A’s Lengthen, as Oakland Supports New Ballpark  Las Vegas Security Expert Says Off-Strip Casinos Remain Exposed Following Cannery RV Incident  Goldman Upgrade Golden for DraftKings Stock, Shares Soar, Helped by Michigan Forecast  Horseshoe Debuts on Las Vegas Strip, Bally’s Brand Gone for Now  Valve Sued for Facilitating Underage Gambling  EPL Star Daniel Sturridge Sanctioned for Leaking Insider Betting Information to Brother