Saipan Finance Department Steps Up Poker Machine Fees Collections

The Department of Finance in Saipan is doubling its efforts in collecting poker machine license fees from poker operators who failed to pay them.

Another poker operator was sued by the department for allegedly failing to pay more than $50,000 in poker machine license fees. S.B. Corp., the owner of Happy Poker, was sued for breach of contract and unjust enrichment. S.B. Corp was ordered to pay attorney's fees and court costs in addition to the actual damages.

Assistant Attorney General Deborah Covington said in the complaint that the defendant was given an amusement machine license for seven poker machines in Lower Navy Hill-Puerto Rico Road. It was added that the license took effect July 29, 2005 and was to expire a year from the date of issue. The defendant's total annual license fee for the seven machines was $84,000. At present, the defendant has failed to pay $21,000 in due fees.

Covington said the defendant's total annual license fee for seven machines was $84,000.

May of this year, the plaintiff issued a notice that seeks to revoke the defendant's poker license and at the same time informing the company that the action does not relieve the company of its duties to pay the license fees.

"As a result of defendant's failure to pay plaintiff the license fees owed, defendant continued to operate its machines up until revocation of the license. Defendant has been unjustly enriched in the amount of $55,000," Covington said.

A similar case occurred August when the Department of Finance sued World CNMI Inc. for allegedly failing to pay almost $60,000 in poker machine license fees.