16 Dec 2009

Marshalls hotel sale on hold

1:47 pm on 16 December 2009

A planned sale of the struggling government-owned Marshall Islands Resort has been put on hold.

A High Court order prevents any change in the hotel's status until February the 15th next year.

The sale of the 150-room hotel could be approved by a government bid committee meeting this week, but Judge James Plasman's order will prevent the deal being closed.

Marshall Islands Social Security Administration attorney, David Strauss, filed suit on Tuesday requesting a temporary restraining order to block the sale of the hotel.

The administration fears that if the resort is sold, the retirement agency won't be able to collect the 400 thousand US dollars in taxes it owes.