Bank wants to sell PacStar hotel, Island Equipment, citing bad loan
By Steve Limtiaco
The Bank of Guam plans to sell the Pacific Star Hotel and Island Equipment Company this week, after business owner Guam Industrial Services defaulted on a $32 million loan from the bank, according to documents filed in the Superior Court of Guam.
Guam Industrial Services last week petitioned the court for a temporary restraining order, stopping the sale.
Judge Arthur Barcinas held a hearing on the petition Monday afternoon. The hotel is scheduled to be sold Wednesday, and Island Equipment is scheduled to be sold Thursday. Barcinas said he will issue a decision Tuesday on whether to grant a restraining order.