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Thursday, April 1, 2010

Organized Crime, Las Vegas Sands and the Sheldon Adelson Connection

Beacon Hill leadership, easily blinded by lazy solutions and mostly incapable of walking and chewing gum simultaneously, is flattered by grandiose promises.

Big Dig, anyone?

One of the Beacon Hill suitors is Sheldon Adelson.

Las Vegas Sands is listed with the Massachusetts Secretary of the Commonwealth.

The excerpts below raise troubling questions about the inability of Beacon Hill leadership to raise the appropriate questions.

Special Report: High-Rollers, Triads and a Las Vegas Giant


Late last autumn, a Hong Kong jury convicted four men of a conspiracy to commit bodily harm and a fifth of soliciting a murder.

At first, the men had been ordered to break the arms and legs of a dealer at Sands Macau suspected of helping a patron cheat millions of dollars from the business. Later, a call went out to murder the dealer, court records show. But then one of the gangsters balked and reported the plans to authorities.

The plot's mastermind, ... was Cheung Chi-tai. At trial a witness identified Cheung as a leader of the Wo Hop To -- one of the organized crime groups in the region known as triads.

The murder-for-hire case sheds light on the links between China's secretive triad societies and Macau's booming gambling industry. It also raises potentially troubling questions about one of the world's largest gaming companies, Las Vegas Sands, which plans to open a $5.5 billion Singapore casino resort in late April.


Cheung was not just named as a triad member but also, according to a regular casino patron testifying in the trial, "the person in charge" of one of the VIP rooms at the Sands Macau, the first of three casinos run here by Las Vegas Sands.

An examination of Hong Kong court records, U.S. depositions from the former president of Sands, and interviews with law enforcement and security officials in both the U.S. and Macau, reveals a connection between Las Vegas Sands and Cheung -- ties that could potentially put Sands in violation of Nevada gaming laws.

"This relationship (with Cheung) would be of concern to Nevada authorities. You're talking about direct ties to bad guys."

The link between Macau's gambling industry and organized crime may be an open secret, but it has come under increasing scrutiny lately. Within the last two weeks, MGM Mirage said it would give up its holdings in New Jersey in response to pressure from the New Jersey Division of Gaming Enforcement. The state agency had said that Pansy Ho, MGM Mirage's partner in Macau and the daughter of casino tycoon Stanley Ho, was an "unsuitable" associate, an assertion stemming from the agency's belief that her father has links to organized crime.

Siu, the "God of Gambling" suspected of colluding with the dealer at the Sands Macau, testified that he had been attacked, his house had been set aflame and that his son had received threatening phone calls. "As a result of Tsang Pau (Cheung), he (the witness) was frightened away from the Sands Casino," according to the judge's summary.



Sheldon Adelson according to Forbes:

...Las Vegas: bought old Sands casino for $128 million, demolished it to build the $1.5 billion all-suites Venetian casino resort and the 1.2-million-square foot Sands Convention Center.

Took Las Vegas Sands public December 2004; stock up 135% since. With family owns 244 million shares worth $17 billion.


From Wikipedia:

...quoted Adelson as saying that “old Democrats were with the union and he wanted to break the back of the union, consequently he had to break the back of the Democrats.” The Boston Globe also noted that Adelson has "waged some bitter anti-union battles in Las Vegas".


From The Brass Ring

...the Communists had banned gambling not only because it was against party principles but because “it has been a curse to my people way back in history like opium. It destroyed thousands of families from the bad old days to now.”

In May, 2004, the first gamblers entered the Sands Macao. Its construction costs were two hundred and sixty-five million dollars, and Adelson made back his initial investment in a year. In December, 2004, Adelson took Las Vegas Sands public (according to Forbes, he owns sixty-nine per cent of the stock) and became a multibillionaire, overnight.

Of China's Human Rights record:

Adelson said that many members of Congress criticize China for its human-rights record, but he added that he liked the way the Chinese run their country. “People seem to be living a good life in China,” he said. “Look at the incredible progress China has made. How can someone say they’re doing the wrong thing?” He added that those who don’t approve of the way China is governed need not go to the country. “I don’t think the U.S. should be the policeman of the whole world,” he said.

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