Mohegans given more time in debt talks
Tribal authority owes $1.6 billion
By JAMES MOSHER
The Bulletin
Uncasville, Conn. — The parent entity of Mohegan Sun recently received a waiver from its bankers, something the casino operator sees as a vote of confidence in its future. Yet it could be the calm before a major storm in Connecticut’s economy in 2012, an analyst said.
Foxwoods Resort Casino, whose parent also is in talks to restructure debt, and Mohegan Sun are on course for severe financial problems in the year ahead, said Clyde Barrow, a University of Massachusetts Dartmouth professor of public policy who follows the New England casino industry.
The Mohegan Tribal Gaming Authority was unable to complete a refinancing agreement during its fiscal first quarter, which ended today. With that, the authority’s auditors attached a “going concern” warning to 2011 financial statements, authority CEO Mitchell Etess said Thursday.
A filing with the Securities and Exchange Commission said lack of a resolution would materially impair Mohegan Sun’s ability to operate.
‘At the precipice’
“The waiver is very important, but it doesn’t solve the problem,” Barrow said. “They’re telling people that they’re at the precipice. Foxwoods is in an even worse situation, but they’re just not talking about it.” [Because the debt of Mohegan Sun is publicly traded, their SEC filing is publicly available online. Foxwoods is not subject to such scrutiny and defaulted more than a year ago.]
Debt talks haven’t broken down, both casinos say.
“What I can tell you is that discussions are continuing and that we will make appropriate disclosures in due course,” said Hud Englehart, a spokesman for Foxwoods President and CEO Scott Butera. The Mashantucket Pequot Tribal Nation owns Foxwoods and its sister MGM Grand at Foxwoods property.
Back in the black
“We are ... pleased with the progress made in recent weeks toward finalizing our refinancing plan,” Etess said in releasing fiscal fourth-quarter results showing net income attributable to the authority rose to $46.7 million from a loss of $26.3 million a year earlier. “Though we were not able to complete the plan during our first quarter of fiscal 2012 and, as a result, our auditors issued a ‘going concern’ opinion’ for our 2011 financial statements, we have obtained a waiver from our bank group addressing the opinion which we believe reflects the group’s continued confidence in and support of the authority and the Mohegan Tribe.”
The matter will be discussed further during the authority’s conference call Wednesday, something Etess said he looks forward to.
Distributions to Mohegan Tribal Nation members were nearly doubled in the quarter ended Sept. 30 to $23.4 million from $12.8 million a year earlier.
Major employers
Foxwoods and Mohegan Sun are two of Connecticut’s largest employers and major sources of revenue to the state government. Both are members of the Chamber of Commerce of Eastern Connecticut. Chamber President and CEO Tony Sheridan declined to comment on the Sun’s finances Friday, saying he was still studying them.
Mohegan’s total debt as of Sept. 30 was $1.6 billion, the authority reported. Of that, $811.1 million comes due within the next 12 months, including $535 million that needs to be paid by March 9 and $250 million in 8 percent notes that mature on April 1. This debt will need to be refinanced before the due dates, the authority said Thursday.
Blackstone Advisory Partners L.P., hired in November 2010, and Credit Suisse Securities, hired in January 2011, have been working for months on formulating a refinancing package, but to no avail, so far.
“While the authority’s efforts to refinance or replace its outstanding indebtedness, including its fiscal 2012 maturities, at or prior are ongoing, it can provide no assurances in this regard,” the Mohegan authority’s press release said Thursday.
Greater cash flow
The authority’s cash flow rose to $90.5 million in the latest fourth quarter from $73.1 million a year earlier. Net revenue fell 0.1 percent to $373.5 million from a year earlier, while gaming revenue was up 0.2 percent to $337.2 million, the Uncasville-based entity said. Nongaming revenue was off 6.9 percent to $67.1 million.
The improved cash flow was attributed to higher table games revenue, the authority said. Net income growth was helped by reduced operating costs and increased efficiencies at Mohegan Sun Connecticut and Mohegan Sun at Pocono Downs, a Pennsylvania racetrack/casino.
Mohegan Sun Connecticut’s slot machine handle was down 8 percent for the fourth quarter compared with a year earlier, while gross revenue was down 4.3 percent. Connecticut table game revenue was up 6.9 percent to $78.1 million, the authority said.
“We could not be more pleased with our earnings for the quarter,” Etess said. “The results were quite impressive, particularly given the impact of Hurricane Irene and persisting economic concerns.”
Mohegan Sun casino fails to refinance $811M debt
By The Associated Press
UNCASVILLE, Conn. - (AP) -- The parent company of the Indian-run Mohegan Sun casinos in Connecticut and Pennsylvania says it has failed to reach an agreement to refinance $811 million in debt, but lenders have waived a possible default.
The Mohegan Tribal Gaming Authority said Thursday that a delay in refinancing debt was among conditions that "raise substantial doubt about our ability to continue as a going concern."
Mitchell Etess, chief executive of the authority, which owns and operates the Mohegan Sun in Uncasville and Mohegan Sun at Pocono Downs in Wilkes-Barre, Pa., told The Associated Press on Friday that the dire warning is only a financial requirement of auditors.
"Auditors have no choice," he said. "They must put in that language."
Etess cited the waiver as a vote of confidence by lenders and cited fourth-quarter income of $46.7 million, compared with a $26.3 million loss in the same quarter last year.
Etess said refinancing is taking a long time because of the weak recovery following a deep and prolonged recession that has sharply cut into consumers' entertainment spending.
He also cited the "status of Native American gaming financing" generally.
"Those impacts that have happened in the outside world have impacted our bondholders' thoughts as we go through the process," Etess said.
The neighboring Mashantucket Pequot Tribal Nation in eastern Connecticut has worked to restructure billions of dollars in debt after its Foxwoods casino was hit hard by the economic downturn and increased competition in the Northeast.
Last month, the Mississippi Band of Choctaw Indians received a six-month extension on loans to May.
And in Washington state, revenue at some tribal casinos fell as much as 30 percent at the start of the recession, forcing tribes to struggle with ways to refinance debt on new casinos and other ventures.
A report issued in March said that for the first time, revenue fell in 2009 at American Indian gambling casinos nationwide as the recession forced consumers to curtail spending. The report by economist Alan Meister of Nathan Associates Inc. said casinos generated about $26.4 billion in 2009, down 1 percent from 2008.
Mohegan Discloses ‘Going Concern’ Risk as It Works to Refinance
By Beth Jinks
Dec. 29 (Bloomberg) -- Mohegan Tribal Gaming Authority, the operator of Mohegan Sun casinos in Connecticut and Pennsylvania, said it has yet to reach an agreement to refinance $811 million in debt, raising the risk of being unable to continue operating.
The delay in refinancing fiscal 2012 maturities is among conditions that “raise substantial doubt about our ability to continue as a going concern,” the Uncasville, Connecticut-based casino operator said today in a regulatory filing. Mohegan said it received a default waiver from its bank lenders yesterday.
Mohegan is being advised by Blackstone Group LP and Credit Suisse Group AG as it tries to refinance much of $1.61 billion in debt owed as of Sept. 30. The debt includes $535 million outstanding under a bank credit facility maturing March 9, and $250 million of senior subordinated notes due April 1.
Mohegan is “pleased with the progress made in recent weeks toward finalizing our refinancing plan,” Chief Executive Officer Mitchell Etess said today in a statement.
PricewaterhouseCoopers LLP is the auditor.
Closely held Mohegan and Foxwoods Resort Casino, which is owned by the Mashantucket Western Pequot Tribe in Connecticut, were hurt by the 18-month recession that ended in 2009 and face competition from neighboring states as casino gambling expands.
--Editors: Romaine Bostick, Jeffrey Tannenbaum
Showing posts with label Choctaw (MBCI). Show all posts
Showing posts with label Choctaw (MBCI). Show all posts
Saturday, December 31, 2011
Thursday, September 8, 2011
The Big Federal Gamble
The Big Federal Gamble
Congress looks at bills on online poker and off-reservation casinos.
Andrew Ramonas
During the past three decades, legalized gambling revenues in America have exploded. Commercial and Indian casinos and state lotteries now collectively rake in about $100 billion in profits annually.
In its upcoming term, Congress will be weighing a variety of gambling-related measures, including some that would spur that growth and others that might slow it down. And lawmakers also may be getting closer to passing a measure that for the first time would give a federal agency the authority to begin studying the "harmful consequences" of gambling addiction.
Members of Congress already this year have introduced at least seven bills that specifically address gambling matters. Most of the measures concern Internet gambling or American Indian gambling facilities located outside of a tribe's reservation.
At least two dozen law firms representing American Indian communities, casinos and other players in the gambling industry lobbied federal officials on issues related to American Indian and online gambling during the first half of 2011.
The gambling bill that has garnered the most attention is a measure that would regulate Internet poker. Currently, online poker players in the United States can play for money, but can't legally collect their earnings. In April, the U.S. Department of Justice indicted 11 people linked to online gambling operations and moved to shut down three of the top Web sites.
Some jurisdictions, including the District of Columbia, are taking steps toward regulating online gambling, and Congress is looking to do the same.
The Internet Gambling Prohibition, Poker Consumer Protection, and Strengthening UIGEA Act introduced by Rep. Joe Barton (R-Texas) in June would require a company to obtain a state- or tribe-issued operation license if it wishes to accept online poker bets from individuals in the United States. (UIGEA refers to the Unlawful Internet Gambling Enforcement Act of 2006.) The act would create an office in the U.S. Commerce Department that would oversee state and tribal licensing.
"We want to have an iron-clad system to make sure that those who play for money are playing in an honest, fair system where they can reap the benefits of their winnings," Barton said in a statement. "To put it simply, this bill is about having the personal freedom to play a skill-based game you enjoy without fear of breaking the law."
The bill is similar to legislation previously introduced by Rep. Barney Frank (D-Mass.). Frank is one of the measure's 19 Democratic and six GOP co-sponsors.
The American Gaming Association (AGA), the trade group for the commercial casino industry, has not taken a position on the bill. But the organization supports regulated Internet poker.
"[W]e are pleased that Rep. Barton wants to protect American consumers and understands the need for regulating online poker in our country," the AGA said in a statement. "The millions of Americans who are playing poker online deserve to know they are playing safely with law-abiding operators, but strong enforcement of illegal operators and unambiguous U.S. laws governing online gambling are equally vital."
The group spent $1.2 million during the first half of 2011 lobbying Congress on Internet gambling regulation and other gambling issues, according to congressional records. Three AGA officials and lobbyists from seven firms — including Brownstein Hyatt Farber Schreck, Holland & Hart and Ropes & Gray — advocated for the organization during that period.
William Moschella, a Brownstein partner lobbying for the AGA, referred inquiries to the group. Officials at the AGA could not be reached.
The Poker Players Alliance, which says it represents more than 1 million players, is lobbying the 12 members of the congressional "super committee" to incorporate the legislation into its deficit-reduction plan. The committee is tasked with making a recommendation before Thanksgiving on how to cut the deficit by at least $1.2 trillion during the next 10 years.
John Pappas, executive director of the Alliance, said regulated online poker has "a lot of economic benefit." Specifically, he said his group believes online poker could raise between $10 billion and $40 billion in tax revenue during the next decade.
The Alliance spent $810,000 during the first half of 2011 lobbying Congress on Internet gambling regulation, according to congressional records. Pappas and lobbyists from nine firms — including Barnes & Thornburg and Ryan MacKinnon Vasapoli and Berzok — advocated for the organization during that period.
Not everyone is behind the online gambling push. "We think government needs to get out of the predatory gambling business because the evidence is overwhelming that it is a failed public policy," said Les Bernal, executive director of Stop Predatory Gambling, a nonprofit raising awareness about what it calls the failed government policy of profiting from casinos and state lotteries.
TRIBAL DISAGREEMENTS
Barnes & Thornburg also advocates for the Mississippi Band of Choctaw Indians, which had a plan for an off-reservation casino rejected by the U.S. Department of the Interior in 2008. According to the department, only five tribes have received authorization for off-reservation gambling since the 1988 enactment of the Indian Gaming Regulatory Act, which established federal regulations for tribal gambling operations.
Currently, tribes wishing to open a gambling facility in off-reservation lands obtained in trust after 1988 must secure support from Interior, and the governor of the state where the facility would be located. But bills offered this year by sens. Dianne Feinstein (D-Calif.) and John McCain (R-Ariz.) would place more restrictions on off-reservation gambling.
The Off-Reservation Land Acquisition Guidance Act, which McCain introduced in July, would codify off-reservation language in a George W. Bush-era memorandum rescinded by the Obama administration. The 2008 directive required American Indian communities to place any off-reservation gambling facility in a location that was within a "commutable distance from the reservation."
In July, McCain praised the jobs that have resulted from Indian casinos. "However, the process of taking land into trust, if left unchecked, can easily be exploited by non-native casino developers," he said.
When gambling is legalized in a jurisdiction, addiction rates rise, studies have shown. This spurs higher social costs, from bankruptcies to gambling-related crimes to suicides. States that legalized gambling often set aside money for gambling addiction prevention and treatment. But although the federal government earns $6 billion annually through taxes on gamblers' winnings, according to the National Council on Problem Gambling, the feds have never committed themselves to such programs. The Comprehensive Problem Gambling Act would change that.
The bill, introduced by Rep. James Moran (D-Va.) in June, would formalize the authority of the Substance Abuse and Mental Health Services Administration to address gambling addiction. Previous versions of the bill were different in one big respect. They also included about $70 million over five years in new appropriations for programs and studies. The current bill does not.
Keith Whyte, executive director of the national council, said the bill has bipartisan support and that he's hopeful that Congress will pass it this year.
"We believe it is good politics, good policy," Whyte said.
Congress looks at bills on online poker and off-reservation casinos.
Andrew Ramonas
During the past three decades, legalized gambling revenues in America have exploded. Commercial and Indian casinos and state lotteries now collectively rake in about $100 billion in profits annually.
In its upcoming term, Congress will be weighing a variety of gambling-related measures, including some that would spur that growth and others that might slow it down. And lawmakers also may be getting closer to passing a measure that for the first time would give a federal agency the authority to begin studying the "harmful consequences" of gambling addiction.
Members of Congress already this year have introduced at least seven bills that specifically address gambling matters. Most of the measures concern Internet gambling or American Indian gambling facilities located outside of a tribe's reservation.
At least two dozen law firms representing American Indian communities, casinos and other players in the gambling industry lobbied federal officials on issues related to American Indian and online gambling during the first half of 2011.
The gambling bill that has garnered the most attention is a measure that would regulate Internet poker. Currently, online poker players in the United States can play for money, but can't legally collect their earnings. In April, the U.S. Department of Justice indicted 11 people linked to online gambling operations and moved to shut down three of the top Web sites.
Some jurisdictions, including the District of Columbia, are taking steps toward regulating online gambling, and Congress is looking to do the same.
The Internet Gambling Prohibition, Poker Consumer Protection, and Strengthening UIGEA Act introduced by Rep. Joe Barton (R-Texas) in June would require a company to obtain a state- or tribe-issued operation license if it wishes to accept online poker bets from individuals in the United States. (UIGEA refers to the Unlawful Internet Gambling Enforcement Act of 2006.) The act would create an office in the U.S. Commerce Department that would oversee state and tribal licensing.
"We want to have an iron-clad system to make sure that those who play for money are playing in an honest, fair system where they can reap the benefits of their winnings," Barton said in a statement. "To put it simply, this bill is about having the personal freedom to play a skill-based game you enjoy without fear of breaking the law."
The bill is similar to legislation previously introduced by Rep. Barney Frank (D-Mass.). Frank is one of the measure's 19 Democratic and six GOP co-sponsors.
The American Gaming Association (AGA), the trade group for the commercial casino industry, has not taken a position on the bill. But the organization supports regulated Internet poker.
"[W]e are pleased that Rep. Barton wants to protect American consumers and understands the need for regulating online poker in our country," the AGA said in a statement. "The millions of Americans who are playing poker online deserve to know they are playing safely with law-abiding operators, but strong enforcement of illegal operators and unambiguous U.S. laws governing online gambling are equally vital."
The group spent $1.2 million during the first half of 2011 lobbying Congress on Internet gambling regulation and other gambling issues, according to congressional records. Three AGA officials and lobbyists from seven firms — including Brownstein Hyatt Farber Schreck, Holland & Hart and Ropes & Gray — advocated for the organization during that period.
William Moschella, a Brownstein partner lobbying for the AGA, referred inquiries to the group. Officials at the AGA could not be reached.
The Poker Players Alliance, which says it represents more than 1 million players, is lobbying the 12 members of the congressional "super committee" to incorporate the legislation into its deficit-reduction plan. The committee is tasked with making a recommendation before Thanksgiving on how to cut the deficit by at least $1.2 trillion during the next 10 years.
John Pappas, executive director of the Alliance, said regulated online poker has "a lot of economic benefit." Specifically, he said his group believes online poker could raise between $10 billion and $40 billion in tax revenue during the next decade.
The Alliance spent $810,000 during the first half of 2011 lobbying Congress on Internet gambling regulation, according to congressional records. Pappas and lobbyists from nine firms — including Barnes & Thornburg and Ryan MacKinnon Vasapoli and Berzok — advocated for the organization during that period.
Not everyone is behind the online gambling push. "We think government needs to get out of the predatory gambling business because the evidence is overwhelming that it is a failed public policy," said Les Bernal, executive director of Stop Predatory Gambling, a nonprofit raising awareness about what it calls the failed government policy of profiting from casinos and state lotteries.
TRIBAL DISAGREEMENTS
Barnes & Thornburg also advocates for the Mississippi Band of Choctaw Indians, which had a plan for an off-reservation casino rejected by the U.S. Department of the Interior in 2008. According to the department, only five tribes have received authorization for off-reservation gambling since the 1988 enactment of the Indian Gaming Regulatory Act, which established federal regulations for tribal gambling operations.
Currently, tribes wishing to open a gambling facility in off-reservation lands obtained in trust after 1988 must secure support from Interior, and the governor of the state where the facility would be located. But bills offered this year by sens. Dianne Feinstein (D-Calif.) and John McCain (R-Ariz.) would place more restrictions on off-reservation gambling.
The Off-Reservation Land Acquisition Guidance Act, which McCain introduced in July, would codify off-reservation language in a George W. Bush-era memorandum rescinded by the Obama administration. The 2008 directive required American Indian communities to place any off-reservation gambling facility in a location that was within a "commutable distance from the reservation."
In July, McCain praised the jobs that have resulted from Indian casinos. "However, the process of taking land into trust, if left unchecked, can easily be exploited by non-native casino developers," he said.
When gambling is legalized in a jurisdiction, addiction rates rise, studies have shown. This spurs higher social costs, from bankruptcies to gambling-related crimes to suicides. States that legalized gambling often set aside money for gambling addiction prevention and treatment. But although the federal government earns $6 billion annually through taxes on gamblers' winnings, according to the National Council on Problem Gambling, the feds have never committed themselves to such programs. The Comprehensive Problem Gambling Act would change that.
The bill, introduced by Rep. James Moran (D-Va.) in June, would formalize the authority of the Substance Abuse and Mental Health Services Administration to address gambling addiction. Previous versions of the bill were different in one big respect. They also included about $70 million over five years in new appropriations for programs and studies. The current bill does not.
Keith Whyte, executive director of the national council, said the bill has bipartisan support and that he's hopeful that Congress will pass it this year.
"We believe it is good politics, good policy," Whyte said.
Tuesday, July 12, 2011
FBI raids Choctaw Indian tribe's Pearl River Resort casinos
FBI raids Choctaw Indian tribe's Pearl River Resort casinos
The Birmingham News
NESHOBA COUNTY, Mississippi -- The FBI today raided two Mississippi casinos at the Choctaw Indian tribe's Pearl River Resort, the Jackson Clarion Ledger reports.
The two resorts were identified as the Silver Star Resort & Casino and the Golden Moon Hotel & Casino at Philadelphia, Mississippi. The FBI officials declined to discuss the raids, according to the newspaper.
The Neshoba Democrat reported the Choctaw Tribal Council discussed the raids in morning meeting after barring a reporter. However, statements by one tribal officials indicated the FBI may have targeted computer hard drives.
Resort officials issued a statement saying the resort remained in business but was cooperating with Justice Department officials. If offered no comment on the reasons for the FBI action.
Feds Raid Choctaw Casinos
DOJ Executes Search Warrant
PHILADELPHIA, Miss. -- Federal authorities were at the Golden Moon and Silver Star casinos at Pearl River Resort in Choctaw on Tuesday, 16 WAPT News has learned.
Representatives from the Department of Justice executed a search warrant, according to a statement issued Tuesday afternoon by Pearl River Resort CEO Maj. Gen. Paul Harvey, retired. The agents were seeking records and files, 16 WAPT News reported.
"The resort is monitoring the situation closely and will continue to cooperate fully with law enforcement authorities in their investigation. There will be no interruption in the operation of business at the resort," Harvey said.
A spokesperson with Phyllis Anderson's office of the Mississippi Band of Choctaw Indians Council told the Meridian Star that several employees in the accounting offices had been sent home. Anderson told 16 WAPT News that she didn't have any details about the investigation, but called it unfortunate.
The Choctaw Tribal Council was told on Tuesday that an FBI investigation was under way at Pearl River Resort, the Neshoba Democrat reported.
Roger Anderson, who represents the Conehatta community on the Tribal Council, told 16 WAPT's Scott Simmons that he believes the investigation is financial in nature. He said there are too many questions about money regarding the casinos.
When contacted by 16 WAPT News, the FBI would neither confirm nor deny the investigation.
The Birmingham News
NESHOBA COUNTY, Mississippi -- The FBI today raided two Mississippi casinos at the Choctaw Indian tribe's Pearl River Resort, the Jackson Clarion Ledger reports.
The two resorts were identified as the Silver Star Resort & Casino and the Golden Moon Hotel & Casino at Philadelphia, Mississippi. The FBI officials declined to discuss the raids, according to the newspaper.
The Neshoba Democrat reported the Choctaw Tribal Council discussed the raids in morning meeting after barring a reporter. However, statements by one tribal officials indicated the FBI may have targeted computer hard drives.
Resort officials issued a statement saying the resort remained in business but was cooperating with Justice Department officials. If offered no comment on the reasons for the FBI action.
Feds Raid Choctaw Casinos
DOJ Executes Search Warrant
PHILADELPHIA, Miss. -- Federal authorities were at the Golden Moon and Silver Star casinos at Pearl River Resort in Choctaw on Tuesday, 16 WAPT News has learned.
Representatives from the Department of Justice executed a search warrant, according to a statement issued Tuesday afternoon by Pearl River Resort CEO Maj. Gen. Paul Harvey, retired. The agents were seeking records and files, 16 WAPT News reported.
"The resort is monitoring the situation closely and will continue to cooperate fully with law enforcement authorities in their investigation. There will be no interruption in the operation of business at the resort," Harvey said.
A spokesperson with Phyllis Anderson's office of the Mississippi Band of Choctaw Indians Council told the Meridian Star that several employees in the accounting offices had been sent home. Anderson told 16 WAPT News that she didn't have any details about the investigation, but called it unfortunate.
The Choctaw Tribal Council was told on Tuesday that an FBI investigation was under way at Pearl River Resort, the Neshoba Democrat reported.
Roger Anderson, who represents the Conehatta community on the Tribal Council, told 16 WAPT's Scott Simmons that he believes the investigation is financial in nature. He said there are too many questions about money regarding the casinos.
When contacted by 16 WAPT News, the FBI would neither confirm nor deny the investigation.
Friday, January 14, 2011
Cheating Casinos
Calif. woman pleads guilty to attempting to cheat 29 casinos, including two in Tunica
WASHINGTON — A California woman pleaded guilty today in San Diego to conspiring with others to cheat 29 casinos, including two in Tunica and three others elsewhere in Mississippi, with a card-counting scheme.
Van Thu Tran, 45, pleaded guilty and could face 20 years in prison when sentenced in May. An investigation into the casino-cheating conspiracy dating back to 2007 has resulted in 42 defendants pleading guilty.
The Justice Department announced the plea this afternoon and described the elaborate method used to obtain up to $7 million:
“(The conspirators allegedly) executed a ‘false shuffle’ cheating scheme at casinos in the United States and Canada during blackjack and mini-baccarat games. The indictments allege that members of the criminal organization bribed casino card dealers and supervisors to perform false shuffles during card games, thereby creating ‘slugs’ or groups of unshuffled cards.
“The indictments also allege that after tracking the order of cards dealt in a card game, a member of the organization would signal to the card dealer to perform a ‘false shuffle,’ and members of the group would then bet on the known order of cards when the slug appeared on the table. By doing so, members of the conspiracy repeatedly won thousands of dollars during card games, including winning several hundred thousand dollars on one occasion.”
Among the casinos targeted were Gold Strike Casino and Horseshoe Casino in Tunica, the Beau Rivage and Imperial Palace casinos in Biloxi and the Golden Moon Casino in Choctaw, Miss. FBI field offices around the country, as well as local police, the IRS and the Mississippi Gaming Commission were among the law enforcement agencies involved in the investigation.
WASHINGTON — A California woman pleaded guilty today in San Diego to conspiring with others to cheat 29 casinos, including two in Tunica and three others elsewhere in Mississippi, with a card-counting scheme.
Van Thu Tran, 45, pleaded guilty and could face 20 years in prison when sentenced in May. An investigation into the casino-cheating conspiracy dating back to 2007 has resulted in 42 defendants pleading guilty.
The Justice Department announced the plea this afternoon and described the elaborate method used to obtain up to $7 million:
“(The conspirators allegedly) executed a ‘false shuffle’ cheating scheme at casinos in the United States and Canada during blackjack and mini-baccarat games. The indictments allege that members of the criminal organization bribed casino card dealers and supervisors to perform false shuffles during card games, thereby creating ‘slugs’ or groups of unshuffled cards.
“The indictments also allege that after tracking the order of cards dealt in a card game, a member of the organization would signal to the card dealer to perform a ‘false shuffle,’ and members of the group would then bet on the known order of cards when the slug appeared on the table. By doing so, members of the conspiracy repeatedly won thousands of dollars during card games, including winning several hundred thousand dollars on one occasion.”
Among the casinos targeted were Gold Strike Casino and Horseshoe Casino in Tunica, the Beau Rivage and Imperial Palace casinos in Biloxi and the Golden Moon Casino in Choctaw, Miss. FBI field offices around the country, as well as local police, the IRS and the Mississippi Gaming Commission were among the law enforcement agencies involved in the investigation.
Tuesday, October 12, 2010
Mississippi: SLOT BARN Opposition
The Mississippi Coalition for Family and Community Values (MSCFCV) is an organization of like-minded individuals dedicated to preserving and enhancing the core values essential to maintaining and building strong families and communities.
The MSCFCV came together in June 2010 to address one of the greatest crises to face South Mississippi since Katrina... the building of a gaming facility in rural Jones County.
Site preparation has already begun at the site just outside of Sandersville. The leadership of the Mississippi Band of Choctaw Indians (MBCI) started construction secretly despite strong opposition from within the community, and even within the Choctaws themselves.
The impacts of such a facility are many. The leadership of the MBCI has failed to address specific requirements of the Indian Gaming Regulatory Act and their compact with the State of Mississippi, including:
◦Public Health and Safety
◦Inadequate infrastructure in the Bogue Homa and surrounding communities
◦Impacts on the environment in which several endangered species are located
The purpose of this site, with your help, is to highlight the many concerns related to this project and get your help in addressing them.
NEWS
NEW REPORT: PROPOSED SLOT PARLOR WILL PRODUCE NEGATIVE ECONOMIC AND SOCIAL IMPACTS IN JONES COUNTY
Infrastructure improvements for proposed development could cost at least $2M, burdening county budget and increasing taxes for Jones Countians
(LAUREL, Mississippi) – Members of The Coalition for Family and Community Values (the coalition)said today their concerns regarding the negative social and economic impacts of the proposed Jones County slot parlor were validated by a recent analysis conducted by the National Strategic Planning and Analysis Research Center (nSPARC) of Mississippi State University.
The study, “Is the Development of Casinos a Viable Economic Strategy? The Case of Jones County, MS,” found that the proposed casino in Jones County is “so atypical of casino resort projects that it might have serious negative consequences for the region and the state.” The analysis of construction, infrastructure, environment, social and economic considerations determined the proposed casino could have a significant negative indirect economic and social impact.
“The nSPARC analysis substantiates our concerns regarding the proposed Jones County slot parlor,” said Cal Callen, spokesperson for the Coalition. “The report is a compelling snapshot of the negative consequences that will befall Jones County and citizens of both the state and the Tribe, should the development of the proposed casino continue.”
While local news reports have indicated that the Mississippi Band of Choctaw Indians may be willing to partially fund some of the $2 million or more in infrastructure costs, there are no written agreements between the Tribe and the county, Callen added. “Even if the Tribe provides $1.5 million to fund infrastructure upgrades and improvements—which, as we understand, is something the Tribe has not agreed to in writing —that still leaves a balance of $500,000 to be shouldered by Jones County taxpayers.” According to the nSPARC report, $500,000 represents nearly two-thirds of the entire total Jones County road budget.
In its study, nSPARC found the negative impacts of the proposed casino could “seriously compromise the ability of the area to grow other economic sectors,” thus leading to a “persistence of economic deprivation.” The study reports the casino as proposed by the Mississippi Band of Choctaw Indians is smaller in scale than a typical casino and, unlike state-regulated casinos, is not required to provide an accompanying investment in amenities to help boost the economic vitality of the area. This report concludes that “with no hotel and entertainment venues, it is expected that visitors to the proposed casino will only spend one-third of what visitors generally spend at casinos with hotels and local amenities.”
Other negative impacts include the slot parlor’s drain on the local economy, as local residents are expected to make up the bulk of visitors to the proposed casino. This will be felt particularly among Jones County and the surrounding area since the average income of the population in this area is substantially lower than the state average, according to the report. Additionally, the job creation impact will be minimal or short-lived, as industry trends forecast the gaming sector to experience a 10 percent decline in employment over the next decade.
The report concludes, “The MBCI casino in Jones County is expected to produce minimal or no multiplier effect as its jobs will be primarily low-wage and low-skill, with little or no opportunity for access to career pathways. The fact that tribal casinos are not regulated by the state and do not have traditional tax obligations, thus shifting the burden to local and state tax bases, compounds the chances for negative social and economic outcomes.”
“We hope this information will, above all else, serve as a call to action for citizens to get involved in stopping this slot parlor from moving forward,” Callen stated. “We at the Coalition believe there must be a better way to improve the economic vitality of Jones County and the surrounding area, one that will mutually benefit both the citizens of the state and of the Band of Choctaw Indians.”
The Coalition for Family and Community Values is an alliance of like-minded citizens working together to encourage and affirm positive values for the purpose of strengthening families and communities. For more information about the Coalition, visit their website at “http://www.mscfcv.org/“ or their Facebook page at http://tiny.cc/mscfcv.
Jones County Baptist Association Adopts Resolution in Opposition to Casino Gambling
Whereas, gambling is built on a system that appeals to personal greed, that fosters deceit, that exploits those most vulnerable and at risk, particularly children and the poor, and
Whereas, gambling violates the 10th commandment against coveting and the biblical work ethic by encouraging individuals to think they can get something for nothing, thus minimizing personal initiative and responsibility, and
Whereas, gambling contributes to family instability, to economic hardship, and to increased crime rates in communities where gambling facilities are located, and
Whereas, the Mississippi Band of Choctaw Indians are involved in construction of a casino in Jones County.
Be it therefore resolved, that messengers of churches affiliated with the Jones County Baptist Association, meeting at Bethlehem Baptist Church on October 4, 2010, call on its member churches to actively oppose efforts to establish casino gambling in Jones County, and
Be it further resolved, that we acknowledge the sovereign status of the Mississippi Band of Choctaw Indians and affirm our desire to see the Choctaw people prosper through any and all legitimate and honorable options to casino gambling, and
Be it finally resolved, that we offer support and cooperation to fellow Christian believers in the Bogue Homa community as we seek to work together in sharing the gospel of Jesus Christ.
Southern Baptist Churches Opposed to Casino
Bethel Pleasant Home
Bethlehem New Hope
County Line Open Door
Ellisville First Baptist Ovett First Baptist
Emmanuel Park Haven
Fairfield Pineview
Faith Salem Heights
Friendship Sandersville
Glade Shelton
Grace Soso First Baptist
Heritage Heights Sumerland
Highland Tuckers Crossing
Indian Springs West Ellisville
Journey Plainway
Laurel First Baptist Myrick First Baptist
Moselle Memorial
For more information contact: Rev Cary Kimbrell 601-498-8830
or Rev John Bryant 601-580-6452
The MSCFCV came together in June 2010 to address one of the greatest crises to face South Mississippi since Katrina... the building of a gaming facility in rural Jones County.
Site preparation has already begun at the site just outside of Sandersville. The leadership of the Mississippi Band of Choctaw Indians (MBCI) started construction secretly despite strong opposition from within the community, and even within the Choctaws themselves.
The impacts of such a facility are many. The leadership of the MBCI has failed to address specific requirements of the Indian Gaming Regulatory Act and their compact with the State of Mississippi, including:
◦Public Health and Safety
◦Inadequate infrastructure in the Bogue Homa and surrounding communities
◦Impacts on the environment in which several endangered species are located
The purpose of this site, with your help, is to highlight the many concerns related to this project and get your help in addressing them.
NEWS
NEW REPORT: PROPOSED SLOT PARLOR WILL PRODUCE NEGATIVE ECONOMIC AND SOCIAL IMPACTS IN JONES COUNTY
Infrastructure improvements for proposed development could cost at least $2M, burdening county budget and increasing taxes for Jones Countians
(LAUREL, Mississippi) – Members of The Coalition for Family and Community Values (the coalition)said today their concerns regarding the negative social and economic impacts of the proposed Jones County slot parlor were validated by a recent analysis conducted by the National Strategic Planning and Analysis Research Center (nSPARC) of Mississippi State University.
The study, “Is the Development of Casinos a Viable Economic Strategy? The Case of Jones County, MS,” found that the proposed casino in Jones County is “so atypical of casino resort projects that it might have serious negative consequences for the region and the state.” The analysis of construction, infrastructure, environment, social and economic considerations determined the proposed casino could have a significant negative indirect economic and social impact.
“The nSPARC analysis substantiates our concerns regarding the proposed Jones County slot parlor,” said Cal Callen, spokesperson for the Coalition. “The report is a compelling snapshot of the negative consequences that will befall Jones County and citizens of both the state and the Tribe, should the development of the proposed casino continue.”
While local news reports have indicated that the Mississippi Band of Choctaw Indians may be willing to partially fund some of the $2 million or more in infrastructure costs, there are no written agreements between the Tribe and the county, Callen added. “Even if the Tribe provides $1.5 million to fund infrastructure upgrades and improvements—which, as we understand, is something the Tribe has not agreed to in writing —that still leaves a balance of $500,000 to be shouldered by Jones County taxpayers.” According to the nSPARC report, $500,000 represents nearly two-thirds of the entire total Jones County road budget.
In its study, nSPARC found the negative impacts of the proposed casino could “seriously compromise the ability of the area to grow other economic sectors,” thus leading to a “persistence of economic deprivation.” The study reports the casino as proposed by the Mississippi Band of Choctaw Indians is smaller in scale than a typical casino and, unlike state-regulated casinos, is not required to provide an accompanying investment in amenities to help boost the economic vitality of the area. This report concludes that “with no hotel and entertainment venues, it is expected that visitors to the proposed casino will only spend one-third of what visitors generally spend at casinos with hotels and local amenities.”
Other negative impacts include the slot parlor’s drain on the local economy, as local residents are expected to make up the bulk of visitors to the proposed casino. This will be felt particularly among Jones County and the surrounding area since the average income of the population in this area is substantially lower than the state average, according to the report. Additionally, the job creation impact will be minimal or short-lived, as industry trends forecast the gaming sector to experience a 10 percent decline in employment over the next decade.
The report concludes, “The MBCI casino in Jones County is expected to produce minimal or no multiplier effect as its jobs will be primarily low-wage and low-skill, with little or no opportunity for access to career pathways. The fact that tribal casinos are not regulated by the state and do not have traditional tax obligations, thus shifting the burden to local and state tax bases, compounds the chances for negative social and economic outcomes.”
“We hope this information will, above all else, serve as a call to action for citizens to get involved in stopping this slot parlor from moving forward,” Callen stated. “We at the Coalition believe there must be a better way to improve the economic vitality of Jones County and the surrounding area, one that will mutually benefit both the citizens of the state and of the Band of Choctaw Indians.”
The Coalition for Family and Community Values is an alliance of like-minded citizens working together to encourage and affirm positive values for the purpose of strengthening families and communities. For more information about the Coalition, visit their website at “http://www.mscfcv.org/“ or their Facebook page at http://tiny.cc/mscfcv.
Jones County Baptist Association Adopts Resolution in Opposition to Casino Gambling
Whereas, gambling is built on a system that appeals to personal greed, that fosters deceit, that exploits those most vulnerable and at risk, particularly children and the poor, and
Whereas, gambling violates the 10th commandment against coveting and the biblical work ethic by encouraging individuals to think they can get something for nothing, thus minimizing personal initiative and responsibility, and
Whereas, gambling contributes to family instability, to economic hardship, and to increased crime rates in communities where gambling facilities are located, and
Whereas, the Mississippi Band of Choctaw Indians are involved in construction of a casino in Jones County.
Be it therefore resolved, that messengers of churches affiliated with the Jones County Baptist Association, meeting at Bethlehem Baptist Church on October 4, 2010, call on its member churches to actively oppose efforts to establish casino gambling in Jones County, and
Be it further resolved, that we acknowledge the sovereign status of the Mississippi Band of Choctaw Indians and affirm our desire to see the Choctaw people prosper through any and all legitimate and honorable options to casino gambling, and
Be it finally resolved, that we offer support and cooperation to fellow Christian believers in the Bogue Homa community as we seek to work together in sharing the gospel of Jesus Christ.
Southern Baptist Churches Opposed to Casino
Bethel Pleasant Home
Bethlehem New Hope
County Line Open Door
Ellisville First Baptist Ovett First Baptist
Emmanuel Park Haven
Fairfield Pineview
Faith Salem Heights
Friendship Sandersville
Glade Shelton
Grace Soso First Baptist
Heritage Heights Sumerland
Highland Tuckers Crossing
Indian Springs West Ellisville
Journey Plainway
Laurel First Baptist Myrick First Baptist
Moselle Memorial
For more information contact: Rev Cary Kimbrell 601-498-8830
or Rev John Bryant 601-580-6452
Subscribe to:
Posts (Atom)
Posts
