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Showing posts with label Isle of Capri. Show all posts
Showing posts with label Isle of Capri. Show all posts

Thursday, September 3, 2015

Pennsylvania's corrupt process




Ex-Sen. Jane Orie files petition in federal court seeking new trial






janeOrie0918 Sen. Jane Orie leaves the Allegheny County Courthouse in Downtown Pittsburgh after her conviction in March 2012 on corruption and forgery charges.




Sen. Jane Orie leaves the Allegheny County Courthouse in Downtown Pittsburgh after her conviction in March 2012 on corruption and forgery charges


Former state Sen. Jane Orie, convicted of corruption, wants a new trial because she says her prosecution was driven by Allegheny County District Attorney Stephen Zappala Jr.’s animus toward her.
Orie made that claim, which she has raised in the past, in a 208-page appeal filed Wednesday in U.S. District Court.
Among several arguments in seeking a new trial, she said Jeffrey A. Manning, the Allegheny County judge who heard the case, should have appointed a special prosecutor because of Mr. Zappala’s “conflict of interest and/or personal animus, or the appearance thereof.”
In trying to bolster that claim, she said members of the Zappala family have opposed her because of their powerful positions in the gambling industry. She said Mr. Zappala’s father, former Supreme Court Chief Justice Stephen Zappala Sr., and his sister, Michelle Zappala Peck, were employed by the Pennsylvania Casino Association. Orie said she had been the “leading gambling reformer in the legislature since the inception of legalized gambling in Pennsylvania in 2005.”
Orie also argued that she was tried twice for the same offenses in violation of her right to be protected against double jeopardy.
The state Supreme Court refused to hear her appeal last September, after which she promised to continue her fight for a new trial in federal court.
The Republican from McCandless was convicted in 2012 on charges of conspiracy, diversion of services and conflict of interest in using her staff to run her campaigns and served 22½ months in prison.



Orie fall from grace rapid, spectacular



By Rich Lord Pittsburgh Post-Gazette

On the day after her family reached the height of its influence, Jane Orie's slide toward imprisonment began.
Her sister Joan Orie Melvin won election to the state Supreme Court on Nov. 3, 2009, and the two were up late that night taking congratulatory calls. "When Wednesday morning, at 7:30 in the morning, I get this call, I said ... 'This is it,' " Jane Orie, the former state senator, recounted in an interview with the Post-Gazette.
The call, she said, was from Allegheny County Assistant District Attorney Lawrence Claus, whom Orie knew from their days working in the office of the attorney general. She said he told her that she was under investigation.
"I really believed in my heart of hearts that there was absolutely nothing there," said Orie. On Monday, she was sentenced to 21/2 to 10 years in prison for 14 criminal counts, including five felonies.
She maintained to the end that what happened in her office was common and defensible, and that her prosecution was driven less by the severity of wrongdoing than by the stridency of her positions.
"Every staff was involved in campaigns," Orie said. The prosecution "all goes to this malicious, vindictive agenda to punish my family."
Not so, said District Attorney Stephen A. Zappala Jr. "What is it that I want that they have?" he asked hypothetically in a May 21 interview.
The daughter of a doctor, Orie left Duquesne Law School weighing interests in the law and hospital administration. "I want to smack myself for not doing [the latter]," she said, slapping her cheek.
Hired right out of law school by District Attorney Robert Colville, she specialized in domestic violence cases.
Later she moved to the state level, working for Attorney General Ernie Preate, and then for Tom Corbett, now the governor.
Former Warren County Sheriff Larry Kopko, who worked with Orie on the prosecution of a jail warden she sent to prison for eight to 16 years for sexual abuse of a child, called her "the meanest" prosecutor he ever saw.
"When she asked you questions, she would get just inches away from your face. She was just a very powerful prosecutor, just like Law Claus."
The Warren County press dubbed her "The Ice Princess," which she viewed as a compliment. "I always get that because I don't smile much," she said.
Her supervisor, for a time, was Mr. Claus. Their relationship soured, she said, after she wrote a memo critical of the evidence in a probe of a political foe of Mr. Preate, effectively killing the case. After that, she said, "They'd give me these horrible cases, like stolen cheese."
Her father's popularity, her sister's position as a judge and the family's friendships with local GOP committee members led her to run for state House in 1996.
Once elected, she drew on her prosecutorial experiences and reached out to experts on domestic violence. She sponsored legislation to train hospital personnel to identify domestic violence victims and refer them for help.
"Leadership was not in favor of this, but she pressed ahead," said Nancy Durborow, who was then the health projects manager for the Pennsylvania Coalition Against Domestic Violence.
"She was very tenacious," Ms. Durborow said. The bill passed.
"She lived to work," said county Councilwoman Jan Rea, R-McCandless. "It didn't matter who you were when you came into her office; if you needed help, she would help."
Elected to the Senate in 2001, her opposition to pension enhancements, pay raises and gambling made her "something of a voice in the wilderness," Orie said. "But I could get a drum beat going."
She pounded on the bill legalizing slots casinos.
"So much money was at stake, and so many political insiders had their hands out. So did a lot of legislators," Orie said. A provision in the slots legislation that allowed legislators to have 1 percent stakes in casinos was stripped from the law after she made it an issue.
Once gambling was approved, Orie backed the Isle of Capri casino proposal, and not the Harrah's bid in which Charles Zappala, uncle of the district attorney, had an interest. Neither bid prevailed.
On Oct. 30, 2009, Orie wrote to fellow senators expressing concern that the Pennsylvania Casino Association hadn't registered as a lobbying organization, and saying it "has employed a former member of the Pennsylvania Supreme Court." That former member was Stephen A. Zappala Sr., father of the district attorney.
Also on that date, intern Jennifer Knapp Rioja left Orie's district office and contacted law enforcement to report witnessing political work on behalf of Joan Orie Melvin. That led to two trials, one ending in a mistrial when prosecutors discovered forged documents submitted by Orie, the other a conviction.
Jane Orie said she always tried to keep politics out of the office.
"I'd have people come into my office handing [campaign] checks to my secretary," she said. "How do you control that?"
Her chief of staff, Jamie Pavlot, "always volunteered" to help on campaigns, Orie said.
In interviews with investigators, Ms. Pavlot said the senator sometimes ordered staff to drive to the campaign mailbox, prepare mailers to voter groups or transport Joan Orie Melvin to political functions. She detailed a scramble, directed by Jane Orie, to remove political taint from the office after Ms. Rioja made her accusations.
At trial, Ms. Pavlot said some staffers were fired when they balked at doing political work.
"When I saw how far she had gone, I really was stunned and disappointed and befuddled," Orie said.
Orie said she felt that decisions by Judge Jeffrey A. Manning hamstrung her.
"I'm not allowed to even mention the Zappala name or gambling," she said. "I'm doing a case in the day and age where [the perception of] public corruption is so heightened, and my hands are shackled behind my back."
She was convicted March 26.
Unmarried, with no children, she spent the months prior to sentencing on house arrest in the McCandless home in which she grew up. She resigned from the Senate May 21. Next up: prison.
"I still believe I'll get justice," Orie said. "I'll never stop doing what I did."



Saturday, September 14, 2013

Casino is no sure bet | Gamblers not flocking to Fayette County



September 12, 2013

Casino is no sure bet | Gamblers not flocking to Fayette County

JOHNSTOWN — Luck be a lady?

Not at the Lady Luck Casino at Nemacolin Woodlands Resort.

Apparently, Pennsylvania’s newest resort casino, which is located about an hour and a half drive from Johnstown in Fayette County, has rolled snake eyes in its first two months of operation.

Lady Luck opened to much fanfare in July with about 450 employees, but St. Louis-based Isle of Capri Casinos Inc., which operates the resort, said in statement Tuesday that it is laying off 15 percent of its employees.

“Business has been slower than expected, and we must make some changes to keep our expenses in line with business levels as we move into the slow winter season,” Isle of Capri said in a statement.

Is this a sign that Pennsylvania has finally busted when it comes to its appetite for gambling? The commonwealth already was the second-biggest gambling market in the nation, trailing only Las Vegas, before Lady Luck opened.

Combine that with the other gambling options available to southwestern Pennsylvanians – Rivers Casino in Pittsburgh, The Meadows in Washington, Pa., Rocky Gap near Cumberland, Md., and Wheeling Island in Wheeling, W.Va., and it’s not all together surprising that business isn’t booming at Nemacolin.

While Fayette County seems like a shorter drive from Johnstown than Pittsburgh, it actually takes roughly the same amount of time to get to Rivers Casino as it does to Lady Luck. Throw in all of the additional entertainment options in Pittsburgh as opposed to Lady Luck and it’s no surprise that most Tribune-Democrat readers said in an online poll in July that they either would not be gambling at Nemacolin any time soon.

Lady Luck had more than just its location working against it. Unlike most of its competition, the casino is not open to the general public. Patrons must either be guests of the pricey resort (or its restaurant) or be willing to purchase a $10 gift card for the resort.

“We have received high marks from our customers related to their experience at Lady Luck Nemacolin,” Isle of Capri spokeswoman Jill Alexander said in the statement. “However, customers have been resistant to the access plan.”

Richard McGarvey, a spokesman with the Pennsylvania Gaming Control Board, told the Pittsburgh Post-Gazette that it’s not unusual that a casino has layoffs in its first year, often because the company hires more staff than is necessary.

So it’s possible that a better future is in the cards for Lady Luck. We just wouldn’t bet on it.


http://tribune-democrat.com/editorials/x789527704/Casino-is-no-sure-bet-Gamblers-not-flocking-to-Fayette-County

 

Wednesday, September 11, 2013

15% Casino Resort Layoffs


Bill Kearney
Massachusetts ‘Gaming’ Future

Associated Press - September 10, 2013 - Nemacolin casino in Pa. laying off 15 percent

Pennsylvania's newest casino is laying off 15 percent of its 450 employees, citing "slower than expected" business since the resort casino opened two months ago....


The Lady Luck Casino at Nemacolin Woodlands Resort opened July 1, but unlike most others in the state, it is not open to the general public. Instead, patrons must be guests of the posh resort, about 40 miles southeast of Pittsburgh; a customer of the resort's restaurants, or other facilities; or be willing to purchase a $10 resort gift card.

St. Louis-based Isle of Capri Casinos Inc., which operates the resort, said in a statement that customers have been "resistant" to the plan that limits access to the casino.

"We continue to work closely with the resort to establish admission procedures that conform to state regulations that are as customer-friendly as possible," the statement said.

The company wouldn't specify how many employees are being eliminated, but 15 percent of its workforce would be about 70.

"Business has been slower than expected, and we must make some changes to keep our expenses in line with business levels as we move into the slow


http://www.buckscountycouriertimes.com/news/state/pa/nemacolin-casino-in-pa-laying-off-percent/article_ce20ba48-6d7f-56e3-836d-fcf49b3594f7.html
See More

Tuesday, December 11, 2012

Isle of Capri upgraded to Neutral



UPDATE: Credit Suisse Upgrades Isle of Capri Casinos to Neutral, Raises PT



In a report published Monday, Credit Suisse Group upgraded its rating on Isle of Capri Casinos (NASDAQ: ISLE[FREE Stock Trend Analysis]) from Underperform to Neutral and raised its price target from $5.00 to $5.50.

Credit Suisse noted, “ISLE shares have fallen 28.5% since October 1 versus 1.6%/1.8% declines in the S&P 500/Russell 2000. While we remain concerned about a challenging consumer environment, the impact of future competition (Lake Charles), and are cautious about returns the Nemacolin project (increased budget), we believe much of this is baked into the stock. While ISLE is still highly leveraged, on the positive side proceeds from the sale of its Biloxi property as well as other debt refinancing efforts in recent years have given the company more runway. ISLE has no meaningful debt maturities until 2017 and capacity under its credit facility gives it room to pursue strategic investments and potential acquisitions.”

Isle of Capri Casinos closed on Friday at $4.97.


Read more: http://www.benzinga.com/analyst-ratings/analyst-color/12/12/3158854/update-credit-suisse-upgrades-isle-of-capri-casinos-to-n#ixzz2EkKrctzg

Friday, September 21, 2012

Who is profiting from crime? Casinos?



Nebraska State Senator Brenda Council of Omaha gambled with funds that were not hers at an unnamed casino in Kansas City.  

Casinos are financial institutions with access to patrons' financial records.

They know patrons' financial assets.

Why aren't they compelled to return stolen funds?



In Kansas City - Was it Harrahs [now Caesars]? Ameristar? Isle of Capri? Argosy? Hollywood Casino?

If they are such responsible businesses, why aren't they named? Why aren't they returning stolen funds?

What about Frank Fahrenkopf's "Responsible Gambling Program" that no employees know about?   





Gambling addicts need help to win better lives
Posted: Thursday, September 20, 2012

In pleading guilty earlier this week to misdemeanor public records violations, state Sen. Brenda Council of Omaha declared she was paying the price for her problem gambling. Council’s assertion falls short of the truth because problem gambling is not a victimless illness.

In addition to the addicted gambler, victims can include family members, friends and organizations and, in Council’s case, donors who supported her re-election campaign for the Nebraska Legislature.
Council reportedly gambled away $63,000 in campaign donations, but failed to report the withdrawals from her campaign fund. The state senator must pay court expenses and $500 in fines, but those penalties pale in comparison to the real cost of her gambling problem. That will be evident on Nov. 6 when voters in her Omaha district must decide whether to re-elect Council to four more years, or send her opponent, Ernie Chambers, back to the Legislature.

To her credit, Council has already repaid $36,000 and is seeking treatment, but those actions won’t repair the scars to her reputation.

If there is a silver lining in this terrible cloud, it is that Council’s case shines a light on problem gambling. Her actions help us to understand how the addiction harms others as it runs its course.

No right-thinking person would take food and clothing from their family, betray the trust of friends who loan them money, or steal and embezzle. However, these are symptoms of a gambling addict heading for rock bottom.

Is there a problem gambler in your life? Consider these signs:

- They’re preoccupied with gambling and always thinking of ways to get more money to gamble.

- Wagers grow larger as the person attempts to achieve more excitement.

- Repeated attempts to cut back or stop gambling fail.

- Gambling becomes an escape from family, work or emotional distress. The addict lies to family, therapists and colleagues to conceal the extent of the problem.

- After losing, the gambler returns another day to get even.

- Forgery, fraud, theft or embezzlement become ways to finance the habit.

- The gambler loses a spouse, job or career opportunity because of the need to gamble, and borrows from friends, family, even strangers to pay off catastrophic losses.

Council said she is ready to move on. We wish her well in her recovery, and we advise suffering families not to wait. Confront your problem gambler. It’s not a victimless addiction, and it won’t end without help.

http://www.kearneyhub.com/news/opinion/gambling-addicts-need-help-to-win-better-lives/article_644a20a0-0336-11e2-a99c-0019bb2963f4.html



Campaign bank accounts and casino records subpoenaed by the Attorney General’s office indicate Council withdrew $63,052.56 in campaign funds to gamble at a casino in Kansas City, Kansas.

http://nebraskaradionetwork.com/2012/09/18/sen-council-pleads-guilty-admits-to-a-gambling-problem-audio/

 

Sunday, August 5, 2012

Legends Gaming Files 2nd Bankruptcy




Legends Gaming, bankrupt owner of La. and Miss. casinos, to sell to Chickasaw Nation of Okla.


VICKSBURG, Miss. — The owner of casinos in Vicksburg, Miss., and Bossier City, La., has filed for bankruptcy and plans to sell its casinos to an Oklahoma Indian tribe.

Legends Gaming filed Monday for Chapter 11 bankruptcy reorganization in Shreveport, La. The company plans to sell its DiamondJacks casinos to Global Gaming Solutions for $125 million, said Kym Koch, a spokeswoman for Global Gaming.

The bankruptcy court and state gaming regulators must approve. Legends has the right under the sale agreement to seek buyers willing to pay more. If multiple bidders emerge, the bankruptcy court could hold an auction.

Global Gaming is owned by the Chickasaw Nation of Oklahoma. The company bought Remington Park Racing and Casino in Oklahoma City in 2010 and bought Lone Star Park in Grand Prairie, Texas, in 2011. The tribe also owns 13 casinos in Oklahoma’s highly competitive Indian casino market.

Though tribes in Louisiana and Mississippi operate casinos outside the state regulatory structure, officials said Global Gaming would be regulated and taxed just like any other non-Indian casino owner.

“They would be subject to the oversight of the State of Mississippi just like DiamondJacks is (now) and all the tax liabilities would be the same,” Allen Godfrey, executive director of the Mississippi Gaming Commission, told the Vicksburg Post (http://bit.ly/PrWWUg).

Louisiana officials told The Times in Shreveport (http://bit.ly/MD8Trm ) that Global Gaming would face a background investigation like any new casino owner in the state.

In its bankruptcy filing, Legends listed assets between $50 million and $100 million and liabilities between $100 million and $500 million. Moody’s Investors Service said Legends has as much as $163 million in debt due in 2014.

Legends, which also filed for bankruptcy in 2008 said no workers will be laid off and that the casinos will continue to operate as usual.

“Our team members are essential to our future success, and should see no difference in their jobs,” Legends Chairman and CEO William McEnery said in a statement. “We believe that we have found a buyer who will continue DiamondJacks’ commitments to the communities in which we operate as well as to its most valued asset, our team members.”

DiamondJacks is typically last among Bossier City’s five casinos in terms of revenue, according to Louisiana state figures. Mississippi doesn’t release revenue figures for individual casinos, but DiamondJacks has the second-largest number of slot machines among Vicksburg’s four casinos. A fifth Vicksburg casino, Grand Station, closed in March amid its own bankruptcy.

DiamondJacks employs 364 people at its casino and hotel in Vicksburg, according to Mississippi figures. It employs about 650 people in Bossier City, according to Louisiana figures.

Both properties were the first casino in their respective cities when opened by the Isle of Capri. Vicksburg opened in 1993 while Bossier City opened in 1994. Isle of Capri sold the gambling halls to privately-held legends in 2006. Legends first filed bankruptcy in 2008 to lower interest rates on $215 million in borrowed to finance the purchases.

http://www.washingtonpost.com/lifestyle/travel/legends-gaming-bankrupt-owner-of-la-and-miss-casinos-to-sell-to-chickasaw-nation-of-okla/2012/08/03/c5bb1006-ddac-11e1-8ad1-909913931f71_story.html

Sunday, May 27, 2012

An oddly self-serving cry of 'enough'





Poorly managed states, like Massachusetts, willingly believe the grossly exaggerated revenue projections and the wildly overstated job figures somehow believing the revenues will fall from the skies like Manna from Heaven.

While the article below is an interesting perspective, Caesars is + $20 BILLION in debt, showing no signs of a profit.

Foxwoods and Mohegan Sun are essentially bankrupt. Foxwoods having defaulted in 2010. Mohegan Sun still trying to dig out of debt.

When states partner with the Gambling Industry, they become addicted to the revenue that suck discretionary income from the local economy. The price is a taxpayer sponsored bailout, just as Connecticut, New Jersey and Rhode Island have done, along with many others.

Can you imagine taxpayer actually supporting wildly profitable Slot Barns?



Howard Stutz | INSIDE GAMING

Howard StutzAn oddly self-serving cry of 'enough'

Posted: May 27, 2012
 
It's not shocking when anti-gaming zealots or those opposed to gambling for moral reasons argue that America has too many casinos.

Imagine the surprise, however, when the developer of Maryland's largest casino suggests the U.S. has reached a saturation point.

The statement seemed a bit self-serving.

During the East Coast Gaming Congress in Atlantic City last week, Cordish Co. Chairman David Cordish suggested casino expansion needs a respite. He said lawmakers in states starved for tax dollars "think you can have casinos like Starbucks," the coffeehouse chain that seems to operate on every street corner in America.

If that attitude continues, Cordish said, "it's going to implode on them."

On June 6, Cordish's company opens the $500 million Maryland Live! in Anne Arundel County, roughly 15 miles south of Baltimore. The casino has 4,750 slot machines and electronic table games.
But Maryland Live! will have company. State leaders want to place a slot machine-only casino - potentially operated by Caesars Entertainment Corp. - in Baltimore, south of the Inner Harbor.

That concerns Cordish.

"What happens when you put megacasinos close together is they generally not only oversaturate the market, they don't work," Cordish said.

In other words, keep the competition out.

During a presentation at the 2010 Global Gaming Expo, Caesars Chairman Gary Loveman said casino companies damage themselves when they fight over growth opportunities. The self-inflicted wounds actually slow expansion. 

He used Cordish as an example. In 2010, rival casino operators financed an unsuccessful advertising campaign to stop Maryland Live!, using negative images about the gaming industry.

Ironically, Cordish now wants to keep Caesars out of Baltimore.

Isle of Capri Casinos CEO Virginia McDowell said the gaming industry often "lets its best growth opportunities die on the vine" because of infighting.

Ohio became the 23rd state with commercial casinos - land-based, riverboat or racetrack - when the Horseshoe Casino Cleveland opened May 14. Gaming expansion is being debated, but is now on hold in Florida and Texas. However, McDowell said states traditionally hostile toward gaming - Georgia, the Carolinas and Kentucky - are considering casino legalization.

Over the past decade we've learned that gaming expansion is not a "flip on the light switch" event.

After gaming referendums gain approval, it often takes years for casinos to come to fruition.

Maryland legalized casinos in 2008, but just two small gambling halls have opened. In Ohio, voters approved four full-scale casinos in 2009. The state's second casino opens Tuesday in Toledo.

Kansas has been on a slower pace. Four casinos were legalized in 2007, but by the end of 2011 only two were operating. Large casinos near Kansas City and Wichita opened this year.

The recession dried up credit markets and the casino companies' access to much-needed development dollars. That has since changed. Gaming operators are focused again on growth, with Caesars and Penn National Gaming leading the pack.

Caesars, in partnership with Detroit-based Rock Gaming, will open a Horseshoe casino in Cincinnati in 2013. The joint venture is also working in Baltimore. Meanwhile, Caesars and the Suffolk Downs racetrack are bidding for a lone Boston-area casino license.

Penn National will have two casinos in Ohio, opened a casino in Kansas City, Kan., earlier this year, and is seeking a single gaming license for Western Massachusetts.

Cordish, however, said the casino market needs stability. Deutsche Bank gaming analyst Andrew Zarnett agreed.

In a note to investors, Zarnett criticized Illinois lawmakers who seek to add five new casinos in that state. The Illinois House has already approved the bill. If it makes it through the Senate, Zarnett expects the governor to veto the measure.

The expansion would cut into revenues of Illinois and Indiana casinos operated Penn National, Caesars, Boyd Gaming Corp. and Ameristar Casinos, he said.

"The proposed expansion by Illinois lawmakers is yet another example of gaming saturation," Zarnett said. "Not only will this excess capacity take away share from existing operators, but it may also significantly heighten the promotional landscape in the region."

Executives from Las Vegas Sands Corp. cited oversaturation as a reason the casino operator withdrew from competition for the Boston gaming license. Company officials thought three casinos and a slot machine parlor in Massachusetts would be too much gaming for the Northeast. The area includes Indian casinos in Connecticut, a growing racetrack casino market in New York, Pennsylvania's 10 casinos, and Atlantic City, which is hoping for a revival from the opening of Revel.

Some analysts said quietly that over-saturation was just an excuse. Las Vegas Sands didn't stand a chance of winning the Boston license against Caesars, which has business ties to Suffolk Downs plus Loveman's personal and professional connections to Massachusetts.


http://www.lvrj.com/business/an-oddly-self-serving-cry-of-enough-154689385.html

Wednesday, April 11, 2012

Casino Crimes: Who is being protected?



A crime takes place on Slot Barn property and the media report fails to name the business? What other business is equally protected?

Isle of Capri is the Slot Barn closest to Sulphur. Was that the location?


Who is being protected by failing to name the location?



Sulphur man arrested after incident at local casino
Boudreaux facing several charges
By Staff reports
Posted Apr 10, 2012

Sulphur, La. — An incident inside of a local casino has led to the arrest of Ron A. Boudreaux, 33, of Loretto Avenue in Sulphur, on charges of simple burglary of a motor vehicle, theft over $500, simple criminal damage to property, and intimidating a victim.
It was on March 1, 2012, that Calcasieu Parish Sheriff’s Office deputies were dispatched to a business regarding a report of a burglary and theft of a vehicle.
According to officials, after a reported verbal altercation inside the casino between the alleged victim and Boudreaux, the Sulphur man allegedly went to the victim’s vehicle in the parking lot, shattered the front passenger window and reportedly stole her phone and laptop computer.
Detectives with the Vehicle Crimes Investigation were also notified by the victim that she had recently been allegedly receiving numerous intimidating and threatening text messages from Boudreaux.
Boudreaux reportedly confirmed to detectives that he shattered the victim’s front passenger window and stole her cell phone and laptop from inside the vehicle.
On April 5, Boudreaux was arrested and booked into the Calcasieu Correctional Center. Judge Clayton Davis set his bond at $62,000.
CPSO Detective Chadwick LeJune is the lead investigator on this case.

Saturday, February 4, 2012

Woman sues Isle after she's denied $42 million from slot malfunction

Woman sues Isle after she's denied $42 million from slot malfunction
By JEFF REINITZ

WATERLOO, Iowa --- Lights flashed and bells rang when Pauline McKee pressed the button for the last time on the Miss Kitty slot machine on July 2.

The 87-year-old Illinois resident had been feeding the machine at the Isle Casino Hotel Waterloo for a while.

She lost most of her plays and won a few. Each time she won, the machine credited her account.

On the final push, the machine erupted in a carnival of ringing bells and flashing lights. Isle employees rushed to congratulate McKee on her jackpot and gave her the usual complementary benefits that come with big wins.

"The whole place was excited," said Steve Enochian, a California attorney who represents McKee.

Miss Kitty's screen read $41,797,550.16.

Not bad for a penny slot machine that advertised a top payout of $10,000.

But McKee has yet to collect her winnings.

The Isle didn't pay up after a state investigation ruled the jackpot was caused by a computer malfunction.

McKee isn't backing down. Last week, her attorneys filed a suit against Isle of Capri Casinos, alleging breach of contract and consumer fraud.

The casino company hasn't yet filed a formal response, but Isle officials stand by an Iowa Racing and Gaming Commission investigation that determined the jackpot wasn't valid.

Slot malfunctions are rare at Iowa casinos, said Brian Ohorilko, director of gaming for IRGC.

The commission investigates one or two a year across the state.

Before games are approved for play, they go through a rigourous testing process. Modern slots are computerized and contain chips that control the randomness of the game, Ohorilko said.

"They are computers, so every now and then there will be something like this," Ohorilko said.

According to media accounts, a Colorado woman saw her winnings disappear in 2010 when it was determined her $42.9 million jackpot from a Central City casino slot machine wasn't valid. The same happened with a $166 million slot jackpot at a casino in Tampa, Fla., in 2009.

When problems pop up, casinos and regulators send the machines out for a forensic analysis.

The Miss Kitty machine was analyzed by Gaming Laboratories International, a New Jersey-based company. In an August report, the company said it was "highly likely" the machine's communication board erroneously determined it had a bonus award.

McKee's attorneys argue in court papers that the Isle knew programming updates were available and didn't act on them. Employees also knew they could disable the machine's award bonus capability but didn't, the suit alleges.



Read More: http://wcfcourier.com/news/local/woman-sues-isle-after-she-s-denied-million-from-slot/article_411d78f2-28a0-5e0a-bc16-73e8c79fc3b7.html#ixzz1lSzGsnR1

How much is ENOUGH?

Anti-casino groups and activists have been rallying against the creation of casinos in Florida. "Casinos are magnets for the wrong type of people," said billionaire car mogul Norman Braman, who opposes the casinos.

Florida's Chamber of Commerce recently released a TV ad against the expansion of gambling across the state. The ad presented statistics that showed an increase in crime, lost jobs, bankruptcies and foreclosures in places like Atlantic City and Las Vegas, two cities known for their casinos.


From:
Read more: http://www.wsvn.com/news/articles/local/21006592303844/casino-debate-continues-in-light-of-150m-expansion/#ixzz1lR4nNT4m


Florida lawmakers end casino push
By Howard Stutz
LAS VEGAS REVIEW-JOURNAL

MIAMI -- Lawmakers ended an effort to build three Las Vegas-style hotel-casinos in the southern part of state Friday, dashing the hopes of major Nevada gaming companies that saw Florida as a potentially lucrative casino market.

A Florida legislator withdrew the destination resort bill before a key House subcommittee in Tallahassee could hold a vote.

The House rules chairman immediately released a statement declaring the bill would not be heard by other committees or be taken directly to the full House. Florida's annual 60-day legislative session ends in early March.

Barry Johnson, president of the Greater Miami Chamber of Commerce, which supported the casino legislation, said after the nonvote Friday the issue "was in the ICU (intensive care unit)." He didn't believe the measure would be heard again brought up before the end of the Legislative session nor would it be heard during any special legislative session this summer.

"I think we're looking at next year," Johnson said.

Supporters could also try to take the issue to voters in the future as a constitutional amendment.

The legislation, which would authorize three new nontribal casinos in Florida, had been closely watched by gaming industry leaders in Las Vegas. Las Vegas Sands Corp., Wynn Resorts Ltd., Caesars Entertainment Corp. and MGM Resorts International were linked to potential interest in opening hotel-casino developments in South Florida.

Officials from Malaysia-based Genting Group were the most disappointed by the bill's demise. The company spent more than $400 million to assemble roughly 30 acres along the Biscayne Bay waterfront here, including spending $238 million to acquire the headquarters of the Miami Herald newspaper.

Genting planned to build the $3.8 billion Resorts World Miami, which company officials had boasted would become a dramatic feature along the waterfront of downtown Miami, with 5,200 rooms over four hotels, creating 30,000 permanent jobs, attracting almost 3 million visitors, and producing annual gaming revenues that would equal the Strip.

Jessica Hoppe, the senior vice president of government affairs and general counsel for Resorts World Miami, said Genting would not give up on the idea of Resorts World Miami. The company operates Resorts World New York at the Aqueduct Race Track in New York City and Resorts World Sentosa, one of two hotel-casinos in Singapore.

"We greatly appreciate the hard work of the destination resorts legislation bill sponsors, as well as all those who support efforts to bring common sense gaming reform and jobs to Florida," Hoppe said. "Resorts World Miami remains committed to the vision of world-class destination resorts in South Florida, and will continue to work with the state legislature and the South Florida community to bring this vision into a reality."

Nevada-based companies, such as Las Vegas Sands, expressed interest in developing a hotel-casino in Miami, but had not bought property for a development.

The company, which had hired Florida-based lobbyists and met with Miami civic and elected leaders, was opposed to the language in the current legislation that had been rewritten late Wednesday.

Andy Abboud, vice president of government relations for Las Vegas Sands, said the company opposed a change that replaced an independent gaming commission with a state Department of Gaming Control under the auspices of the governor and key lawmakers. The new department would issue licenses and control all aspects of gaming in Florida, a state that is not known for clean government.

Abboud said company leaders hoped the bill could be rewritten and improved.

"It's not dead and it could come back next year," Abboud said. "There is always going to be a demand for casinos in Florida. We're very supportive but the bill was moving in the wrong direction."

Expansion of casino gambling in Florida was a matter of fierce debate. The state has five racetrack casinos and eight Indian casinos. The Seminole Indian Tribe operates seven of the casinos, including the Seminole Hard Rock Hollywood and the Seminole Hard Rock Tampa.
[How much is enough?]

Seminole Gaming CEO Jim Allen said tribal leaders opposed any casino expansion bill and hired lobbyists in Tallahassee to fight the measure.

Besides the Seminoles, opponents include some heavy hitters in Sunshine State politics, including the Florida Chamber of Commerce and the Walt Disney Co., which operates theme parks in Orlando. Racetrack operators, including Isle of Capri Casinos, which operates at track in Pompano Park north of Fort Lauderdale, opposed the legislation.

Union Gaming Group principal Bill Lerner said after the bill's demise was understandable given the interests that opposed gaming expansion. But he also thought the debate wasn't over.
[Translation: We'll wear you down! Outspend you, but we'll NEVER give up!]

"Our sense is that we'll see revisions," Lerner said. "It's not over. This will be a long and windy road."


Proposed Vegas-style casinos in Florida face key vote
By Howard Stutz
LAS VEGAS REVIEW-JOURNAL

FORT LAUDERDALE, Fla. -- Reworked legislation that could bring three Las Vegas-style hotel-casinos to South Florida will face a crucial vote today in a state House panel that could kill the controversial issue.

And even if the bill wins approval from Florida's House Business and Consumer Affairs Subcommittee, the legislation faces an uphill battle.

The legislation, which would authorize three new nontribal casinos in Florida, is being closely watched by gaming industry leaders in Las Vegas. Las Vegas Sands Corp., Wynn Resorts Ltd., Caesars Entertainment Corp. and MGM Resorts International have been linked to potential interest in opening hotel-casino developments in South Florida.

Watching the legislation has been difficult -- it's a moving target. Legislative staff in Tallahassee late Wednesday gave the legislation a heavy rewrite, just days before it is to go up for a vote.

Among the proposed changes was replacing an independent gaming commission spelled out in the Senate version of the bill with a state Department of Gaming Control under the auspices of the governor and key lawmakers. The new department would issue licenses and control all aspects of gaming in Florida, a state that is not known for clean government.

"The last thing we want to see are elected officials who accept political contributions having a say on who gets a gaming license,"
said Andy Abboud, vice president of government relations for Las Vegas Sands, which has been exploring the prospects of a hotel-casino development in Miami. Like the other Las Vegas gaming powerhouses, the Sands has lobbyists working on lawmakers in Tallahassee.

Abboud said he hopes the final bill would make the gaming commission independent.

"We know this is a long process, but staff made some changes that we don't agree with," Abboud said.

Regardless of the details, the expansion of casino gambling in Florida is a matter of fierce debate.

Seminole Gaming Chief Executive Officer Jim Allen, whose company operates seven Indian gaming-owned casinos in Florida, including the Seminole Hard Rock Hollywood and the Seminole Hard Rock Tampa, said tribal leaders oppose any casino expansion bill. He said the legislation, which could lead to increased competition, "seems to change on a daily basis."

Allen, who was participating the grand opening of a $150 million expansion to the Seminole Casino Coconut Creek on Thursday, said the debate has caused the tribe to delay other projects in Florida, including a 1,500-room addition to the Coconut Creek property and hotel expansion at both Hard Rock properties.

Allen said the Coconut Creek expansion that opened with tremendous tribal fanfare Thursday has been in the works since 2006, long before the casino legislation came about. The project expanded and remodeled the casino, added a poker room, a 1,200-seat events center, three restaurants and a parking garage.

"Our compact with the state limits us to seven locations, but doesn't limit us on what us on the size of out locations," Allen said.

However, the tribe, which is lobbying against the casino bill, will wait until there is clarity on the issue before unveiling additional expansion plans.

"Number one, the changes in the legislation do not change the tribe's position," Allen said. "Keep in mind, there are three to four committees in both the House and Senate it has to go through before it gets to any potential merger on the floor. Just because there is a vote in one particular committee doesn't give any clear indication of it being positive or negative."

The bill up for a vote today still provides for three destination resorts with full casino games, and requires a minimum $2 billion per location investment from the casino companies. And amendments to the House bill now bring it in line with the Senate version, which sets a casino license fee of $125 million per site. The House version previously called for a $50 million fee.

In an effort to quell opposition from operators or racetracks, which also have slot machine parlors but no table games, the bill offers a reduced tax rate on racetrack slots that would kick in when the new full-service casinos open in 2015, at the earliest. Even with the tax break, racetrack operators, including Isle of Capri Casinos, which operates at track in Pompano Park north of Fort Lauderdale, oppose the legislation.

While some lawmakers thought the amendments would help push the bill through the subcommittee, but the issue still faces a long and difficult journey to Gov. Rick Scott's desk. In addition to the Seminoles, opponents include some heavy hitters in Sunshine State politics, including the Florida Chamber of Commerce and the Walt Disney Co., which operates theme parks in Orlando.

Monday, July 4, 2011

Reshuffles of Bankrupt Vegas Casinos

Familiar faces stay despite overhauls
Howard Stutz INSIDE GAMING

The near financial collapse of several Las Vegas-based gaming companies didn't shake the system.

Gaming revenues in the Las Vegas locals market have spiraled downward some 15 percent since 2008, pushed by the recession, record unemployment, a declining housing market and the diminished construction industry.

The lost business compounded the already shaky corporate financial structures that several casino operators brought upon themselves through leveraged buyouts, development projects or other ill-timed decisions.

Creditors and banks, however, didn't want to run the casinos.

For the most part, debt was restructured and financing was acquired. Management, however, remained in place.

That's why it's not shocking that George Maloof will continue to operate the Palms.

Maloof's ownership in the 1,300-room off-Strip hotel-casino will drop from 85 percent to 2 percent once gaming regulators approve a restructuring of $400 million in debt. The casino's creditors, investment firms TPG Capital and Leonard Green & Partners, will each own 49 percent of the property.

Without Maloof's marketing skills and vision, the Palms is just another attractive Las Vegas casino. The private equity firms are banking on Maloof keeping the Palms on track while the economy recovers.

The same scenario holds true for Station Casinos. The company emerged from bankruptcy last month largely intact.

Creditors had ample opportunity through bankruptcy to dump the founding Fertitta family and break up the 18-casino company. Boyd Gaming Corp. stood ready to acquire all or part of Station Casinos during the restructuring proceedings. Regional gaming operator Isle of Capri Casinos was prepared to manage several of the company's resorts on behalf of the lenders.

In the end, the banks and unsecured bondholders decided to stick with brothers Frank Fertitta III and Lorenzo Fertitta and their existing management.

The Fertittas put $200 million into the deal and own 45 percent of the new company, their largest stake ever. When Station Casinos was publicly traded, the Fertittas held 9.9 percent. Following a $5.4 billion deal to go private in November 2007, the Fertittas had 25 percent.

But the brothers are not in control. It's presumed Deustche Bank AG (25 percent), JP Morgan Chase & Co. (15 percent) and the former bondholders (15 percent) would vote as a bloc on any matter.

The lenders forgave $4 billion of the company's previous $6 billion in debt through restructuring. So it's likely they have the Fertittas on a leash. How long or short is anyone's guess.

The lenders are wagering that the Fertittas and their management team will do what they have done best -- operate the casinos. Before the economy fell apart, the Fertittas were known as decent managers.

That's what the debtholders want to see again, which is why Southern Nevadans have been inundated with the company's "We Love Locals" advertising campaign and a hefty promotional environment. Station Casinos is trying to win back the love of the consumer.

Same with M Resort.

Anthony Marnell III and his family spent close to $1 billion to build M Resort, opening the stylish property during the heart of the recession. The first few months -- helped by a heavy promotional effort -- provided a false sense of security.

Penn National Gaming bought M Resort's $860 million in debt for $230.5 million, a nearly 75 percent discount, less than two years after the resort opened.

At first, it seemed Marnell was out of the picture. Penn executives, however, liked the way he ran the property and gave him a reported five-year deal to serve as the casino's president. Marnell told Nevada gaming regulators he was negotiating with the company for an equity position in M Resort.

Herbst Gaming is the only troubled company that didn't follow the model.

The Herbst brothers, facing $1.15 billion in debt, proposed keeping 90 percent of their slot machine route business while giving creditors 100 percent of the company's casinos. The noteholders objected and the bankruptcy court approved a reorganization that gave senior lenders control of the entire company. The brothers were removed and Herbst Gaming is now Affinity Gaming.

Recently, family patriarch Jerry Herbst formed a slot machine route business -- JETT Gaming -- with the idea of reclaiming the slot machine operations at his company's Terrible Herbst convenience stores.

The more things change, the more they stay the same.

Monday, February 28, 2011

Highest debt ratios in Gambling Industry

TOP 5 COMPANIES IN THE CASINOS & GAMING INDUSTRY WITH THE HIGHEST DEBT TO EBITDA RATIO (MGM, BYD, PNK, ISLE, SGMS)

Below are the top five companies in the Casinos & Gaming industry as measured by their Debt to EBITDA ratio.

The measure of a debt's pay-back period is Debt/EBITDA. The longer the payback period, the greater the risk. This metric ignores all tax expenses even though a good portion are cash payments and gets paid first.

MGM Mirage (NYSE:MGM) has a Debt/EBITDA ratio of 12.81x based on total debt of $12.6 billion.

Boyd Gaming (NYSE:BYD) has a Debt/EBITDA ratio of 8.66x based on total debt of $3.2 billion.

Pinnacle Entertainment (NYSE:PNK) has a Debt/EBITDA ratio of 7.42x based on total debt of $1.2 billion.

Isle of Capri Casinos (NASDAQ:ISLE) has a Debt/EBITDA ratio of 7.34x based on total debt of $1.3 billion.

Scientific Games (NASDAQ:SGMS) has a Debt/EBITDA ratio of 7.28x based on total debt of $1.5 billion.

SmarTrend is monitoring the recent change of momentum in Pinnacle Entertainment. Please refer to our Company Overview for the results of our proprietary technical indicators that have been scanning shares of Pinnacle Entertainment in search of a potential trend change.

Monday, January 31, 2011

Isle of Capri

ANALYST RATING IN REVIEW: ISLE OF CAPRI CASINOS SOLD OFF 4.47% SINCE UPGRADED 7 DAYS AGO (ISLE)

Tuesday, January 18, 2011

Isle Laying Off Workers In Biloxi, Mississippi

Now, low wage workers at the Biloxi Slot Barn can seek even lower wage jobs with a subcontractor!

Such a deal!

Remember when wealthy gambling investors promise great jobs at great wages?



Isle Laying Off Casino Workers In Biloxi, Mississippi

More layoffs are coming within the casino gaming industry in the US, but this time they do not appear to be the result of declining revenue. The Isle Casino Resort in Biloxi, Mississippi has sent walking papers to three dozen employees late last week.

The layoffs are a result of the Isle turning to a private company to take over maintenance duties at the casino. The company claims that they have encouraged workers to seek employment in other areas of the casino, or even with the new maintenance company.

The Isle is turning to Southeast Cleaning to handle all of their maintenance in the future. The Isle is one of many casinos throughout the US that have been looking for ways to cut costs and be more efficient in their spending. It is likely the private company will not cost as much on a monthly basis as the salary's of the three dozen workers.

Thursday, December 30, 2010

Missouri's failures

Missouri, like many other states, embraced Slot Barns to solve its problems.

Mayor Henry Rediger apparently never considered the economic failures of Niagara or Atlantic City or Las Vegas. Not to worry! His failures will become apparent when he's out of office.

At least they're more honest than Beacon Hill about the job creation and revenue numbers --

lure of 450 new jobs, $20 million in state revenue

Casino coming to Cape

The news came Dec. 1 from the state capital. The Missouri Gaming Commission had selected Cape Girardeau over its big-city competition in St. Louis and Kansas City for the state's 13th -- and final -- gambling license. The announcement meant Isle of Capri could begin construction of its $125 million casino in a blighted area near the city's downtown.

The St. Louis-based Isle of Capri had already beaten other casino companies to build in Cape Girardeau over the course of the year. It also had competition from an oppositional group that worried about gambling addiction and increases in crime. Casino proponents also had to convince the city's voters, with 61 percent of those deciding Nov. 2 that the lure of 450 new jobs, $20 million in state revenue and a downtown business anchor outweighed any possible drawbacks.

Isle of Capri executives are busy with its development plans and hope to have construction underway this summer and the casino completed in 18 to 24 months. The development is expected to change the shape of the area, with several dilapidated homes slated to come down and a portion of Main Street realigned.

Mayor Harry Rediger, elected in April, called it "a game changer."

Tuesday, December 7, 2010

Moody's downgrades Isle

Isle of Capri, Inc. loses $1 million, Moody's downgrades Isle rating


The Isle of Capri, Inc., owner of Isle of Capri Casino-Bettendorf and Rhythm City Casino-Davenport, lost $1 million - 3 cents per share - in the gambling firm's second quarter ended October 24.

Revenues at the Isle's Colorado operation, Black Hawk, fell nearly $5 million from a year ago.


In a news release issued today (12/7), Moody's rating service downgraded the Isle of Capri credit rating based on its current debt level and the continuing effect the depressed economy is having on consumer spending on gambling.

Tuesday, November 9, 2010

Slot Barns : A Pox!

Nationwide, we've all heard the wondrous and glorious promises of Gambling Revenues solving budget deficits, becoming the economic engines, solving unemployment and paving the streets with gold, ignoring that the revenues come from those least able to afford it.

It's always the same because it's been successful and people - elected officials, like those on Beacon Hill who should know better, swallow the propaganda.

And then REALITY rears its ugly head and disproves the fantasies.

Coast to coast, too many willingly follow like sheep, only to be left with escalating costs (no one wants to acknowledge) caused by gambling addiction, cannibalized 'jobs' and decay.

Maybe we'll start calling it for what it is: Slot Barns designed to enrich the already wealthy at the expense of everyone else.

Gambling casinos a pox on downtowns, riverfronts

Who can blame Davenport city leaders for wanting to ditch the Isle of Capri, Inc. for another gambling operator promising a new $75-million land-based casino and a larger slice of the gambling take.

But don't try to sell the deal as a downtown development bonanza, or claim a casino downtown will result in "synergy" to boost the urban business core.

Every casino project to hit the Quad Cities - from Bettendorf to Davenport to Rock Island - has claimed it would trigger investments in the downtown/riverfront with other businesses locating nearby. The reality has been just the opposite.

Gamblers do what gamblers want to do, lose their money gambling. They have no interest in art museums, fine restaurants or dinner theaters.

In Davenport, the current casino riverboat has actually become a symbol of downtown decay, an eyesore on an otherwise beautiful Mississippi River view. When the Isle proposed taking up more riverfront a few years ago with an adjoining hotel, concerned citizens and public officials fortunately scotched the idea.

In Rock Island, downtown businesses gave full support to ridding the riverfront of the Jumer's casino boat to open up the river for a splendid new park drawing thousands of residents to enjoy the view and actually boost activity in the downtown.

In Bettendorf, the Isle's casino boat and hotel complex is surrounded by a vacant parking lot (used frequently for truck auctions) and a vacant lot (currently being used as a site for depositing dredging spoils). Its gambling operation with low-cost buffets and discounted or complimentary rooms has siphoned business from competing businesses downtown and elsewhere in the city.

The disconnect between gambling joints and economic revival around them isn't confined just to our riverfront experiences. In Central City, Colorado, home to at least a half dozen casinos, there are virtually no other businesses one might expect to come across in a "tourist" area. No art galleries. No t-shirt shops. No restaurants outside the casinos.

Davenport does have it right cutting loose the casino boat from its prime riverfront land, and by making the casino invest in a building, the company will actually be a taxpaying citizen like everyone else in town.

But don't bet on "synergy" with a casino. That's been a losing hand for a long time.

Wednesday, October 20, 2010

Missouri: Gambling Addiction

Missouri a leader in dealing with problem gambling, officials say


Editor's note: Last names of gambling addict victims were withheld to protect their privacy.
Amy's father was a compulsive gambler. During her childhood, her parents took out three mortgages on the Jackson house she grew up in to try to pay his gambling debts.

"I remember them fighting constantly," said Amy, who was 16 at the time. "I felt really torn when my mother was talking bad about my dad. That killed me because he was still my daddy. I was a daddy's girl."

Amy's father got credit cards in her mother's name and used them to get cash to gamble with. He had the bills sent to post office boxes to hide them from his family.

"The lying he did affected us all," Amy said. "He lost all trust from all of us."

Eventually, her parents divorced, leaving Amy's mother with more than $120,000 in her father's gambling debts to repay.

Despite this experience, Amy said she's not opposed to a casino in Cape Girardeau.

"There wasn't one here when he lost all our money," she said of her father. "Just like a drug addict, they will find their fix no matter what. Having a casino here just means they won't have to drive as far."

According to the Missouri Alliance to Curb Problem Gambling, 95 percent of Missouri residents who participate in games of chance understand the costs and risks. But up to 5 percent of individuals who gamble experience personal, financial and social difficulties as a result of their obsession with games of chance.

Dr. Bob Kamath, a Cape Girardeau psychiatrist, disagrees with that statistic, saying that only 5 percent of pathological gamblers will admit to it.

"The hallmark of all addictions is denial. Nobody wants to admit they have a problem," Kamath said.

Missouri is considered a leader in the gaming industry for addressing problem gambling, said Melissa Stephens, administrator for the Missouri Gaming Commission Problem Gambling Program.

It's the only state with a partnership with the casino industry, lottery, mental health providers and state regulators in place for more than 10 years, she said. Together, those entities make up the Missouri Alliance to Curb Problem Gambling. Each partner administers programs to address compulsive gambling in Missouri.

The Missouri Gaming Association, a statewide trade group for the casino industry, funds the 888-BETSOFF help line that is staffed 24 hours a day, seven days a week with licensed counselors trained in dealing with gambling issues.

"People calling the help line are often referred to counselors in their area for additional counseling services or advised of other options available to them," said Mike Winter, executive director of the Missouri Gaming Association.

In 2000 the Missouri Legislature created the Compulsive Gamblers Fund. One cent from each admission fee paid to the state by casinos goes to provide free counseling to gambling addicts through the Missouri Department of Mental Health. The fund collects about $500,000 annually, Winter said.

Last year, 323 people received free treatment for gambling addiction through the program, according to the Missouri Department of Mental Health. Towns with casinos have the ability to require casino companies to contribute toward efforts to address compulsive gambling in their communities, Stephens said.

The gaming commission has received an annual appropriation of $120,000 to $140,000 for its problem gambling efforts, including a voluntary exclusion program in which people can ban themselves from the state's casinos. Last year, 903 applications were made for placement on the exclusion list, managed by the Missouri Gaming Commission. The list, started in the late 1990s, has 15,235 names on it.

Isle of Capri takes Missouri's self-exclusion list one step further.

"It is our policy that if a patron self-excludes himself or herself at our property in Caruthersville, then they are automatically added to our exclusion list at every property where we operate," said Jill Haynes, senior director for corporate communications at Isle of Capri Casinos' St. Louis headquarters. Isle of Capri has 15 properties in six states, Haynes said, and problem gaming regulations vary by state.

For example, Colorado does not have any problem gaming laws. Florida does, but its laws don't include a statewide self-exclusion program.

One Cape Girardeau woman whose marriage ended in part to a gambling addiction, said a self-exclusion programs did not help her ex-husband.

"My ex tried to put himself on the self-ban lists that existed in Missouri and Illinois, but then just drove himself to Tunica when the urge hit again," Shirlene said. "He hid a girlfriend and his gambling problem from me until it was too big to hide, then attempted suicide."

After taking out a loan against his 401(k) plan, he headed to Tunica with thousands of dollars in cash. When she discovered it, she drove overnight to catch him before the money was gone. Later that week he entered a three-week gambling inpatient recovery program at an Illinois hospital. Shirlene separated from him shortly after that.

According to Kamath, a psychologist for 39 years, gambling addiction is "exactly" like alcoholism and drug addiction.

"They get a kick out of it," he said. "They keep chasing that feeling, even if they lose. ... Maybe they will hit it big the next time."

He said he hasn't treated many pathological gamblers because so few are willing to admit their problem and seek treatment. He said it is extremely difficult to treat because there aren't drugs that can be prescribed to help, such as those used to help people overcome alcohol and drug addictions. He does recommend treatment through Gamblers Anonymous. The closest local chapter meets in Sikeston, Mo.

He has treated many children of gamblers, who he says suffer severe consequences.

"Children grow up with their parents missing from the home scene, and when they are home they are irritable, angry and hostile toward their children when they can't gamble," Kamath said. "Children experience an extreme sense of insecurity, hopelessness and shame, and they bottle this all up, and by the time they are adults they are facing anxiety, panic attacks, suicidal behavior, chronic depression and often end up taking up their parents' vices."

The Missouri Gaming Commission requires casinos to adhere to several standards designed to curb problem gambling, including responsible alcohol policies, responsible check cashing policies and preventing those under 21 from entering casinos.

"The casino gaming industry has long implemented employee and public education programs to increase awareness of disordered gambling and promote responsible gaming practices, both at the company and industrywide levels," Haynes said.

At Isle of Capri, all new employees are trained to spot compulsive gambling behaviors and are updated annually as part of Compulsive Gaming Week each August, Haynes said.

"If an employee suspects that a guest or anyone else has a problem, the employee contacts his or her manager. From there, each case is handled on a case-by-case basis depending upon the specific circumstances," she said.

Isle of Capri and other Missouri casinos that are members of The American Gaming Association must also follow a Code of Conduct for Responsible Gaming, Haynes said. It can be viewed at americangaming.org
.

Sunday, October 17, 2010

Missouri: Buying Elections

Isle of Capri contributes $50,000 for Cape Girardeau casino yes vote campaign


Isle of Capri is gambling with house money, pouring $50,000 into the campaign coffers of the committee trying to convince Cape Girardeau voters to approve a $120 million casino in the Nov. 2 election.

Isle of Capri Casinos Inc. donated $50,000 to the campaign committee Yes for Gaming, according to a quarterly campaign report filed with the Missouri Ethics Commission. The only other donation to the committee was $4,000 from Jim Riley and David Knight's Dream Big LLC. Riley and Knight are the Cape Girardeau businessmen who own property where the casino is proposed for North Main Street.

Meanwhile, Quality of Life in Cape Girardeau, the anti-gaming committee, reported $5,095 in donations during the same period. The largest contribution was $800. The group got two $500 contributions and one for $250. The rest were smaller than $100, which do not have to be listed individually, according to finance disclosure rules.

Doug Austin, who heads the opposition group, said he was not shocked about the amount that Isle of Capri donated. But he said it looks as if the company is trying to buy the election.

"It reeks to the high heavens," Austin said. "Our money is coming from the citizens of Cape Girardeau, not the gambling industry. Fifty thousand dollars boggles my mind. It shows what kind of money they have available with money that they got from people losing in their casinos."

Melvin Gateley, the treasurer for Quality of Life, said his organization is at a huge disadvantage when it comes to buying advertising, yard signs and fliers.

"I'm sorry to see it, but I knew it was coming," Gateley said. "But we're just going to be ourselves and keep doing our grassroots work and let people know what we think a casino would do to this community."

This week brings a big step for all four companies that want to capture Missouri's 13th gaming license. The Missouri Gaming Commission on Thursday will be hearing from those companies, including Isle of Capri, in Jefferson City. The companies and community leaders will be giving one-hour presentations to the commission.

If voters do approve the casino measure next month, it will leave Cape Girardeau in the running, along with two proposed for the St. Louis area and one in Sugar Creek near Kansas City. The commission has said it expects to make a decision by Thanksgiving.