Meetings & Information




*****************************
****************************************************
MUST READ:
GET THE FACTS!






Saturday, December 11, 2010

Sheldon Adelson visit coincides with prostitution crackdown

Unlike Americans who tolerate prostitution along with casinos, Macau has signaled "What happens in Vegas, Stays in Vegas." Not in Macau!

Prostitution Crackdown At Macau Casino Shows Las Vegas Difference

Macau has become the top casino gambling destination in the world over the past couple of years, but the area showed on Friday that they are different than Las Vegas in one area. Authorities in Macau will not tolerate prostitution at the casino resorts.

On Friday, over 100 women were arrested at the Venetian casino resort that opened back in 2007. The raid of the Venetian, which is owned and controlled by Las Vegas Sands, ends a tumultuous week of business in China for LVS and owner Sheldon Adelson.

Earlier in the week, Sands China proposed another multi-billion casino resort for the Cotai Strip, but they were denied by the Macau government. On Friday, Sands did not yet have a comment on the raid that took place earlier in the day.

The operation by law enforcement targeted not only the women, but the people who were allegedly running the prostitution ring. In addition to the 110 Chinese women arrested, twenty-two people who were thought to be in control of the operations were arrested as well.

Las Vegas, over the years, has become known as a hotbed for prostitution. In many cases, clients can actually be directed to the prostitution services from insiders hanging out in the casino resorts. The resorts themselves do not promote the behavior.

The raid came on the same day when owner Adelson was in Macau on a visit. The raid, according to authorities, was not planned in conjunction with the Adelson visit. It took seventy officers to round up all of the accused during the several hour raid.

Macau has become the largest gaming destination in the world and it is Adelson that helped create the gambling mecca. Adelson was struggling with his US properties when he invested much of his own money in Macau. That gamble has paid off as Macau has obliterated revenue records for much of 2010.

Gambling Addict harasses, targets senior

Man jailed after stealing £3,200 from pensioner to fund gambling addiction

An elderly man was left with no money for food after being harassed for cash by a neighbour with a gambling addiction.

The 74-year-old victim is believed to have handed over up to £3,200 to Brian Barnes, who pestered him for money for months.

Brian Barnes, 33, of Ripon Close, Whitefield, pleaded guilty to fraud and breach of a harassment restraining order and was jailed for 20 months at Bolton Crown Court.

In February Barnes had been acquitted at Bury Magistrates' Court of a theft against the same man, but magistrates' imposed a restraining order on him.

He was prohibited indefinitely from communicating directly or indirectly, either by telephone, letter, fax or any other electronic device, with the man.

A few days after this court hearing, Barnes approached the man outside some shops on Rufford Drive, Bury telling him he had not been convicted of the previous charge.

Over the next two weeks Barnes began approaching the man, asking to 'borrow' more money off him.

The man later told police that Barnes was persistent and intimidating - he would visit and call him constantly until he handed over the cash.

The man's lack of money was noticed by a friend who would visit him every day.

She found at times he did not have the money for bare essentials and food, so she would take him bits to keep him going.

She tried to confront Barnes about this but he would not face her.

The man's brother had also noticed the lack of food and money so would also bring him cigarettes and food.

As there were two people bringing him things without the other knowing, they assumed his problem had gone away.

Sometime later, his friend noticed the man was again short of money and when she checked his phone found a number of calls from withheld numbers.

An officer spoke to Barnes who denied visiting or calling the man and he signed an agreement not to contact him or enter the road where the man lives.

One day in October the officer was at the house when he saw Barnes knock on the door and walk into the house when the door was opened.

He saw Barnes take £120 from the man and arrested him.

Ex-soldier, gambling addict, robs

Ex-soldier robbed two bookmakers

A FORMER soldier stole cash from two bookmakers after his gambling addiction spiralled out of control.

Adam Tonkin, 22, who broke his leg falling off a tank travelling at 55mph in Afghanistan when it came under fire, had been addicted to gambling for four years.

Tonkin, of Yewcroft Close, Whitchurch, admitted two counts of theft – stealing a total of more than £1,000 in raids on two bookmakers.

James Ward, prosecuting, said: "The crimes were committed against the background of an addiction to gambling.

"On January 30 he entered Coral on the Keynsham High Street and before long had won £160 on a gambling machine. He then began to lose and when he went to collect his ticket it was for £34.

"He then went to another gambling machine and won a further £8. To the surprise of everybody, he then jumped over the counter landing in the staff area.

"Two staff members jumped back in shock and he said 'Don't try anything – let's just do this.'

"He emptied two draws with money and put it into his jeans. He also took three rolls of notes and a bag of coins from a safe.

"In total he escaped with £674. Scenes of crime investigators studied the scene and the CCTV but despite the fact he was not disguised, they could not find him.

"On October 5, he repeated a similar offence at the Winning Post in Fairfax Street, Bristol stealing £400.

"He reached over the counter and took money from the till as another customer was served.

"He had acted strangely beforehand by going in and out of the shop clearly looking to see who was about.

"He told a member of staff 'Sorry mate, I have to rob you.' It is said he was not aggressive and in fact looked desperate and as though he was going to cry.

"When he was arrested, he immediately said he was guilty. He said he had been battling a gambling habit for the past four years.

"He said he had lost money but decided he had to get it back because he had to return it to the person to whom it belonged. He said he had faced up to his gambling addiction and had gone to seek assistance from a church group in Bristol."

Charles Thomas, defending, said Tonkin now wanted to rejoin the army and was back to full fitness.

"He joined the army in September 2005 straight from school and broke his leg when he fell off a tank travelling at 55mph when it came under fire in Afghanistan.

"Three died in the same incident.

"He now wants to rejoin because he wants to be gainfully employed and wants to do something so his daughter can be proud of him."

Judge Martin Picton wished Tonkin luck and said: "I order you do 100 hours' unpaid work for the community which I am sure you will complete sooner rather than later so you can get back into the army."

New Mexico woman abandons kids in truck

New Mexico Woman Leaves Children In Truck While Gambling

This week, a New Mexico woman waived her right to a preliminary hearing after she was arrested for leaving two children in a truck in freezing weather back on November 29th. The children were ages nine and five.

Carashea Kenny was dropped off at the casino at around 6:45, according to her boyfriend, Timothy Smith. The boyfriend then went with the kids to the dump, and returned to pick Kenny up. When she was not outside, Smith left the keys in the ignition and went in to find his girlfriend.

Smith claims that Kenny told her she was prepared to leave, but that the machine she was playing on was hot. Apparently, Kenny lost track of time and she told authorities she did not know how long the children were left in the car.

The temperature was said to be thirty degrees. Kenny contends that she thought Smith was outside in the car with the children, and that she did not know they were unattended. The children were taken by the authorities and their whereabouts have not been revealed since they are both minors.

Friday, December 10, 2010

If you weren't cynical enough about Democracy for sale....

Reid's push for online poker (from Nevada casinos) riles lotteries
Michael Isikoff writes:
Sen. Harry Reid, the majority leader from Nevada, is pushing ahead with his efforts to legalize Internet poker before Congress adjourns this year, despite new criticism from state lottery officials, including a former Democratic National Committee chairman, that Reid's plan was an “outrageous” reward for big Las Vegas casino interests that heavily backed his campaign for re-election.

After declining to comment for nearly a week, Reid’s office released his first public statement on the matter late Thursday, saying his proposal would bring in new tax revenue and “protect U.S. consumers” by allowing “reputable operators with proven track records” to offer poker over the Internet to American card players.

But in the last few days, Reid’s efforts have triggered a storm of criticism from state lottery directors, Indians tribes and others who say the Senate majority leader’s last minute effort would freeze them out of the action, while benefitting big Las Vegas casino operators — such as Caesars Entertainment and MGM Resorts International — that heavily backed Reid in his recent successful campaign for re-election.

“This appears to be designed to give an advantage to established gambling interests — many of them in Harry Reid’s home state,” said Steven Grossman, the treasurer elect of Massachusetts and the chairman of the Democratic National Committee between 1997 and 1999, in an interview with NBC News. “For him to deal us out of the action is outrageous.”

Grossman said he is only one of many state lottery officials who this week have strongly objected to Reid’s bill, especially a section that would guarantee that, for the first two after it passed, initial licenses for online poker could go only to well-established gambling operators. This would effectively cut out state lotteries from offering their own online games, and drain revenues away from competitive products, such as instant games and keno, Grossman wrote in a letter to Reid this week.

“We could lose $100 million from this,” Grossman said. When you consider the 40 or more other states that would be similarly disadvantaged, the revenue loss for state governments would be in the billions, he added. “There’s been a lot of e-mail traffic in the last few days in which lottery directors all over the country are expressing their deep concerns.”

Reid had first circulated his proposal last week in an effort to attach it to the massive bill that would extend Bush era tax cuts. (See the earlier story from NBC: Reid's 'Net betting bill would benefit his casino backers.) But objections from senior Republicans appears to have made that move impossible. A Reid spokesman noted there other vehicles still before this year’s Congress — such as a continuing resolution to fund the government and the Dream Act. “Sen. Reid will continue working to find a way to get it done,” said the senator’s press secretary Tom Brede.

There has been a legal cloud over setting up online gambling sites inside the United States ever since 2006 when Congress, at the behest of anti-gambling conservatives, passed a law called the Unlawful Internet Gambling Enforcement Act, which banned the processing of credit card transactions for Internet gambling transactions. At the time, Reid and some gambling companies supported the measure because of concerns that Internet gambling would compete with big Las Vegas casinos.

But in recent years, a booming offshore Internet gambling industry has popped up and many casino operators — and now Reid — have concluded that it is preferable for U.S. operators to get in on the action. In his statement Thursday, Reid noted that “Internet poker is played by millions of American every day in an essentially unregulated environment” and “neither federal nor State governments collect a dime of revenue from that, for the first two years after it passed, initial licenses for online poker could go only to well-established gambling operators. This would effectively cut out state lotteries from offering their own online games, and drain revenues away from competitive products, such as instant games and keno, Grossman wrote in a letter to Reid this week.


As for the idea that Reid was acting to benefit big casino operators that backed his campaign, his press secretary Brede responded: “Sen. Reid has a long track record of fighting for the largest industry in the state, and he will continue to do so. Look at what the top industry in the state is. Would anyone criticize a Senator from Michigan for fighting for the auto industry?”

As noted by NBC News and others in recent days, two of the biggest potential beneficiaries of the Reid proposal would be MGM Resorts International and Caesars Entertainment (formerly Harrah’s.) Both firms heavily backed Reid’s re-election, spending more than $650,000, including $300,000 that was pumped into Patriot Majority PAC, a so-called “super PAC” set up by a former Reid communications director that ran attack ads against Sharron Angle, Reid’s Republican opponent. Caesars/Harrahs, according to critics, would be particularly well advantaged to move into the online Poker market because the casino already hosts the “World Series of Poker.”

---

Related: American University's Investigative Reporting Workshop reported on msnbc.com about Reid's support of a Chinese wind farm project seeking $450 million in U.S. stimulus money.

Coast to coast: Atlantic City Revenues Lousy

Atlantic City's November casino revenues lousy

Atlantic City's 11 casinos had little to be thankful for in November as their monthly revenue fell 12.5 percent from a year ago.

Resorts Atlantic City, which was sold Monday by lenders who had owned it for a year, had the worst month, with revenues down 28.6 percent, showing how close the casino had come to closing.

It was a particularly bad month for the four Atlantic City casinos owned by Caesars Entertainment Corp. Caesars Atlantic City was down 26.1 percent, Harrah's Resort Atlantic City was down 20.5 percent, the Showboat Casino Hotel was down 17.7 percent and Bally's Atlantic City was down 16.5 percent.


Trump Plaza Hotel and Casino was down 14.3 percent, the Atlantic City Hilton Casino Resort was down 11.8 percent, the Borgata Hotel Casino & Spa was down 6.4 percent and the Trump Taj Mahal Casino Resort was down 5.5 percent.


ATLANTIC CITY, N.J. — Atlantic City's 11 casinos had little to be thankful for in November as their monthly revenue fell 12.5 percent from a year ago.


Atlantic City's November Casino Revenues Lousy

Atlantic City's November casino revenues lousy

Atlantic City's November casino revenues lousy

Atlantic City's November casino revenues lousy

Atlantic City Casino Gambling Fell 13% in November

Thursday, December 9, 2010

Match Fixing: A Threat to Sports Betting

AFL moves to thwart match-fixing


THE AFL is developing an ''integrity database'' to fight potential match-fixing or gambling-related corruption involving AFL matches.

In a detailed ''open letter on gambling'' the AFL's general manager of football operations, Adrian Anderson, wrote: ''The intelligence we collect regarding corruption issues is only as useful as our ability to analyse it and for this purpose, we are currently developing an integrity database.''

The AFL and Victoria Police were embroiled in controversy in October after an information-sharing memorandum of understanding between the two organisations was revealed.

The AFL's boosted efforts to protect the sport from betting corruption following serious match fixing allegations in cricket and a potentially explosive ongoing police investigation into betting surrounding a round 24 National Rugby League match.

Collingwood president Eddie McGuire has reportedly told other club presidents that illegal betting was now the biggest danger to sport.

Some players and officials have already been sanctioned by the AFL for breaking AFL rules prohibiting them betting on matches. Mr Anderson wrote in the letter it was imperative that the AFL ramp up its integrity measures. ''With the continued growth in sports betting comes an increased responsibility by the AFL to institute measures that will protect our game into the future and provide the AFL with the means to prevent or address corruption.''

Gambling Addict removed from bench

Louisiana Judge Is Removed From Bench for Corruption in Rare Senate Action

The U.S. Senate voted to convict a federal judge accused of corruption and remove him from the bench, the first time that has happened in 21 years and only the eighth time in history.

Judge G. Thomas Porteous of New Orleans was charged with taking cash and bribes from lawyers and bail bondsmen with cases before his court, making false statements in declaring personal bankruptcy and lying to the Senate during his confirmation. At least two-thirds of the Senate voted guilty on each of the four charges, the threshold needed for a conviction.

The House earlier this year approved four articles of impeachment against Porteous, 63. It found that he had a gambling problem and was soliciting cash during his time as a federal judge and earlier while serving on a state court.


Dear Mr. Randy George: Massachusetts needs you!

Defending continuation of widespread crime and corruption in Alabama, you were quoted here:

Randy George, president of the Montgomery Area Chamber of Commerce, told legislators that the $25 limit would cause jobs losses and possibly closures at some Montgomery restaurants. He said several people considering opening restaurants in the capital city have put those plans on hold until the Legislature makes a decision.

Your argument in defense of Alabama's noticeable lack of ethics is creative and one that hasn't occurred to Massachusetts' leaders on Beacon Hill.

Massachusetts needs this kind of 'creativity' to defend patronage, privilege and campaign contributions buying jobs and votes.

It seems curious that you have overlooked the jobs requiring additional FBI agents, prosecutors, the attorneys, the court personnel, prison personnel and so on. Please consider including them as well, after all, those are pretty high paying jobs that are sorely needed in this economy.

P.S. House Speaker "Racino" DeLeo will consider job applicants based on family ties or generous campaign contributions. It probably helps, when you go for your job interview if you genuflect. Your application should be expedited because Massachusetts has a long and proud history of House Speakers leaving office under indictment.

Don't worry about the cost of housing. Former Lt. Governor Jane Swift has contacts who can locate cheap housing for you.





Ala. governor urges end to 'culture of corruption'

Outgoing Gov. Bob Riley sought to end his eight years in office with a legacy-making achievement by getting legislators to pass his ethics proposals and end a culture of corruption in Alabama politics.

Riley spoke to the new Republican-dominated Legislature shortly after he called the lawmakers into special session Wednesday to consider his proposals.

"You can literally change the course of history for Alabama during this special session," he said.

That history includes three former legislators who were convicted or pleaded guilty to corruption in Alabama's two-year college scandal, as well as two former legislators and two current legislators who are awaiting trial on charges accusing them of selling votes on pro-gambling legislation.

Riley wants to limit gifts, including meals, to public officials to $25 on one occasion, give more clarity to campaign donations by banning the transfer of money between political action committees, give subpoena power to the State Ethics Commission to investigate public officials, and ban legislators from holding a second state job.

Riley, a Republican, said the election Nov. 2 that gave Republicans control of the Legislature was a mandate to change Alabama politics.

"You have the opportunity to permanently end the culture of corruption once and for all," he told legislators.

The Legislature's Democratic majority is offering its own package of ethics bills, some of which is similar to Riley's. They include requiring nonprofit groups that run political ads to disclose where they get their money.

The Legislature's new Republican leaders said they would take up Riley's bills first, with the goal of passing his bills and ending the special session next week.

Much of Riley's package is taken from bills that have died repeatedly in past legislative sessions. His bill to ban PAC-to-PAC transfers has been repeatedly passed by the House, only to die in the Senate.

Riley urged lawmakers not to repeat history, but to be remembered as Alabama's greatest Legislature.

Jim Sumner, nonpartisan executive director of the Ethics Commission, said Riley's package would put Alabama at the forefront of state ethics laws.

Many present and former public officials lined up at a legislative hearing Wednesday night to praise some of the bills in Riley's package, but longtime Realtors lobbyist Danny Cooper got strong applause when he urged legislators to place the first limits on what lobbyists can spend entertaining public officials.

"I want you to restrict and limit what I can do to convince you to vote for or against legislation in the future," he said.

Alabama currently has no limit, but lobbyists must report to the Ethics Commission when they spend more than $250 in one day on a public official.

Randy George, president of the Montgomery Area Chamber of Commerce, told legislators that the $25 limit would cause jobs losses and possibly closures at some Montgomery restaurants. He said several people considering opening restaurants in the capital city have put those plans on hold until the Legislature makes a decision.

Riley's bills will come up for their first votes in House and Senate committees on Thursday.



Riley spoke to the new Republican-dominated Legislature shortly after he called the lawmakers into special session Wednesday to consider his proposals.

"You can literally change the course of history for Alabama during this special session," he said.

That history includes three former legislators who were convicted or pleaded guilty to corruption in Alabama's two-year college scandal, as well as two former legislators and two current legislators who are awaiting trial on charges accusing them of selling votes on pro-gambling legislation.

Riley wants to limit gifts, including meals, to public officials to $25 on one occasion, give more clarity to campaign donations by banning the transfer of money between political action committees, give subpoena power to the State Ethics Commission to investigate public officials, and ban legislators from holding a second state job.

Riley, a Republican, said the election Nov. 2 that gave Republicans control of the Legislature was a mandate to change Alabama politics.

"You have the opportunity to permanently end the culture of corruption once and for all," he told legislators.

The Legislature's Democratic majority is offering its own package of ethics bills, some of which is similar to Riley's. They include requiring nonprofit groups that run political ads to disclose where they get their money.

The Legislature's new Republican leaders said they would take up Riley's bills first, with the goal of passing his bills and ending the special session next week.

Much of Riley's package is taken from bills that have died repeatedly in past legislative sessions. His bill to ban PAC-to-PAC transfers has been repeatedly passed by the House, only to die in the Senate.

Riley urged lawmakers not to repeat history, but to be remembered as Alabama's greatest Legislature.

Jim Sumner, nonpartisan executive director of the Ethics Commission, said Riley's package would put Alabama at the forefront of state ethics laws.

Many present and former public officials lined up at a legislative hearing Wednesday night to praise some of the bills in Riley's package, but longtime Realtors lobbyist Danny Cooper got strong applause when he urged legislators to place the first limits on what lobbyists can spend entertaining public officials.

"I want you to restrict and limit what I can do to convince you to vote for or against legislation in the future," he said.

Alabama currently has no limit, but lobbyists must report to the Ethics Commission when they spend more than $250 in one day on a public official.

Randy George, president of the Montgomery Area Chamber of Commerce, told legislators that the $25 limit would cause jobs losses and possibly closures at some Montgomery restaurants. He said several people considering opening restaurants in the capital city have put those plans on hold until the Legislature makes a decision.

Riley's bills will come up for their first votes in House and Senate committees on Thursday.

This marks the first time since 1942 that an outgoing governor has called a newly elected Legislature into special session. Riley's successor, Republican Robert Bentley, takes office Jan. 17.

On Wednesday, Bentley told legislators he had no role in writing the bills, but if they fail, he will revive the issue in the Legislature' s next session.

"If you don't clean it up and if you don't do it right, we're going to work on it again March 1," he said.


Wednesday, December 8, 2010

Mashpee Wampanoag History

EDITORIAL: A shining moment for whom?


The eminent historian Bernard Lewis once wrote that there were three kinds of history of a people: remembered, recovered and invented. The first is history passed by oral tradition from generation to generation; the second is history recovered by scholarly documentary research; the third is history created by a people who desire, for various reasons, to present a created image or history to the world that is not based upon fact. It is then repeated often enough wherein it assumes a mantle of truth not only to its creators, but to the public at large.

Your Dec. 1 article "A shining moment for Wampanoag tribe" clearly illustrated an example of "invented" history. Frankly, as a professional ethnohistorian, I was appalled by some of the inaccurate historical statements made by members of the Mashpee tribe.

Four comments are of significant concern. First is the article's headline, in particular "Wampanoag tribe." Historically there was never a Wampanoag Indian tribe. The term "Wampanoag" has two meanings, one linguistic, the other historical.

Linguistically, in the Algonquian language Wampanoag has a root ("wa.panwi, which means "it dawns." In southeastern New England it was rendered as "wompand" or "eastern," which was combined with "og," "people" or "they," collectively which translates into people of the east. It was a common term used to refer to peoples who lived to the east of another people. The Mahican tribe of eastern New York referred to the Indians residing in Connecticut's Housatonic River valley as wampanoag, just as these people, in turn, referred to those to the east of them in a like manner.

In its historical rendering, wampanoag was a term referring to those Indian tribes such as the Pokanoket, Narragansett and Nipmuc who joined with King Philip, the Pokanoket tribal sachem, the son of the great Pokanoket sachem Massasoit (aka Ousamequin) in their war against the New England colonists in 1675-76. They collectively were referred to as the Wampanoag Confederation. There was never a historical Wampanoag tribe. It was not until 1928 when remnants of southeastern Massachusetts Indian tribes, bands, and "praying towns" joined together and formed a pan-Indian Wampanoag Confederation.

This leads to the disturbing, inaccurate comment made by Mashpee tribal historian Ramona Peters. When queried concerning the United States Mint's reference to the Pokanoket Wampanoag tribe, she denied their very existence by responding that "Pokanoket refers to a territory, not a tribe."

Her comment flies in the face of long-accepted history concerning the existence of the Pokanoket tribe, whose historical area of occupation ranged from the base of Cape Cod to the western shores of Narragansett Bay. Many of the descendants of the Pocasset band of the Pokanoket tribe still reside either on the Fall River or Pocasset Indian reservation near Fall River or in the surrounding towns. Some of these people are lineal descendants of the great Pokanoket sachem Massasoit, the very Massasoit who befriended the Pilgrims and enabled their survival at Plymouth.

This brings us to the comments made by the Mashpee's chairman, Cedric Cromwell . Mr. Cromwell made the grossly inaccurate and disturbing comment, "We are honored that the United States has chosen to acknowledge our great Sachem Ousamequin." First, it appears that Mr. Cromwell is trying to abscond with the heritage of another tribe. Ousamequin was not a Mashpee sachem, he was the sachem of the Pokanoket tribe, a tribe which Ramona Peters denies existed.

Mr. Cromwell, speaking for the Mashpee, cannot legitimately say "our great sachem." He wasn't. And Mr. Cromwell goes on to say, "As the first tribe to meet the Pilgrims. ..." Here, again, invented history. There was no Mashpee tribe in existence in 1621 to meet the Pilgrims. Mashpee as a distinct social and political community of Christian convert Indians, founded by the lay preacher Richard Bourne, did not come into existence until 1661. Mashpee and its affiliated convert satellite villages consisted of Indians from all over Cape Cod who were initially called the South Sea Indians and over time became known as Mashpee.

Sorry, Mr. Cromwell, Mashpee missed the boat. It was a shining day for the Pokanoket.

James P. Lynch is owner and principal of Historical Consulting and Research Services LLC in Waterbury, Conn.

Legalizing Online Gambling Bad Bet

Legalizing Online Gambling Bad Bet For Lame-duck Congress

The lame-duck Congress may be the last chance for the current Democratic majority to slip through legislation legalizing online gambling, a move that could have dire consequences for communities and the economy, a leading national gambling critic warns.

Although much of the talk on Capitol Hill revolves around Bush-era tax cuts and reducing the deficit, University of Illinois business professor John W. Kindt says don't be surprised if a bill legalizing online gambling is floated by outgoing House Democrats under the auspices of revenue generation.

"The Unlawful Internet Gambling Enforcement Act, which increased the sanctions against outlawed online gambling, was passed just prior to the Republican lame-duck session of 2006," said Kindt, a professor of business and legal policy at the U. of I. "Some of the most vocal advocates for the legalization of online gambling don't like the 2006 law, and would like to see it repealed before the Republicans take control of the House in January."

The most influential pro-gambling voice on the Hill is Rep. Barney Frank, the Massachusetts Democrat who chairs the House Financial Service Committee. In the search for untapped revenue streams, Frank and other lame-duck Democrats have been pitching the idea of legalizing online gambling in order to tax what could potentially be tens of billions of dollars in revenue.

"Barney Frank is going to try and run the table on every piece of gambling-related legislation he can push through before he loses his supermajority," said Kindt, who has studied gambling for more than two decades.
Frank, who is not a fan of the Unlawful Internet Gambling Enforcement Act, has been pro-gambling for 20 years, seeing it as a personal freedom issue. The danger in that perspective is that it discounts the social and economic consequences of legalized gambling that everyone will ultimately bear, Kindt says.

"Frank would argue that it's just fun and games, and we'll tax people a little and get a billion dollars out of it," he said. "But it would further destabilize our financial system, so obviously it's not just fun and games."

The social costs include an increase in personal and professional bankruptcies, up anywhere from 18 to 42 percent, as well as an increase in crime by at least 10 percent, Kindt maintains.

"Legalizing online gambling is basically creating a huge social problem where none existed before," Kindt said. "All of these social consequences create huge demands on states and municipalities. In particular, social services and law enforcement really suffer."

Kindt, the senior editor of "The United States International Gambling Report Series," a multi-volume collection that focuses on the societal, business and economic impacts of decriminalizing gambling activities, says gambling also cannibalizes from the consumer economy by taking money out of consumers' pocketbooks.

"In high gambling areas, people buy at least 10 percent less food and 20 percent less clothing, because they're raiding their bank accounts in order to gamble," Kindt said. "The banks are losing liquidity and money while children are losing food and clothing, and their parents are going broke."

One key component of the Unlawful Internet Gambling Enforcement Act was that it increased enforcement mechanisms against illegal online gambling, allowing the Justice Department and FBI to target companies based outside the U.S. who use offshore servers to run the gambling sites.

But any new legislation to legalize online gambling could potentially turn every computer that connects to the Internet – whether it's in a home, workplace or school – into a virtual casino, Kindt says. And with the number of Internet-enabled smart phones exploding in the marketplace since 2006, it also has the potential to turn every BlackBerry and iPhone into a "mobile casino."

"The ability to put a gambling or casino app on a smart phone would be a recipe for economic disaster," Kindt said. "That would truly be a killer app, because the number of personal bankruptcies and people addicted to gambling would just absolutely soar. If we want to reduce our deficit, we need economic recovery, which means we need people buying goods and services. That's not going to happen if people are dumping their money into online gambling apps."

When people buy more durable goods, there's an economic multiplier effect of about a factor of three, Kindt says. Gambling, on the other hand, shrinks the economy at the cost of $5 for every dollar in benefits of tax revenue.

"When people buy consumer goods – cars, refrigerators, computers – that helps the economy, which translates into more jobs," he said. "With gambling, it's like reverse pump priming in that it takes money out of consumers' hands."

Kindt recently published "The Gambling Threat to Economies and Financial Systems: Internet Gambling."

The Best Democracy the Casino Industry Could Buy!

Republicans ship jobs overseas and Harrah Reid, who sold his integrity along with his soul for re-election, seeks to suck every last discretionary dollar from the home computer of the very few Americans left not within driving distance of a Slot Barn.

Banana Republic here we come!


It's not about politics, instead it's about inviting a Predatory Industry into every home and dorm room across this great land.

Harry Reid tries to add online poker to tax bill


Senate Majority Leader Harry Reid is trying to use the tax cut package President Barack Obama brokered with Republicans to legalize online poker, POLITICO has learned — a move that could further complicate the deal Obama announced Monday.

Already, the online poker proposal has exposed the Nevada Democrat to charges of flip-flopping on a controversial issue, as well as using his Senate leadership position to repay big casino interests that helped him win reelection in a hard-fought campaign against Republican Sharron Angle last month.


Reid, who has previously opposed online gambling, declined to comment Monday through a spokesman


“The House Republicans will go crazy if this is in the bill,” said one senior congressional aide, declaring it “a total, 100 percent payback” for the support Reid received from gambling interests. The aide asserted that lobbyists for the Las Vegas-based casino operator Harrah's, now known as Caesars Entertainment Corp., even helped write the legislation.

“You could call him ‘Harrah Reid’ at this point,” the aide quipped.

The company, through its employees and political action committee, contributed $83,000 to Reid’s reelection campaign, making it his fourth most generous supporter, according to the nonpartisan Center for Responsive Politics. Another Vegas casino operator, MGM Resorts International, was Reid’s biggest donor, at $192,000.

The two casino companies combined to contribute at least $375,000 to Patriot Majority, an independent political group that spent more than $3.3 million attacking Angle, whose down-to-the-wire campaign against Reid was fueled with millions of dollars from tea party donors. Reid and Angle spent more than $41 million between them, making their Senate race the second-most-expensive contest, according to the Center for Responsive Politics.


Last week, three House Republicans who will become committee chairmen with jurisdiction over online gambling legislation in the next Congress — Reps. Spencer Bachus of Alabama, Dave Camp of Michigan and Lamar Smith of Texas — penned a letter to Reid and McConnell “oppos[ing] any attempt to legalize Internet gambling during the lame-duck session.” They blasted as “secretive” and “undemocratic” any effort to attach such legislation to another bill.

"Congress should not take advantage of the young, the weak and the vulnerable in the name of new revenues to cover more government spending," they wrote.

Tuesday, December 7, 2010

Illinois: Cooking the goose

Illinois: No end in sight; Boyd gets some love

“So much for a [gross gaming revenue] stabilization,” sighed analyst Joseph Greff in a J.P. Morgan investor note, after Illinois‘ casino revenues dropped 7% in November. Whenever you think the Land of Lincoln’s casinos have hit bottom, they sink lower still. The statewide gross of $105 million was the worst of the 2009-10 period, although at the present pace December will be worse still. A report from the state’s Commission on Government Forecasting & Accountability, prepared before the November numbers were released, already had Illinois’ casino economy at its lowest level in a decade. (Casinos were legalized in the state in 1990.)

Casinos in the St. Louis area (led by Pinnacle Entertainment’s River City) continue to sap their Illinois competitors, with East St. Louis-berthed Casino Queen down 12% and Penn’s Alton Belle off by 8%.

Impervious to reality, lawmakers like Waukegan state Sen. Terry Link (D) pushed through a lame-duck bill that would create an insane level of gaming expansion: four more riverboats and racinos with 6,300 slots. The lower house must also consider the bill, which Gov. Pat Quinn has opposed … albeit not without some Obama-style wishy-washy-ness. (Is it something in the Illinois water?) Although the proposed law would ease the state’s usurious gaming tax rate (50% of revenues exceeding $200 million) it would also potentially triple the number of gambling positions in the state. The deleterious effects on existing casinos hardly need belaboring. Even Wall Street analysts oppose the measure, using phrases that rarely pass their lips, like “too much gaming.” Not content to have cooked the state’s golden goose, Illinois politicians seem hellbent on eating it for lunch, too.

Borgata is expected to touch bottom next year ....

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.

FBI & Justice refused to charge crooked Judge Porteous

With a wink and a nod, did FBI and Justice allow a crooked Gambling Addict to remain on the bench?



Impeachment trial starts for New Orleans federal judge accused of corruption

The trial is an extraordinary spectacle, featuring allegations that lawyers and bail bondsmen plied the judge, a reformed drinker and gambler, with gifts to gain his courtroom favor. Cash in envelopes. Bottles of Absolut and coolers of shrimp. A Vegas bachelor party for Porteous's son, complete with lap dance. It showcases both the often-sordid politics of Louisiana and a struggle over constitutional precedents.

"The secret is out, Judge Porteous gambled, he probably gambled too much," Turley said in his opening statements Monday, "but that's not illegal."

Mutterings about the ethics of Porteous, a state judge for 10 years and former prosecutor, began almost as soon as he landed on it in 1994. He was suspected of being way too cozy with Louis and Lori Marcotte, a pair of siblings who had monopolized the lucrative bail-bond business on the West Bank, and he was one of the local judges investigated in Operation Wrinkled Robe, a wide-ranging FBI investigation into corruption at the Jefferson Parish courthouse. Two of his fellow state judges went off to jail for mooching off the Marcottes, and a third was taken off the bench by the state Supreme Court.

Marcotte took the judge to Las Vegas and treated him to expensive lunches, he testified this week, and his employees fixed Porteous's fence and his cars, often returning them from the detailing shop with the vodka or shrimp left inside as a special goody bag. Lawyers slipped Porteous cash, prosecutors charge, to influence their cases before his bench. The defense says those lawyers were longtime friends just trying to help out a man they knew had fallen on tough times because of gambling debts.

The judge's longtime secretary, Rhonda Danos, testified that she picked up an envelope in 1999 from Jacob Amato, a lawyer the judge's son said he called "Uncle Jake," who had a case pending with the judge. When Danos asked Amato's secretary what was in the envelope, "she just rolled her eyes," Danos said. "I said, 'Never mind, I don't want to know.' " Prosecutors said the envelope was stuffed with $2,000 or so in cash.

Danos also paid the judge's gambling markers at casinos, she testified, after he and his wife had filed for bankruptcy in 2001, initially under false names. Prosecutors charge Porteous accumulated tens of thousands of additional gambling debt after the filing and never disclosed it to the court.

The FBI and the Justice Department conducted a lengthy criminal investigation of corruption and declined to press charges against Porteous more than three years ago. And Porteous has said he will retire in a few months, but if the Senate voted to impeach, he would lose his substantial federal pension.

"The House has pursued impeachment despite the fact that Judge Porteous will retire in a matter of months and has already been severely sanctioned by the Fifth Circuit (mainly a suspension from hearing cases) for the appearance of impropriety created by his actions," his lawyers said in their pretrial brief. "If removed on the basis of an appearance of impropriety, the Senate would set a dangerously low and ill-defined standard for future impeachments."

Well-respected businessman jailed over car sales fraud

Well-respected businessman with £1m gambling habit jailed over car sales fraud

The boss of a used car dealership has been jailed after he swindled up to £215,000 from customers and finance companies.

Eric Scragg sold high-value sports cars including BMWs and Mercedes for their owners, but kept the cash rather than paying up, a court heard.

Scragg, 47, owner of Village Car Sales in Cheadle had a gambling addiction and spent more than £1m in Stockport casinos, police said.

He admitted a string of fraud and theft charges and was jailed for 14 months.

Manchester’s Minshull Street Crown Court heard how Scragg, a police officer’s son, struggled with learning difficulties at school but worked his way up to become boss of two car showrooms.

He was a sponsor at Stockport County FC and a well-known and respected member of the Stockport business community, his defence barrister Jaime Hamilton said.

When Village Car Sales hit financial difficulties in 2006, Scragg plunged into illegal activities to make ends meet.

He approached private sellers and offered to sell their vehicles from his showroom. Scragg would then take the cars and sell them on, but the customers themselves never saw a penny of the profits, with Scragg claiming he would transfer the money electronically but failing to do so.

He used delaying tactics saying the cheque was in the post, and when angry customers tried to get their money back, the defendant could never be contacted or found.

The high-value cars stolen included a £32,000 BMW, a £20,000 Mercedes CLK, a £19,000 Audi A4, a £9,000 Toyota MR2, and a Mini Cooper worth more than £11,000.

The defendant also set up fraudulent finance agreements to sell the cars, scamming banks out of thousands of pounds.

Dad-of-two Scragg, of Godley, Tameside, pleaded guilty to procuring the execution of valuable security by deception, four counts of obtaining money transfer by deception and eight counts of theft at an earlier hearing and was jailed for 14 months.

Jaime Hamilton, defending, said his client was a hard worker, who left school with no formal qualifications, but had built up a successful business.

Judge Bernard Lever told the court he had received a personal letter of mitigation for Scragg, written by the leader of Stockport Council.

Judge Lever added: “Ordinary, decent people came to you because of your reputation and because they trusted you, and they have lost money.

“These people are entitled to justice, and nothing but an immediate custodial sentence will do."

Gambling Addiction destroyed football player

Swans star in jail for fraud

FORMER AFL star Daryn Cresswell's gambling addiction has cost him his reputation and his family.
Now he has lost his freedom.

Cresswell will spend the next 10 months behind bars after being convicted in the Maroochydore District Court yesterday on two counts of fraud.

The Swans hardman who became an assistant coach at the Brisbane Lions and Geelong kissed his partner and said goodbye to his parents before taking the stand.

The charges related to dishonestly obtaining money from NAB through forged loan applications.

The court heard Cresswell created the fraudulent title deeds of a Coolum Beach property to gain loans of $80,000 in 2005 and $240,000 in 2006.

Suspicions were raised when the property's real owner considered purchasing another property and discovered mortgage documents had been attached to his property without his knowledge.

Cresswell's barrister, David James, said his client wished to return to Sydney where his children and former wife live.

"He has some insight now into his own issue of gambling," Mr James said. "His life really is in New South Wales and his likelihood of reoffending is quite low."

The court heard Cresswell, 39, gambled heavily after retiring from the Swans, but his addiction was now under control.

Judge John Robertson said it was a "sad case" and that Cresswell had lost property, prestige, his reputation and his wife and children.

"You're obviously an extremely talented sportsman," Judge Robertson said. "It was a long fall from a dizzy height."

The judge was given 10 character references for Cresswell, including some from AFL coaches.

Judge Robertson said the reference from Swans chairman Richard Colless, which claimed Cresswell was a "brave, selfless and team-orientated player", had been "particularly helpful".

Judge Robertson convicted Cresswell of two counts of aggravated fraud and sentenced him to three years' jail, suspended after 10 months.

Reformed gambling addict David Schwarz said the AFL Players' Association did all it could to help players with problems.

"They've got psychologists, they've got doctors, but at the same time you can lead a horse to water but you can't make it drink," Schwarz said.

"The individual still has to make the decision to accept responsibility and go and accept the help or instigate the contact. So while everything is there these people still have to take the first step.

"Obviously (Cresswell's) addiction was that great that he ended up breaking the law, so at the same time you've got to see the writing on the wall."

Soccer corruption trials to get underway next year

Soccer corruption trials to get underway next year

Seven former top officials from the Chinese Football Association (CFA) involved in match-fixing and bribery scandals, including Nan Yong, the body's former vice chairman, will be put on trial early next year, according to Guangdong-based newspaper Soccer Monday.

The semiweekly newspaper reported that Nan Yong, Xie Yalong, two former heads of the Chinese Soccer Administrative Center, and Yang Yimin, a senior official in both the CFA and the Asian Football Confederation, will be charged with bribery and malfeasance.

The other four are Wei Shaohui, former manager of the national football team, Li Dongsheng, former head of the CFA's referee commission, Zhang Jianqiang, CFA's head of referees and Fan Guangming, a CFA official.

The newspaper reported that the investigation has entered its final stages, and that all evidence has been sent to the Tieling Procuratorate in Liaoning Province for the upcoming trial.

However, the law does not give a clear definition of match fixing in China, posing a challenge for authorities in handling such cases. "It means we can't win a conviction for football officials who have manipulated match results via referees and gambling. It's a loophole in our law actually," Ma Dexing, a football commentator, told the Global Times Monday.

In May, related government departments and law experts held a forum to discuss how to win convictions for match fixing, but failed to reach any conclusions.
"Professional sports is developing in China, but legislation on sports hasn't improved as it develops," he added.

Experts believe that match fixing should be added to the Criminal Law.
"Illegally manipulating match results is not a separate crime in our country, so normally they will be charged with other related crimes, such as bribery and gambling," Ma said.

Authorities launched a nationwide crackdown on corruption in Chinese soccer in March last year. Several soccer officials have reportedly been detained for their involvement in gambling and match fixing.

Nan, Yang and Zhang were put under criminal detention in January this year, becoming the most senior officials to be swept up in the campaign.

Since then, a high profile committee set up by 12 ministry-level bodies has stepped in to carry out an investigation into the CFA.

Ex-NLR alderman pleads guilty in public corruption case

Ex-NLR alderman pleads guilty in public corruption case
By Jeremy Peppas

LITTLE ROCK — A former North Little Rock alderman pleaded guilty today to a federal public corruption charge.

Cary Gaines said during a hearing in U.S. District Court that he conspired with reputed mobster George Wylie Thompson of Cabot to rig bids for city public works projects to pay off gambling debts. In a plea agreement with prosecutors, a second charge of lying to federal agents was dismissed.

Gaines remained free on bail pending sentencing scheduled for April 22. He faces up to 20 years in prison and a $250,000 fine. Assistant U.S. Attorney Laura Hoey said Gaines likely would not serve the maximum sentence and would be eligible for sentence reductions because of his guilty plea.

U.S. District Judge Leon Holmes ordered that the plea agreement remain under seal, although Gaines said in an interview that he would testify against two co-defendants.

Gaines was elected to the North Little Rock City Council in 2006 after serving four years in the 1990s. He resigned his city post in late 2009 ahead of a federal indictment naming him with Thompson and North Little Rock Alderman Sam Baggett.

Gaines’ plea came a day before Baggett goes to trial with Thompson on weapons charges.

At today’s hearing, Gaines told Holmes he had conspired with Thompson, an alleged Cabot bookmaker who prosecutors say is connected to the Colombo crime family, to direct North Little Rock public works projects to a vendor who then would direct kickbacks to Thompson.

The kickbacks, Gaines said, were to pay off his gambling debts to Thompson.
“In December 2008 I conspired with George Thompson for bid rigging in North Little Rock,” Gaines said, adding, “We conspired together to defraud the city of North Little Rock.”

Thompson has pleaded innocent to the public corruption charges as well as charges related to his dealings with Baggett.

Hoey said Gaines, Thompson and Paul Mayfield, a Cabot-based vendor who later worked as cooperating witness with federal authorities, had worked together on two different projects.

The first was concrete work in North Little Rock for sidewalks and drainage projects. Gaines introduced an ordinance in January 2009 that would have allowed bids for the concrete work. The second project was for city-funded landscaping near the Levy exit on Interstate 40.

Work never started on either project.

Gaines said he communicated with Mayfield by e-mail as part of the conspiracy and was also in regular communication with Thompson by telephone.

Federal authorities said Gaines first became part of their investigation of Thompson when they overheard Gaines in a court-authorized wiretap placing a bet on a college football bowl game in 2008. Agents subsequently received court permission for electronic surveillance of Gaines.

Earlier, the three defendants lost a bid to keep recordings from federal wiretaps out of court.

In October, a federal jury convicted Thompson on separate drug trafficking charges with Ralph Francis Deleo of Somerville, Mass., a Boston suburb. He is scheduled for trial Feb. 1 on the public corruption charges.

In the trial set to start Tuesday, Baggett is accused of selling guns and ammunition to Thompson, a felon

Atlantic City: crime amidst excess

Atlantic City public safety director seeks to fix police headquarters lacking up-to-date crime equipment

ATLANTIC CITY — Christine Petersen knows firsthand what Gov. Chris Christie was talking about when he said Atlantic City had become a crime-ridden mess when announcing a proposed state takeover of its tourist and casino districts this summer.

Petersen, who took over as the city’s public safety director in March, sees the glitz and glamour of the seaside resort juxtaposed against its dilapidation and despair: High-rise hotels and burned-out row houses, women in ball gowns and men in cardboard boxes.

On Atlantic Avenue, just two blocks from the ocean, Petersen — a cop, detective and lawyer — walked into police headquarters and took a step back in time.

"No computers," she said. "We have no computers."

She found a city where the squad cars did not have terminals on board. The department didn’t have automated dispatch and incident-recording systems. Cops couldn’t track where crimes were occurring so patrols couldn’t be adjusted the way they are in New York, Newark and Jersey City, where she rose to become a detective commander after working nearly three decades in the city’s police department. Officers on the road were still checking old-fashioned hard copies of "hot sheets" to see if cars they were pulling over had been stolen.

Hovering over it all, Petersen found an entrenched bureaucracy heavy with veteran cops riding desks and doing jobs that could be handled by cheaper civilian employees.

"This is a great place to live," Petersen said one sunny afternoon in her top-floor office. "But we have to rethink what we do."

Her education about what was wrong with the city came well before July 21, the day Christie announced "Atlantic City is dying" and said the state would save the casino and tourist destination with a new state-run, "clean and safe" entertainment district. The state may take over police responsibilities near the casinos or it may not. But Christie emphatically vowed crime would go down and the perception of Atlantic City would quickly improve.

Petersen doesn’t always agree with the tough-talking former prosecutor in the Statehouse and said she hadn’t heard from the governor or those advising him before — or since — his big announcement. And she said she certainly didn’t need Christie to give her the score.

But Petersen did not play the role of a denier. Just the opposite. Petersen said she, like her senior staff, knows Atlantic City has a bad reputation and in some ways deserves it. In spitting distance of the casinos with their limo-driven patrons and enormous boxing purses are open-air drug deals, murders and spots where the police themselves aren’t comfortable going without backup.

She said she doesn’t know why the remedies were not put in place over the years and, candidly, doesn’t have the time for a research project.

"There were studies done over the years," she said. "The studies were all here. We know the problems."

Petersen makes no effort to downplay the trouble she and the city’s 40,000 residents face, easily ticking off the sites of the most brutal or troubling crimes. She knows the statistics. From 2008 to 2009, the city’s crime rate jumped 10 percent. Even as murders remained constant, the rates of both overall violent crimes and robberies rose considerably as crime statewide declined.

Her first summer in town saw a hot-weather murder spike. And, almost immediately, Petersen, who also runs the fire department and beach patrols, walked into a huge struggle with police and fire unions over budget cuts, which are hitting every one of New Jersey’s urban governments. The Atlantic City police union held a vote of "no confidence" for Petersen this summer.

"The morale in this police department has never been lower," union president David Davidson said.

Petersen notes that Atlantic City’s crime rate is still half what it was a decade ago, and said the real crime problems are largely confined to the tough neighborhoods of Back Maryland and the Stanley Holmes Housing Village, more than a stone’s throw from the casinos’ bright lights. She said she isn’t writing off those sections but stressed: "Who’s going to leave the casinos and walk all the way (there)?"

What is close to the Boardwalk, the shopping area called The Walk and the Atlantic City Convention Center, are safe, she insisted.

What Petersen said bothers her most is the general look and feel of the blocks immediately surrounding the Boardwalk and casino areas. "It’s dark," she said looking down from Boardwalk Hall toward Pacific Avenue. "Would you want to walk down there?"

"Perception matters," agreed state Sen. Jim Whelan, a Democrat and former mayor of Atlantic City. "You’re not going to want to send your wife to walk down any of those side streets. There’s a lot of blight."

The side streets are poorly lighted. Vagrancy is a problem. Empty lots dot the city — a bad sign in any town that’s trying to attract visitors. It all combines to create a bad impression, one reinforced last summer by Christie, the state’s most visible spokesman.

With recent layoffs cutting the ranks from 365 to 300, Davidson, the police union president, said crime could worsen. "It’s a small city with big city problems," he said.

Petersen, 56, retired last year from her hometown’s police department. She wanted to lead a police department after retirement, but figured she would have to head as far south as Florida to get that opportunity. With little knowledge or experience in Atlantic City, Petersen sent in a résumé after learning the mayor was seeking to fill the position. She got the job, which pays $90,000 a year, and now lives in the city. She collects an annual pension of $82,100 from her career in Jersey City, according to the state Treasury.

While noting that some things like prostitutes and erotic massage parlors always go along with areas that attract tourists, the new director said she has been working with City Hall to make small changes that could mean a lot: better street lights, tree trimming that will allow the existing lamps to be more effective, ordinance enforcement to make the sidewalks look clean, make the garbage go away and eliminate blighted buildings.

She has also made moves inside the police department to expand the uniform presence on the streets despite budget cuts. Some special plainclothes units have been disbanded so cops could be added to street patrols. Petersen is trying to change internal policies to cut back on sick time and long-term leave, which, she said, have crippled some parts of the operation because of staffing shortages.

Despite opposition from the police union, Mayor Lorenzo Langford and other political leaders applaud her efforts.

"She’s been visible in the community — where it counts," said Atlantic County Freeholder Charles Garrett. "She’s doing what she has to do to try and fix a culture that’s been in existence for a long time. She came in, she had an idea just as any outsider. But when she got there, she realized it was worse."

Staff writer Chris Megerian contributed to this report.

Monday, December 6, 2010

Put a stop to reservation shopping for casinos

Put a stop to reservation shopping for casinos

THANKFULLY, PLANS for a massive Indian-run casino on the beautiful Point Molate shoreline of Richmond appear destined for a long-overdue burial. Now, it's time for Congress to get behind U.S. Sen. Dianne Feinstein's proposal to block similarly inappropriate casino plans elsewhere.

For six years, Richmond leaders have pushed the plans for a gaming center with more slot machines than the largest facility in Nevada. It would have turn Richmond, West Contra Costa and, indeed, the Bay Area into a gambling center.

Finally, city voters were asked last month what they thought of the idea and they overwhelming said they didn't want it. At the same time, voters elected a solid council majority opposed to the casino -- a council that will take control in January with the clear legal authority, and intent, to kill the plan.

We've heard rumblings that the lame-duck council might try to rush through approval of the project before it loses control of the city. We hope council members won't be that stupid.

Any such move would be political suicide for Nat Bates and Jim Rogers, the two casino supporters who will remain on the council next month. And defeated incumbents Maria Viramontes and Myrna Lopez could forget about any comeback if they ever hoped to run for elective office again.

Meanwhile, there's a bigger question: How did we get this far? When state voters in 2000 approved gambling on existing

Indian land, they never envisioned the now-common "reservation shopping" in which small landless tribes look for prime urban property far from their original homelands for casinos.

To complete the deals, the tribes need approval from the U.S. Interior Department. For that, they must show that they have a modern and historical connection to the land. That was very questionable in the case of the Guidiville Band of Pomo Indians, which wanted to open Point Molate casino.

And they must show that the casino would not be a detriment to the surrounding communities. Here, it matters greatly what the local officials say.

In the case of the Richmond casino, a majority of council members has been blinded for years by promises of gaming money and has ignored the social costs.

County officials, led by Supervisor John Gioia, who represents the city, have sold their support in exchange for promises of a cut of the action. And the city's congressman, George Miller, has stood by silently.

None of them seemed to have any concern for the wishes of their constituents. That's a shame.

There is one breath of political fresh air: Feinstein has called for an end to reservation shopping. Tribes, she says, should "demonstrate substantial direct modern and ancestral connections to any land they seek for casinos." We couldn't agree more.

As Congress considers language to clarify the requirements in the aftermath of a 2009 U.S. Supreme Court ruling, California's congressional delegation, including most notably Miller, who has a long history of work on Indian gaming, needs to support Feinstein's proposal and demonstrate it understands the wishes of the state's voters.

Woman stole cash to feed gambling addiction…

Woman stole cash to feed gambling addiction…

A store Manager from Priest Road, Swanage in the United Kingdom has embezzled funds to feed her gambling addiction.

Twenty-seven year old Kezia Hopkinson admitted that she stole £20,576 from WHSmith PLC while she was in charge of managing their sites at the Royal Bournemouth Hospital. Accountants noted that money was disappearing and that the books have been “cooked” to balance the cash figures, an investigation was launched right away to ascertain the cause of the financial irregularities.

A spokes person for the company commented: “Due to vast amounts of National Lottery pay-outs we’ve installed security cameras to monitor the office and tills. The footage indicated Miss Hopkinson stealing cash and slotted in bogus sweepstake refunds or winnings.” She was confronted and vehemently denied of stealing the cash until she was shown the CCTV footage, she admitted that she owed £12,000 to her creditors.

Police were informed that she went on a gambling and party spree with friends at a local casino and wagered large amounts of the cash on slot machines. She intended to pay the stolen cash back and purchase a new vehicle with her “winnings” matters soon got out of hand and she slumped into more and more debt. She also added that she couldn’t help herself and subliminally she became a gambling addict.” The court was compassionate on Hopkinson since her previous track record proved to be reputable and she was really “sorry” about her little escapade.

She claimed that she was under intense pressure from her bosses and they pressured her for more and more sales, it wasn’t long before she became depressed which further exacerbated her gambling problem.

The judge who handled Hopkinson’s’ case; Judge Roger Jarvis said the felony is “extremely grave,” and told Hopkinson: “People trusted her and that she wasted all the cash to feed her selfish addictions.”

The judge levied a 40-week prison sentence, pending for 18 months; Hopkinson will need to be supervised for a period of one year as well as a 20-day activity requisite.

Sunday, December 5, 2010

Anti-slaughter cash spent on casinos, meals

Anti-slaughter cash spent on casinos, meals - authorities


More than $US60,000 raised to supposedly save horses from slaughter was used for gambling, shopping, meals and other personal expenses, authorities in New Jersey allege.

State attorney general Paula Dow and the acting director of New Jersey's Division of Consumer Affairs, Thomas Calcagni, allege a significant amount of money raised to help horses through the unregistered charitable group was used to pay the expenses of its two trustees.

The state's seven-count lawsuit, filed in State Superior Court in Essex County, alleges that NJ Horse Angels and its two trustees, Sharon Catalano-Crumb and Frank Wikoff, used internet social networking sites to raise about $US145,132 from donors between September, 2009, and September, 2010.

An investigation found that at least $US61,422 in donations were misappropriated by Catalano-Crumb and used by her for trips to Atlantic City casinos, personal shopping, meals, pre-paid phone cards and cash withdrawals.

She allegedly bought jewellery for Wikoff, who is her boyfriend and a convicted felon, and also sent cash to her son who is serving a life sentence at Trenton State Prison.

The investigation continues, with $US9000 still unaccounted for, the agency says.

NJ Horse Angels was based in Phillipsburg, New Jersey, where Catalano-Crumb, 54, and Wikoff, 55, live. The pair are accused of multiple violations of the state's Charitable Registration and Investigation Act.

The lawsuit seeks restitution for donors, closure of NJ Horse Angels and the barring of Catalano-Crumb and Wikoff from working for any charitable organisation in New Jersey.

Civil penalties are also sought.

"We allege that these defendants defrauded donors for their own personal enrichment," attorney general Dow said.

"It's unfortunate that animal lovers and other well-meaning donors fell victim to a con woman who used horse photos and sob stories posted online to tug at their hearts and to open their wallets."

NJ Horse Angels operated under several different names, including NJ Horse Angels Rescue, NJ Killpen Horses, Horse Angels of Facebook, Camelot Auction Horse Angels, and The Forgotten Angels.

The common claim, according to authorities, was that horses intended to be sold and sent to slaughterhouses for processing into pet food would be saved and then cared for by NJ Horse Angels through donations.

NJ Horse Angels had more than 4900 registered friends on one social networking website.

The investigation found that Catalano-Crumb mixed donations in her personal bank account.

The investigation confirmed that some of the donations were used to rescue, transport and care for horses.

"This case illustrates how con artists can use sad stories and photos posted on social networking sites to defraud donors," said Calcagni, acting head of the division that carried out the inquiry.

"Our Charities Registration Unit is a resource that consumers can use to steer clear of individuals who mask their scams under the pretence of being a charity."

Calcagni noted that registered charitable organisations are required to file annual financial disclosures with the Division of Consumer Affairs.

Deputy attorneys general Anna Lascurain, who heads the Securities Fraud Prosecution Section, and Elizabeth Lash represent the state in the case. Volunteer attorney Aris Dutka is assisting.

Investigator Patrick Mullan carried out the inquiry.

Moody's Doubts AC Casino Reforms Will Work

Moody's Doubts AC Casino Reforms Will Work
Moody's doubts whether proposed Atlantic City casino changes will work to end slide


A key corporate credit ratings firm doubts that changing Atlantic City's gambling rules, including allowing smaller casinos and betting on sports and via the Internet, would help end the city's four-year slump.

Moody's Investors Service said in a report issued Monday that the proposed changes could send money "in one pocket, out the other" because gamblers aren't ready to spend more and the changes aren't likely to interest more consumers in gambling.

New Jersey lawmakers are proposing the changes to try to breathe new life into the nation's second-largest gambling market. But Moody's says Internet and sports betting will likely set off "a casino arms race" with Pennsylvania, New York and Maryland, which would likely allow them as well.

"The measures carry mostly negative credit implications that will effectively move revenues from one bottom line to the next without necessarily expanding them," the credit agency wrote in its report.

A state senator shepherding many of the changes through the state legislature called the report "a familiar refrain."

"I don't think we can sit here and do nothing," said Sen. James Whelan, the Democratic former mayor of Atlantic City. "My experience in most of a lifetime in Atlantic City has been that you need new product.

"If you do nothing, we'll continue to see a 25 percent slide over the next two years," he said. "Instead, we have an opportunity to attract back the market segment that we've lost."

Instead of invigorating Atlantic City's gambling market by adding new investment, allowing casinos with as few as 200 hotel rooms will cannibalize existing casinos like the Borgata, Harrah's and the Trump casinos, the rating company said.

"If the proposals survive legal challenges, we do not believe neighboring states would sit still," Moody's said. "New York, Pennsylvania and Maryland are likely to embark on a casino arms race, moving to legalize both sports betting and Internet gambling as a way to protect operators such as Yonkers Racing Corp. in New York, and Mohegan Tribal Gaming Authority in Pennsylvania.

"We do not believe Internet gambling and sports betting will grow the overall market because consumers will continue to feel pressure from economic forces such as high unemployment for quite some time," the report read. "We expect revenue would go in one pocket and out the other as gaming companies use different forms of gambling to vie for the same customer base."

The smaller casinos bill has passed both houses of the legislature and is awaiting action by Gov. Chris Christie, a Republican who has called for greater state control over Atlantic City's casino district. Other proposals need action by one or more branches of the legislature.

Atlantic City is in the fourth year of a revenue slump brought on by the nationwide economic downturn and by casinos opening in neighboring Pennsylvania, New York and Delaware.

Trading in stock of the nation's largest publicly held casino companies was quiet Monday. Shares of Las Vegas Sands rose 44 cents to close at $50.50, MGM Resorts International fell 3 cents to $12.26 and Wynn Resorts shares edged up 14 cents to $102.23.

Catskills casino deal a bad bet

Catskills casino deal a bad bet


About the best thing that can be said for Governor Paterson's surprise announcement of a $700 million casino deal in the Catskills with the Stockbridge-Munsee Mohicans is that the chances of it materializing are in the realm of when pigs fly.

That said, given the blossoming state of genetic recombination that's already given us Dolly the cloned sheep, we can't rule out the chance a particularly gifted hog may yet pursue a career in aviation. That's a worry.

But this casino and the hog face roughly the same odds, the longest of long shots.

And as far as the casino goes, that's a good thing.

Where to begin on why this is such a lousy idea? First and foremost, consider the source; actually, the sources.

The last thing an ethically challenged governor like David Paterson should be doing is making deals of any kind with anybody as he's walking out the door. The inspector general savaged him and his top lieutenants for their handling of the Aqueduct gaming bid process, and that's only one of several negative ethical evaluations Paterson has gotten in his brief tenure as governor.

Frankly, he hasn't got the moral standing at this point to make a gambling deal on behalf of the state. He should have passed it all off to the next governor, who does have that standing. There are so many complicated land claims and counterclaims, and proposed casinos by a half-dozen tribes more or less on the table at the same time that to strike impulsively, as he has, is to invite paralysis rather than resolution of a very complicated process. A resolution that has eluded governors all the way back to Cuomo I.

The other source to consider is the Stockbridge-Munsees. They brought their rather tenuous land claim a whopping 24 years ago. Until now, it wasn't taken all that seriously by the state or other tribes. What Paterson's people have done is elevate the Wisconsin-based tribe's land claims above others far more deserving as a matter of strategic convenience to attempt an end run around prevailing federal rules. Approval of where an Indian casino is located has been entirely in the hands of Congress or the U.S. Department of the Interior. For the feds to willingly give up this authority to individual states, which is what New York is attempting through a land-claim settlement, is up there with the pigs again.

Then again, why do we want to give a franchise to print money to a Wisconsin-based tribe in the first place? That makes no sense at all.

Now, I make no bones about being a steadfast opponent of the glib notion that a casino will save the Catskills' economy. This is Hail Mary economics at its worst. For me, the downsides of casinos preying on the poor and those eager for a quick fix outweigh the attractions of the money spigot that beguiles the shortsighted politician. On moral grounds, I think we invite more problems than we solve.

Sure, there's that great big New York City market to tap into, just dripping with disposable income.

But I thought we just approved, after an overly long and embarrassing process, an elaborate gaming deal at Aqueduct to relieve the Gothamites of their loose change. I have no special fondness for the Aqueduct crowd either, but aren't we betting against ourselves with the Catskill deal?

What I'm getting at is that we have yet to see a holistic state gaming plan that would put all of our casino and gaming aspirations into some understandable perspective. The Legislature, remember, in all its wisdom, approved three casinos for the Catskills. We certainly have enough experience with casinos in this state to answer questions such as, does the local economy really rebound from their presence as advocates claim? How much money does the state really collect? Can we do better? What are the best deals other states have made with their gambling tribes? What are the real problems casinos create for their surrounding geography?

If this were any other comparable business about to be franchised by the state, we'd have a business plan, a social impact plan and a thorough environmental assessment.

Instead, we know squat about what we can expect, from this proposal and the inevitable proposals to come. The vision of easy money mesmerizes governments even more than addicted gamblers.

A big reason I wish Paterson had left this alone is that Andrew Cuomo will be 10 times smarter about dealing with this issue. He is inclined to create broad-based commissions to lay the foundation for policy, before making any deals. That's exactly what's need with casinos in the Catskills.

Just a few years ago, then-Gov. Eliot Spitzer signed a similar deal for a Catskills casino with the Mohawks from up north. Like the current proposal with the Mohicans, the tribe in question never had a reservation anywhere near the proposed casino site. So the Spitzer-Mohawk deal stalled. Such proximity has been a condition of granting a casino by the feds in the past, and I can only hope that will continue to be the case.

At least until we can get our act together.

Gov. David Paterson’s casino plan puzzling

Letter: Governor David Paterson’s casino plan puzzling


John N. Schneider
Verona

To The Editor:

One wonders why Governor Paterson suddenly selected the Wisconsin Stockbridge-Munsee Indian tribe to build a casino-resort in the lucrative Catskill area near New York City.

The secret negotiations, leading to this decision, do not appear to have relied on meaningful input from knowledgeable affected entities.

The selection certainly was not made to settle a Stockbridge-Munsee land claim, which was announced as the primary reason. The U.S. Supreme Court Sherrill decision, by precedence, voids all Indian land claims in New York state. This is evidenced by the subsequent dismissal of the Cayuga land claim even after a $250 million settlement had been reached and also the dismissal of the local Oneida land claim. All New York Indian land claims are a thing of the past.

Governor Paterson should be aware of the land claim dismissals. A N.Y. state attorney argued the Sherrill case at the U.S. Supreme Court along with Ira Sacks, who represented the City of Sherrill.

The U.S. Bureau of Indian Affairs has ruled in the past, that Indian casinos must be within easy commuting distances from their respective reservations to provide for the intended daily employment of tribal reservation dwellers. A distant reservation, especially several states away, can not even come close to this requirement.

The governor is anxious to get a percentage of Indian casino gambling income to aid in reducing the N.Y. state budget deficit. However, he overlooked the fact that the larger amount of gross profits will aid the Wisconsin economy, not New York’s.

Selection of an out-of-state tribe can only result in numerous lawsuits from both in-state Indian tribes and affected non-Indian entities. These suits will delay or could even cancel this selection altogether. It cannot be fathomed why N.Y. Sen. Charles Schumer is backing this secretly made, poor decision.

Again, one wonders what really influenced this selection.

Fall River: Why gamble?

Fall River's casino vs. SouthCoast Biopark: Why throw out a sure thing to take a gamble?

By Robert A. Mellion, Esq.
Fall River Area Chamber of Commerce and Industry, Inc.


The Fall River Area Chamber of Commerce and Industry understands and supports all efforts to create jobs in and around the city of Fall River. This is why business leaders throughout the community have repeatedly called for immediate development of the stalled 300-acre SouthCoast BioPark and University of Massachusetts-Dartmouth bioprocessing facility projects.


Closing the door on the life sciences commerce park project is definitely questionable at a time when Fall River needs an economic shot in the arm. Remember that the money to build a 21st-century commerce park was in hand since April 2009.

Look back at what was traded away and ask yourself if it was a good deal. Almost two years ago, state and city officials gathered at a corner of the Fall River Industrial Park to unveil millions of dollars in grants for the express purpose of establishing the 300-acre life sciences commerce park in Fall River. The event celebrated what so many thought was to be the linchpin and turning point in Fall River’s economic future.

“This project builds on our investment in the life sciences supercluster and creates long-term regional prosperity in an environmentally responsible manner,” said Massachusetts Executive Office of Housing & Economic Development Secretary Gregory Bialecki. Fall River Office of Economic Development Executive Vice President Kenneth Fiola Jr. and state Sen. Joan Menard both mirrored Secretary Bialecki’s sentiment. When talking about the life sciences park, Mr. Fiola confirmed that “Two buildings just went under agreement,” in the Industrial Park, “and there are only 20 developable acres in the park. That’s why there’s the need to develop a park like this.”

Years of discussion, research and investment ultimately produced a comprehensive economic development master plan for Fall River. The plan was based upon constructing a diversified economy which drew from our industrial heritage. The architects of the life sciences commerce park, which included FROED, demonstrated repeatedly that close to $4 billion in buildings would be constructed over time as part of the economic development project.

Financial assumptions for the project were purposely modeled conservatively. If only two of 10 products reached the market each year over a 10-year period, the bioprocessing facility alone could indirectly generate the potential of 8,000 new jobs to the area. The calculation did not take into effect that a life sciences company might choose to locate at the commerce park on its own.

Life sciences jobs include both white-collar and blue-collar manufacturing, distribution, production, marketing and administrative positions. Keep in mind that the Fall River Industrial Park, which produces many of these jobs today, employs more than 6,500 people. Also consider that more than 60 manufacturing companies including Exemplar Pharmaceuticals, RTS Life Science, Isis Medical and Coast to Coast Medical, Inc. have had no issue against locating next to a landfill.

The plan to develop the SouthCoast BioPark in Fall River had support from state and federal government, nonprofit, education and private partners. Even in a recession economy the future was looking bright for Fall River. Something significant changed not too long after the current city administration took office in January.

The decision to seek out an alternative economic vision, while systematically scorching the life out of the commerce park project, was a significant breach from the comprehensive economic development plan for Fall River. Without community input, or a referendum, the city administration unilaterally turned its back on a $21 million dollar economic partner, the University of Massachusetts. UMass – Dartmouth was slated to be the first tenant of the life sciences park by producing the long sought after bioprocessing facility.

In May, the Chamber of Commerce believed it had a duty to the community it serves to ask a simple question. Why are we discarding a state supported shovel ready economic development and job creating project for the remote possibility of capturing a casino license? Seven more months have passed.

Robert A. Mellion, Esq. is the President & CEO of the Fall River Area Chamber of Commerce and Industry, Inc.

Tourism: Despite discounts, room tax revenue rises

Tourism: Despite discounts, room tax revenue rises

The average charge for a night's lodging in the Reno-Tahoe region over the first nine months of this year rose 1.4 percent from 2009, according to the region's tourism agency.


Discounts of up to 60 percent were posted recently on Expedia.com for one area property, Grand Sierra Resort, which for a time in November also was offering two nights free without an additional booking. GSR officials declined to comment.

The head of the Reno-Sparks Convention and Visitors Authority downplayed her concern even though two-thirds of the agency's budget is financed through taxes of up to 13.5 percent, depending on locale, on room receipts.

Feeling pressure

And it's a turn for the better from 2008 and 2009, when room tax revenues slumped badly enough that the RSCVA cut its budgets by a total of $8.5 million and slashed 38 jobs, leaving a staff of 104 today.


"The market continues to struggle in both California and Nevada," Hughes
[ Bill Hughes, director of marketing at the Peppermill Resort Spa Casino in Reno] said.

Moody's Lowers Mohegan To Highly Speculative

Some Palmer, MA residents still have fantasies of a Destination Slot Barn regardless of the reality befalling Mohegan Sun, ever-eager pursuer.




Moody's Lowers Mohegan Tribal Authority To Highly Speculative

DOW JONES NEWSWIRES

Moody's Investors Service moved the Mohegan Tribal Gaming Authority to highly speculative territory, saying the operator of casinos could find it difficult to refinance significant debt maturities without some impairment to bondholders.

Money laundering, Kremlin-style

Wikileaks provided invaluable insight into the world of corruption,
money-laundering and casino gambling in Moscow (worth reading in
their entirety) ---


WikiLeaks cables: Moscow mayor presided over 'pyramid of corruption'
Criminality, bribery and sleaze endemic in city administration, US ambassador reported to Washington


US embassy cables: Moscow mayor oversees corrupt system, says US


10. (S) According to XXXXXXXXXXXX, Luzhkov is following orders from the Kremlin to not go after Moscow's criminal groups. For example, XXXXXXXXXXXX argued that it was only a public relations stunt from Putin to close gambling. XXXXXXXXXXXX said he did not see the sense in suitcases of money going into the Kremlin since it would be easier to open a secret account in Cyprus. He speculated that the Moscow police heads have a secret war chest of money. XXXXXXXXXXXX said that this money is likely used to solve problems that the Kremlin decides, such as rigging elections. It can be accessed as a resource for when orders come from above, for example, for bribes or to pay off people when necessary. XXXXXXXXXXXX postulated that the Kremlin might say to a governor that he can rule a certain territory but in exchange he must do what the Kremlin says.


14. (S) Despite Medvedev's stated anti-corruption campaign, the extent of corruption in Moscow remains pervasive with Mayor Luzhkov at the top of the pyramid. Luzhkov oversees a system in which it appears that almost everyone at every level is involved in some form of corruption or criminal behavior.

Casino Capitalism: Culpability and Complicity

If JPMorgan is culpable in profiting from the Madoff scheme, why aren't casinos culpable for allowing patrons to gambling using funds the casino should have reasonably known exceeded the patron's ability to pay?

Why are casinos allowed to retain stolen funds and profits?

Madoff trustee sues JPMorgan, others for $6.4B

The bank used most by Bernard Madoff was "willfully blind" and "thoroughly complicit" in the disgraced financier's epic fraud, lawyers working for a court-appointed trustee alleged Thursday.

The suit alleges that as Madoff's primary bank for 20 years, JPMorgan had to know that the unwavering double-digit returns Madoff reported to wealthy investors were too good to be true. The trustee cited bank documents showing questionable transactions by Madoff as evidence it was in on the scheme.

The bank "was willfully blind to the fraud, even after learning about numerous red flags surrounding Madoff," said David J. Sheehan, an attorney working for Picard. "While many financial institutions enabled Madoff's fraud, JPMC was at the very center of that fraud, and thoroughly complicit in it. ... Madoff would not have been able to commit this massive Ponzi scheme without this bank."