Caesars fined $1m for threatening Indiana gaming regulators

Casino operator Caesars Entertainment has finally managed to make nice with Indiana gaming regulators, but this peace came at a seven-figure cost.

Last November, Caesars announced a $1.7b deal to acquire Centaur Entertainment’s two Indiana racinos – the Hoosier Park in Anderson and the Indiana Grand in Shelbyville. But the company pitched a fit when the Indiana Gaming Commission (IGC) demanded a $50m fee for the transfer of ownership.

Under Indiana gaming law, the initial owner of a gaming venue must pay a transfer fee when a controlling interest in the property is sold. Caesars argued that Centaur had acquired the two venues after their original owners declared bankruptcy, a condition that allows the transfer fee to be waived. The IGC respectfully disagreed with Caesars’ read of the rules, leaving the acquisition in doubt.

On Tuesday, the Indianapolis Business Journal reported that the parties involved had worked out a deal under which Hoosier Park or its affiliates would pay the transfer fee before or at the deal’s closing. On Thursday, the IGC formally signed off on Caesars’ acquisition of the two gaming venues.