Monthly Archives: September 2016

Icahn files formal request to close Atlantic City’s Trump Taj Mahal casino

Atlantic City’s Trump Taj Mahal is officially living on borrowed time after owner Carl Icahn filed papers seeking regulatory permission to close the property forever.

On Friday, New Jersey’s Division of Gaming Enforcement (DGE) confirmed that Icahn’s Trump Entertainment Resorts (TER) had formally requested the regulator’s permission to shut down the Taj Mahal as of Oct. 10 at 6am.

The Taj Mahal’s roughly 1k unionized workers have been on strike since the July 4 holiday weekend in an attempt to force Icahn to reinstate the pension and health benefits they lost in 2014 after Icahn assumed ownership of the bankrupt property.

Early in August, TER announced that negotiations with the Unite-Here union had reached an impasse and that the property would close after Labor Day. The union saw this as a negotiating play and adjusted its demands accordingly, but Icahn insisted his mind was made up.

Icahn files formal request to close Atlantic City’s Trump Taj Mahal casino

Atlantic City’s Trump Taj Mahal is officially living on borrowed time after owner Carl Icahn filed papers seeking regulatory permission to close the property forever.

On Friday, New Jersey’s Division of Gaming Enforcement (DGE) confirmed that Icahn’s Trump Entertainment Resorts (TER) had formally requested the regulator’s permission to shut down the Taj Mahal as of Oct. 10 at 6am.

The Taj Mahal’s roughly 1k unionized workers have been on strike since the July 4 holiday weekend in an attempt to force Icahn to reinstate the pension and health benefits they lost in 2014 after Icahn assumed ownership of the bankrupt property.

Early in August, TER announced that negotiations with the Unite-Here union had reached an impasse and that the property would close after Labor Day. The union saw this as a negotiating play and adjusted its demands accordingly, but Icahn insisted his mind was made up.

Caesars bankruptcy mediator resigns

Casino operator Caesars Entertainment’s interminable bankruptcy proceedings got even more complicated after word broke that the court-appointed mediator had abruptly resigned.

Back in March, retired judge Joseph Farnan was enlisted to mediate negotiations between creditors and Caesars’ bankrupt main unit, Caesars Entertainment Operating Co (CEOC). On Friday, Farnan submitted his letter of resignation, saying “recent events have convinced me that I am unable to continue the mediation process.”

Caesars has been trying to win approval of its restructuring plan ever since CEOC filed for Chapter 11 bankruptcy protection in January 2015. Junior creditors have balked at Caesars’ lowball offers, and have filed lawsuits in New York and Delaware challenging the pre-bankruptcy asset transfers that stripped CEOC of much of its value and for Caesars having reneged on pledges to honor CEOC’s debts.

Two weeks ago, US Bankruptcy Judge Benjamin Goldgar ruled that those lawsuits could proceed based on the apparent lack of progress in the restructuring negotiations. A different federal judge has stayed those lawsuits until October 5 to allow Caesars to appeal Goldgar’s ruling.

Betfair moving to Northern Territory

Online betting operator Betfair Australia says it’s shifting its down under business from Tasmania to the Northern Territory.

This spring, Northern Territory politicians approved legislation allowing its online gambling licensees to offer exchange betting. Gaming Minister Peter Styles made no bones about his intention to “lure” Betfair from its existing licensing jurisdiction of Tasmania.

On Friday, The Mercury confirmed that Betfair had signed a new licensing agreement with the Northern Territory Racing Commission, the licensee of choice for the majority of Australia’s online betting operators. The new relationship will formally commence as of Sept. 20.

Despite the licensing shift, a Betfair spokesperson said its Glenorchy office “remains the backbone of our operations, and that’s why we will be maintaining jobs in Tasmania.” The spokesperson didn’t indicate how many of the 50 staff working at the Glenorchy office would be retained.