The government of Laos will get no help from US courts in pursuing claims against the former operators of the Savan Vegas casino.
Last Thursday, a federal court judge in the Commonwealth of the Northern Marianas Islands granted a motion to dismiss a petition brought by the Laotian government seeking the issuance of subpoenas against Bridge Capital LLC, the alleged power behind the former operators of the Savan Vegas Hotel & Entertainment Complex.
If you’re just joining us, in 2007, the Laotian government entered into a joint venture with a consortium consisting of Netherlands-registered Lao Holdings and Macau-based Sanum Investments to run the Savan Vegas casino. But the government seized the property in 2012, claiming to be owed $23m in back taxes and penalties from the operators.
After the JV went south, the parties began arbitration proceedings, which were settled in June 2014. The terms required Lao Holdings and Sanum to sell their interest in exchange for Laos dropping its tax-dodging and criminal bribery charges. Both parties quickly accused the other of violating the settlement, and here we are.