By Josh Resnek
The Massachusetts Gaming Commission (MGC) announced last week that it will be holding closed door hearings to discuss issues surrounding a multi- million lawsuit between it, the MGC, and the original owners of the land, FBT Realty.
Claiming public discussions might have a detrimental effect on the bargaining position of the Commission, the MGC opted for an executive session.
It is believed at least two executive sessions were held last week by the MGC.
What is at risk for the MGC?
It is very likely the MGC will be forced to payout millions of dollars to FBT and that Wynn Resorts will be forced to do the same, to satisfy claims by FBT that the MGC reduced the price of the land from $75 million to $35 million to seal the deal for Wynn Resorts to acquire it.
A source familiar with the lawsuit has estimated that a settlement might pay back FBT partners as much as $20 million of the $40 million reduction.
Wynn struck a deal with the partners of FBT for $75 million when the initial option to purchase was executed in December 2012.
A year later, after MGC accused certain FBT members of altering documents to hide the interest of a convicted felon, a person law enforcement believed was associated with organized crime. The acquisition was put into jeopardy.
Continue reading Mass Gaming holds closed door hearings on land lawsuit
By Walter Pavlo
For the Leader Herald
Wynn Resorts CEO Matthew Maddox took over the company in a crisis that would have tested the most seasoned executive. As the right-hand-man to Steve Wynn for nearly 20 years, Maddox not only learned from the casino magnate but earned his respect. Now Maddox is considering whether the company stays in Boston or moves on.
The Massachusetts Gaming Commission (MGC) gave its decision on Wynn’s suitability last week with a number of conditions, including a fine of $35 million for the company and $500,000 for Maddox. While one would think Wynn/Maddox would cut the checks and move on, MGC’s wording in its decision may cause problems for Wynn down the road … or it could offer a way for Wynn to bow out gracefully.
Continue reading Mass Gaming’s Decision Offers Peril And Opportunity For Wynn Resorts
If Wynn Resorts wants to go a long way in rehabilitating itself then it must sign the Massachusetts Gaming Commission judgment, agree to all of it, and send the $35 million to the state.
Claiming their lawyers must carefully scrutinize every word of it before signing, or that they might not sign it is rubbish.
This should have already been done.
The money should already have been transferred into the Massachusetts Treasury.
Instead, Wynn Resorts does not want to seem too hasty before agreeing and sending in the money to gain their suitability to be acceptable to hold a license.
The MGC is allowing Wynn Resorts to buy its license with a $35 million payment.
Pay the money and everything is forgotten.
Continue reading Stop the grandstanding; Sign and pay $35 million
By Josh Resnek
This week’s meeting of the Massachusetts Gaming Commission was a bit like the frosting on the cake for Encore officials.
The discussion was no longer about suitability or cheating and lies. It was about getting the casino and hotel open on time and making predictions about how best to handle the crush of humanity that will descend upon the place on the day it opens.
That day is set for June 23 – but finishing touches have a long way to go.
The casino has already brought 930 employees on board. Encore officials said 86 percent of its total hires are currently in its hiring process. At its peak, Wynn Resorts expects the workforce at Encore Boston Harbor will total about 5,500.
When opening day comes, Encore Boston Harbor will put into action a plan that it has developed over the last year-plus with community officials from surrounding cities and towns, local, state and federal law enforcement agencies and other partners.
Continue reading Full speed ahead for Encore; MGC hears Wynn officials
By Josh Resnek
The debate rages on about what is going to happen as the decision presumably comes closer everyday as to whether or not the Encore Casino owned by Wynn Resorts will receive a license from the Massachusetts Gaming Commission.
The MGC has given no indication when or how it is going to rule.
Here in Everett, this coming MGC decision is the vote of a lifetime for the city.
Everett awaits the outcome with baited breath as everything about the city’s immediate financial future hangs on the vote made by the MGC.
The mayor is believed to have cancelled his annual state of the city address until the vote is decided. After all, the state of the city depends almost entirely on Wynn Resorts getting a gaming license.
The mayor is said to be extremely jittery and nervous about the outcome of the MGC’s deliberations.
“He could not get himself to address the city without knowing about the outcome of the vote first,” said a source close to the mayor.
“Can you imagine him speaking about the state of the city without knowing what the MGC is going decide?” added the source.
Continue reading Globe wants casino at any price; Herald wants the license denied