The company behind a casino which was closed down after a string of complaints is making new attempts to get its house in order.
Tropicana Entertainment LLC — former owners of Atlantic City’s Tropicana Hotel Casino — says it will break its ties to a controversial Kentucky businessman and separate its Las Vegas casino from its other properties.
Tropicana’s casino license was cancelled in 2007 for “failure to meet operating requirements” — only the second time in Atlantic City’s 30 years of casino gambling.
In November, New Jersey’s Supreme Court upheld a gaming watchdog’s decision to revoke Tropicana’s license and ordered the hotel and casino to be sold.
The company filed for Chapter 11 bankruptcy protection last May and has been trying to find ways of handling its £2 BILLION debt.
The shortfall is largely the result of the £1.4 BILLION buyout of casino rivals Aztar Corp just before it was hit by the double whammy of losing its Atlantic City casino license and the global financial crisis taking hold.
Tropicana now says it will create an organization named OpCo to house 10 casinos and resorts, including sites in Evansville, Indiana, and Atlantic City. Tropicana’s Las Vegas casino will be run by a company called LandCo.
Part of the deal scraps the ownership interests of controversial Kentucky businessman William Yung III and strips him of any assets in the reorganized company.
Last June, Yung stepped down from the board of Tropicana — which is based in Crestview Hills, Kentucky — and signed away his right to control it, though he still owns it.