Five Most moments that are baffling the Gambling Universe 2015: Part One

Five Mo<span id="more-8070"></span>st moments that are baffling the Gambling Universe 2015: Part One

A judge with a penchant for history and Shakespeare may are determined that March 15, 2016 would have been a deadline that is good Caesars to get lienholders up to speed with its bankruptcy restructuring plan.

Baffling moments in gambling, you state? What?

As top gambling journalists, it isn’t our job to be baffled; it’s our work to cut through the presssing issues with razor-sharp remarks and observations.

Sometimes, however, you just have to throw your hands in the fresh atmosphere and go WTF? Understanding that, here are the top five most gambling that is baffling of 2015.

CSIG Rhetoric

The Coalition to Stop Web Gambling CSIG) is an expert at churning out baffling statements, and in 2015, these may have struck their zenith. The coalition subscribes to the ‚it’s-true-because-it-rhymes‘ brand of rhetoric, and thus phrases such as ‚click your phone, lose your property‘ while the variation that is slightly zingier your mouse, lose your house,‘ went down gangbusters at anti-gambling cocktail parties in 2010.

Representative Jason Chaffetz‘ (R- UT 3rd District) assertion that RAWA is really a pro-states‘ rights bill, despite all proof to the contrary, was pretty ‚out there‘ in the bafflement stakes, we thought. And meanwhile, John Kindt, a teacher at the University of Illinois Law class, was partial to quoting a scholarly study from 1999, the days of dial-up Internet, as proof that ‚Internet gambling may not be regulated.‘

Finger on the pulse here, Professor.

However, the award for the most baffling CSIG statement of the year goes to a ’news‘ header on the company’s site which screamed ‚Online Gambling Hurts Farmers.‘

The logic of why this demographic is specially at risk is lost on us, and we realize CSIG is not averse to resorting to the use of emotive language to make an intellectually dishonest point or two, but farmers? The only correlation we could make was that spades might be used by farmers to dig things, so there you go.

The Daily Fantasy Sports Scandal

The fantasy that is daily (DFS) scandal ended up being pretty odd once you contemplate it. DFS continued its unstoppable rise throughout the first nine months of the year, with the most notable two sites, FanDuel and DraftKings, securing billions of dollars in investments as the multibillion dollar industry started mulling international expansion and world domination that is eventual.

With all of this at stake, you may have thought that someone at the 2 kingpin companies would have recalled to prohibit their players from playing games at rival sites.


DFS became thoroughly unglued at the conclusion of September, when it emerged that a DraftKings employee had accidentally released player data before the week’s NFL games had started. This employee won $350,000 playing at FanDuel in the same week.

Accusations of ‚insider trading‘ were perhaps overblown, and the employee was ultimately cleared of wrongdoing, but the public’s faith in DFS was shaken, and suddenly the industry ended up being attacks that are facing all fronts, from player legal actions to judicial investigations to denouncements from regulators and politicians.

Beware the Ides of March

That Caesars Entertainment’s debt appears at an unprecedented industry high of around $20 billion had been a fact that baffled the Nevada Gaming Commission at a meeting to discuss its messy bankruptcy proceedings this present year.

The Commission called the situation ‚embarrassing,‘ and suggested that the company refrain from ‚building any Ferris wheels for a while‘ to chuckles from assembled members associated with the press.

‚Everyone tosses the economy underneath the coach,‘ snapped commission chairman Tony Alamo testily.

In searching for Chapter 11 proceedings for its main running unit, Caesars has been accused by its second lien creditors of restructuring its assets in a means that unfairly prefers its controlling private equity backers, who were the people that got Caesars in this mess into the first spot.

Faced with lawsuits and accusations of fraudulent behavior, Caesars devised a restructuring plan that is new. Now the ongoing business is faced with the job of getting its reduced bondholders on board. The deadline with this is March 15 of next year, after which Caesars will eventually lose control over its own bankruptcy proceedings.

Shakespeare scholars among you will recognize this date because the one known as ‚the Ides of March‘ in the Roman calendar and the fateful day’s Julius Caesar’s assassination by his previous supporter, Brutus.

Who’d have thought that a bankruptcy judge would have this type of wicked feeling of humor?

There have been countless baffling moments in 2010, we’d to make this piece a two-parter, so come back tomorrow for more gambling that is bewildering moments from 2015.

Five Most Baffling Gambling Moments of 2015, Part Two

Revel owner Glen Straub finished up 2015 saddled with the planet’s biggest electric bill. (Image: Tom MacDonald/WHYY)

Welcome back to Part Two of our run down of 2015’s most baffling happenings, in which we ponder a number of the more mystifying occurrences associated with year inside and around the gaming universe.

Chukchansi Fees

In July, previous Chukchansi leader that is tribal McDonald accepted a plea discount and was sentenced to 485 times for false imprisonment after admitting to being the orchestrator of 1 of the very idiotic moments in the history of the casino industry.

The earlier October, he had lead an assault that is armed the Chukchansi Gold Casino, near Fresno, California.

McDonald had stormed the property with some 20 accomplices, delivering clients operating for cover, and ordering security guards at gunpoint into a secure area regarding the building. Guards were reportedly handcuffed and assaulted, but no casino customers had been hurt.

This this indicates, was the culmination of a power that is bizarre between two rival Chukchansi factions vying for control of the casino. McDonald had been running the casino from a business that is nearby up until August 2014, when a rival group, led by one Reggie Lewis, resulted in the evening and literally took the casino over.

While Lewis is great at surreptitiously taking over gaming properties, it seems his admin skills aren’t quite therefore hot, as he failed to file the accounts, which meant that the casino was facing a $16 million fine from the regulator and closure that is possible.

McDonald made a decision to take drastic action and charged into the casino with weapons drawn. We’re perhaps not quite certain what their goal had been, but he’ll have a lot of time to think about it in the pokey.

Straub’s Strange Energy

Eccentric billionaire Glen Straub is a lively and um, interesting source of activity this year. The property magnate initially lost the auction to buy the distressed Revel Casino home in Atlantic City and immediately blasted the auction as ‚improper.‘

Having suffered a bad bout of something, Straub explained, he previously flown from New Jersey to their house in Florida to recover his medicine, a proven fact that so coincidentally took him from the picture during the last crucial phase of the bidding process.

However, when the champion associated with the bid, Brookfield Asset Management, got wind of Revel’s astronomical power bill, a non-negotiable $36 million per 12 months, it bailed on the offer anyway. Straub stepped in, picking right up the $4.9 billion property for a song, at $82 million.

The idealistic developer initially said he wanted to reopen Revel perhaps not as a casino, but as an ‚elite university‘ where the world’s brightest people could spend their days ruminating on solving global issues such as ‚famine, cancer and nuclear waste storage.‘

Once he had his hands on the property, though, he decided that he’d probably simply reopen it being a casino after all, albeit it one devoted to ‚life extension science,‘ whatever that is.

By April of in 2010, it was none among these things. What it ended up being, however, in line with the Atlantic City Fire Department, had been a ’47-story fire risk,‘ as Straub ended up being refusing to honor the agreement with the adjacent power plant and had been take off.

A not enough flowing water through Revel’s pipes, with no electricity to allow firefighters access to the floors that are upper implied that a fire outbreak could possibly be potentially catastrophic.

The apparently cursed casino property stays shuttered while Straub’s unpaid power bills encounter the millions. Maybe he can’t read them while sitting in the dark.

The Fall of Macau: What occurred to the Gambling Fireball in 2015?

The fortunes of Macau were currently tumbling as 2015 started. The downturn actually started back in June 2014, as soon as the gambling hub recorded the first-ever monthly dip in revenues since Stanley Ho’s casino monopoly finished in 2012, a move that had effectively opened the Asian gambling region as much as international investment.

However, no one could quite have expected figures to fall so dramatically, and consecutively, month-on-month, for all of those other and throughout 2015 year.

Macau’s gambling enterprises were suffering from the anti-corruption drive of Asia’s president Xi Jinping (center) in 2015, which largely impacted the Asian gambling mecca’s junket industry this season. (Image: Adrian Bradshaw/EPA)

What occurred?

Just two months ahead of the downturn that is initial Macau had reported a record-breaking Q1 for 2014, with $12.6 billion in revenues. That has been up 19.8 percent through the quarter that is first of. And 2014 was on course to beat the season prior, itself a watershed year, and Forbes had been calling Macau ‚one regarding the earth’s fastest growing economies.‘ The enclave had been consuming in just two months what Las Vegas scored in per year.

Macau had benefitted significantly from the explosion in Chinese tourism in the preceding years. A greater freedom of movement and a burgeoning new middle that is chinese had certainly contributed to the gambling boom, and, as the Chinese economy began slow, so did the flow of gamblers through the mainland.

VIP Junkets Hit the Skids

But Macau’s bread and butter had for ages been Chinese VIP high rollers. With a fondness for high stakes baccarat, these whales‘ trips were facilitated by Macau’s multibillion-dollar junket industry. In reality, the junkets accounted for a few 60 percent of Macau’s revenues during the boom years.

Junket operators would act as middlemen, organizing trips and lending their customers large sums of profit order to control restrictions in the number of money that may be brought from the mainland. VIPs would then settle their debts on their return to China.

A lot of these VIPs were, in reality, corrupt Communist Party officials whoever fortunes were produced by kickbacks or embezzlement of general public cash. Corruption had reached epidemic proportions in China, and Beijing had had enough, vowing to trace fraudulent officials ‚to the ends regarding the earth.‘

Fearing reprisals from Beijing, the VIPs started to stay away of Macau, heading to Manilla in the Philippines, or to Vietnam’s Ho Tram Strip to instead get their kicks.

Unprecedented Crackdown

The drive that is anti-corruption squeezing Macau throughout the second 50 % of 2014. Aswell as scaring from the high rollers, Beijing had imposed restrictions on the use of UnionPay, Asia’s only domestic bank card, which further stemmed the flow of middle-class money from the mainland.

Meanwhile, the introduction of a blanket ban that is smoking casinos did not improve issues.

But by early 2015, Asia had ramped it up a notch, starting an ‚unprecedented crackdown‘ on the junket industry, tightening regulatory settings and demanding more transparency through the junkets about their clients and the history that is criminal of employees. By September, the junket industry was ‚broken,‘ according to Rob Goldstein, LVS president.

Brand New casino resorts, conceived through the boom time, still exposed their doors this such as James Packer’s Studio City Macau, while Steve Wynn’s Wynn Palace Macau due to open in the middle of next year.

Inspite of the malaise that is general stingy table games allocations for new casinos from the Macau regulator that will be bowing to pressure from Beijing, Packer said he remained positive about the spot’s long-term future, while conceding that Macau’s downturn happens to be ‚worse than anyone expected.‘

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