Commonwealth Court rules against Foxwoods investors
In a 6-1 decision the state Commonwealth Court today rejected an appeal from the investors behind Foxwoods, a failed casino project in South Philly, to overturn the state Gaming Control Board's December 2010 decision to revoke their gaming license.
Commonwealth Court rules against Foxwoods investors
Chris Brennan
In a 6-1 decision the state Commonwealth Court today rejected an appeal from the investors behind Foxwoods, a failed casino project in South Philly, to overturn the state Gaming Control Board's December 2010 decision to revoke their gaming license.
The investors argued in a Sept. 15 hearing in Harrisburg that the board moved two swiftly on two key issues: Whether the investors were still financially suitable to build a casino and whether they had violated a series of deadlines set by the board to get the project moving. After four years of delays, the investors were on a third casino design and operator when the board pulled the plug.
Commonwealth Court Judges Mary Hannah Leavitt and P. Kevin Brobson supported the decision but in a concurring opinion said that was because Foxwoods had missed so many board deadlines, not because of the financial suitability issue.
Commonwealth Court Judge Patricia A. McCullough cast the lone dissenting vote, noting that the investors "vigorously disputed" the financial suitability issue. McCullough also expressed concern that the decision caused the investors to lose the $50 million fee they paid for a state casino license without the benefit of a hearing to argue about that loss.
The investors have 30 days to decide if they want to appeal today's decision to the state Supreme Court. Their attorney, Steve Cozen, said they are studying the ruling.
"And while the result is disappointing, we are encouraged by the fact that at least three of the seven judges recognized that we were entitled to an evidentiary hearing with regard to financial suitability," Cozen said.
Big news. And thanks for posting the PDF of the court's opinion -- great use of the website.— NotADoneDeal- "The investors argued in a Sept. 15 hearing in Harrisburg that the board moved two swiftly..."
Compared to the amount of time Foxwood wasted any move would be "too swift".
Maybe in some cases - notably this one - political connections aren't enough to excuse incompetence.— He Visto Todo - It's kind of ironic that the investors who wanted to make a huge profit on other people's gambling, wound up losing $50 million in their own gamble. Pretty cool.— Urban Worker
- Agree with you totally! — Just Some Guy33
the sowed the wind, and reaped the whirlwind— oliver north- The residents of South Philly will rejoice. They get to keep disposing of their trash and old tires in the empty overgrown lot.— taxmanndumbeth
- The incompetence of this city is fairly staggering. How do you botch a gold mine such as a casino license?
And why are 3 stadiums that lure 8 M people into the city located down in that economic graveyard that is South Philadelphia? Those stadiums and 8 M people should be in Center City where they would help support hotels,retaurants,bars, retail etc etc..
My 2 cents. Build an upscale casino in Center City that can compete with the Borgata.— argonne - Chinatown fought against the stadiums, and frankly, it would have been a traffic nightmare. Once the Navy yard fills out and the subway gets extended, that section of deep South Philadelphia should be even nicer than it is now.
That's not to say an upscale Center City casino wouldn't be nice. It would have been nice to rejuvenate Market East, but what about stealing the Borgata idea and using the Boyd theatre as the entertainment part of a casino?— myawesomebike - It's nice that these Richie Riches have continued access to the judicial system. They can not meet deadlines. They need to just go away since they can not follow basic rules and deadlines. Who cares that they lost $50 million? It's called gambling and like the one-armed bandit that they hoped to clobber the public with --- they lost.— Anne Arkey
- What about the interference Nutter and those community groups who delayed Foxwoods from starting the building project for so long that Foxwoods lost their financing. This is another legal mess Nutter has created because he is clueless, while thousands of jobs and millions in lost tax revenue occurs because of Nutter's involvment. It's better to give them their license back and even a loan if necessary and six months to get up and running, otherwise they will have the whole matter tied up in court.— Speak-truth-2-power
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David Gambacorta spent a small eternity writing about cops, drug dealers and serial killers. Now he’s writing about power and politics – which sometimes reminds him of the old crime beat. He joined the Daily News in 2005. And yes, he knows you’re not quite sure how to pronounce his last name. E-mail tips to gambacd@phillynews.com
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Jan Ransom, a native New Yorker, joined the Daily News in 2010 after graduating from Howard University. She has since written about the difficulty of filing police complaints, tax deadbeats and life after violent home invasions. She joined the Daily News City Hall Bureau in 2011 and has plunged headfirst into reporting on administration budget battles and City Council shenanigans. E-mail tips to ransomj@phillynews.com
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Sean Collins Walsh is from Bucks County and went to Northwestern University. He joined the Daily News copy desk in 2012 and now covers the Nutter administration. Before that, he interned at papers including The New York Times, The Dallas Morning News and The Seattle Times. E-mail tips to walshSE@phillynews.com
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