An unsuccessful appeal of a pair of court judgments could seriously impact the future of American Wagering Inc. (BETM), according to a recent filing with the Securities and Exchange Commission.
Also potentially offering a serious blow would be the company’s failure to sell its Australian Internet operation, Mega$ports.
Last year, BETM agreed to dispose of its Australian company after disciplinary charges were brought the Nevada Gaming Control Board. In order to permit the company to work out a sales agreement with an Australian company, the board granted three 30-day extensions, with the final date for completion of the sale being July 23.
The company executed a sales agreement with Forward Publishing Pty. Ltd. For $1,039,248 Australian dollars and accepted a deposit of $125,000. Unfortunately, Forward was unable to raise the monies necessary to complete the transaction and was determined to have defaulted on the deal.
The two court decisions under appeal involve a lawsuit brought by Michael Racusin, who charged breach of contract, and Imagineering Systems Inc., which filed a civil complaint charging breach of contract and an implied covenant of good faith and fair dealing.
Earlier this year, a jury refused to set aside the original award of $397,000 on the breach of contract claim but granted a new trial on the issue of damages awarded on the claim for breach of the covenant of good faith and fair dealing. That was contingent on Imagineering agreeing to reduce the judgment from $1 million to $500,0000, which it did.
The Racusin case resulted in a judgment for the plaintiff and payment in stock of 4.5 percent of $45 million plus $150,000 in cash. This was modified later and is now under cross-appeal.
Management said it believes it has sufficient funds to operate the company for the remainder of the fiscal year but is unable to judge the impact the loss of the court appeals would have.
BETM’s principal shareholders are Victor J. Salerno, chairman and CEO, and Judy Salerno, described as an investor.
Randy Black, operator of two hotel casinos in Mesquite, Nev., has received approved from the Nevada Gaming Control Board to acquire the nearby Si Redd’s Oasis Hotel Casino. Sale price has been listed at $31 million.
Black, who was questioned by the board about his dominance of gaming in the market, said he plans to upgrade the Oasis by injecting some $5 million in improvements.
THE INSIDER: PDS Gaming Corporation (PDSG) has extended its note exchange offer to Friday, June 22.
Smedes Rose, gaming analyst for Robertson Stephens, has started coverage of Penn National Gaming Inc. (PENN) with a "Buy" rating. He has a 12-month price target on PENN of $28.
The Aladdin is reported to be close to completing a deal with Showclubs of America to develop a showroom and nightclub in space at the property leased by the Aladdin. An opening date for the first quarter of next year has been announced. Actress Carmen Electra will perform nightly at the new venue.
A lawsuit filed by Caesars Ent. against the state’s top gambling regulator alleges he failed to disclose a potential conflict of interest in a timely manner. Caesars had been a partner of the Suffolk Downs horse track in a casino bid but withdrew after a background check.
New Jersey casino regulators have barred the world’s largest online poker website from Internet gambling in the state for two years. The state Division of Gaming Enforcement suspended the application of PokerStars, citing an unresolved federal indictment.
Atlantic City’s casino revenue increased by more than 27 percent in November compared to a year ago, and that’s only because Superstorm Sandy forced the casinos to close for nearly a week in November 2012.
Bob Christ’s Thursday NFL Football Breakdown | Spotting double digits the past three seasons has been a 50-50 proposition this season. But on the surface, if any team is a better choice than another it’s Peyton Manning’s Denver Broncos,
Wide receivers are not typically expected to make heavy contributions in their first year. That’s why the performance of Chargers wideout Keenan Allen quickly catapulted the third-round draft pick to the top of the list of candidates for NFL Offensive Rookie of the Year.
- Jaguars one of the hottest teams in the AFC
- GamingToday Casino Games and Poker
- GamingToday Sports Betting News
- Good, bad and ugly NBA basketball surprises
- Follow GamingToday on Twitter
- GamingToday Play Free Video Poker
- Strategies for winning during college bowl season
- Exploring how weather affects football betting
- Blackhawks turn to Raanta with Crawford injured
- Like GamingToday on Facebook