MGM Cashing Out Of Atlantic City

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MGM Mirage has responded to New Jersey regulators concerns about the suitability of its Macau partnership by cashing out of Atlantic City.

After reports that the New Jersey Casino Control Commission was investigating the gaming companies partnership, an undisclosed source said MGM is looking into selling its 50% stake in the Borgata casino resort, co owned with Boyd Gaming, in an attempt to avoid a hearing.

The state is concerned with the companies partnership with Pansey Ho, the daughter of Stanley Ho, who allegedly “has ties to Asian organized crime.”

MGM disagrees with the state’s assessment however is concerned that a negative ruling could prompt inquiries in other states where MGM Mirage operates.

Nevada regulators determined that the relationship posed no threat to MGM or to the state of Nevada and cleared the partnership. The company under went brief discussions with Mississippi; and Illinois and Michigan has not felt the need to review the partnership.

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