Bally’s and Hard Rock are among eight candidates vying for three highly coveted licenses. The licensing process is in a critical stage, with the final decision expected by the end of the year.

Bally’s Bronx Casino Hopes Could Be Over

On July 14, the New York City Council voted 29-9, with four absentees, to reject Bally’s rezoning application for its project at the site of the former Trump Golf Links at Ferry Point. The decision effectively ends Bally’s hopes for building a $4 billion casino resort.

Republican Councilwoman Kristy Marmorato, whose district includes the potential casino site, introduced a motion to disapprove the project.

Last month, Marmorato was among the Council members voting against Bally’s plan to advance to the state legislature. While the Council initially refused to vote on it, New York City Mayor Eric Adams helped the bid move forward with a last-minute home-rule message.

After the vote, Marmorato said that the developers “came to the table a little too late, with promises too vague and a process too flawed to rebuild the trust that was already lost in our community.”

She added: “This is not real economic development. This is not housing, a hospital or community improvements. It’s a casino.”

Bally’s CEO Soo Kim called the vote “incredibly disappointing,” noting:

“We had met the council member’s ask in terms of what exceptional community benefits they wanted. That ask was moving the goalposts from the prior ask, which we had met as well,” he said. “It’s sort of nutty. What more can we do than meet the ask?”

Without zoning approval, Bally’s cannot advance in the licensing process, which includes multiple hearings by Community Advisory Committees and review by the Gaming Facility Location Board.

Metropolitan Park Bid Faces Unusual Hurdle

While Bally’s appears to be out of the running, another major contender, the $8 billion Metropolitan Park proposal in Queens, backed by Mets owner Steve Cohen and Hard Rock International, could face unexpected turbulence.

On the same day as Bally’s rezoning defeat, Hard Rock announced that it had suspended Senior Vice President Alex Pariente and two other employees amid anti-money-laundering (AML) allegations.

First reported by Casino.org, Pariente allegedly was involved in significant money structuring practices and facilitating questionable gambling activities at Hard Rock’s property in Punta Cana, Dominican Republic.

In one instance, one employee, at Pariente’s direction, took a $100,000 deposit from a Chinese national. She then broke it into 33 separate $3,000 deposits. These actions violated AML regulations.

Hard Rock became aware of the allegations by whistleblower Robert “R.J.” Cipriani, also known as RobinHood702 in gambling circles. Cipriani is a high-stakes gambler and federal informant with a history of exposing compliance failures.

The whistleblower previously flagged similar misconduct at MGM properties, involving then-president Scott Sibella, and later at Resorts World Las Vegas. Sibella’s AML misconduct had cost his career and substantial fines for both operators.

Although Metropolitan Park’s application is considered a strong contender due to Cohen’s political ties, Pariente’s suspension could pose a reputational challenge to the bid.

Regulators will likely scrutinize Pariente’s actions and AML allegations when vetting the license applicants. As part of the licensing process, the New York State Gaming Commission conducts thorough background checks on corporate executives.

Also, while Hard Rock has acted swiftly, rival bidders could seize on the controversy to question the bid’s suitability.

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Seminole Hard Rock Support Services

Seminole Hard Rock Support Services, an organisation created to provide support worldwide to hotels, casinos and cafes for Seminole Gaming and Hard Rock International, has unveiled the appointment of Keith Sheldon as the new president of entertainment.

In the role, Sheldon will oversee and direct the entertainment function for Seminole Gaming and the Hard Rock International brand.

Sheldon most recently held the position of executive vice president of programming and development at BSE Global, where he led the development of content opportunities and special events at Barclays Center.

“Keith Sheldon has a proven track record of success and an impressive list of accomplishments from his previous endeavors that will set him apart in this role at Seminole Hard Rock Support Services,” said Jim Allen, chairman of Hard Rock International and CEO of Seminole Gaming.

“We are excited to welcome him to our team and are certain he will continue to leverage his expertise in the entertainment industry to provide unbeatable experiences that our fans will enjoy for years to come.”

Paysafe

Payments platform Paysafe has appointed Afshin Yazdian as CEO of its newly formed US acquiring division, joining the firm on July 1 and being charged with “bringing to life Paysafe’s vision of being the US’s leading payments solutions provider”.

Yazdian boasts more than two decades of leadership experience in payments, and most recently held the position of president of Priority Payment Systems, a Georgia-based payments technology firm.

This latest appointment completes the executive leadership team for Paysafe’s restructured Payment Processing business unit, which now operates as two, distinct customer-focused divisions.

Philip McHugh, CEO of Paysafe Group, commented: “We’re delighted to complete our executive leadership team in payment processing with the appointment of Afshin. The current COVID-19 outbreak poses significant challenges for our direct merchant customers as well as our ISO and Agent partners, and we’re confident that Afshin, with his track record of building and managing high growth organisations, and his laser focus on customer service, will ensure that we all emerge stronger as the market stabilises.”

Alot solutions

Alot Solutions has announced the appointment of Abigail Wahnon as head of legal and compliance. This appointment will support the business as it continues to expand in the B2B and B2C markets providing prize cover, technology and content to a wide range of customers.

Wahnon is lauded as bringing over 10 years of corporate legal experience, having worked in senior management, legal and regulatory positions in Gibraltar, Spain and the UK. She will be responsible for legal, company secretarial and compliance functions at the company and will help to support and contribute to the continued growth of the business.

Michael Carruthers, CEO of Alot Solutions, commented: “Earlier this year Alot Solutions launched to offer our prize cover, technology and content to a diverse range of operators. Having someone of Abigail’s calibre join our team will help us to grow quickly and safely as we power innovation in the lottery, gaming and prize promotion sectors to benefit players, operators and their good causes.”

Hong Kong Jockey Club

The Hong Kong Jockey Club has named Philip Chen as the chairman of the club after being elected by the firm’s board of stewards.

Chen will take over from Dr Anthony Chow, who has stepped down from the HKJC after 18 years as a steward, two of which were as chairman.

In addition to Chen’s appointment, the board confirmed that Michael T H Lee was elected as the new deputy chairman. Lee has been a club member since 1989, a voting member since 2001, and currently serves as director of Oxer Holdings.

Speaking about the chairmanship, Chen said: “It is an immense honour and privilege for me to take up this new role. Our past chairmen, stewards, voting members and management have built a strong foundation for the Club over the decades. In particular, I would like to thank my predecessor, Dr Anthony Chow, who has contributed so much to the Club and to the community it serves.”

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Kelley brings significant knowledge to the position at Hard Rock Hotel & Casino Tejon, as his industry experience spans over two decades.

As President, Kelley will oversee operations at the casino resort which is based in Kern County, California and set to open in late 2025. He will report to Jon Lucas, COO of Hard Rock International.

Commenting on his new role, Kelley said: “I am so thrilled to join the Hard Rock Hotel & Casino Tejon team as President. This is an incredible opportunity to lead a dynamic and exciting property that embodies the spirit of entertainment and hospitality. 

“I look forward to working with the talented team here to create unforgettable experiences for our future guests and to drive the continued success and growth of this iconic brand.”

Kelley most recently served as President & COO of MGM Resorts International Northeast Group, overseeing operations at MGM Springfield in Springfield, Massachusetts and Empire City in Yonkers, New York.

With MGM Resorts, he has also worked in the position of President & COO of MGM Northfield Park, in addition to being CFO of MGM Detroit. He has also held leadership positions at Viejas Casino & Resort in San Diego, California, including CFO and General Manager.

Lucas added: “A veteran of the casino and resorts space, we are so excited to have Chris join our team and lead operations at the new Hard Rock Hotel & Casino Tejon set to bring premier gaming and live entertainment experiences to the growing Kern County area. 

“We are confident Chris will bring forth his innovative and extensive background in finance and operations, ensuring continued growth and excellence for Hard Rock’s leadership in the gaming industry.”

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Earlier this week, The Star told its investors that it had received interest from several external parties about potential transactions, which have been unsolicited, preliminary and non-binding.

The Australian casino operator added that none of the approaches had “resulted in substantive discussions” but it “remains focused on its remediation activities in New South Wales and Queensland and participating in the Bell Two Inquiry”.

The party that had approached The Star was not named by the operator at this time. However, a report in the Australian Financial Review later stated that Hard Rock International was considering purchasing the Australian operator and renaming it Hard Rock.

According to The Sunday Morning Herald, the Australian Securities Exchange requested The Star to explain the nature of the discussions which had taken place regarding a potential purchase.

The Star then explained in another statement that it hadn’t received a proposal directly from Hard Rock Hotels and Casinos, but it had “received inbound interest from a number of other external parties regarding potential transactions including a consortium of investors which includes the entity Hard Rock Hotels & Resorts (Pacific), which The Star understands is a local partner of Hard Rock”.

Hard Rock denies involvement

However, the purchase speculation has led to confusion, resulting in Hard Rock publishing a statement of its own to clarify that they are not involved in a proposed purchase of The Star.

The operator also noted that it is investigating the situation and would be seeking legal action if necessary.

The Hard Rock statement read: “Hard Rock International would like to address recent reports regarding a proposed purchase of the Star Entertainment Group Limited (Star) in Australia. We want to make it clear that Hard Rock International is not involved in, nor has it authorised, any discussions, activities or negotiations on its behalf in connection with a proposed bid for Star. Hard Rock International has similarly not authorised the use of the Hard Rock brand in connection with any proposed bid for Star by any third party. 

“Our brand is built on a legacy of integrity, excellence and a commitment to our guests, partners, and team members worldwide. Any misuse of the Hard Rock name in unauthorised business dealings is taken very seriously. We are currently investigating this matter and will pursue all necessary legal actions to protect our brand and reputation. 

“We urge stakeholders and the public to rely only on official communications from Hard Rock International for accurate information regarding our business activities and partnerships.”

The Star adds further clarity

The Star has since released a follow-up statement to add further clarity for investors.

“The Star Entertainment Group Limited (The Star or Company) refers to the announcements released yesterday following various media articles regarding potential corporate activity involving The Star,” noted The Star’s statement.

“As noted yesterday, The Star has not received any proposal directly from Hard Rock International.  

“The Company has received inbound interest from a number of external parties regarding potential transactions, including an incomplete and indicative proposal from a consortium of investors which included the entity “Hard Rock Hotels & Resorts (Pacific)”.  

“The Star confirms that it has not engaged in substantive discussions with the consortium in respect of its proposal.

“The company today notes the statement issued by Hard Rock International which clarifies that Hard Rock International is not involved in, nor has it authorised, any discussions, activities or negotiations on its behalf in connection with a proposal for The Star.  

“The Star will keep shareholders informed in accordance with its continuous disclosure obligations.”

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Operations will cease at The Mirage on July 17 for the development to begin for Hard Rock’s new integrated resort, featuring a close to 700 ft guitar-shaped hotel in the centre of the Las Vegas Strip. 

“We’d like to thank the Las Vegas community and team members for warmly welcoming Hard Rock after enjoying 34 years at The Mirage,” said Jim Allen, Chair of Hard Rock International.

“We’d also like to thank the Unions, community leaders, local and state government organisations and the Gaming Commission for their support and fair negotiations over the past year. Also, we are grateful to MGM for assisting with our transition.”

HRHCLV is expected to double the current number of jobs at The Mirage for the Las Vegas community, with the property’s renovation generating over 2,500 construction jobs.

In addition, $80m will be paid by Hard Rock in severance packages for eligible union and non-union employees remaining with the property through cessation of operations. The Hard Rock Cafe on The Strip remains open for business.

Joe Lupo, President of The Mirage, added: “While we pause for the incredible transformation of this iconic property, I’d like to thank all team members at The Mirage for their incredible commitment and helping us provide memorable experiences for our guests. 

“We are planning to host collaborative hiring events with other employers in the Las Vegas community over the coming months. Connecting the thousands of talented Mirage team members who provide outstanding service with new employment opportunities is a top priority.”

Any guest with room reservations or show tickets at The Mirage beyond July 14 will have their purchase automatically cancelled, and refunded, 

Meanwhile, guests with reservations booked through a third-party provider or online travel agency will automatically be cancelled. Third-party providers should be contacted directly for rebooking availability or possible refunds.

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Reporting to Chief Operating Officer Jon Lucas, Rees will be responsible for leading and supporting all aspects of Hard Rock’s hotel portfolio, including corporate-managed and franchised locations.

Rees brings to the role over 30 years of experience in the hospitality industry, most recently as the Vice President of Resort Operations and Guest Experience at Marriott Vacations Worldwide.

“I’m thrilled to join Hard Rock at this pivotal point of the Hard Rock Hotels brand journey,” commented Rees.

“Our future pipeline of hotel projects is very robust which will allow me to work with my teams to innovate and create more of the special brand touchpoints and guest experiences our fans expect.

“My goal is to make Hard Rock Hotels feel like the coolest place to stay with the best vibe and where every guest around the world is made to feel like a VIP.”

Rees began his hospitality career as an Executive Chef, before stepping into Food & Beverage Director roles and Hospitality Operations positions. He has previously held senior hotel operations leadership roles at Marriott International and Ritz-Carlton.

Lucas added: “We’re thrilled to have John lead the Hard Rock Hotel team as we continue to elevate our position as one of the world’s most recognized global hospitality brands. 

“His depth of experience guiding world-class luxury and lifestyle hotels paired with his results-driven leadership style makes John an invaluable addition to our company.”

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This centres around 50 acres of developable land surrounding the MLB Franchise’s Citi Field stadium, with a Hard Rock International partnership and community first approach central themes of the proposal.

In addition to hosting over 500 meetings with community leaders and holding a number of sessions united thousands of guests, Cohen is vowing to deliver 15,000 “good-paying, permanent and construction union jobs”. A priority for hiring will be afforded to local residents.

The Metropolitan Park complex is intended to be “a destination not just for baseball season, but 365 days a year”, with Cohen citing the millions of local and international visitors to the region as a crucial opportunity that needs to be capitalised on.

In addition to 2.4 million residents of Queens County and three million Mets fans, the surrounding area is home to Flushing Meadows, the home of the US Open, as well as a planned New York City FC stadium, which are projected to attract more than one million visitors. LaGuardia airport, which attracts 22 million passengers, is also in close proximity. 

“It’s time New York got the sports and entertainment park it deserves. When I bought this team, fans and the community kept saying we needed to do better,” Cohen noted.

“Metropolitan Park delivers on the promise of a shared space that people will not only want to come to and enjoy, but can be truly proud of.”

The proposal vows to create acres of new green space, as well as connecting Flushing Meadows Corona Park to the waterfront of Flushing Bay, and adding an array of bike paths as well as providing recreational athletic fields.

In addition to a potential Hard Rock branded hotel, restaurants, bars, casino gaming space, sportsbook and live music venue, the development would also comprise affordable and authentic dining options, cuisine featuring local vendors and community event space.

Furthermore, transportation links would include an accessible mass transit station, improved and efficient parking and a modernised road and bike network.

Jim Allen, Hard Rock CEO, added: “Hard Rock has been committed to New York since our first restaurant in 1984, and we’re excited to extend our stellar reputation as an employer, community partner, and world-class entertainment company to the World’s Borough.”

The New York State Gaming Commission began the bidding process for the three commercial casino licences in January. Each will require applicants to pay a minimum capital investment and licence fee of $500m each.

Several casino operators have expressed interest in one of the three licences on offer including a Jay-Z and Caesars project in Times Square, Wynn Resorts‘ casino proposal at Hudson Yards and Thor Equities, Saratoga Casino Holdings, Chickasaw Nation and Legends Hospitality’s Coney Island bid.

Additional interest has been expressed by Las Vegas Sands, MGM Resorts, Mohegan Gaming and Bally’s, among others.

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Reporting directly to Hard Rock International Chair and CEO of Seminole Gaming Jim Allen, Zahn’s role will involve overseeing accounting, financial planning and analysis, risk management, treasury, corporate finance, and capital markets execution, as well as contributing to the company’s overall strategic development.

Bringing more than a decade’s worth of knowledge and experience to the EVP and CFO positions, Zahn’s most recent public company role was with Wynn Resorts, where he served as Senior Vice President and Treasurer from 2019 to 2022.

Commenting on Zahn’s hiring, Allen said: “Vincent’s expertise and background in casino gaming and financial markets make him an invaluable asset to the global growth of our organisation. We are excited to welcome him to the leadership team.”

Zahn’s previous roles also include working for approximately five years as an equity analyst on Wall Street covering casino gaming and hospitality companies at Bank of America Merrill Lynch, as well as the VP and Treasurer of Pinnacle Entertainment for seven years.

Back in May, Ragheb Dajani was appointed as Senior Vice President of Development at Hard Rock International.

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Noting that “the time has finally come”, the ceremony for the future Hard Rock Hotel & Casino Ottawa will take place on Tuesday 6 June, 2023.

Hard Rock executives will be joined by elected officials, and business and community leaders to unveil new renderings and details on what is hailed as a “highly anticipated tourism and entertainment destination in the national capital”.

This will be held indoors at the live venue of the Rideau Carleton Raceway Casino, operated by Hard Rock International and governed by Ontario Lottery and Gaming Corporation.

The wider venue offers more than 1,200 slot machines and electronic table games, such as blackjack, roulette, baccarat, craps, as well as a VIP high limit gaming salon, numerous food and beverage outlets and live seasonal horse racing.

The ceremony, which vows to begin the development of “a unique and dynamic destination that will re-energize Ottawa’s entertainment scene,” will feature remarks by Ottawa Mayor Mark Sutcliffe and city officials, as well as representatives of the Seminole Tribe, Hard Rock and OLG.

In July 2022, the Alcohol and Gaming Commission of Ontario penalised Hard Rock Ottawa C$227,250 for numerous breaches of the region’s standards for gaming at the Rideau Carleton Casino.

Among the 36 violations highlighted are advertising and marketing materials being distributed to self-excluded individuals and a failure to  implement, follow, and enforce required anti-money laundering policies and procedures.

In addition, it was discovered the operator failed to sufficiently protect gaming systems and data from security vulnerabilities, and had not ensured that staff completed necessary training in important areas.

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Members of Hard Rock, the local community and civic leaders will be part of the opening for the Rocksino by Hard Rock Deadwood, which is expected to bring everything that the public knows about the Hard Rock brand “but on a smaller scale” than its other venues in bigger cities.

Jon Lucas, Chief Operating Officer at Hard Rock International, stated: “Hard Rock prides itself on being able to provide authentic and memorable experiences for our guests embodied by music and rich cultural history.

“We are thrilled to become a part of one of the most celebrated historic places in the US and provide an economic stimulus to the city of Deadwood.”

Included in the Rocksino property will be 86 slot machines, a full-service restaurant and bar, a historic patio with a wood fire grill, a VIP mezzanine, a retail store and guest rooms which are expected to open later this year. The location will also be a part of Hard Rock’s global loyalty program UNITY by Hard Rock Rewards.

As part of the grand opening, Hard Rock will partner with Tunnel to Towers to aid the Oglala Sioux Tribal Veterans Program. Further details of the collaboration are to be announced at the Grand Opening Guitar Smash at Outlaw Square on August 8, featuring headliner Sublime with Rome.

“As a community notorious for entertaining guests since 1876, Deadwood is excited to welcome Rocksino by Hard Rock as our newest, can’t-miss property,” added the Mayor of Deadwood, David Ruth.

“Our rich, old West history combined with the Hard Rock brand will enhance the Deadwood experience that we are known for. The Rocksino by Hard Rock is sure to be an additional gem luring visitors to our amazing community.”

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