Latest news with #HostCommunityAgreement
New York Post
7 hours ago
- Business
- New York Post
Bally casino settles suit after would-be investors allege they were barred from investing for being white
A Chicago casino settled a lawsuit last week after two would-be investors claimed the business had a policy of preventing White men from investing in the enterprise. Bally's Chicago, which is projected to be Illinois' biggest casino with a 500-room hotel tower and 3,000-seat theater, was accused of excluding White males from its $250 million IPO as part of its Host Community Agreement with the City of Chicago. Advertisement The $1.7 billion casino and resort, set to open in 2026, faced a lawsuit launched by the Wisconsin Institute for Law and Liberty on behalf of two White male investors and the American Alliance for Equal Rights (AAER). The casino committed to 25% minority and women ownership as part of the community agreement, which was drafted as part of a 2019 Illinois state law expanding gambling in the state. In order to take part in the IPO, an investor would have had to meet its 'Class A Qualification Criteria,' which stated that an investor must be a 'minority or woman.' Bally's accepted deposits from 1,500 investors starting in December, but wound up refunding them in February because the SEC had yet to approve of the IPO, the Chicago Sun Times reported. Advertisement In April, the casino dropped the controversial provisions from the IPO, but stated they preferred investors to be from the Chicago area. Bally's Chicago was accused of excluding White males from its $250 million IPO as part of its Host Community Agreement with the City of Chicago. Christopher Sadowski WILL, which represented investors Richard Fisher and Phillip Aronoff in their case, alleged that Bally's was in violation of the Civil Rights Act of 1866, which bars racial discrimination in contracts, the first Ku Klux Klan Act and years of Supreme Court precedent. The conservative legal group is now celebrating the settlement with the casino. Advertisement 'This is a great win for equality. Bally's Casino in Chicago, the city of Chicago, the state of Illinois had all agreed that they were going to open a new casino in Chicago and only allow minorities and women to own 25% of the casino as part of an investment. And Bally has now dropped that requirement. They filed papers with the SEC stating that the investment will now be open to everybody. And we think that's a great win for equality and we're very happy with this result,' WILL's managing vice president Dan Lennington told Fox News Digital. Patrick Callahan, 39, a Chicago attorney who had been prevented from investing in the casino, was pleased with the settlement, but voiced a note of caution about the future of his city. Bally's accepted deposits from 1,500 investors starting in December, but wound up refunding them in February because the SEC had yet to approve of the IPO. Bally's 'Under current state and local leadership, it's hard to be too optimistic that Chicago will suddenly become a bastion of nondiscrimination. That being said, this is a big victory and I'm hoping to see many more of them,' Callahan said. Advertisement Fox News Digital reached out to Bally's, the Chicago mayor's office and the Illinois Gaming Commission for comment.
Yahoo
12 hours ago
- Business
- Yahoo
Chicago casino settles lawsuit after being accused of barring White men from investing in the business
A Chicago casino settled a lawsuit last week after two would-be investors claimed the business had a policy of preventing White men from investing in the enterprise. Bally's Chicago, which is projected to be Illinois' biggest casino with a 500-room hotel tower and 3,000-seat theater, was accused of excluding White males from its $250 million IPO as part of its Host Community Agreement with the City of Chicago. The $1.7 billion casino and resort, set to open in 2026, faced a lawsuit launched by the Wisconsin Institute for Law and Liberty on behalf of two White male investors and the American Alliance for Equal Rights (AAER). Exclusive: Group Launches Tip Line For Dod Employees To Report Dei, 'Woke' Overreach The casino committed to 25% minority and women ownership as part of the community agreement, which was drafted as part of a 2019 Illinois state law expanding gambling in the state. In order to take part in the IPO, an investor would have had to meet its "Class A Qualification Criteria," which stated that an investor must be a "minority or woman." Bally's accepted deposits from 1,500 investors starting in December, but wound up refunding them in February because the SEC had yet to approve of the IPO, the Chicago Sun Times reported. In April, the casino dropped the controversial provisions from the IPO, but stated they preferred investors to be from the Chicago area. Read On The Fox News App JOHNSON & JOHNSON DENIES ENGAGING IN ILLEGAL DEI PRACTICES AFTER GROUP MAKES CIVIL RIGHTS COMPLAINT WILL, which represented investors Richard Fisher and Phillip Aronoff in their case, alleged that Bally's was in violation of the Civil Rights Act of 1866, which bars racial discrimination in contracts, the first Ku Klux Klan Act and years of Supreme Court precedent. The conservative legal group is now celebrating the settlement with the casino. "This is a great win for equality. Bally's Casino in Chicago, the city of Chicago, the state of Illinois had all agreed that they were going to open a new casino in Chicago and only allow minorities and women to own 25% of the casino as part of an investment. And Bally has now dropped that requirement. They filed papers with the SEC stating that the investment will now be open to everybody. And we think that's a great win for equality and we're very happy with this result," WILL's managing vice president Dan Lennington told Fox News Digital. Patrick Callahan, 39, a Chicago attorney who had been prevented from investing in the casino, was pleased with the settlement, but voiced a note of caution about the future of his city. "Under current state and local leadership, it's hard to be too optimistic that Chicago will suddenly become a bastion of nondiscrimination. That being said, this is a big victory and I'm hoping to see many more of them," Callahan said. Fox News Digital reached out to Bally's, the Chicago mayor's office and the Illinois Gaming Commission for article source: Chicago casino settles lawsuit after being accused of barring White men from investing in the business
Fox News
15 hours ago
- Business
- Fox News
Chicago casino settles lawsuit after being accused of barring White men from investing in the business
A Chicago casino settled a lawsuit last week after two would-be investors claimed the business had a policy of preventing White men from investing in the enterprise. Bally's Chicago, which is projected to be Illinois' biggest casino with a 500-room hotel tower and 3,000-seat theater, was accused of excluding White males from its $250 million IPO as part of its Host Community Agreement with the City of Chicago. The $1.7 billion casino and resort, set to open in 2026, faced a lawsuit launched by the Wisconsin Institute for Law and Liberty on behalf of two White male investors and the American Alliance for Equal Rights (AAER). The casino committed to 25% minority and women ownership as part of the community agreement, which was drafted as part of a 2019 Illinois state law expanding gambling in the state. In order to take part in the IPO, an investor would have had to meet its "Class A Qualification Criteria," which stated that an investor must be a "minority or woman." Bally's accepted deposits from 1,500 investors starting in December, but wound up refunding them in February because the SEC had yet to approve of the IPO, the Chicago Sun Times reported. In April, the casino dropped the controversial provisions from the IPO, but stated they preferred investors to be from the Chicago area. WILL, which represented investors Richard Fisher and Phillip Aronoff in their case, alleged that Bally's was in violation of the Civil Rights Act of 1866, which bars racial discrimination in contracts, the first Ku Klux Klan Act and years of Supreme Court precedent. The conservative legal group is now celebrating the settlement with the casino. "This is a great win for equality. Bally's Casino in Chicago, the city of Chicago, the state of Illinois had all agreed that they were going to open a new casino in Chicago and only allow minorities and women to own 25% of the casino as part of an investment. And Bally has now dropped that requirement. They filed papers with the SEC stating that the investment will now be open to everybody. And we think that's a great win for equality and we're very happy with this result," WILL's managing vice president Dan Lennington told Fox News Digital. Patrick Callahan, 39, a Chicago attorney who had been prevented from investing in the casino, was pleased with the settlement, but voiced a note of caution about the future of his city. "Under current state and local leadership, it's hard to be too optimistic that Chicago will suddenly become a bastion of nondiscrimination. That being said, this is a big victory and I'm hoping to see many more of them," Callahan said. Fox News Digital reached out to Bally's, the Chicago mayor's office and the Illinois Gaming Commission for comment.
Axios
2 days ago
- Business
- Axios
Bally's settles lawsuit with affirmative action activists
Bally's Chicago has officially closed the book on its previous plan to give minority investors priority in the casino's initial public offering. Why it matters: The city's first casino has faced a series of setbacks, from construction delays to declining revenue at its temporary space, while the IPO they announced late last year still has not been approved by the SEC. Driving the news: The casino settled a lawsuit Friday filed by the American Alliance for Equal Rights (AAER) and two white men who alleged the casino's initial offering excluded them from investing based on their race. For the record: The terms of the settlement are confidential, lawyers for AAER tell Axios. Flashback: Bally's filed for a $195 million initial public offering last year, but the only eligible buyers were women, minorities or firms majority-owned by women or minorities. Reality check: At the time, the casino said the rule was in accordance with its Host Community Agreement, which requires that 25% of the Chicago casino be owned by women or minorities. The latest: In April, Bally's dropped the minority and women requirement for participation in the IPO, but the paperwork still outlined a preference for Chicago and Illinois residents. State of play: Construction of the permanent casino and entertainment center at the site of the former Freedom Center resumed last month after a Sun-Times investigation led the state gaming board to temporarily halt work.
Yahoo
06-05-2025
- Business
- Yahoo
MGM CEO talks about ‘ongoing discussions' on Springfield casino
SPRINGFIELD – A Wall Street analyst asked MGM Resorts International CEO and President William Hornbuckle this week about creating value by 'monetizing assets,' that is selling locations like MGM Springfield. Hornbuckle's answer to Stephen Grambling of Morgan Stanley was not 'no.' 'And then Stephen, remember, I suspect you do that Northfield Park and Springfield are ongoing discussions,' Hornbuckle said. 'So those are assets that we've been talking about for a while.' Hornbuckle's leaving the door open follows more than a year of speculation about the possible sale of the casino. In March 2024, Bloomberg reported that MGM Resorts International is 'exploring' the sale both of Springfield and of its casino in Northfield Park, Ohio. Citing unnamed sources, Bloomberg said MGM is working with finance advisers, but talks were preliminary. Any sale would require the approval of both the Massachusetts Gaming Commission and the city of Springfield. Hornbuckle was one of the executives who helped bring MGM to Springfield just as the state legalized casino gambling. The $970 million casino opened in August 2018 with mixed results. The casino had more than 1,500 employees at the start of the year, according to the most recent filing with its regulators. That's well short of the 3,000 jobs MGM promised to create as it was lobbying for its license and also short of the revised, post pandemic, informal expectation of about 2,000 jobs. In January 2023 Springfield officials concerned about the pace of reopening after COVID restrictions asked Honbuckle to meet in City Hall. Following that closed-door session, he offered a matter-of-fact assessment to reporters. 'Our original valuation of this market simply was off — full stop,' Hornbuckle said. 'We are where we are now.' He also said that if the market conditions in Springfield were fully understood at the time, the casino might not have been built. 'We thought there would be more business here than ultimately materialized,' Hornbuckle said in that January 2023 meeting. 'Scale, scope, etcetera. It is what it is.' After the Bloomberg report in March 2024, Hornbuckle came back to Springfield to meet once again with city officials. After that April 2024 meeting, Mayor Domenic J. Sarno reiterated that Springfield has the power to say yes or no to new ownership. 'My number one priority is to protect the taxpayers of the city of Springfield. It is imperative that every aspect of our Host Community Agreement (HCA) is met and adhered to and that Springfield will receive every dollar it is owed in accordance with the HCA.'
