Columnist Jeff German: Gaming industry’s critics back on the attack

Tuesday, Aug. 11, 1998 | 10 a.m.

CASINO INDUSTRY executives may downplay it, but gambling's social costs remain a prime concern for the industry, as it faces intense national scrutiny.

Critics have been quick to seize on gambling-related tragedies across the country to bolster a thriving anti-casino campaign.

Late last week, Rep. Frank Wolf, R-Va., one of the architects of a bill that created the National Gambling Impact Study Commission, used such a tragedy in the Washington area to step up his Capitol Hill attacks.

The Washington Post reported last week that a father may have killed his wife and two young children and then himself because he was heavy in debt, partly because of gambling losses.

Wolf told his colleagues the Post story further illustrated the need to ban soft money contributions to political parties, especially those from the big, bad casino industry.

The influential Republican then circulated a "dear colleague" letter on the Hill to drive home his point.

"Gambling is expanding at an incredible rate all across America," Wolf wrote. "With that expansion has come story after story of broken lives and broken families.

"We in Congress need to wake up. Something has got to be done to prevent one more sad story like this one from being repeated."

Even as Wolf distributed his letter, another tragic gambling-related story was being reported in Las Vegas.

A veteran paralegal in the U.S. attorney's office is under investigation for allegedly embezzling thousands in government funds to feed a gambling habit.

Federal authorities have been tight-lipped about the probe, being conducted by the Justice Department's Public Integrity Section in Washington. But it is well-known at the federal courthouse that the paralegal was hooked on video poker, one of the worst forms of addictive gambling.

Some have accused U.S. Attorney Kathryn Landreth of ignoring signs the veteran legal researcher had a gambling problem. Insiders, however, report that Landreth once tried to fire the paralegal, but was prohibited by federal labor guidelines.

The paralegal's plight is likely to provide Wolf and the anti-gaming forces with more ammunition heading into November's Gambling Impact Study Commission hearing in Las Vegas.

If all this wasn't enough, the industry found itself under attack from another source last week.

Cedric Dempsey, executive director of the NCAA, called the growing sports wagering business a "cancer" on all college athletics.

In Knoxville, Tenn., at an NCAA conference on gambling, Dempsey said evidence suggests that college students spend more money on gambling than alcohol. The NCAA has been hit with a series of sports wagering scandals in recent years.

Dempsey called gambling a societal problem that ruin's people's lives.

He said the organization is working hard to address the dangers of betting on college games.

That can only be viewed as more bad news for the gaming industry at a time when bad news seems to be a regular occurrence.

Labor problems at the Las Vegas Convention and Visitors Authority seem to be escalating.

The "Bad Boys" in the mechanic shop, four workers management regards as troublemakers, are facing serious disciplinary action over what some believe are trumped-up charges.

If things don't go their way, the Bad Boys could end up losing their jobs. And that could have far-reaching ramifications on the slowed contract talks for some 275 members of the Nevada Service Employees Union.

Emotions remain highly charged at the LVCVA, the agency that's supposed to wear a happy face luring tourists here.

Polls continue to show Sheriff Jerry Keller way ahead of his nearest challengers in his bid for re-election.

But two of his opponents, ex-cops Chuck Lee and Bobby Hitt, are stepping up the heat with television ads prior to the Sept. 1 primary election.

Hitt and Lee, who are good friends, are taking opposite approaches over the television airwaves. Hitt is attacking Keller directly, while Lee is trying to portray himself as a statesman.

One of these two challengers is expected to make it out of the primary and go toe-to-toe with Keller in the general election. That's when we'll see some fireworks.