Detroit casino stake close to being sold

Wednesday, April 19, 2000 | 11:06 a.m.

DETROIT -- Four Greektown Casino investors looking to sell their 40 percent share in the venture may be closer to a buyer.

MGM Grand Inc., Harrah's Entertainment Inc. and Millennium Management Group want to buy the share in Greektown Casino now held by businessmen Dimitrios Papas, Ted Gatzaros and their wives, he Detroit News and the Detroit Free Press reported Tuesday, citing unnamed sources.

MGM Grand owns 97 percent of one of the two Detroit casinos already operating, Harrah's operates casinos in 10 states and Australia, and Millennium Management is a privately held Las Vegas company hired to manage Greektown.

It is unclear if a purchase by MGM Grand would be allowed because state law prohibits one entity from owning or operating two casinos.

Papas and Gatzaros are under pressure to sell because their business background included delinquent taxes and defaulted loans. If they don't sell their shares, they could be found unsuitable by the Michigan Gaming Control Board and allowed to recoup only what they originally invested. If they sell now, they could get as much as $250 million for the 40 percent stake.

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