Australian slot firm endorsed for Nevada license

Thursday, Aug. 10, 2000 | 9:18 a.m.

The state Gaming Control Board recommended a license for Arisocrat Technologies Inc. to make and distribute slots. The Reno-based operation is up for a final review by the board's parent Nevada Gaming Commission on Aug. 24.

The company is part of Aristocrat Leisure Limited in Sydney, Australia. The parent firm is one of the world's largest slot machine companies.

The board's concern about Aristocrat founder Leonard Ainsworth stemmed from allegations of questionable payoffs to club owners in Australia. He resigned in 1993, although officials in other jurisdictions had said Ainsworth remained active in the business for several years after that.

Nevada regulators also were told no other members of Ainsworth's family were involved in management of the company. Two sons had been involved in questionable slot machines shipments to Turkey.

Aristocrat chief executive officer Desmond Randall told the Control Board that his was a "reinvented company." He also said its Nevada office would relocate to Las Vegas by next spring.

The Control Board also recommended a license for Isle of Capri Casinos Inc. at the Lady Luck Casino in Las Vegas - acquired in a $400 million-plus acquisition of the club's parent Lady Luck Gaming Corp.

With the deal, announced last October, Biloxi, Miss.-based Isle of Capri has clubs in several states, including Nevada, Mississippi, Louisiana, Colorado and Iowa. It also operates a harness racing track in Florida and a cruise ship that sails out of New Orleans.

Also recommended was a license for the Suncoast hotel-casino in Las Vegas, the latest Coast Resort Inc. property.

Suncoast, located in the Summerlin area, is a $185 million resort with 2,101 slots, 48 table games, 203 hotel rooms, a 16-screen theater and five restaurants. As cash flow permits, the room count will be more than doubled by completing an unfinished tower.

The location of the theaters caused some concern, with board members saying operators must ensure that children who go to see movies there are kept away from the casino area.