Internet firms sued

Monday, April 8, 2002 | 11:13 a.m.

Las Vegas Strip casino giant MGM MIRAGE sued two North Miami Beach, Fla.-based Internet casino operators, alleging they used its MGM and MGM GRAND trademarks to solicit investments in their online casino "MGM Casino and Sportsbook." MGM MIRAGE sued Riverwood Resources Corp. and Stargate Enterprises Group Inc. in U.S. District Court last week, alleging they linked the domain names "mgmcasinoandsportsbook.com," "miragecasinoandsportsbook.com" and "mirageonlinegaming.com" to their Antigua, West Indies-based online casino.

Riverwood, which allegedly advertised MGM Casino and Sportsbook as the "largest online Las Vegas style casino" at its website "riverwoodresources.com," was accused of offering Internet users "limited membership units" or partnership in the online casino at $5,000 a unit.

The suit said the Riverwood website "provided income expectations to potential investors, explained why the venture will be an LLC and why Antigua was chosen as the place for the gambling license."

Stargate declined comment on MGM MIRAGE's allegations. Riverwood could not be reached for comment.

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