Flying casinos grounded

Friday, June 28, 2002 | 11:20 a.m.

JERUSALEM -- The prospect of flying casinos nose-dived Thursday when Israel's attorney general ruled the airborne venture would promote illegal gambling.

The specially fitted planes would have taken gamblers for four-hour spins for gambling outside Israeli airspace, circumventing Israel's antigambling laws. It received initial approval from Transportation Minister Ephraim Sneh a month ago.

But Attorney General Elyakim Rubinstein, ruled the "flying casinos" would promote an illegal activity, Israel Radio reported.

Bending to Rubinstein's will to ground the planes before they could take off, Sneh reluctantly said on Thursday, "I'm sorry, I can't allow it." Sneh told Israel Radio, "The only principle consideration that I had was that it could provide jobs to many Israelis."

The project, a private initiative of Israeli investors and financiers from abroad, was expected to generate revenues of about $50 million year.

Before the outbreak of Israeli-Palestinian fighting in September 2000, many Israelis gambled at a casino in the West Bank town of Jericho. Because of the violence, Israel has forbidden its citizens from entering Palestinian areas, and the Jericho casino has closed.

Looking for alternatives, Israelis have turned to gambling boats in the Red Sea and casinos in Europe.