Regulators OK reopening of Laughlin casino

Thursday, April 8, 2004 | 10:43 a.m.

CARSON CITY -- The state Gaming Control Board on Wednesday gave preliminary approval for the owner of a California real estate investment company to reopen the Regency Casino, which has been licensed in Laughlin since 1979.

The board recommended an 18-month limited license for Christopher A. Crawford to operate 75 slot machines at the Regency, which was opened by the Soper family.

The board questioned Crawford, of San Bernardino, Calif., about his business and his accounting performance. Board Chairman Dennis Neilander said there was some "sloppy" bookkeeping in the past.

He said Crawford had six different corporations with different purposes but the money sometimes was co-mingled.

"That may work in real estate, but not here," Neilander told Crawford. Neilander said those involved in real estate were "mostly wheeling and dealing" and that's different than the highly regulated gaming industry.

Crawford never had any disciplinary actions against him in his California real estate businesses.

Board member Bobby Siller said Crawford has taken several steps to cure his problem with a "lack of records" and he did this even before he applied for a gaming license. Crawford said he plans to spend $600,000 refurbishing the casino and to hire 66 employees. The casino manager will be George Yuill, who said he expected that about 60 percent of the business would come from employees of other clubs and the local trade.

The final license must be approved by the state Gaming Commission at its April 22 meeting in Carson City.

The board also recommended a permanent license for Virtgame Corp., a software company involved in development for the gaming industry. It had a limited license that was due to expire this year.

Board members expressed concern that Virtgame, a publicly traded company, was not showing a profit although it had several devices near ready for distribution.

Bruce Merati, chief executive and financial officer of the company based in San Diego, told the board that there were "significant" up-front costs in developing software. The firm has no debt and "enough cash to take us to profitability," Merati said.

Board member Scott Scherer said he was "concerned about the lack of profitability. But those who might be harmed are sophisticated investors."

In other actions, the board:

Extended for two months the limited license of Albert D. Seeno III, who is the beneficiary of 10.3 percent in Wendover Casinos Inc. The board has filed a complaint against him, his father, Albert Seeno Jr., and his brother David. Neilander said the complaint should be resolved in the next month or two. The complaint alleges, among other things, that they associated with unsavory persons.

Recommended approval for a license for Sandra A. Placak, a former agent for the Control Board, to be secretary and a director of Universal Distributing of Nevada, based in Las Vegas.

Recommended approval for Fidelity International Limited to be the beneficial owner of voting securities in more than 30 publicly traded casino companies.