Detroit casinos
will not close if the state government does
The three non-Indian casinos
in Michigan (MGM Grand Detroit, Greektown and MotorCity) will
not close down if the government shuts down on Monday.
On
Friday Wayne County Circuit Court Judge Wiliam Giovan has issued
a temporary restraining order to prevent the Michigan Gaming
Control Board to close the three Detroit casinos, if the state
government shuts down. Judge Wiliam Giovan found that the state
failed to show there would be any harm to the public safety or
health if the casinos continued operating without inspectors
from the Michigan Gaming Control Board. Giovan also ruled that
the gaming board has violated the law by ordering the closure of
the casinos without giving them an evidentiary hearing. A
meeting took place a day earlier, but no cross-examination took
place, which is required by law. The judge also noted that there
could be greater harm of shutting down the casinos, such as
missed state and local tax revenues, and the thousands of casino
employees.
The problem stems from the Michigan
budget deficit and Gov. Jennifer Granholm will temporarily shut
down some of the state's services such as state parks, lottery
sales, driver's license renewals), starting Sunday, if no
agreement has been reached with the Legislature. Richard Kalm,
executive director of the Michigan Gaming Control Board, said he
will follow suit with Granholm and shut down the gaming board.
This would leave the three Detroit casinos without on-site
inspectors - a requirement for all non-Indian casinos in the
state. The casinos opposed the decision - they pay for the cost
of regulating the casinos, not taxpayers, so they should be
unaffected by a shutdown.
The Assistant Attorney General Donald
McGehee said an appeal of the court ruling was being weighed.
Published on 09/29/2007
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