Yesterday’s announcement that Columbia Entertainment has closed the deal to acquire Aztar Corp has caused some controversy in Missouri. For some unexplained reason, Columbia does not meet the licensing criteria of the Missouri Gaming Commission although the company holds operating licences in Nevada, New Jersey and Indiana. When the takeover was first announced, Caruthersville’s Casino Aztar in Missouri immediately became a problem and Aztar Corp stated it would close the riverboat.

The Missouri Gaming Commission then took the extraordinary decision that rather than lose revenue and jobs in the state, it would operate Casino Aztar until a buyer could be found. The Commission’s counsel, the office of the Missouri Attorney General Jay Nixon, stated that the Commission was overstepping its role as casino regulator. In November, following the dispute, the Commission dispensed with its counsel and a former St Louis assistant circuit attorney, Christopher Hinckley, has now been selected as the new general counsel to the Missouri Gaming Commission.

With Columbia removed from operational control through lack of a licence, and the Commission maintaining control until a new owner can be found and approved, the Missouri riverboat will remain open. The Attorney General has called the move ‘bad public policy’ but will not be taking action to block it. Questions are already arising over how the Commission can regulate itself when its enforcement director, Clarence Greeno, has formally assumed the management of the casino.

Describing the transition as ‘transparent to patrons, employees and the community’ Greeno said that everyone was pleased that the riverboat casino would not be closed. Besides the contribution of gaming tax, around 300 jobs depend on the operation in Caruthersville. To have the regulatory body running the casino cannot be an ideal situation but it seems that until a new owner is found and licensed then the Missouri Gaming Commission will be in control and overseeing itself. (E-01.05.06)

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