Deal to sell casinos falls apart
By Mike Nolan firstname.lastname@example.org February 1, 2013 6:46PM
The sale of casinos in Louisiana and Mississippi — operated by a company controlled by a Homer Glen man — to an Oklahoma Indian tribe has apparently unraveled, according to court documents.
Legends Gaming had filed for bankruptcy last August and announced it was selling its DiamondJacks casinos in Bossier City, La., and Vicksburg, Miss., to Global Gaming Solutions. At that time, the deal was valued at $125 million.
William McEnery, the former owner of the Gas City chain, is Legends’ chairman, chief executive officer and majority shareholder.
Legends’ plan for emerging from bankruptcy hinged on selling substantially all of its assets to Global Gaming, a subsidiary of the Chickasaw Nation.
In a bankruptcy court filing on Wednesday in Louisiana, Legends alleges that Global Gaming has breached the terms of the sale agreement, and that Global “has clearly indicated that it has no intention of closing the purchase of the assets.” Legends said that, as a result, it was withdrawing its pending plan for exiting bankruptcy.
In a response filed Thursday, Global Gaming insisted it hadn’t violated any terms of the agreement and “has met all of its obligations.” Global said it had been moving forward with getting approval from regulators to take control of the two casinos.
McEnery’s Gas City locations were sold following a separate bankruptcy case, and his personal bankruptcy case is continuing in federal court in Chicago.