http://www.nydailynews.com/news/ny_crim ... _ties.html


Chinese crime connection found for Aqueduct casino bidder


BY Kenneth Lovett
DAILY NEWS ALBANY BUREAU CHIEF

Sunday, August 23rd 2009, 3:38 AM




- One of the bidders vying to build and run a Las Vegas-style video slots emporium in Queens has ties to a reputed organized crime figure in China, the Daily News has learned.

MGM Mirage is one of six groups bidding on the Aqueduct project at the same time New Jersey is considering forcing the company to divest its 50% stake in the Borgata Hotel Casino & Spa in Atlantic City.

The New Jersey Casino Control Commission is reopening a licensing hearing for the Borgata because of MGM's partnership in a casino resort in Macau with Pansy Ho.

Ho is the daughter of Hong Kong casino magnate Stanley Ho, who has been described by U.S. officials as a "reputed organized crime figure" whose casinos have links to Chinese organized crime.

The billionaire has never been charged and has vehemently denied such ties.

In a recent report, the New Jersey attorney general's Division of Gaming Enforcement recommended MGM's partnership with Pansy Ho be found "unsuitable," according to the company's filing with the Securities Exchange Commission.

The report, which is confidential, recommends MGM Mirage be forced to "disengage" itself from any business association with Ho and calls for a hearing on its Borgata license.

It also found that the company's efforts to comply with New Jersey's licensing requirements had been deficient, according to the SEC filing.

The Division of Gaming Enforcement is responsible for investigating casino licensees and prosecuting matters before the New Jersey Casino Control Commission.

Division of Gaming spokesman Peter Aseltine confirmed the recommendations contained in the May SEC filing but would not comment further on the report.

The state's casino commission, which will have the final say, has not yet scheduled hearings on the matter, spokesman Daniel Heneghan said.

In 2007, the Nevada Gaming Control Board found Pansy Ho to be a suitable partner for MGM Mirage after holding hearings on the matter.

MGM Mirage spokesman Alan Feldman said his company disagrees with the New Jersey recommendations.

"We've made very clear that our partner is Pansy Ho, not her father," Feldman said. "Pansy has a long-established, hard-earned reputation of being a very responsible, very successful businessperson of very high integrity."

He also argued MGM would be a success in New York.

"Our record is crystal clear and wide open as to how we operate and why we would be incredibly successful [if we are] given the opportunity in New York," Feldman said.

MGM Mirage is teaming with developer Donahue Peebles for a proposal for a 4,500video slot machine parlor at Aqueduct race track.

Besides the video slots, the plan calls for a 350-seat hotel, an entertainment venue, "fine dining" restaurants and a meeting center.

"I don't think it will have any bearing on MGM's involvement with the proposal at Aqueduct," a Peebles spokeswoman said of MGM Mirage's troubles in New Jersey.

Gov. Paterson and state legislative leaders are looking to make their choice for the Aqueduct project soon, possibly as early as this week.

Besides MGM, Las Vegas-magnate Steve Wynn, Aqueduct Entertainment Group, SL Green Realty Corp. with Hard Rock Entertainment and Penn National Gaming have pitched proposals.

The name 'Pansy Ho' brings up a real bad visual.