While we have no definitive idea whether Ocean Casino Resort CEO Bill Callahan is a male chauvinist pig, he certainly presents a convincing set of credentials in a Global Gaming Business puff piece. Never mind the efforts of predecessor Terry Glebocki (above, hounded out by the Illitch family), when it comes to Ocean’s reinvention from joke to overachiever, Callahan says he did it all himself, derogating previous administrations several times over in an ode to his own perspicacity. We’re sure that, by this point, Callahan has made some changes—like the new sports book—that are redounding to the good. But to take credit for everything … that requires a fair amount of gall.
Then again, how seriously are we to respond to a self-aggrandizing exec who says “Our goal in the next few years is to become the No. 1 casino in Atlantic City.” To put that in a context otherwise known as reality, in June, Ocean grossed $43 million … and Borgata brought home $124 million. Yup, those MGM Resorts International suits must be quaking in fear—although convulsing with laughter would be more like it. GGB puts no byline on this oleaginous tribute to Callahan, nor should it have one.
The story comes out the same day that The Associated Press reports that the gaming industry has successfully made Atlantic City C-suites safe for white men again. With the appointment of Joe Giunta to run Tropicana Atlantic City in place of Jacqueline Grace (who has landed on her feet at Beam Living), nary a women or person of color runs a casino on the Boardwalk. It’s a boys’ club again, which seems to be just the way the industry likes it. To be fair, Melonie Johnson‘s departure from Borgata (foreseen by us) was prompted by struggling business. However, there is a disturbing tendency to reach into the old-boy network when finding someone to sit atop an A.C. gambling house.
The implicit message is that only old white guys are up to the task. There’s a decidedly patriarchal movement afoot in the country today and it’s a disgrace that the casino industry is all-in on it. In addition to Caesars Entertainment, MGM and the Illitch clan, guilty parties include Bally’s Corp., which ran Karie Hall out of Bally’s Atlantic City and replaced her with a good old boy. Even the American Gaming Association, which can find a silver lining in almost any cloud, admits that distaff leadership of U.S. casinos hovers around 10%. We shudder to think about what kind of shape the industry would be in if only 10% of its customers were female. Still, the message coming off the Boardwalk is loud and clear: Qualified women and minorities need not apply.
This month’s Profiles in Cowardice award also goes to Atlantic City, specifically to longtime hack Mark Giannantonio of Resorts Atlantic City, who turned and fled when scheduled to meet with Americans for Nonsmokers Rights President Cynthia Hallett. Maybe Giannantonio had a sudden fear of crowds, as he and Hallett were supposed to exchange views on smoking as part of a panel discussion at the East Coast Gaming Congress on Sept. 22. Since Giannantonio has bumbled his way to the presidency of the Casino Association of New Jersey, that means nobody will be appearing in his stead.
Hallett was understandably nonplussed, saying, “It’s remarkably telling that Atlantic City casinos couldn’t find one person to publicly defend their position in favor of indoor smoking … It’s also illogical that conference organizers chose to cancel the panel because they couldn’t find someone to defend indoor smoking. They would never have canceled a forum on responsible gaming because they couldn’t find an opposing voice, or on sports betting because they couldn’t find panelists who oppose expansion.” True, every word.
Down under, Star Entertainment may be booted out of Sydney. The Independent Casino Commission, issuing a condemnatory set of findings, deemed that Star “is and remains unsuitable” to operate a casino in New South Wales. “I can say from the contents of the report, doing nothing is not an option,” remarked ICC Chairman Philip Crawford. Star has two weeks do something, especially charges that it engaged in improprieties and then acted to cover them up. Said the report, “They incurred substantial risks around the following topics: money laundering, allowing criminals to gamble in their casinos, the infiltration by organised crime. And they paid scant regard to proper harm minimisation criteria.”
Crawford added the Star exuded “astounding” arrogance and still did not seem to get the point of how much hot water it is in, calling for turnover at the top. (Maybe losing a casino license will finally cause them to receive the message.) Added New South Wales Minister for Tourism & Hospitality Kevin Anderson, “We have responded with teeth to be able to clamp down on this particular behaviour, this rotten behaviour, this toxic culture that has been operating with Star.” Wrote investigator Adam Bell, “The board should be responsible for setting culture. However, in relation to the matters investigated in this review, the board had little or no understanding of what people do at Star Entertainment ‘when no one is watching.’”
One leading newspaper accused Star of “lawless arrogance” for engaging in “pea and thimble” schemes to launder money, including processing Union Pay transactions to Chinese high rollers as a means of passing gambling funds under the table. “Star also allowed a Macau and Hong Kong-based junket operator called Suncity from 2017 to run a separate gaming room on its premises called Salon 95, where gamblers were able to flout restrictions on buying chips and receiving payouts in cash.”
We agree that Star needs to be smacked down—and hard. But government bears a degree of onus for having allowing Star and Crown Resorts to become ‘too big to regulate.’ The two companies control 95% of the Australian casino market and governments, both national and regional, looked the other way until media reports forced their hand. The overwhelming consensus at Global Gaming Expo Asia was that Australian casino regulation is a failure and overdue for a revamp. Let’s hope that high due diligence is the order of the day going forward.
Anyone remember Moon Resort, the daffy failsino that was proposed for the Las Vegas Strip a ways back? No site, no financing, no problem, right? Big problem. So now the project is being shopped to anyone, anywhere who will take it. Maybe it can be palmed off on Japan, a country of which credible casino investors are growing wary.
Dave, I wholeheartedly credit Ms Glebocki with the amazing success the Ocean has achieved (without the resources it has now); however, I think you might be being a bit rough on Mr Callahan here.
I think his team is doing a pretty great job with the place and clearly bringing the property to new heights; albeit claiming it to their own credit.
Karie Hall is currently General Manager of Harrahs and Harveys casinos in Lake Tahoe, NV. Far better situation than working for Ballys.
Thanks for the update. I quite agree.
The Moon Resort and Casino is an interesting idea but unfortunately its to large and expensive to get built anywhere unless if a billionaire wants to finance it.
Anyway I will be out in Vegas the next couple of days to promote and hopefully see some businesses who own land near Raiders Stadium. My nightclub concept is Dice Nightclub and my website is http://www.discodice.com. I also have a documentary called Dice Dice Baby in Vegas: https://dicedicebby.squarespace.com.
In 2018 I changed my nightclub concept from Disco Dice Nightclub to Dice Nightclub.The reason I did this is because its easier and cheaper to put Dice Nightclub on the top of a parking garage rather than trying to put
Disco Dice Nightclub on the roof of a hotel-casino.
Since you have hundreds and hundreds of people who read your blog daily they might be interested in both Dice Nightclub and Dice Dice Baby in Vegas and then they can share their opinions if Dice Nightclub would be a good location close to Raiders Stadium on Polaris Avenue.
I just got back from Vegas and dropped off Dice Nightclub information at 3 companies who own land near Raiders Stadium. There is currently nothing there on Polaris except for parking lots for Raider games.
I stayed at the Orleans like I usually do and the hotel is good for business travelers who need to go out and see customers around the Vegas Valley. I met a friend for dinner at Ellis Island on Thursday night and the place was packed. The Caesars Convention Center near the High Roller was huge and that was a smart move by Caesars to put it there.