Maverick casino developer
Bob Stupak clarified his role in the planned VegasOne.com Internet
casino in a letter sent Sunday to the Las
Vegas City Council.
But the receipt of the letter, just three days
before the council is set to reconsider the proposal, will
likely have no effect on what the board does.
Mayor Oscar Goodman said last week he will
still abstain from the vote because Stupak's involvement in
the project raises a possible conflict of interest.
Goodman's law firm represented Stupak in an
unrelated matter in May. Although Goodman was unaware of his
firm's representation of Stupak until the VegasOne.com
proposal came up, his law partner did receive money from
Stupak.
Stupak declined comment this morning, stating:
"The letter speaks for itself."
In the letter, Stupak said he first looked at
Internet gaming five years ago, when there were only about 30
online sites.
And although he is not on the board of
directors of VegasOne.com, Stupak admits to being the one
behind the idea.
"Believing so strongly about such an idea, my
patent attorneys applied to the United States Patent and
Trademark Office in Washington, D.C., for a patent on this
unique concept," Stupak wrote.
Stupak holds several gaming patents on slots,
video poker machines and table game concepts.
VegasOne.com has asked the city to lend its
name and seal to a proposed Internet casino that would be
based in Australia.
The city would get 25 percent of the net
profits and 5 percent of the gross gaming revenue -- a total
estimated at about $90 million annually by 2002.
Although the city eyes the money for parks,
senior centers and a potential property tax rebate, council
members remain concerned about the city's potential
liability.
The liability concerns, coupled with staunch
opposition from Gov. Kenny Guinn, Sen. Richard Bryan, D-Nev.,
and the gaming industry, has given the proposal an uphill
climb.
Odds grew longer for the proposal when Goodman
and City Councilman Michael Mack both announced they would
have to abstain. Mack's campaign adviser was initially helping
to market the Internet casino.
City Councilman Michael McDonald has not
participated in either of the two recent public meetings on
the issue, and may not take part in Wednesday's
meeting.
Councilman Gary Reese, who would chair the
meeting in McDonald's absence, said it is possible the council
will vote to hold the item in abeyance, delaying a
decision.
But VegasOne.com's board of directors wants an
answer immediately and could decide to go ahead with the
proposal without the city's involvement.
Stupak, who founded the Stratosphere
hotel-casino and floated the idea for a Titanic casino last
year, said he prefers to remain behind the scenes on his new
ideas.
"My intentions are to become a shareholder,
just like any other shareholder who may join this venture, and
leave the management and operations in the hands of the
distinguished Board of Directors who are the most qualified
and capable people with an extensive track record of
integrity, credibility and trust in the gaming industry
today," Stupak wrote.
And although he mentions no involvement in the
board, Stupak's attorney, Jim Jimmerson, and one of his
business partners, David Sklansky, are both on the proposed
casino's board.