N.J. casino commission denies license to Tropicana

Yung, the head of Columbia-Sussex, which owns about 80 hotels across the United States, said in testimony last month that he ordered layoffs as a result of dwindling revenue. He blamed the revenue decline on new competition from Pennsylvania and New York slots parlors and an April order that limited smoking to one-quarter of the casino floors here.

Last month was not much better for the Tropicana. Total gambling revenue for November was down 21.1 percent at the casino. Slots revenue was down 26.4 percent, almost five times the decrease of table-game revenue of 5.6 percent.

Seven other Atlantic City casinos also reported revenue declines last month from a year ago, mostly because of Pennsylvania slots.

In her closing remarks last week, Local 54's attorney, Regina Hertzig, argued for a third party to take over the Tropicana, claiming that privately held Columbia-Sussex was unfit to run it as a first-class facility as specified under the New Jersey Casino Control Act.

The act authorizes the commission "to require each casino licensee to establish and maintain an approved hotel which is in all respects a superior, first-class facility of exceptional quality which will help restore Atlantic City as a resort, tourist and convention destination."

The act was passed in 1977, but has since been amended several times.

The gambling commission allowed into evidence 71 customer complaints against the Tropicana over uncleanliness. Tropicana attorneys had wanted the files sealed.

The Tropicana's license was due to expire at 12:01 a.m. Dec. 1, but the commission extended it until a decision was reached on relicensing.