Foxwoods partners ask reconsideration of license revocation

The partners in the derailed Foxwoods Casino have petitioned the Pennsylvania Gaming Control Board to reconsider its revocation of the project's license, arguing that they now have the requisite financing and could start construction immediately.

In a statement Monday, the investors' group, Philadelphia Entertainment & Development Partners (PEDP), said it had "prepared the necessary work and taken the necessary steps to address and satisfy all the unresolved matters cited by the board."

The gaming board stripped the project of its $50 million slots license on Dec. 16 after the partners failed to produce final agreements on financing for their proposed casino.

They said they had since submitted documents showing a partnership deal with Caesars Entertainment, which would develop and operate a Harrah's Horseshoe in South Philadelphia, as well as commitments for all required debt and equity financing.

The group must raise $75 million in equity and borrow an additional $200 million to build a 64,000-square-foot casino with 1,500 slot machines and 70 table games.

The petition, filed Friday, will be analyzed, and the commissioners then will consider whether to schedule a hearing, said Richard McGarvey, a board spokesman.

"At present, the license is revoked," he wrote. "The decision whether to rescind the revocation or not is at the discretion of the board . . . after it has had a full opportunity to review all the materials submitted by PEDP."

PEDP has asked that the petition be kept confidential, McGarvey said.

Since the board issued its decision last month, Gov. Rendell and several state legislators have questioned whether Philadelphia needs two casinos. The SugarHouse Casino opened last September in Fishtown, Parx operates a gaming hall in Bensalem, and Harrah's has a casino in Chester.

PEDP has until Jan. 24 to appeal the decision.

F. Warren Jacoby, an attorney for PEDP, said by e-mail that this petition was different from an appeal.

In deciding to revoke the license, the gaming board cited concerns that the revised project on Columbus Boulevard between Tasker and Reed Streets was smaller than envisioned in 2006, when the Foxwoods group won one of the city's two slots licenses.

Board members also criticized the backers for submitting incomplete documents on financing and for changing the charitable nature of the venture.

Under the original plan, three parties - Comcast-Spectacor chairman Ed Snider and charitable trusts for the family of developer Ron Rubin and the daughter of South Jersey lawyer Lewis Katz - pledged to contribute 42 percent of their profits to nonprofits.

The new agreement with Caesars calls for 2 percent of revenues to go to charitable causes.