6.11.07
Local businessman Tom Celani, a former investor in MotorCity Casino L.L.C., has opened a casino in Carnegie, Okla., in conjunction with the Kiowa Tribe.
The 65,000-square-foot Kiowa Red River Casino features about 1,000 slot machines and more than 20 table games and includes three restaurants.
Red River is expected to generate $70 million in gross revenue in its first 12 months of operation, with the tribe expecting to receive net profit of $100 million in five years, Celani, of Bloomfield Hills, said in a statement. His company Luna Gaming provided financing for the casino.
Celani’s other casino interests are in Rolling Hills Casino, Corning, Calif.; Little River Casino, Manistee; Red Dolly Casino, Black Hawk, Colo.; and Cal Neva Casino, Lake Tahoe, Nev. He also owns MotorCity Harley Davidson in Farmington Hills.
— Robert Ankeny
BACKGROUND
Tom Celani, Marian Ilitch and Michael Malik collectively held 85% interest in Atwater Casino Group (ACG), a collection of Detroit area business leaders who had backed the proposal for three casinos in Detroit.
In 1997, ACG joined together with Circus Circus (later Mandalay Resort Group) to form Detroit Entertainment LLC (DELLC), the company behind MotorCity Casino (a DELLC d/b/a). Celani, Ilitch and Malik collectivelyheld a 35% stake in MotorCity Casino.
In 1997, ACG joined together with Circus Circus (later Mandalay Resort Group) to form Detroit Entertainment LLC (DELLC), the company behind MotorCity Casino (a DELLC d/b/a). Celani, Ilitch and Malik collectivelyheld a 35% stake in MotorCity Casino.
In 1999, before MotorCity Casino even opened, several of the ACG local shareholders were disqualified from receiving gaming licenses or otherwise forced to sell their shares including Herb Strather, Nellie Varner, Walter Douglas, Laurence Deitch, James Blain, Ronald Slavic and Malik. All but Malik sold their interests to Mandalay Resort Group.
Malik sold his shares to Ilitch and Celani because the Michigan Gaming Control Board wouldn't grant him a license. Ilitch retained 25% of MotorCity and Celani 10%.
Early in 2005, Ilitch opened negotiations with Mandalay Resort Group and MGM/Mirage to acquire their 53.5% interest in MotorCity Casino; Celani lead the other investors behind ACG and filed suit in February 2005 alleging Marian Ilitch had violated the terms of their partnership agreement by secretly and unilaterally negotiating a deal to purchase Mandalay's stake in the gaming hall. Several months later, the parties settled and Ilitch acquired all outstanding shares of Detroit Entertainment LLC to take 100% control of MotorCity Casino.
You may want to review these posts:
- Ex-owner of MotorCity gets Nev. casino license
- The Detroit Gaming Syndicators: Marian Ilitch, Michael Malik and Tom Celani
- Ilitch, Malik casino syndication partner to run Lake Tahoe casino once owned by Sinatra
- Strather reportedly invested $15 million in Mashpee Wampanoag casino
- Mashpee Wampanoag, Strather involved with Abramoff and associates
- Six dropped from Atwater Casino Group
- Three investors must sell their Detroit casino interests
- Investors have troubled histories
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