Barstow Mayor refers to opponent as "The Mexican"

Apparently olitical name calling isn't reserved exclusivly for the Presidential candidates ...

Barstow Mayor Lawrence Dale, must stand for re-election next Tuesday. Dale, a 72 year-old Kansas native, moved to Barstow in 1975 as an employee of BNSF Railroad. A registered Republican, He was first elected Mayor in 2000 when he defeat incumbent Mayor Katy Yslas-Yent. This election cycle Dale is faced with two opponents.

Locals believe Barstow Councilman Joe Gomez, a Democrat, is a formidable opponent and is the one candidate who could defeat Dale in his bid for re-election. Gomez was elected to the Barstow City Council in 2004. He was born and raised in Barstow. But despite knowing that, Mayor Dale has been overheard publicly referring to Gomez derogatorily as "The Mexican."

When a local community activist confronted Dale about his racist reference at a City Council meeting, Dale simply ignored the activist and failed to defend or deny the charges.

NOTE: Approximately 36% of Barstow's residents are Latino/Hispanic; while 43% are White.

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Ilitch promotes Fisher to CFO

Ilitch Holdings, Inc. today said Scott Fisher has been promoted to Chief Financial Officer for the company. President and Chief Executive Officer Christopher Ilitch made the announcement.

"In Scott's nearly 22 years with the Ilitch companies, he has proven to be a team player and valuable asset to our organization," said Ilitch. "He has strong business acumen, solid strategic thinking and leadership skills, and a broad understanding of the businesses -- a combination that we believe will greatly benefit our organization as we move forward."

In his new role, Fisher will continue to report to Ilitch. He maintains oversight of the finance, benefits and treasury management staffs. He takes on responsibility for the internal audit, tax, Information Technology shared services, payroll and risk management functions.

Previously, Fisher was vice president of finance and administration at Ilitch Holdings, Inc., a position he has held since May 2000. Prior to that, he held several finance positions at a number of Ilitch-owned companies including controller at Ilitch Holdings, the Detroit Tigers, Inc. and the Detroit Red Wings. (Complete Press Release)

note: although the press release announcing Fisher's promotion was issued 8.28.08, on 10.30.08 the Ilitch Holdings, Inc. Web site still recorded Fisher as Vice President of Financy & Administration.

Ilitch names cousin as president of family's food distribution service

From a press release issued 10.06.08

Blue Line Foodservice Distribution, an Ilitch-owned company and one of the largest nationwide food service systems distributors in the U.S., today named industry veteran Matthew Ilitch as president of the company. The appointment was announced by Christopher Ilitch, president and CEO of Ilitch Holdings, Inc.

"Matt has tremendous experience in the industry," said Christopher Ilitch. "He knows the food service business inside and out and he recognizes the important role Blue Line plays in the success of its many customers. His understanding of the industry and our organization will serve him well and allow him to continue guiding the tremendous growth at Blue Line."

In his new role, Matt Ilitch will oversee the strategic direction and day-to-day oversight of the distribution company. He will report to Christopher Ilitch.

Matt Ilitch has over 30 years of combined experience at Little Caesars Pizza and Blue Line. Previously, he was vice president of Operations & Distribution for Blue Line. (Complete Press Release)

Ilitch takes over management of theaters at GM Renaissance Center

From a press release issued 9.22.08

Uptown Entertainment, an Ilitch-owned company that operates the Palladium and Birmingham 8 theatres, celebrated the grand opening of the renovated Ren Cen 4 theatres, a four-screen cinema with state-of-the-art sound and projection located in the GM Renaissance Center, on Saturday... Uptown Entertainment is owned by Detroit entrepreneurs Michael and Marian Ilitch. (Complete Press Release)

Standard & Poor's assigns negative credit rating to Ilitch-owned casino company

Standard & Poor's changed its ratings outlook for Ilitch-owned CCM Merger, Inc., from stable to negative on 9.29.08:

"Ratings on the company, including the 'B' corporate credit rating, were affirmed. The outlook revision reflects our concern regarding the limited cushion with respect to CCM's total leverage covenant and the potential for a violation of this covenant over the near term, as this measure steps down by 0.2x in the first quarter of 2009. Having completed the expansion project at its MotorCity facility, the bank agreement requires that consideration now be given to formerly excluded debt in calculating covenant compliance for the company..."

Standard & Poor's Primary Credit Analyst: Michael Listner can be reaced at michael_listner@standardandpoors.com

Has Rep. Stupak introduced yet another bill for a Bay Mills casino in Port Huron?

10.24.08

City's latest years have been among its most notorious and divisive

By Mike Connell

...Sears joined the exodus to the suburbs, and in 1993, developer Mike Malik proposed turning the vacant Sears building on Michigan Avenue into a $60 million casino.

Malik, a native of Clay Township, envisioned a casino owned by Bay Mills, a Chippewa band from the Sault Ste. Marie area, and managed by Harrah's Casino Hotels of Nevada. The proposal failed on July 13, 1993, when city voters rejected it, 5,120 to 4,751.

A year later, voters in Port Huron Township rejected a similar proposal for a casino off the Water Street interchange of the expressway.

Malik reappeared in 2002, a year after voters endorsed a casino proposal from Don Reynolds, one of the Edison Inn's owners. In August 2002, Gov. John Engler agreed to let Bay Mills create a reservation on the Edison Inn's 15-acre site if the tribe would drop its long-standing claim to a 110-acre parcel at Charlotte Beach on the St. Mary's River.

Numerous efforts to win congressional and presidential approval of the Engler-Bay Mills' deal have failed. A new bill was introduced in May by U.S. Rep. Bart Stupak, D-Menominee. As of last week, it remained in the House Natural Resources Committee... (Complete Article)

Detroit News dashboard demonstrates declining state of Michigan's economy

This dashboard chart below accompanied an article published 9.23.08 in the Detroit News in which the lead paragraph read:

Michigan's economic rank falls
Median income declines as home values shrink more than U.S. average.

"By nearly every measure, Michigan has lost ground economically compared to the rest of the country, according to census figures released today. "

Barstow Mayor and Detroit Casino Syndicator under investigation; their casino plans dead in Sacramento

Both the Big Lagoon Rancheria and the Los Coyotes Indian tribes have terminated their Sacramento lobbying contracts. And while Barwest LLC engaged Governmental Advocates, Inc. last Spring; the firm, previously engaged by the two tribes, has not reported any payments from BarWest for lobbying activity this year.

This appears to suggest that all efforts in Sacramento to advance a Barstow casino have ceased.

It's reported that the BarWest double billboard, erected at one time on property the Detroit casino syndicators reportedly control in Barstow, has fallen into extremem disrepair and stands as an icon for the state of the Barstow casino project.

Barstow's Mayor Lawrence Dale stands for re-election next month. For the last eight years the Mayor has made the BarWest casino the cornerstone of his plans for economic development in the declining desert town. Now that the casino appears to be dead, what does the Mayor propose to turn around the local economy?

For nearly 19 months, the lobbying and campaign finance reporting practices of BarWest and its principal Michael J. Malik, Sr., have been under investigation in Sacramento. BarWest and its principles injected nearly $200,000 into local Barstow politics in recent years -- that's more than had been spent on politics in Barstow for the entire second half of the 20th Century.

Barstow Mayor Lawrence Dale is reportedly under investigation by the San Bernardino County District Attorney.

Revenues at Ilitch owned MotorCity Casino fall 9.46% in September; down $8 million this year.

According to the Michigan Gaming Control Board (MGCB) , MotorCity Casino's revenues for September were down 9.46% as compared to the gambling hall's September 2007 revenues.

For the 12 month period ending September 30, MotorCity Casino's revenues are down nearly $12.8 million (2.63%) as compared to the previous 12 months. Revenues have fallen 9 out of the last 12 months as compared to the same months the previous year.

The Ilitch-owned property opened its expanded gambling hall in June 2007 and a 400-room hotel in November 2007.

The casino/hotel owner Marian Ilitch borrowed nearly $1 billion to acquire, expand, and finance MotorCity Casino.

Both Moody's and Standard & Poor's have been forced to downgrade MotorCity Casino's credit ratings since Ilitch acquired 100% control of the enterprise. Most recently on 9.29.08, Standard & Poor's changed its ratings outlook on CCM Merger, Inc. from stable to negative.

MotorCity Casino is a d/b/a for Detroit Entertainment LLC. CCM Merger, Inc. is the parent of Detroit Entertainment LLC.

MotorCity Casino revenues down 9.46% over 2007

10.08.08

September revenue up at MGM Grand Detroit, down at other two casinos

Nathan Hurst / The Detroit New

DETROIT -- The city's three casinos collected 4.6 percent more revenue this September than last, though only one gambling hall -- MGM Grand Detroit -- saw individual gains.

That's according to the latest figures released Wednesday by the Michigan Gaming Control Board, the state's regulatory agency.

-- MGM Grand Detroit collected $44.8 million last month, up 26.98 percent from September 2007.

-- The Ilitch-owned MotorCity Casino brought in $36.11 million in September, down 9.46 percent from last year.

-- Greektown Casino, which filed for bankruptcy in late May, took in $25.22 million last month, down 4.15 percent from September 2007.

Detroit's casinos collected $106.13 million last month, up from $101.47 in September 2007.

Though revenue was up, the state collected less in taxes -- $9.6 million this September versus $12.3 last year -- because of scheduled tax rollbacks at MGM Grand and MotorCity related to the opening of those two companies' permanent casinos and hotels.

Greektown, the city's smallest casino, will have its permanent facility fully open by early next year.

Find this article at: http://www.detnews.com/apps/pbcs.dll/article?AID=/20081008/ENT08/810080439

Detroit Casino Revnues drop in September

10.10.08

Sept. revenue down for all 3 Detroit casinos

By Bill Shea

Detroit’s three casinos collectively reported their lowest total monthly revenue for 2008 at $106.1 million for September, according to the latest report from the Michigan Gaming Control Board.

The total was the worst since $110 million in June.

All three casinos showed revenue declines from August, with MGM Grand Detroit Casino dropping from $50 million to $45 million for the month.

MotorCity Casino followed closely at $36 million, down from August’s $41 million.

Greektown Casino L.L.C. had the smallest decline, to $25 million from $27 million in August.

The state collected $9.6 million in wagering taxes for the month, the least collected since June’s $9.8 million.

Revenue is the amount casinos keep from the money wagered, after paying winners but before paying wages, taxes, utilities and other expenses.

Indianz.com: Judge to consider Shinnecock Nation recognition

10.06.08

A federal judge says he will determine whether the Interior Department has "unreasonably delayed" the Shinnecock Nation of New York from federal recognition.

The tribe submitted its petition to the Bureau of Indian Affairs in 1978. Despite being at the top of the list for an answer, the tribe is still waiting.

Judge Joseph F. Bianco will hold a telephone conference tomorrow to determine how to proceed with the case.

Get the Story: Federal judge orders Shinnecocks' case reviewed (Newsday 10/5)

Court Decision: Shinnecock Nation v. Kempthorne (September 30, 2008)

Dykema lobbyists disclose they are behind Ilitch backed plans for Port Huron casino

According to official documents filed on 10.09.2005 with the U.S. Congress, nearly a week after the 110th Congress adjourned, the lobbying/law firm Dykema Gossett disclosed it had been lobbying on behalf of Michael J. Malik's Blue Water Resorts since 09.05.2008.

The official disclosure document indicates that two lobbyists, Nancy Barbour and Elliott Hall (also a lobbyist for Corning, Inc. and Ford Motor Company), were lobbying for the passage of H.R. 2176, a bill that was overwhelmingly defeated a little more than two month earlier (06.25.2008) on the floor of the U.S. House of Representatives.

OpenSecrets.org reports that attorneys affiliated with Dykema Gossett have contributed nearly $320,000 to federal election committees during the 2008 election cycle.

Blue Water Resorts has paid lobbyists at least $585,000. Another Malik controlled casino affiliate MJM Enterprises Development, founded in 1993, has paid lobbyists $710,000. The Bay Mills Indian Community has paid lobbyists $1,670,000. That's a total of almost $3 million to federal lobbyists.

Blue Water Resorts, L.L.C., was formed by Detroit casino syndicator Michael Malik on 07.10.2001. A second entity, Blue Water Resorts Manager, Inc. was formed by a Malik attorney on 09.06.2005. Both entities are believed to be the financing mechanisms for a proposed Port Huron Indian casino that Malik has proposed in partnership with the Bay Mills Indian Community.

Attorneys affiliatd with Dykema Gossett have been intimately involved with Malik's schemes for the proposed Port Huron casino dating back to Gov. John Engler's last term in office; notably, R. Lance Boldrey, a former aide and counselor to Engler who negotiated an agreement between the Bay Mills tribe and the State of Michigan that would pave the way for the off-reservation casino, and Richard McClellan, Engler's close friend and political operative.

Also backing Malik's Port Huron casino scheme are members of Detroit's Ilitch Family (Mike Ilitch & Marian Ilitch). Dykema represented Marian Ilitch in her acquisition of complete control of Detroit's MotorCity Casino in several public offerings intended to raise capital for Ilitch's purchase and expansion of MotorCity Casino. Malik was once a partner in MotorCity Casino but failed to receive a gaming license from the Michigan Gaming Control Board (MGCB).

Malik and senior members of the Ilitch Family have contributed nearly $800,000 to federal campaign committees during their pursuits for a Port Huron casino.

UPDATED: Analysts have reason to keep a close watch on MotorCity Casino (CCM Merger, Inc.) right now

Give these kinds of circumstances, you can bet analysts at Moody's as well as Standard & Poor's are keeping a close watch on MotorCity Casino's parent company, CCM Merger, Inc -- the entity Marian Ilitch formed to acquire MotorCity Casino from MGM Mirage/Mandalay Resort Group and other minor investors in 2005. In late August, Moody's reaffirmed its negative credit rating outlook for CCM Merger.

• Ilitch -- falls on Forbes' list of "400 Richest Americans" for second year in a row. Forbes' attributes the fall to troubles at MotorCity Casino which is "facing new competition from MGM Mirage" as well as an "economic downturn depressing casino valuations."
• MotorCity Casino (MCC) -- MGCB reports indicate revenues for Summer 2008 (Jun - Aug) fell 6.5% over Summer 2007.
• MotorCity Casino (MCC) -- revenues at the new and improved MotorCity Casino through August 2008 were down 1.65% over the previous 12 month period. (MGCB)
• MotorCity Casino (MCC) -- completion of what's now reported as a $300 million construction project was celebrated in September 2008 nearly a year after construction was originally anticipated to be complete.
• MotorCity Casino (MCC) -- construction, originally set to be completed by end of 2007, was ongoing through March 2008.
• MotorCity Casino (MCC) -- An expanded (25% larger) gaming floor opened in June 207 and despite an initial bump in revenues in June and July 2007; for each of the subsequent three months, revenues declined. Revenues posted in October 2007 were second lowest in that calendar year.
• MotorCity Casino (MCC) -- hotel opening delayed.
• MotorCity Casino (MCC) – August 2007 revenues were down as compared to the prior month; just two months after opening its expanded gaming floor.
• Detroit -- labor authorizes strike against three Detroit Casinos beginning Tuesday, Oct. 16. MotorCity Casino is labor's first target among Detroit casinos. On Oct. 17, MotorCity Casino locks its doors to gambling patrons.
• Detroit – realized a short-run UAW strike against GM in September.
• Detroit - UAW workers walked off the production lines at Chrysler in October.
• Detroit – second highest foreclosure rate in the Country. CNN’s Money.com reports that this past year, one of every 29 Detroit area households recorded a foreclosure filing there, almost double the rate of a year ago.
• Michigan – faced the possible shutdown of Detroit’s Casinos in the event of an anticipated Oct. 1 state government shut down.
• MGM Grand Detroit -- will celebrate a Grand Opening of its new $775 million casino hotel the Week of October 2, 2007.
• MotorCity Casino -- 400-room hotel is set to open in November completing the property’s $275 million renovation and expansion; MotorCity Casino announced the hiring of a V.P. for hotel operations in July who mysteriously has come and gone from the yet to open property; and MCC announced the hiring of a second V.P. for hotel operations in September.
• MotorCity Casino – lost its head chef in September to a restaurant in Chicago.
• MotorCity Casino – trying to gain some local marketing advantage by developing some synergy with other Ilitch-owned brands – namely the Detroit Red Wings and Detroit Tigers. MLB has a ban on mixing gambling and baseball; and an announcement for a Red Wings’ gambling tournament scheduled to coincide with MotorCity Casinos grand re-opening was pulled from the NHL’s official Red Wings’ Web site in light of recent NHL gambling scandals.
• Ilitch - falls 55 spots on Forbes 400 List; MotorCity Casino credit ratings fell, Tigers fail to make playoffs, Red Wings fail to sellout

CCM Merger, Inc. is the entity which obtained nearly $1 billion from "investors" through traditional bank loans and junk bond offerings in 2005. Ilitch used $525 million to buyout MGM Mirage, projected $275 million to renovate and expand the casino property and the balance primarily to assist in financing the acquisition of the funds in the shortrun.

It should be noted that one year after Ilitch purchased MotorCity Casino, both Moody's and Standard & Poor's were forced to downgrade their credit ratings for the Ilitch-controlled CMM Merger, Inc. because the entity was leveraged beyond what investors were told originally that they might expect.

first posted 10.03.07
updated 10.10.07; 10.15.07, 10.17.07, 10.25.07, 11.21.07, 11.28.07, 9.15.08

Ilitch and partner contributed to Rep. Rangel who's embroiled in corruption charges

According to OpenSecrets.org, Detroiters Mike & Marian Ilitch, and their associate/partner Michael Malik each contributed the maximum $4,600 (two contributions of $2,300 each) to U.S. Rep. Charles Rangel (D-NY) on 8.23.07. That’s a total of $13,800 to Rangel’s campaign committee. Charlie Rangel is chairman of the House Ways & Means Committee.

Citizens for Responsibility and Ethics in Washington (CREW) has labeled Rangel one of the “20 Most Corrupt Members of Congress.” Rangel has come under intense scrutiny for a series of alleged ethics lapses, including failure to disclose income on real estate property and raising money for an educational center bearing his name. Rangel is currently the focus of a self-initiated House Ethics Committee investigation.

Marian Ilitch owns Detroit’s MotorCity Casino and Michael Malik was once her partner in that venture. The pair has partnered subsequently on Indian casinos proposed in California, Michigan and New York. Mike & Marian Ilitch are the co-founders of Little Caesars Pizza and own the NHL’s Detroit Red Wings. Mike Ilitch owns MLB’s Detroit Tigers.