Atlantic City May Go Bankrupt If Requested to Refund Borgata
Atlantic City Mayor Don Guardian warned that the city may go bankrupt it owes the Borgata Casino, the most profitable of all eight remaining gambling venues if it is forced to pay the debt.
At the moment, Atlantic City is on a payment plan, that has been ordered by court and under which, it is to cover the quantity of $150 million in income tax refunds to the casino. Nevertheless, on December 8, it missed a $62.5-million payment in tax refund for the 2009-2010 calendar years.
The Borgata brought the problem to court, requesting Atlantic City to be ordered to spend the aforementioned installment with interest and in just a month. The gambling venue also asked for the town to be necessary to spend all legal fees that it’s spent during the program.
Borgata Senior Vice President Joe Lupo told media that being a taxpayer, the casino gets the right to be compensated a reimbursement of overpayments as well as in a prompt manner. The executive also noticed that Atlantic City has paid its debts to almost every other gambling home, with the exception of his own.
Commenting in the matter, Mayor Guardian stated that the populous city cannot pay its debt at the moment and having to do this may bring about it going bankrupt. What’s more, it seems that the once-popular gambling destination cannot make application for a relationship or be issued government relief without proving responsibility that is fiscal.
Yet, the city may receive a assistance that is financial of $60 million in government aid. (več …)