New Jersey sets online gambling deadline

The short time frame is intended to give state regulators time to examine the qualifications and backgrounds of the companies that want to partner with the casinos, particularly since several foreign companies are considered likely to join with Atlantic City casinos.

While many feel that this is a relatively short period of time to get organized, the authorities want to make sure that they have ample time to study the backgrounds and qualifications of these partners.  A number of casinos have indicated that they want to sign up with offshore based companies, and this will require more in-depth investigation.

The Borgata Hotel Casino and Spa in Atlantic City, for example, has indicated that it has struck a deal with Bwin.Party Digital Entertainment thanks to the privately owned company’s “big market share and tremendous platform.” Joe Lupo, senior vice president of the Borgata, said the casino moved early on to partner with the firm. 

Other casinos are still mulling their options. The four Atlantic City casinos owned by Caesars Entertainment — Caesars Atlantic City, Harrah’s Resort Atlantic City, the Showboat Casino Hotel and Bally’s Atlantic City — are partnering with 888 Holdings, said Seth Palansky, of the company’s Caesars Interactive division.

Trump Entertainment Resorts, which owns two casinos in Atlantic City, said that the Trump Taj Mahal Casino Resort and the Trump Plaza Hotel and Casino will each sign up with a different online poker software provider, however the group has still not made a final decision. “Our choices are solid,” said the CEO of Trump Entertainment, Robert Griffin said. “It will come down to who gives us the best deal for all our shareholders, and who has the strongest brand in gaming.”

The Tropicana Casino and Resort and The Atlantic Club Casino Hotel declined to discuss their online plans, and officials at the other three casinos did not immediately return messages Friday seeking comment about their plans.

David Rebuck, director of the Gaming Enforcement Division, said casinos that miss the filing deadline can’t be assured they’d be allowed to start offering Internet gambling on the first day it is permitted.

The state also set a July 29 deadline to have completed applications submitted to the division. New Jersey is one of three states in the nation to legalize Internet gambling, along with Delaware and Nevada, which already has started taking bets online.

The state views online betting as a potential way to turn around a nearly seven-year revenue decline that has plagued Atlantic City’s casinos since neighboring states began offering casino gambling, cutting into New Jersey’s casino winnings and jobs. In 2006, when the first Pennsylvania casino opened, Atlantic City’s casinos took in a high of us$ 5.2 billion. That figure fell to just over us$ 3 billion last year.

If casinos don’t give the names of their potential online gambling partners, according to the authorities, there is no guarantee that they will be allowed to start offering internet poker and casino games to their customers on the first day that online gambling is allowed in the state. While no date has been set for the official launch of online gambling, it is hoped that it will be around Thanksgiving this year.