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Kevin Flynn Draws Michigan Aces

Ex-casino owner eyes $5-mil. prize

Kevin Flynn, thwarted in his bid to open a casino in northwest suburban Rosemont, stands to hit a smaller yet tidy jackpot if Indian tribes are blocked from opening a pair of casinos in southwest Michigan.

Mr. Flynn, his father and a group of investors lost the chance to open a casino in one of Illinois’ most lucrative locations when state casino regulators forced them to give up their Illinois casino license after determining that some of the investors had ties to organized crime figures and the group had failed to disclose agreements related to the construction and ownership of the proposed Rosemont casino. Another group recently won the right to open a casino in Rosemont.

Now, Mr. Flynn is on the verge of collecting $5 million if Indian casinos proposed for Battle Creek and New Buffalo, Mich., don’t open by November. Ground hasn’t been broken for either casino, and with both projects tied up in litigation, the payment to Mr. Flynn seems assured.

Writing the check would be Boyd Gaming Corp., a Las Vegas casino operator that bought a Michigan City, Ind., gambling boat and attached hotel from the Flynns for $273.6 million in 1999. That facility, the Blue Chip Casino and Hotel, is just nine miles from the casino the Pokagon Band of Potawatomi Indians wants to build in New Buffalo.

When it agreed to buy the boat, Boyd also signed a five-year consulting agreement with Field Street Inc., where Mr. Flynn was CEO. Under the contract, a copy of which was provided to CRAIN’S by a spokesman for the Pokagons, Field Street agreed to provide consulting services to Boyd on “marketing and promotional matters, legislative, regulatory and lobbying matters and ongoing operations.”

In return, Field Street was to receive $42,000 per month in consulting fees ($2.5 million over the five-year contract term ending at June 30, 2004); reimbursement for “travel, legal and lobbying expenses,” and a $5-million “contingent payment” if neither Indian casino was open when the consulting contract expired.

Read the entire article at: Chicago Business 

2004 Online Casino News Archive


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