The impact of New Jersey's rejection of the partnership between MGM Mirage and Pansy Ho for gaming operations in Macau is growing. Three states are reviewing their approval of the deal and Nevada is looking into overall gaming operations in Macau as a result of the New Jersey decision and other recent reports of organized crime activity in the VIP sector in the Chinese Special Administrative Region.

Regulators in Illinois, Mississippi and Michigan, where MGM Mirage operates casinos, say they are looking again at their investigation of the Hos in connection to the MGM deal. Michael Fries, the general counsel of the Illinois Gaming Board, and Allen Godfrey of the Mississippi Gaming Commission both confirmed that their organizations are reopening their probe, and Michigan also confirmed that they want more information.

Alan Feldman, MGM Mirage senior vice president of public affairs, says the company is cooperating.

"We're ready to provide whatever additional information they may request," he said.

Nevada, however, is standing by its approval of the partnership.

For MGM, the Pansy Ho situation may have some legal repercussions as well. Last month, a law firm announced it is filing a suit over the alleged criminal associations of Pansy Ho. The New York-based firm Wolf Haldenstein says it has opened an investigation of whether the company has violated its fiduciary responsibility by associating with Ho; that would cause it to lose the ability to do business in certain areas of the United States.

By GGB Staff

Staff writers for Global Gaming Business magazine. Las Vegas, Nevada.