UNITE HERE Local 54 announced today its intention to file suit to stop the New Jersey Economic Development Authority's attempt to funnel $261 million in future tax revenues to the Revel Casino project in Atlantic City.
"At a time when taxpayers across the state are making massive sacrifices to keep our state solvent, it is outrageous that the EDA has voted to give away $261 million to a casino company that will force other casinos to close and may result in an overall loss in state tax revenue. This deal is untenable, and our lawyers are preparing to sue the EDA to stop this bailout," said Bob McDevitt, President of UNITE HERE Local 54.
A poll last year showed that New Jerseyans opposed bailing out the casino by a 2 to 1 margin.
Revel's majority owner, Morgan Stanley (NYSE: MS), recently wrote down its $1.2 billion investment in Revel to just $28 million and announced plans to sell its stake in the ill-fated casino.
UNITE HERE Local 54 represents workers at all 11 casinos in Atlantic City. In 2004, Local 54 waged a 34 day strike at seven Atlantic City casinos, the longest strike in Atlantic City history. In 2007, Local 54 opposed the license renewal of the Tropicana Casino and Resort in Atlantic City.
Contacts:
UNITE HERE Local 54
Ben Begleiter, 609-344-5400 x 111
bbegleiter@unitehere.org