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Today’s number: $1.65 million

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Illinois

* Back in the day, the Illinois Gaming Board ruled against putting a casino in Rosemont because they were worried about alleged mob ties. Instead, they put the casino next door in Des Plaines.

And for years, the Chicago Tribune editorial board was completely enamored with former Illinois Gaming Board Chairman Aaron Jaffe and his staff. In one of several laudatory pieces they did on him, they were all cheered for their “stellar record of insulating the Illinois gambling industry.” Another representative Trib editorial quoted Arthur Bilek, executive vice president of the Chicago Crime Commission, as saying…

“What’s safeguarding Illinois now is the integrity of Judge Aaron Jaffe and Mark Ostrowski,” the Gaming Board’s chairman and top administrator.

* Well…

Rivers Casino has paid one of the largest gaming-related fines in modern times – $1.65 million – following an Illinois Gaming Board investigation spurred in part by questions over a security and maintenance contractor’s ties to reputed mob figures.

Last year, the Better Government Association discovered that Rivers – Illinois’ newest and most lucrative casino – hired United Service Cos. for security and cleaning work at the Des Plaines gaming site.

United is run by Richard “Rick” Simon, who has had admitted business and personal ties to reputed mob figures, including his late friend and boss, Ben Stein. Simon made news earlier in the week when it came to light that former Chicago Police Supt. Garry McCarthy launched a security consulting business affiliated with United.

The BGA asked Rivers officials last May about United’s hiring because Illinois casinos are not supposed to have even a hint of organized crime connections – something that helped sink Rosemont’s years-long push to score a gaming license.

* If you look at the Gaming Board’s report, you’ll see that Simon’s cleaning firm did work for the casino for a year (2011-2012) without any vendor authorization. Simon’s firm was “lacking a documented bidding process and a formal contract” in 2012. In 2013, “no formal contract” was entered into between the casino and Simon’s company for cleaning work. In late 2014, the casino hired Simon’s company to do cleaning work “without an RFP, without soliciting bids and without entering into a contract,” according to the investigation.

Finally, in late 2014, the casino signed a contract with Simon’s company, but backdated it to July, 2011.

It goes on. Read the rest.

Apparently, if the BGA’s allegations about Simon are true, Jaffe & Co. weren’t minding the store as closely as everybody thought.

* And the BGA now has some pointed questions for the current Gaming Board chairman and his staff…

Why was there no mention of Simon’s connections in the final gaming board report?

How was the gaming board fine calculated?

Is Rivers barred from using United in the future?

Why didn’t the gaming board know of Simon and United until the BGA started making inquiries?

Mark Ostrowski, the gaming board’s administrator, would not return phone calls.

Simon declined to comment.

All very good questions. How about some answers?

posted by Rich Miller
Tuesday, Apr 12, 16 @ 2:49 pm

Comments

Never been in there. Is the place clean?

Comment by A guy Tuesday, Apr 12, 16 @ 2:52 pm
Can we just refer to this as an episode of “win Ben Stein’s money”?

Comment by Juice Tuesday, Apr 12, 16 @ 2:59 pm
United Service is the outfit that has the new O’Hare Airport janitorial contract.

Comment by TinyDancer(FKASue) Tuesday, Apr 12, 16 @ 2:59 pm
It’s Chicago. Is that a good enough answer.

Comment by Elliot Ness Tuesday, Apr 12, 16 @ 3:00 pm
===The BGA asked Rivers officials last May about United’s hiring because Illinois casinos are not supposed to have even a hint of organized crime connections – something that helped sink Rosemont’s years-long push to score a gaming license.===

And everyone knows that mobsters wouldn’t dare cross the street? That’s very expensive ‘housekeeping’…by every definition of the term.

Comment by A guy Tuesday, Apr 12, 16 @ 3:18 pm
Fishy.

If only I trusted BGA more.

Comment by walker Tuesday, Apr 12, 16 @ 3:37 pm
Well color me silly. I was always under the impression ALL Illinois Casinos licensees were certified mafia, otherwise they’d never been given the license in the first place. The majority of gaming money goes into Casino owners pockets, not the Common School Fund. Casinos do not help fund schools. They reduce productive economic activity, drive demand for government services and slow job growth. They actually increase crime! I’d wager a can of soda pop raisin’ gamin’ fees ain’t discussed at Rauner’s Sham meetin’.

Comment by Beaner Tuesday, Apr 12, 16 @ 3:55 pm
So…Mobsters cleaning casinos - bad.
Mobsters cleaning airport - good?

Comment by TinyDancer(FKA Sue) Tuesday, Apr 12, 16 @ 4:02 pm
Always wonder why the BGA got into this to begin with….usually the fine hand of another gaming operation to the west….Tribbies usually front for same entity

Comment by Annonin' Tuesday, Apr 12, 16 @ 4:11 pm
Why aren’t forfeiture laws applied in these cases. HA!

Comment by NoGifts Tuesday, Apr 12, 16 @ 4:46 pm
Beaner, perhaps you speak from the bliss of the ill-informed. The vast majority of money wagered at casinos goes back to the gambers.

Comment by Anonymous Tuesday, Apr 12, 16 @ 5:03 pm
The kernel of truth in Beaner’s statement is they sell gambling (even the lottery) by telling us it is economic development, encourages other local development and helps the schools. And it isn’t true.

Comment by NoGifts Tuesday, Apr 12, 16 @ 5:34 pm
If he handles things as he did as a judge, Jaffe will respond by yelling at random people.

He was one of the worst demeanored judges I’ve every known, and not coincidentally, one of the worst overall.

How he ended up in any position of public trust is beyond me.

Comment by Gooner Tuesday, Apr 12, 16 @ 5:47 pm
Another good reason why IGB supervisors should have casino experience and not just be somebodies buddy who needs a promotion.

Comment by Anon Tuesday, Apr 12, 16 @ 6:09 pm
Fire all and make this an example.

Comment by cannon649 Tuesday, Apr 12, 16 @ 8:12 pm
The Illinois Gaming Board is smoke and mirrors. The administrator has been in power way too long and has hired back as “contractuals” his buddies. These guys aren’t necessarily the most qualified individuals, but they do not EVER question authority. Look at the records and see how long the same people have been in positions of authority. And with regards to video gaming in bars, you’d be surprised at some of the questionable locations that are routinely pushed through over agent objections.

Comment by A to the Non Tuesday, Apr 12, 16 @ 8:54 pm
“The Illinois Gaming Board is smoke and mirrors.”

A to the Non hit the nail on the head. Judge Jaffe talked big when it came to organized crime, then licensed the same companies who ran the illegal gambling machines. For example, J&J Ventures operated one of the largest networks of illegal video poker machines in Illinois prior to the Video Gaming Act, and is now the state’s second largest licensed Terminal Operator.

The Liquor Control Commission maintains records of every location which hosted the illegal machines, so the IGB undoubtedly knew this information when they issued J&J’s license. Jaffe publicly stated anyone involved in “grey area gaming” would not be allowed to participate in legal gaming, but apparently reversed his position like a typical Illinois bureaucrat.

Comment by Anon, Part Deux Wednesday, Apr 13, 16 @ 10:52 am
Ricky Simon. That’s a very serious man.

Give the google a workout and you’ll see. Start with Ben Stein, king of the janitors, and Karen Lee Koppel.

You’ll also find out about a scheme out in Las Vegas that got Bill Hogan kicked out of the Teamsters. Kicked out the Teamsters — give that a think.

I used to do a lot of work out at Mac Place, when Jim Reilly and and Skinny Sheahan were running the show. Mostly.

But always lurking about were Hogan, Simon and Billy Marowitz. It was no secret as to who had the real juice there.

Simon is the cash behind the Harry Caray restaurants. Over the years, some lady bartender friends have told me tales that would curl your toes.

Very serious man, in the West Suburban tradition.

FWIW, Hogan’s old Teamsters hall is now The Wire, a swinging music venue just down the street from Fitzgerald’s and across from the Jewels on Roosevelt Road in beautiful Berwyn.

Just south of there on Cermak, Frank Thomas has a joint in the old Berwyn Town Bank Building, The Big Hurt Brew House. Great place to watch your first-place White Sox and Cubs play.

Comment by wordslinger Wednesday, Apr 13, 16 @ 10:58 am