Belle of Sioux City Loses Legal Battle

The legal battles are over for Penn National Gaming’s Belle of Sioux City (l.), following the Iowa Supreme Court's ruling that the Appeals Court acted properly in 2013 when it granted a gambling license to the land-based Hard Rock casino and rejected the application of Belle, owners of the Argosy Sioux City riverboat casino.

Belle of Sioux City has reached the end of the line in its battle with state regulators regarding its shuttered Argosy Sioux City riverboat casino. The Iowa Supreme Court on May 23 denied Belle’s request to review the Iowa Appeals Court ruling upholding lower court decisions that led to the Argosy Sioux City’s closure.

Mark Weinhardt, attorney for Belle, argued the Appeals Court misinterpreted the state’s casino license renewal statute, and added the court’s ruling damaged the Belle’s due process rights before state agencies.

In March the Appeals Court ruled the Iowa Racing and Gaming Commission did not violate Belle’s right to due process when it denied a gaming license to Belle of Sioux City, a subsidiary of Penn National Gaming Company. It further ruled the Argosy’s incomplete gambling license renewal applications in 2012 and 2013 did not qualify it for protections in Iowa law. Belle did not have a nonprofit partner as required by Iowa law.

 The Supreme Court stated the Appeals Court acted properly in 2013 when it granted a gambling license to the land-based Hard Rock casino and rejected Belle’s application. This was Belle’s final opportunity to keep the case open.

Representing the Iowa Gaming and Racing Commission, Iowa Attorney General’s Office spokesman Geoff Greenwood said, “The Court of Appeals issued a thorough and well-reasoned decision. We’re pleased with the Supreme Court’s affirmation, which now ends this litigation.”

IRGC Administrator Brian Ohorilko said, “We always felt confident that we had been complying with Iowa law and had given everyone an opportunity. It does give us a little bit of affirmation, and we’re grateful we had the chance to argue our position.”