It’s just another day in the drawn out bankruptcy of Caesars Entertainment. This time, U.S. Bankruptcy Judge Benjamin Goldgar allowed junior creditors to view the personal wealth of Caesars executives, including Chairman Gary Loveman, as well as private equity sponsors Apollo Global Management LLC and TPG Capital. The creditors accuse these people of stripping the “crown jewels” from the Caesars’ empire.
“These folks are going to have to pony up the paper,” Goldgar said.
In addition to Loveman, targets include Mark Rowan and David Sambur of Apollo, David Bonderman and Kelvin Davis of TPG, Loveman and former Chief Financial Officer Eric Hession.
Those named in the filing are asked to provide details of their finances and how they acquired them via the Caesars connection.
As expected, the attorneys objected to the filing.
“We disagree with the judge’s decision, which permits an unwarranted invasion into personal privacy and is contrary to well-established law,” Marc Kasowitz, a lawyer for TPG, said to the Las Vegas Review Journal.
Rowan and Sambur have offered to add $250 million to the CEOC reorganization, giving creditors stock in a new group to be created through a merger between Caesars and another affiliate, Caesars Acquisition Co., which controls Planet Hollywood in Las Vegas and Horseshoe Baltimore, as well as Caesars Interactive (which sold its social gaming piece last month), the real-money iGaming sites for Caesars, and the World Series of Poker.
