Authorized by the California Department of Gaming Control, the Chula Vista City Council voted last week to transfer ownership of Seven Mile Casino to the Stones South Bay Corp.
“The casino, while operates along the bay, will, according to its new owners, create a first-class entertainment destination in Chula Vista that will stand as a source of pride for the city, our customers, and our employees,” said the council resolution.
Chula Vista police did a background check on the new owners and pronounced that Stones was in good standing to have the license.
The Seven Mile Casino was raided in December of 2015 for alleged illegal gambling and money laundering. It was later closed by the Bureau of Gambling Control and was required to get new owners approved by the state.
The owner, Harvey Souza was charged with no having proper controls to prevent money laundering. He made an agreement with federal prosecutors not to be involved with the card room and to hire an approved independent manager. If he followed those conditions he would not be prosecuted.
The Stones Group then agreed to purchase the operation. It also operates Stones Gambling Hall in Citrus Heights, in Northern California.
It has hired Steve Giorgi, former deputy director of the U.S. Treasury Department as a compliance consultant.
The Seven Mile Casino was originally called the Village Club when it opened in 1946.
In New Hampshire, a bill that would regulate DFS has passed the House and been sent to the Senate.
An estimated 215,000 Granite State residents play the games on sites run by operators such as DraftKings and FanDuel. The bill’s sponsors hope to pass the bill in this session and begin collecting taxes from registration fees and 10 percent of revenues.
The executive director of the state Lottery Commission estimates that could be several hundred thousand dollars.
If the bill passes New Hampshire would join 11 other states that have passed laws regulating the contests and many more such bills are being considered.
Representatives of DraftKings and FanDuel, which are in the process of merging, testified in favor the bill recently. They have spent about $33,000 lobbying lawmakers so far.
Even if the bill passes in the House Governor Chris Sununu has said he has “serious concerns” about it.
Some critics of the bill say its fee structure would favor larger, established companies over smaller companies—making it difficult for them to start up.
The New Hampshire Council of Problem Gambling says it wants some money set aside for treatment.
