Japanese businessman Ginji Yasuda filed Monday to put the ailing Aladdin Hotel under federal bankruptcy protection, citing total debt that outstripped the resort's assets by more than $38 million.
Yasuda, the first foreigner to be licensed to operate a Nevada casino, reported in the Chapter 11 filing that his Ginji Corp. owed $121.2 million to various creditors while having total assets of $82.9 million.
The bankruptcy filing, which had been widely expected, comes on the heels of the Nevada Gaming Commission's decision last week to yank Yasuda's license and give the Aladdin until next Tuesday to comply with a list of conditions to allow its casino to remain open.
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Commission Chairman John O'Reilly said the bankruptcy filing has not changed the commission's insistence that the Aladdin hire several new officers, put a $3-million cash infusion into the casino and disclose the source of recent loans to the resort.
"I don't think the primary focus or goal has really changed," O'Reilly said. "I would hope they bring forward information Tuesday that will show their compliance with the conditions and justifications for further licensing."
James Shea, an attorney who worked on the petition, said the hotel has already begun to comply with the commission's conditions, including the hiring Monday of longtime gaming figure Robert Brooker to be general manager.