The investigation by federal authorities into New York Governor David Paterson’s ruling on the Aqueduct casino operational license threatens to pull entertainment star Jay-Z into the mess.
The decision by New York Governor David Paterson to grant operational control of the Aqueduct casino project to Aqueduct Entertainment Group has reportedly drawn a federal investigation. Now it appears that the controversial selection for the proposed gambling venue may bring entertainer and rap star Jay-Z into the feds’ radar as well.
Criticism of AEG’s selection has run rampant since Penn National Gaming revealed its bid was 50 percent greater than AEG’s, only to have Paterson allow trailing bidders adjust their bids to match Penn. Both members of the casino industry and political observers have circulated the rumor that Paterson gave the casino rights to AEG because of the group’s ties to Queens political activist Reverend Floyd Flake.
Now the New York Post is reporting that Paterson has repeatedly drawn Jay-z into the mix. The hip-hop king was put together with Steve Wynn when Wynn Resorts was pursuing the project, because Paterson said in order to succeed at the bidding Wynn would need “a minority partner.”
After Wynn withdrew, citing interminable delay and political manipulation, AEG brought Jay-Z into its fold. But AEG denies this was designed to exploit Paterson’s friendship and regard for the entertainer.
“The partners were looking to bring in someone who could bring marketing and community advice to the team,” said AEG spokesman Jonathan Rosen to the Post.
“There is absolutely no relationship between Governor Paterson’s friendship with Jay-Z and the choice of AEG,” asserted a Paterson representative.
Still, authorities want to know why AEG was selected over higher bidders with more experience in casino management and gaming. If Paterson’s choice was guided by his desire to keep Jay-Z in the gambling project, he may have done both his friend and himself a disservice.
By KD Mason
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