Trump Entertainment settling with online gambling associates

The bankrupt land casino owner Trump Entertainment Resorts has filed court documents announcing settlements with Betfair and Ultimate Gaming – two former partners in internet gambling ventures in New Jersey under the Trump Plaza and Trump Taj Mahal brands.

The documents indicate that Betfair – former partner in the Trump Plaza initiative – will retain the customer base data and will continue to hold a $700,000 unsecured claim against Trump Entertainment in its ongoing bankruptcy case.

It is not known what Ultimate Gaming received; it has claimed around $1.5 million from Trump.

Billionaire investor Carl Icahn, principle creditor for Trump Entertainment, has approved the settlements as part of a deal in which he will acquire the company in return for canceling $286 million of its debt that he holds.

However, that agreement is contingent on Trump Entertainment being awarded state and local tax breaks and the cooperation of a worker’s union (see previous reports).

When we went to press Friday there was no record of comment on the settlement by either Betfair or Ultimate Gaming.