From the NY Times:
Scratch those plans for the first casino on a subway line. Plans to build a casino at the Aqueduct racetrack have collapsed, the latest victim of the financial turmoil that has stilled the credit markets. Delaware North, the Buffalo Company that was contracted to build and operate the casino, has not been able to get the financing to raise $370 million it was due to pay the state.
That leaves the state with yet another hole to plug in its ever leakier budget.