Monday, February 22, 2010

Feds talking with losing bidders in Aqueduct probe

From the Daily News:

The feds are trying to get losing bidders in the Aqueduct racino deal to dish about the chaotic process that led to the selection of a politically tied group, the Daily News has learned.

One losing contender said the Manhattan U.S. attorney's office contacted his group this week - the latest twist in the mushrooming scandal.

Prosecutors recently subpoenaed the state Lottery Division for documents related to the Aqueduct project bid process, although aides to Gov. Paterson insist the probe is unrelated to the racino deal.

A spokeswoman for the U.S. attorney's office wouldn't confirm or deny the existence of an investigation into Aqueduct.

From the NY Post:

Paterson's office on Tuesday released documents related to the bid, which showed that AEG initially ranked last in terms of revenue it would generate for the state - but then jumped to first when bids were revised.

One gaming expert told The Post the dramatic change "looked fishy."

Meanwhile, questions were raised about some of AEG's invesment partners yesterday.

The Toronto-based 1X Inc, an online gaming software company, owns 4.4 percent of AEG.

Two of 1X's investors are principals in the Markit Group, which is being investigated by both the US Justice Department and state Attorney General Andrew Cuomo's as part of a larger probe of the credit default swap market.

Markit has denied any wrongdoing.


Anonymous said...

Nothing is sacred - POL jump on anything reeking of $$ even in NYC where all eyes are on the project. Build a new jail for the folks they net in this caper. The people as usual are the big losers.

Anonymous said...

"Feds talking with sore losers in Aqueduct fishing expedition"

It's predictible if you reach out to the losers that you'll find plenty who will say anonymously the process looks "fishy"

Is it really so bad to give a leg up to a group with local roots?

Especially in a depressed community?

If bribes have changed hands that is a different story, but so far there has been no evidence of that.

Where's the beef?