St. Croix Casino Developer Loses Gamble, Folds

Can't say that I didn't see this coming:

Nov. 7, 2007 -- After more than six years of delays, numerous extensions to its casino license, lawsuits by environmentalists and competitors and a Senate agreement to fund a $32 million conference center, Golden Gaming's plans to build a resort have come to a close with foreclosure and auction of the lands.

Paul Golden of Golden Gaming has tried to develop a casino resort costing several hundred million dollars on St. Croix's south shore since 2001. (See "Golden Gaming CEO Remains Steadfast in His Vision.")

On Dec. 1, 2006, the Connecticut-based hedge fund Silver Point Capital loaned Golden Gaming $15 million, secured by a mortgage on the casino development company's land holdings. Notice of default was received by Golden Gaming on June 12 and, on Aug. 30, Silver Point filed foreclosure papers on all of Golden Gaming's land holdings, claiming the lands in payment of the debt. On Oct. 25 a judgment was entered in Superior Court on St. Croix, saying the parties have agreed to terms of the foreclosure.