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Former Cordish partner enters bankruptcy - Baltimore Sun

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Indiana Downs, a former business partner of the Baltimore-based
Cordish Cos., has sought protection from creditors under Chapter 11 of federal bankruptcy law.

Indianapolis Downs LLC, which filed its bankruptcy petition Thursday in federal court in Delaware, owns the Indiana Live! casino that was built and managed by Cordish. The alliance between the companies soured in a dispute over fees.

Although the casino was booking higher-than-average revenue, Indiana Downs was struggling under millions in debt. Cordish is developing a 4,750-machine slots palace at Arundel Mills mall.

Indiana Downs says both the race track and its casino, about 15 miles southeast of Indianapolis, will continue to operate normally during the restructuring.

The Indiana Live filing follows a similar reorganization petition filed last year by the operator of Indiana's other so-called "racino," Indianapolis-based Centaur LLC, which owns Anderson's Hoosier Park & Casino. Hoosier Park is emerging from bankruptcy after gaining approval for its reorganization plan in February.

The two race tracks borrowed heavily to buy $250 million state licenses to operate the casinos.



Source: http://news.google.com/news/url?sa=t&fd=R&usg=AFQjCNHTw-nsPtNr7opiRkxqqmbDwarK2A&url=http://www.baltimoresun.com/business/bs-bz-indiana-casino-20110407,0,1948847.story

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