Casino Owners Take San Jose To Court Over Opening Delays

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Card tables at Casino M8trix in San Jose. (CBS)

Card tables at Casino M8trix in San Jose. (CBS)

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SAN JOSE (KCBS) – San Jose’s glittering new casino near Highway 101, Casino M8trix, is now in a court battle with the city, claiming it’s been forced to delay the opening of its card rooms again and again.

The facility opened just last August. Now, it’s suing the city, claiming its grand opening was unfairly delayed four months.

Casino M8trix spokesman Sean Kali-Rai said that delay cost them about $4 million and the city lost out as well.

“The city lost hundreds of thousands of dollars in the process because they’re a revenue participant with the casino and so why are the taxpayers losing money?” he said.

He said the casino’s tower is still closed because the police department has not signed off on multi-level gambling.

“Multi-level gaming is being done in Southern California now,” said Kali-Rai. “So it’s not something new.”

City Attorney Rick Doyle said most of the lawsuit is recycled arguments. Casino M8trix lost a similar case last year. Doyle defends the city’s strict policies surrounding gambling.

“We’re not Las Vegas or Nevada by any stretch of the imagination,” Doyle said. “We’re not as strict as they are, but we have a pretty good system.”

The complaint was filed in both state and federal court.

Casino M8trix operated as the former Garden City Casino on Saratoga Avenue.

(Copyright 2013 by CBS San Francisco. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)

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