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Illinois Betting Tax Increase May Inspire Similar Moves in Other States
Illinois Gaming Company Submits Lawsuit Against State Regulators
February 29, 2020 TamaraTam
Rick Heidner from Illinois had an excellent idea about launching a casino project last year. The holder of video gaming terminal (VGT) Gold Rush Amusements turned to the Illinois Racing Board to get approval for operations. Everything was working well when it was revealed that Heidner has some connections with gang activity. The IRB has since canceled the project due to allegations against Rick and now he claims that the Board made the wrong decision. Heidner wants to charge the board for all his losses…
About the Case
The owner of Gold Rush Amusements is ready to sue the Illinois Racing Board while looking for $4 million in restitution. According to his words, one of the employees had illegally shared his information with the Federal Bureau of Investigation (FBI): The employee “unintentionally and illegally” gave his personal and financial details to the FBI and other agencies. He also asserts that the Local Board made his position even worse through “unfair and improper actions”.
Important details about Heidner was related to his connections with Rocco Suspenzi, a mob individual convicted by prosecutors of tax evasion and leading an illegal gambling platform. Heidner didn’t confirm any of these connections which were subsequently proven by a home raid of former Illinois Senator Martin Sandoval.
Future Complications
Heidner’s lawsuit could cause some problems for the Illinois Racing Board. The IGB has confirmed that a “data breach” occurred in the first month of the year. The board’s , Marcus Fruchter, explained the situation in a letter to the lawmakers: “an IGB employee may have improperly accessed confidential information on IGB licensees and applicants and disclosed this information without authorization or justification to three federal government entities.”
However, it was only “an isolated incident involving one employee who acted alone and outside the scope of their duties.”
Heidner has another opinion…He observes that “troves of sensitive financial records and personal information” include data on his activities as well as about his wife, two children and numerous business partners were revealed. Judging by the lawsuit:
“Despite requiring licensees and associated individuals to hand over a veritable treasure trove of their most sensitive data, the evidence will show that the IGB’s approach to protecting Mr. Heidner’s data has been careless and cavalier, at best.”
It is not clear who from the Illinois Racing Board committed a privacy breach. The actual name of the employee has never been reported. Heidner lawsuit insists on “negligence and breach of fiduciary duty“. We now wait to learn the date of the court hearing…
Source:
„Illinois gaming operator sues gaming regulators over data leak“, calvinayre.com, February 13, 2020.
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This case is really interesting. Heidner has obvious bonds with gangs and an employee has discovered sensitive data. The real question here is which interests prevail – those of privacy or the legality. In other words, should we put in the first place the duty of privacy protection or give the advantage to the legal state where no one will have connections with criminals…