Hollywood Card Room gambling license revoked
Friday, August 16, 2024
The Hollywood Card Room Casino, located at 16716 Aurora Ave N, Shoreline WA 98133, had its gambling license revoked by the State Gambling Commission at their meeting on August 8, 2024.
The casino is permanently closed.
They were faulted for having insufficient funds to run the operation, for not following standard accounting practices, for failing to pay their license fees, and for making misleading statements to state investigators.
Their financial difficulties were first discovered in 2023. The "player supported" jackpot revenue was far below the prizes paid out. In the June through September 2023 period the total amount collected was $48,693.60, whereas the total amount of prizes paid out was $121,962.00, a difference of $73,268.40.
The majority owner transferred retirement funds into the operating funds and obtained a $75,000 loan from an unregulated merchant business funding company, repayable on a daily basis through fifteen (15) percent of the daily gross receipts.
When state agents reviewed the general ledger in both the physical and electronic forms, several inaccuracies were noted, including contributions not being entered into the general ledger, failure to keep an accounting system on a double-entry system in accordance with Generally Accepted Accounting Principles, inaccurate reporting of transactions, and failures to report cash infusions correctly.
These inaccuracies made it impossible for agents to determine what funds were infused into the business or when those funds were infused.
Hollywood was required to submit quarterly license reports and pay quarterly license fees during the duration of their license. They failed to pay two of those quarters in 2023.
During the course of this investigation the majority owner repeatedly failed to disclose material facts, made several false or misleading statements as to the total debts Hollywood was incurring, agreements with third parties, and ability to repay these debts.
The Hollywood Card Room Casino is listed as permanently closed.
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3 comments:
If The Hollywood Card Room Casino building/facility is permanently closed, could the City of Shoreline purchase it and remodel it for an Aquatic and Recreational Center? We have enough apartments in the area, but are the only city in the area without it's own pool to service the community and 2 high school swim teams.
The other commenter asked about the possibility of the city buying casino property for use as an aquatic center. The city actually already owns land for an aquatic center, but hasn't been able to secure grant funding to build the facility. It's the Shoreline Secure Storage property at Midvale & 178th.
Just build the aquatic facility anywhere in Shoreline. It's wrong they closed our pool for pandemic tents that were never needed......too long now without a proper pool in Shoreline. Our Shorewood kids have to go to Lynnwood to practice....how many years will it be Shoreline before our taxes pay for an aquatic facility?
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