Tuesday, August 01, 2006

A California businessman who claims that Las Vegas casinos preyed on his
gambling addiction is attempting to sue MGM-Mirage properties after losing
millions of dollars over a nine-year period. Shibley Horaney, of Long Beach,
Calif., claims that beginning as early as 1995, representatives from the MGM
Grand and The Mirage aggressively solicited him to open lines of credit at
the casinos, which prompted him to lose more than $5 million. He also is
arguing that because he is a California resident and MGM-Mirage
representatives repeatedly hounded him in his home state, he should be
covered by a California law that says it will not "lend its process to the
collection of gambling debts." Horaney's complaint was filed in federal
court after the MGM Mirage threatened to sue him for failing to pay back
$475,000 loaned to him during trips to the Strip. Horaney could not be
reached for comment. His attorney, Allen Hyman, did not return phone
messages. Last week, U.S. Magistrate Judge George Foley granted the
MGM-Mirage's motion to sanction Horaney for two deposition hearings he
missed in March. Horaney claims the casinos "collect data on residents of
California, particularly those susceptible to gambling addiction, (and)
attempt to induce those" individuals to visit their Las Vegas properties.

The company contacted him "upwards of 20 to 30 times a year through phone
communications and written communications," according to the complaint. They
offered to send their corporate jet for Horaney and provide a hotel room at
no cost.

MGM-Mirage officials denied the allegations included in the complaint.

"We did not employ any marketing efforts that we haven't used with other
guests in the past during the ordinary course of our business," said Yvette
Monet, a spokeswoman for the company.

"Further, issues related to problem gambling have been raised as a defense
by plaintiffs in the past, and in every case the courts have rejected the
argument that a guest is not obligated to pay his or her debt in full."

The case is scheduled for a jury trial, one that MGM-Mirage officials are
confident they ultimately will win.

"The reality remains that Mr. Horaney owes an outstanding debt to our
company, and we intend to continue to pursue all legal avenues to collect
the full amount that is owed to us," Monet said.

Horaney's complaint says he suffers from "gambling addictions recognized by
the American Psychiatric Association."