The process of adding an integrated resort (IR) to the skyline in Hellinikon, Greece has been anything but smooth. A fierce legislative battle set the stage for what was to come, with an obvious rift between those who wanted a casino and those who didn’t. After finally reaching a point that casino operators could submit their applications, things didn’t exactly get any better. Hard Rock International (HRI) and Mohegan Gaming & Entertainment (MGE) were the only two companies who hadn’t bowed out over the frustratingly difficult endeavor, and gaming regulators ultimately decided that MGE was the better choice. Feeling jilted, HRI decided to challenge the decision, and is now more convinced than ever that it will ultimately emerge victorious.
Regulators, for reasons HRI said were ridiculous, decided to disqualify the gaming operator’s license application, forcing the company to get the European Commission (EC) involved. Before it comes to that, though, the company is trying to settle the matter on a more local level. It has gone to the Greek Preliminary Appeals Authority and back to the Hellenic Gaming Commission (HGC), which rejected its application, in order to find a more palatable resolution, but both of those attempts failed. Today, it will try again with Greece’s highest appeals court, the Greek Supreme Administrative Court.
That appeal will produce positive results – at least that’s what HRI spokesperson Michael Karloutsos predicts. He told the National Herald, “Hard Rock International will ultimately win the competition for Hellinikon…Hard Rock is the only company to have developed a project like this before and they will do it again.” Karloutsos added, “Hard Rock International is the only contender with a recognizable global brand and a world-wide network with staying power that can attract much needed additional tourists to Greece.”
The HGC decided that HRI didn’t have enough construction experience and that it didn’t offer evidence of financial support to back the $1.1-billion expense it presented. It also said that HRI’s letter of guarantee was sent outside the designated timeframe, and HRI reportedly has proof to counter all of the claims. It further offers that “serious irregularities” existed in the awarding process.
Should the appeals court not be willing to listen to HRI’s arguments, the already-prolonged and much-delayed casino construction designed to help Greece avoid bankruptcy will, once again, find further obstacles. HRI is already preparing for a fight in front of the EC, if necessary, and isn’t going to take no for an answer. Karloutsos cautions, “COVID-19 might have something to say about the timing of this going forward but I assure you that Hard Rock International is prepared to present our case and ultimately win either way, whether it is here in the Greek Supreme Administrative Court or the European Court.”
