Malaysia-based global gaming operator Genting Malaysia has described a lawsuit filed against it by the company’s partner in Bahamas casino Resorts World Bimini as “baseless and totally without merit”.
It also promising to vigorously defend the matter in a filing to the Malaysian Bourse on Monday.
As reported by Inside Asian Gaming, RAV Bahamas, which owns 22% of RWB operating entity BB Entertainment, filed a lawsuit with the US District Court for the Southern District of Florida last week alleging Genting – owner of the majority 78% – has turned the IR into a “financial wasteland” by dumping onto it almost a billion dollars in debt.
The claim, which seeks US$600 million in damages, describes Genting’s alleged actions as “a massive and co-ordinated fraud” that has left assets contributed to RWB by RAV Bahamas as “essentially worthless”. It also accuses Genting of “depriving” the joint venture of profits and says the Malaysian firm “has deliberately kneecapped” its efforts to dig deeper by denying full access to the books.
Genting Malaysia said in Monday’s filing that Genting Americas – described as “an affiliate company” of BB Entertainment – was served last Friday 11 October.
“Genting Americas is of the view that the Complaint is baseless and totally without merit and will vigorously defend against the Complaint,” it said.
“Genting Malaysia will make further announcements as and when there are material developments on the above matter.”