A federal judge is allowing the company behind the ill-fated TrumpStreet Casino project to continue with its lawsuit against thePennsylvania Gaming Control Board.

In allowing the suit by Keystone Redevelopment Partners to move forward, U.S. District Judge John Jones declined to give immunity to current and former gaming board members who made the December 2006 decision to reject three applicants, including Keystone, for two available Philadelphia casino licenses. Two other applicants, HSP Gaming and Foxwoods, were awarded the licenses.

”It’s what we had hoped for,” said Robert Pickus, an attorney representing Trump Entertainment Resorts, a majority partner in Keystone. ”It was the first time anything involving Pennsylvania gaming laws were brought before a federal judge, and we were hopeful he would see the logic of the issues we put forth and it seems that he did.”

Previous appeals on gaming-related issues by other unsuccessful gaming applicants have been denied by the state Supreme Court. Keystone filed suit in December 2008 in federal court in Harrisburg claiming the board discriminated against its application for a Philadelphia casino because of Donald Trump‘s ties to Atlantic City casinos.

The board said in its 2006 decision that a lower tax rate in Atlantic City could prompt a successful applicant with a casino in Atlantic City to steer customers there from Philadelphia.

Read the full Morning Call article here

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