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Caesars Pauma Slot Machines Not To Be

What was supposed to be a beautiful merging of the Caesars’ name and the Pauma Indian Reservation ended up in a court battle – with the Pauma Indians winning $30 million in damages from the slot machine giant. There was supposed to be a new slot machine casino that was to be called Caesars Pauma in 2003. However, it never happened.

The plan was to expand an existing slot machine casino run by the Pauma Band of Luiseño Mission Indians. Casino Pauma is a small casino having only 1,000 slot machines. Many other San Diego County casinos have 2,000 slot machines or more. But in July 2004, Harrah’s Entertainment, another slot machine giant, announced that they were going to buy Caesars Entertainment. The problem here was that Harrah’s operates another slot machine casino on the Rincon Indian Reservation, which is located not far from the Pauma casino. “There was a conflict in Harrah’s operating both the Rincon resort and the Pauma project,” according to a statement released by Pauma’s attorneys on the day the jury reached its verdict. “Pauma alleged that Harrah’s and Caesars took steps to kill the Pauma deal to avoid suit by Rincon.”

Pauma then went looking for new partners for their slot machine expansion and sued Caesars new parent company. On December 1^st, the jury awarded them $8 million in lost slot machine revenue and $22 million for increased construction costs. “Harrah’s Entertainment is disappointed in the verdict announced today in the Pauma Band of Luiseño Indians v. Caesars Entertainment lawsuit,” said a written statement issued through Harrah’s corporate office. “We believe the decision is not supported by the facts or the law. Harrah’s will aggressively appeal this decision.”

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