Assistant Attorney General Mark Dell’Orfano argued Thursday that the loss to charities if Concord Casino is not sold and reopened is too minimal to justify extending the casino’s deadline to sell. Dell’Orfano said the loss has not led to a “bunch of starving children out in the street.” Some charities put their Concord Casino revenue toward meals for children and food pantries. (Annmarie Timmins | New Hampshire Bulletin)
The judge deciding the fate of Andy Sanborn’s Concord Casino said Thursday there is ample public interest in a new owner buying and reopening the casino and resuming funding to charities, contrary to the state’s arguments.
But administrative law Judge Gregory Albert said he likely won’t determine until next week whether he has the authority to grant Sanborn’s request to extend his Sept. 30 deadline to sell.
Assistant Attorney General Mark Dell’Orfano pushed back in a hearing Thursday, saying the casino contributed so little to charities that its closure has not led to “a bunch of starving children out in the street.” Some of the charities that split about $170,000 from Concord Casino last year told the Bulletin they donated money to meals for children, in addition to scholarships, food pantries, and scouting events.
In a separate case, a superior court judge has granted the Bulletin’s motion to unseal at least portions of documents in a lawsuit related to the state’s fraud investigation into Sanborn’s alleged misuse of $844,000 federal pandemic loans.
In response to the motion to unseal, which attorney Gregory Sullivan argued on the Bulletin’s behalf Wednesday, Judge John Kissinger also instructed lawyers for Sanborn and the state to make all future filings public with only necessary redactions.
“I think that’s a reasonable approach,” Kissinger said. “We’re going to allow public access. You know, it’s not as quick as the media sources would like, but that’s going to happen.”
The sealed court documents could be made public as soon as early October.
The state has been pursuing dual cases against Sanborn since last August when Attorney General John Formella announced he was investigating Sanborn on potential criminal charges and had moved to revoke his charitable gaming license indefinitely.
Sanborn’s attorneys Zachary Hafer and Adam Katz have aggressively pushed back on both efforts with success.
In December, they persuaded a different administrative law judge to hold off on revoking Sanborn’s license. The judge instead ordered the casino closed and gave Sanborn until Sept. 30 to sell the business. Should Sanborn fail to do so, his casino loses its charitable gaming license for two years, rendering it virtually worthless.
Multiple buyers have walked away, largely over concerns about inheriting Sanborn’s legal problems. Sanborn told Lottery officials several weeks ago a new buyer has signed a purchase and sale agreement and will close as soon as lottery officials complete a background check and deem him “suitable.”
Sanborn’s attorneys have said he will make little on the sale once he repays the $844,000 in pandemic loans and covers his legal and other expenses fighting to keep his license.
“He has incurred massive financial damages as the value of this license has been greatly diminished,” Hafer told Albert. He added, “If they’re trying to hurt him, they have succeeded mightily. It’s not too late, honestly, your honor, for them to do the right thing here and withdraw this opposition and allow the process to finish.”
The Attorney General’s Office has opposed an extension, saying the suitability finding would have been completed on time had Sanborn not switched buyers and signed a deal with the new buyer so late.
There are two immediate questions in the licensing case: Will the New Hampshire Lottery Commission issue a suitability finding in time for Sanborn to close sale by the Sept. 30 deadline, something Sanborn’s lawyer said lottery officials have indicated is possible? And, if it doesn’t complete its review in time, will Albert grant Sanborn’s request to extend the deadline by at least several days to accommodate the review?
Albert said Thursday there are many reasons to grant the extension, including the fact that reopening the casino will mean the nearly 30 charities that have sponsored games at the casino will be regaining thousands of dollars for their missions.
He encouraged the two sides Thursday to reach an agreement on an extension while he researches whether he can order one.
The state’s criminal investigation of Sanborn and his use of pandemic loans has played out largely behind closed doors.
Sanborn has not been charged, but in the court filings that have been made public, it has become clear that the Attorney General’s Office executed a search warrant of Sanborn’s property and seized several documents and computers. Those records also revealed that the state provided federal investigators computers it seized.
Formella said when he announced his investigation into Sanborn that he’d also referred the case for possible federal charges. Federal officials have declined to say whether they are investigating Sanborn.
The lawsuit in superior court was brought by Sanborn’s attorneys under seal and alleges the state confiscated privileged materials it was not entitled to. Sanborn’s attorneys have since filed their own motion to unseal the court file, which also includes filings from the Attorney General’s Office.