Currently, two new Hard Rock Casino projects are being constructed in Indiana.

Hard Rock is striving to become a cornerstone of the Indiana gaming industry with locations in Gary, Indiana and Terre Haute.

The aging Majestic Star riverboats will be replaced by Gary’s Hard Rock. The first-ever casino in the area will be the Hard Rock in Terre Haute.

Despite the glamorous business plans and high anticipation, the new “Rocksinos” were frequently scrutinized by the gaming commission.

This is because Spectacle Entertainment, the firm responsible for the projects, has become entangled in some federal investigations.

Spectacle is the proprietor of Majestic Stars and is managing Gary’s new Rocksino. The company also has connections with the project in Terre Haute.

The operating license of Spectacle was nearly revoked by the Indiana Gaming Commission (IGC), a move that could have resulted in significant issues for the property in Gary.

After months of lawsuits, scandals, and sales, the situation has finally come to an end.

As Gary’s Hard Rock is set to open in a few months, it’s an opportune moment to examine how Spectacle landed in this situation.

If you wish to start from the very beginning, simply scroll to the bottom.

March 2021: The spectacle debacle finally concludes

It appears that the situation with Spectacle has finally been resolved after months of uncertainty.

Ratcliff has resolved his lawsuit with the IGC, ending months of controversy and bringing closure to everything.

As anticipated, Greg Gibson purchased Ratcliff’s share in Spectacle Entertainment.

Gibson now has a stake in both new Hard Rock Properties in Indiana, as he also owns Lucy Luck Gaming, the company managing Terre Haute’s new casino.

While The Rocksino may no longer be under scrutiny, several former Spectacle executives are still being investigated by the IGC.

Even if the commission identifies additional issues with those executives, it should not alter the situation in Gary.

Now that the lawsuit has been resolved and Spectacle is under new management, the chaos has finally ended. The Hard Rock Casino is set to open this spring without any more postponements.

In February 2021, Spectacle Jack is renamed as Lucy Luck.

Greg Gibson, the new owner of Spectacle Jack, has renamed the company to Lucy Luck Gaming.

The new Rocksino in Terre Haute will be managed by the former subsidiary of Spectacle Entertainment.

The name change will eliminate any mix-up between Lucy Luck and Spectacle Entertainment in the future. After all, no company desires to have a name akin to a brand that has been mired in controversy for the past year.

Gibson hopes to soon announce a groundbreaking date for the construction of the new Hard Rock property.

In February 2021, Gary Hard Rock remains vacant.

The IGC is attempting to permanently revoke Ratcliff’s gaming license.

The commission had temporarily rescinded it in December, but wished to keep an avenue open for additional action based on the findings of its investigation.

The investigation accuses Ratcliff of consistently transferring money from Centaur Gaming into his personal gambling account, among other alleged offenses.

The information resulted in the IGC submitting a petition to permanently revoke Ratcliff’s license.

Despite the progress being made, the IGC is in a race against time before the situation worsens. The commission is under time pressure due to the new Hard Rock casino introduced by Gary.

The opening of the “Rocksino” is scheduled in a few months, but the situation with Ratcliff could postpone it indefinitely. The new building is set to eventually take the place of the Majestic Star riverboats.

The IGC has informed Spectacle to be ready to maintain the Majestic Stars until at least June. This could result in the brand new Hard Rock being vacant and unutilized for several months.

No one desired this situation, but the continued operation of Majestic Stars at least ensures employment for its staff and provides gambling alternatives for residents of Gary in the interim.

In January 2021, Ratcliff files a lawsuit against IGC.

Rod Ratcliff might be getting forced out by the gaming commission, but he isn’t leaving without a fight.

The ex-CEO of Spectacle Entertainment is filing a lawsuit against the IGC in response to the commission’s imposition forcing him to sell his company shares.

Ratcliff’s spokesperson stated that the decision made by the IGC was unnecessary.

The Indiana Gaming Commission, by acting beyond its legal capacity and unjustly associating Mr. Ratcliff with guilt, has unnecessarily created an issue where there was none, thus delaying what is expected to be a major contribution to the economy of Lake County.

The development of another wrinkle could mean that it might take a while for the Spectacle situation to finally find resolution.

IGC Investigation continues as of January 2021.

Ratcliff might be absent, but he isn’t the only executive from Spectacle under scrutiny.

Gov. Holcomb reveals that the IGC is currently investigating 10 more executives at the company, according to his statement. The future of the company in Indiana could be further disrupted depending on the investigation’s outcomes.

Until the IGC provides more information, it’s impossible to predict the outcome. However, at the moment, Spectacle isn’t completely safe yet.

Spectacle manages to survive for now, December 2020

On Dec. 23, the IGC convened an emergency meeting to reveal the initial results from its investigation into Spectacle Entertainment.

To summarize, the IGC has issued a 90-day emergency suspension of former Spectacle CEO Rod Ratcliff’s gaming license, effectively forcing him out.

Earlier this year, Ratcliff resigned from his role at Spectacle, but he still holds a significant stake in the company. He now has until Jan. 8 to transfer his ownership stake to an independent trustee.

Anyone who assumes ownership of his shares will require authorization from the IGC.

For now, Spectacle will weather the storm, but Ratcliff will no longer be involved. The IGC doesn’t want him to have any control over the company.

Understandably, Hard Rock is frustrated with its partner due to the entire situation.

The commission contemplated coercively transferring Ratcliff’s authority over Majestic Star Casino to a potential trustee. This trustee would run the Gary casino with the state’s best interests in mind.

The commission ultimately decided against that move as it would have caused a default in the Hard Rock Casino’s funding.

Hard Rock attempted to disassociate itself from Ratcliff early on, foreseeing this situation.

The company attempted to purchase Ratcliff’s shares of Spectacle but was unsuccessful as he was not interested in selling. However, with IGC now compelling him, Hard Rock may have a better chance of succeeding in their second attempt.

Should Hard Rock fail to finalize the purchase, Greg Gibson could be a potential buyer. Gibson previously bought Spectacle Jack this year to rescue Terre Haute’s Hard Rock Casino, and could possibly do the same for the “Rocksino” project in Gary.

When it opens in spring 2021, Gary’s Hard Rock Casino will eventually take the place of Majestic Star.

Investigation by IGC Nears Completion in November 2020

The commission declared at the IGC’s meeting on Nov. 23 that the investigation into Spectacle is drawing to a close.

The IGC, after months of interviews and extensive legwork, has come to believe that Spectacle has mostly acted in good faith.

However, this does not exclude everyone.

IGC Executive Director, Sara Tait, stated that the commission has identified approximately 10 individuals who have breached our rules and the Riverboat Gambling Act through their activities.

What does this imply for Spectacle Entertainment and its casino license?

The IGC is awaiting a remedial plan from Spectacle for the situation at hand. They had anticipated receiving this plan by the meeting on Nov. 23. However, as of that afternoon, Spectacle had not yet forwarded anything.

The commission gave Spectacle a 30-day deadline to submit the plan.

Should the company fail to present a satisfactory plan within 30 days, the IGC will hold an emergency meeting to determine the future of Spectacle independently.

Commissioner Susan Williams expressed her worries about Spectacle’s slow progress in developing a plan.

“Within the next two to 30 days, we need to acquire some form of assurance that determines whether this operator will remain with us or leave.”

In simpler terms, the issue with Spectacle will be resolved in the coming weeks. No matter what the final verdict is, we will learn of Spectacle’s future before Christmas.

John Keeler was indicted in September 2020.

While Spectacle Entertainment may have cleared the way for Terre Haute’s Hard Rock project, it remained under investigation by the IGC and the FBI due to the situation involving Charles O’Neil.

While the investigation was underway, Spectacle was constantly on the brink of potentially facing a major issue with its Gary Hard Rock project.

The investigation finally began to advance in September and now Spectacle finds itself in trouble again.

The FBI raid on the home of Spectacle Executive John Keeler revealed links between Keeler and the money laundering case.

This resulted in a federal indictment against Keeler, accusing him of illegally contributing money to Brent Waltz’s political campaign, just as Charles O’Neil had.

Spectacle Entertainment is now in significant trouble.

The IGC instantly revoked Keeler’s license and may potentially do the same to the entire Spectacle Entertainment.

This time, there’s no subsidiary company to sell off to placate the gaming commission, so the resolution won’t be as smooth as it was in Terre Haute’s case.

Should the IGC revoke Spectacle’s license, the Majestic Star Casinos will be forced to close due to the lack of operators.

That would represent the company’s most unfavorable scenario.

If the situation isn’t resolved by the time Gary’s new Hard Rock opens in a few months, there could be a brand new casino left with no one to manage it.

Things might become disorganized, but it’s impossible to predict the outcome until the IGC makes a conclusive decision.

Hard Rock Casino in Gary, Indiana becomes target of thieves in June 2020.

Back in March, COVID-19 turned the gaming world upside down.

The construction of the Hard Rock in Gary by Spectacle Entertainment was temporarily halted due to the pandemic.

Not much was happening at the build site for a while since the construction equipment was locked away in containers.

Regrettably, an empty construction site caught the attention of a group of thieves.

The equipment worth approximately $25,000 was stolen by the thieves who broke into the containers.

The construction work was halted due to the health crisis, and it was not until work resumed weeks later that anyone noticed the missing equipment.

At that point, the equipment had been gone for a long time and construction could not recommence until it was replaced.

Things were running behind schedule due to COVID-related delays and missing equipment.

Gary’s Hard Rock will not be ready by New Year’s Eve as planned, and is now expected to open in early 2021.

Spectacle Jack obtains casino license in May 2020.

The probe into Spectacle Entertainment had commenced, but it would require some time.

The IGC lacks the resources to fully investigate violations of federal law, thus the commission largely depended on what the Federal Government could discover about the situation.

Things were at a standstill because the IGC refused to grant a new casino license to Spectacle Jack, due to its parent company being under investigation.

Spectacle Entertainment decided to take some action, despite having no idea how long the entire process would take.

The company chose to extend a peace offering to the IGC with the aim of restarting Terre Haute’s Hard Rock project.

First, it dismissed two of its officials who were connected to O’Neil’s court case involving money laundering.

Next, Spectacle Entertainment divested Spectacle Jack to Greg Gibson, a businessman from Terre Haute.

Once the company transitioned ownership, its connections to the Spectacle Entertainment investigation were severed, allowing things to finally progress.

The Terre Haute casino license was awarded to Spectacle Jack’s new owner by the IGC, finally putting the project back on track.

Charles O’Neil pleads guilty in January 2020.

Fasten your seatbelts, because this is the point where things begin to become chaotic.

A particular court case in Virginia began causing issues for the Terre Haute project, less than two weeks after the groundbreaking for Gary’s Hard Rock.

Charles O’Neil, a man who admitted to channeling funds from Centaur Gaming to Brent Waltz’s political campaign, was involved in this situation. Despite these efforts, Waltz did not succeed in his 2016 bid for a seat in Indiana’s 9th Congressional District.

So how is this related to Terre Haute’s Rocksino?

During that period, some executives who were part of Centaur Gaming’s money laundering were in charge at Spectacle Entertainment. Spectacle Entertainment, being the owner of Spectacle Jack, resulted in Terre Haute’s new casino having some problematic connections to O’Neil’s situation.

Spectacle Jack found itself in some hot water, being the only company that applied for the Terre Haute casino license.

The IGC chose to delay the Feb. 7 meeting, at which Spectacle Jack was expected to receive the casino license. Instead, they initiated a probe into the company.

Construction begins in Gary in January 2020.

Spectacle Entertainment turned the ground breaking of Hard Rock into a show.

The company invited the remaining members of the Jackson 5 to the ceremony. Spectacle declared their readiness to “rock the region!”

The initiation of the $300 million project was undertaken, aiming for a grand opening on New Year’s Eve.

Rocksino Terre Haute, December 2019

The ball started rolling in Terre Haute when the city expressed its intention to introduce a new casino to the area.

The building could potentially generate new jobs and boost tourism in the city, but it first requires a license.

In the situation with Gary’s Hard Rock, Spectacle is merely moving Majestic Star’s casino license to the new structure.

Given that Terre Haute has never hosted a casino, it is impossible to have one this time without a new license. This would require the Indiana Gaming Commission (IGC) to issue a fresh permit for the area.

The IGC began accepting applications for the new license.

Only Spectacle Jack, a subsidiary of Spectacle Entertainment, applied by the Dec. 1 deadline.

Things moved pretty quickly as there was only one applicant. The IGC arranged a meeting on Feb. 7 to consider granting the new license to Spectacle Jack.

In November 2018, Spectacle purchased Majestic Star.

Enter, Spectacle Entertainment.

With land-based casinos now in the picture, there was potential for profit.

Caesars Southern Indiana had already planned to transition from its original riverboat to a new building at this point. The new establishment was inaugurated in 2019.

Spectacle Entertainment made a decision to take part in the land-based action.

The company acquired both Majestic Star Casinos and began lobbying the city of Gary to merge the two riverboats into a new land-based casino.

Plans for building Gary’s Hard Rock Casino were soon in place, following the successful efforts of Spectacle.

Land-based casinos were legalized in Indiana in May 2015.

When 2015 arrived, casino operators had grown tired of the restrictive laws in Indiana.

In the state, you could still only construct riverboat casinos and prime locations on the state’s shorelines were limited.

Bills were eventually drafted by lawmakers to permit the construction of casinos on land across the state.

Gov. Mike Pence, at that time, neither signed the bill nor obstructed it. Consequently, the bill was enacted into law, propelling Indiana forward.

In December 2005, Majestic purchased Donald Trump’s casino.

By 2005, Majestic Star had grown tired of sharing the customer base in Gary.

The Trump Casino was situated next door and there was constant competition between the two riverboats to attract the same clientele.

“Right next door” is an understatement for the situation. The two casinos were essentially on top of each other.

What methods can you use to eliminate your closest competition?

So, Majestic Star did exactly what was easiest – they simply bought them out.

The riverboat, originally named Trump Casino, was bought for $253 million and renamed Majestic Star II. It has retained this name ever since.

The Majestic Star Casino opened in June 1996.

In 1996, Indiana was still in the early stages of gambling.

The entire casino industry of the state was less than a year old since the first casino had opened its doors in December 1995.

The Majestic Star Casino, owned by Gary, was among the first to commence business across the state.

The casino drew in customers from both Indiana and neighboring Illinois, thanks to its location right next to Chicago, where Gary is located.

In the past, only casinos on riverboats were permitted, hence, there were no sizable gambling establishments on land.