MANILA (AdChoiceTV News) — Ports and gaming tycoon Enrique Razon is reportedly facing a lawsuit in the US for allegedly not honoring a contract he forged with one of the developers of his upscale hotel-casino in Manila.
Bloomberg reported on Tuesday that Global Gaming Philippines sued Razon in a federal court in New York for “illegally” terminating a deal to operate Solaire Resort and Casino in Parañaque City.
Razon’s office has not responded to AdChoiceTV News request for comment as of this reporting.
In its filing, Global Gaming claimed the company was tapped by Razon to “help develop” Solaire, only for him to scrap the deal 6 months after the project opened in 2013 and withdraw Global Gaming’s rights to operate the casino.
The lawsuit specifically seeks to “confirm” a $296.6-billion award from an arbitration court in Singapore against Razon for the termination of the said deal, Bloomberg reported.
According to Global Gaming’s complaint, the billionaire managed to evade paying the arbitration award by forming “a vast network of shell companies” in the US to conceal his assets. The suit also alleges that Razon blocked Global Gaming from selling its rights in Solaire.
Last month, Razon-led Bloomberry Resorts Corp. told the stock exchange that the Singapore Court of Appeals denied the appeal of its units — Sureste Properties Inc. (SPI) and Bloomberry Resorts & Hotels Inc. (BRHI) — to stop the enforcement of the arbitration award favoring Global Gaming. Bloomberry is the operator of Solaire.
Lawyers of SPI and BRHI has argued that the arbitration award can only be enforced by a Philippine court.
Shares in Bloomberry gained 1.47% on Tuesday to close at P6.90 each.
Enrique Razon is also the owner of the new granted 25 years Electric franchise in Iloilo operating as More Electric and Power Corporation.
Reporting by Sean Tyler Chan