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Sanborn goes around AG, asks court for help selling casino

Concord Casino on Main Street in the state's capital is one of 14 licensed charitable gaming facilities.
Todd Bookman/NHPR
Concord Casino on Main Street in the state's capital is one of 14 licensed charitable gaming facilities.

Lawyers for former Sen. Andy Sanborn have asked a judge to do what the state has so far refused: Help Sanborn sell his embattled casino by ensuring his buyer won’t suffer consequences should he or the casino be convicted of pandemic aid fraud.

Their argument? The deal will fail without that assurance. And, if it does, taxpayers and charities would also lose out on significant money. Charitable gaming revenue helps pay for public education and nonprofit initiatives, including scholarships, food pantries, and youth supports.

Last year, Concord Casino raised nearly $170,000 for charities, according to state lottery documents. That would be much higher if a new buyer added slot-like historic horse racing machines. A number of buyers have expressed interest in Sanborn’s casino because it carries what may be the last available license for those games for the next seven years, under legislation passed this year.

“A contrary ruling (from the court) would defy common sense and harm the public interest,” Sanborn’s legal team wrote in a court filing Tuesday.

At issue is a state law that forbids anyone convicted of felony charges, which Sanborn and his casino are facing, from operating a charitable gaming facility for 10 years. That’s creating problems for Sanborn because the state ordered him to close and sell his casino in December over allegations he’d misappropriated nearly $844,000 in federal pandemic aid.

Sanborn has said in court filings that potential buyers have walked away from a deal for fear they’d inherit his legal liability should he or the casino be convicted. Sanborn’s current buyer, whom he has not named, won’t close on a sale without assurances that he won’t face a 10-year license loss if the state convicts Sanborn or his casino, according to court records.

Under the state’s current deadline, Sanborn may have only until next month to sell, or the casino’s license will be revoked for two years.

Sanborn's lawyers have been unable to get the state’s assurance that Sanborn’s buyer requires close a deal. That led his legal team this week to put that request to the Merrimack County Superior Court.

Another judge overseeing a separate proceeding against Sanborn has indicated support for his position

Administrative law judge Gregory Albert, who is overseeing Sanborn’s licensing case, has ruled that a sale of Concord Casino is in the public's interest given the revenue it generates for the state and charities. He also indicated in June that he agrees with Sanborn’s argument about protecting a buyer from legal liability.

Refusing to provide that protection, Albert said, would “seem like a fundamental violation of due process to penalize the (buyer) for (Sanborn’s) alleged acts.”

Albert determined however, that he didn’t have the authority to decide that issue. That led Sanborn’s attorneys to seek that protection from superior court Tuesday.

The Attorney General’s Office, which is pursuing criminal theft charges against Sanborn and his casino and overseeing his casino licensing case, did not respond to a request for comment Wednesday.

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