Pa. Company Withdraws Kan. Casino Plan

By: Associated Press
By: Associated Press

TOPEKA, Kan. (AP) _ The only company to show interest in running a state-owned casino in southeast Kansas has abandoned its plans.

Penn National Gaming Inc. said Thursday that its proposed casino in Cherokee County could not compete with an Indian casino across the state line in Oklahoma.

Penn, based in Wyomissing, Pa., blamed provisions of a Kansas law enacted last year to allow a single state-owned casino in each of four counties. It said another factor was its failure to win a contract for a Sumner County casino.

The law requires a bidder for a Cherokee County contract to invest $225 million and pay a $25 million privilege fee.

Last month, a state board approved a contract between Penn and the state for Cherokee County.

(Copyright 2008 by The Associated Press. All Rights Reserved.)

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