Wednesday, Oct. 21, 1998 | 11:17 a.m.
The license of Players Riverboat Casino Inc. was renewed by the Louisiana Gaming Control Board, subject to a state police investigation of the Lake Charles operation.
State police said they did not know how long the investigation might take.
Federal prosecutors have charged that Players paid large amounts of cash to consultant Richard Shetler of Lake Charles, who promised in 1993 to get the company a license through then-Gov. Edwards and his son, Stephen Edwards.
The federal government said Shetler, in turn, funneled $550,000 in cash, cars and home furnishings to the Edwardses.
Shetler attested to the claims in federal court two weeks ago as he pleaded guilty to conspiracy to commit extortion. He faces five years in prison but could get less time because he had agreed to cooperate with the government.
Two other riverboats, Casino America and Horseshoe, both located in the Shreveport area, also had their licenses conditionally renewed by the gambling board Tuesday. The boats have not figured into the federal investigation.
By law, the board must act on license renewals 30 days before the permits expire. Otherwise, the licenses are automatically renewed, gambling board Chairman Hillary Crain said.
He said conditionally renewing the licenses will allow state police to conduct a thorough investigation, and make it easier for the state to revoke a license should the investigation turn up evidence of wrongdoing. Crain said it would be harder to yank a riverboat license if the permit had been automatically renewed.
The gambling board cannot revoke a license until there has been an investigation by state police and a riverboat has been found not suitable, Crain said.
Riverboat operators were investigated by state police when they were first licensed under the now-defunct Riverboat Gaming Commission. Crain said he wants riverboats investigated each time their licenses come up for renewal.
Meanwhile, the state has hired former U.S. Attorney Raymond Lamonica to oversee the riverboat investigations and to ensure that the state investigations do not interfere with the ongoing federal probe.
Lamonica is already on contract with the attorney general's office to handle special cases, but his duties have been expanded to include the riverboat investigations.
Federal prosecutors have been investigating Edwards for two years and allege he is at the center of alleged corruption in the awarding of riverboat casino licenses.
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