Mazzeo weighs in on Showboat shutdown

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Assemblyman Vince Mazzeo Assemblyman Vince Mazzeo Assemblyman Vince Mazzeo sent a letter Thursday, July 10 to Chris McDonough, the director of the New Jersey Division of Investment, regarding the public pension funding invested in companies that own and operate Showboat Casino, which is scheduled to shut its doors Aug. 31 despite turning a profit. 

Mazzeo reminded McDonough that in 2008, TPG and Apollo Global Management LLC purchased the parent company, Caesars Entertainment, for $6 billion in equity. Now that company is worth $2.46 Billion.

“I write today with a deep-seated concern over the questionable investments made by New Jersey’s public pension funds in TPG, Apollo and their subsidiaries. To date the Public Pension Fund has invested approximately $1.775 billion from New Jersey’s public employees in said companies,” Mazzeo said in his letter.

“Instead of putting that money back into the companies it holds or the funds invested by our pension system, TPG and Apollo are profiting on the backs of New Jersey workers while at the same time closing a profitable business,” he continued.

In a statement the assemblyman said, “We need to take a long, hard look at how and why state funds are propping up multibillion dollar companies at the expense of Atlantic City’s workers and economic viability. I urge the State Investment Council to implore TGP Capital and Apollo Management to keep the Showboat open for business, and if not, take the necessary steps toward divesting from these companies that are prioritizing profit over New Jersey’s hardworking middle-class families.”

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