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Caesars Says Millionaire Purposely Took Bad Gambling Markers

Casinos figured a guy who lives here could pay his bills.

Caesars Entertainment is accusing a Beverly Hills hotshot of deliberately running up his gambling tab preceding a bankruptcy filing. Leonard Ross, who owns the estate built by the Hearst family, declared himself unable to meet his debts in September, after borrowing $500,000 from Caesars on the first two days of August.

The markers were drawn against one of Ross’ bank accounts, but were returned unpaid and marked “account closed.” Now the casino company stands to lose its money amidst the millions owed by Ross to other creditors, many of whom will receive preference.

Ross told the bankruptcy court in his filing he has assets of $133 million, but debts of over $82 million. The Hearst property, famous for being the locale of the horsehead scene in “The Godfather” as well as the spot chosen for John and Jackie Kennedy’s honeymoon, is valued at $95 million of those assets. The mansion is valued as one of the world’s most expensive homes.

Caesars is requesting the court not relieve Ross of the debt incurred, saying he intentionally deceived the company as to his ability to repay the gambling loans. By closing the accounts, say Caesars attorneys, Ross showed he knowingly signed markers which would be dishonored.

Ross also lists a series of markers with MGM Resorts, although that company has yet to file any action. The MGM casino gaming debt is acknowledged to be $350,000.

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