The Nevada Gambling Regulators Commission has called out Caesars Entertainment Corp. for the unmade payments to former executives and other former employees.
According to bradenton.com, Tony Alamo, the Chairmen of the Commission, criticized the corporation’s spending leading up to the bankruptcy, claiming that it wants to throw the economy under the bus, downplaying irresponsible spending.
Payments to Be Discussed
Caesars Entertainment Corp. which was formerly Harrah’s Entertainment, is a joint venture of Apollo Global Management and TPG Capital. It has been trying to discern whether the former deferred payment plans belong to them or their parent company.
It currently owes to 63 executives and 340 other highly paid past employees. However, Caesars claims that the former executives whose pensions were cut off, were receiving supplemental retirement plan funds. The other 340 employees were signed up for compensation plans, and the portions of their salaries would not be taxed and paid after the retirement, according to Caesars Entertainment Corp.
If the company finds that the funds are their responsibilities, then former employees will need to file their own suits against Caesars in an attempt to regain their payments. The corporation will first pay back its highest ranking creditors – other companies – before payments trickle down to the former workers.
Most Caesar Employees Still Under Pension Plan Savings
Caesar Corporation still has about 68,000 current employees, with 51,000 being enrolled in 401 k contributions and union based pension plans. These funds still seem to be intact, with Caesars CFO stating they recently contributed their payment of $15 million just a few days ago.