Police sue for Desert Pines course
The authorities say a golf course was paid in part by illegal activity
and funds tracked to Billy Walters.
By Peter O'Connell
Review-Journal
Claiming
it was financed in part with the proceeds of illegal activity,
the Metropolitan Police Department on Tuesday sought possession
of Desert Pines Golf Course. In a lawsuit filed in District
Court late Tuesday afternoon, police sought forfeiture of the
golf course, and-or $970,000 that police say was the product
of illegal sports bets.
The lawsuit claims that police
tracked the money through several bank accounts controlled by
Las Vegas sports gambler and golf course developer Billy Walters. "(The funds) were utilized
to finance, in part, the construction costs, including labor
and materials, for ... Desert Pines Golf (Course)," the
lawsuit claims.
Contacted Tuesday night, Walters
said he was not aware of the lawsuit. But he said the desire for a
forfeiture jackpot has been the motivating factor in the related
criminal investigation that last month yielded an indictment
against him and three other men.
The Police Department also
is seeking forfeiture of more than $2 million seized during
the investigation. "That's what this thing
has been about from day one. It's been about them wanting my
money," Walters said. Ulrich Smith, the court-appointed
special prosecutor who filed the lawsuit on behalf of the Police
Department, was not available for comment Tuesday night.
The
case has been assigned to District Judge Valorie Vega.
One of Walters' companies, Southwest
Golf, developed Desert Pines on the site of the formerly run-down
Nature Park at East Bonanza and North Pecos roads, near downtown
Las Vegas.
The highly acclaimed public course,
completed in late 1996 at an estimated cost of $20 million,
is located on city-owned land that the company has leased for
50 years.
The lawsuit filed Tuesday alleges
that a Walters-owned company, Sierra Sports, placed illegal
sports bets to out-of-state bookmakers. It claims that a man identified
as "Kiki," whom police say placed illegal bets for
Walters, transferred $970,000 from a Canadian bank to a Walters
account at a Las Vegas bank on Nov. 4, 1996. On that same date, Walters had
the money transferred to another account at the same Las Vegas
bank, the lawsuit claims. This second account belonged to the
Walters Group Money Market Account.
The lawsuit claims that Walters
subsequently had more than $970,000 transferred from this account
to two of his companies, the Walters Group and Southwest Golf.
It then was used to help finance Desert Pines, the lawsuit claims.
A Clark County grand jury last
month indicted Walters, his security chief, Jimmie Hanley, his
computer systems operator, Daniel Pray, and John Tognino of
New York on one count each of conspiracy and one count each
of unlawful transactions involving a monetary instrument.
Walters, Hanley and Pray face
additional felony counts of unlawful transportation of a monetary
instrument. Prosecutors say the men were
involved in a scheme to place illegal sports bets with out-of-state
bookmakers and then transport the winnings back to Nevada.
The criminal proceedings against
the men have been delayed pending a decision on which judge
should hear the case.
The most recent indictment was
assigned to District Judge Michael Douglas. However, defense
attorneys argue the case should properly be before District
Judge Donald Mosley, who dismissed two related prior indictments.
Walters and several business
associates filed suit in May 1997 seeking return of more than
$600,000 in cash and property that authorities seized during
their criminal investigation. Smith, the special prosecutor
representing Las Vegas police, on Monday filed a response asking
District Judge Michael Cherry to deny that request.
|
