Grossman: Revel Casino Bankruptcy Demonstrates Failure of State Leadership to Defend Taxpayers

Feb. 20, 2013 - PRLog -- Seth Grossman, the conservative challenger to New Jersey Governor Chris Christie, today made the following comments about the Revel Casino bankruptcy.

"The bankruptcy of the Revel Casino today proves the total failure of the bi-partisan pay-to-play political culture that crippled and corrupted the economy of New Jersey during the past 30 years", Grossman said.

"During the past 30 years, Republicans and Democrats together raised income, sales, and property tax rates, gave us a whole bunch of new taxes, and passed a dozens of new laws that make every business pay more for electricity, insurance, and lawyers.

"The result is crony capitalism.  It is now almost impossible for any business to succeed in New Jersey without getting some tax break or other special deal from the government", Grossman said.  "And the people who get those special deals are the folks with the best political connection – not those with the best talent or ideas."

Two years ago, almost everyone in Atlantic City knew that the Revel project was the wrong casino, in the wrong place, and at the wrong time.

Thousands of Atlantic City citizens signed petitions demanding a vote on the tax breaks needed by the project according to state law.

"But Republican Governor Christie and Democrat Senators Sweeney, Whelan, and Lesniak rushed through special legislation that stripped those Atlantic City citizens of their voting rights.

When I tried to testify against that outrageous legislation, Senator Lesniak ordered security to physically remove me from the microphone.”

Grossman said there is only one way to quickly bring this insanity to an end.

"The Revel Casino was only one of many crony capitalist projects in New Jersey made possible with financing from the New Jersey Economic Authority".

"Over the years, these state government agencies have borrowed billions of dollars without voter approval as required by Article 8, Section 2 of the State Constitution".

"As governor, the first thing I would do is enforce that section of the Constitution to make sure that not a dime of tax money directly or indirectly bails out any bonds issued by any of those state agencies".

"New Jersey supposedly has more than $40 billion of bonded debt, but only ten percent of that debt was ever approved by voters as required by our State Constitution."

"I know of no better way of ending New Jersey's pay to play culture than to dry up the supply of unconstitutional borrowed money that is sustaining it".