Legal Battle Over Vegas’ All Net Resort and Arena Falters
Federal Judge Dismisses Racketeering Lawsuit
A federal judge has dismissed a racketeering lawsuit linked to the troubled All Net Resort and Arena project in Las Vegas. This ruling represents another hurdle in the ongoing dispute regarding millions in disputed loans and the collapsed vision of establishing an NBA basketball arena on the Las Vegas Strip. Although the plaintiffs may continue pursuing their claims, it is increasingly clear that the planned venue is unlikely to be built.
Allegations of a Fraudulent Scheme to Defraud Lenders
In a decision made on Monday, U.S. District Chief Judge Andrew Gordon ruled that the lawsuit brought by California-based TACSIS APC and financier Ken Limson was filed beyond the legal time limit. Judge Gordon highlighted that the Racketeer Influenced and Corrupt Organizations (RICO) statute of limitations is four years, which barred this claim.
The plaintiffs accused the project’s developers, lawyers, and other involved parties of orchestrating a deceitful plan to secure over $2 million through short-term loans that funded the unsuccessful arena and resort development. The lawsuit centers on seven loans made in 2018 and 2019, four of which had already defaulted before the fifth loan was extended.
Limson claims he received a fractional ownership stake in the project as a condition for continuing to finance it. Ultimately, all the loans defaulted, and supposed safeguards from developers, such as surety bonds intended to protect lenders, were either fabricated or never existed. Limson suggests that his lost stake could have been worth several million dollars.
Statute of Limitations Decisive in Court Ruling
The initial suit was filed in California state court in late 2020, followed by a separate RICO complaint in December 2024. Various defendants were named, including former basketball player Jackie Robinson, some of his business entities involved in the development, and attorneys who helped structure the deals. Despite these allegations, Judge Gordon was unconvinced.
The court pointed out that the plaintiffs were aware of the alleged invalid surety agreements by the time they first filed their case in 2020, starting the four-year statute of limitations for their RICO claims. While the judge allowed the plaintiffs until September 2 to amend their complaint, he warned that overcoming the statute of limitations challenge would be nearly impossible.
The plaintiffs were aware of their legal injuries more than four years before filing this lawsuit. Hence, their RICO claim is barred by the statute of limitations.
US District Chief Judge Andrew Gordon
The Future of the All Net Arena Project
The All Net Arena, once conceptualized as a state-of-the-art basketball and entertainment complex with hopes of hosting an NBA expansion team, now faces a grim future. Instead of becoming a vibrant basketball venue, the project remains stalled amid legal challenges, leaving the Las Vegas Strip with an empty site and unresolved issues.