ATLANTIC CITY - A regional concrete company is suing Revel Entertainment Group for more than $15.3 million, accusing the casino company of breach of contract over its work on the stalled gaming project.
Stone Concrete Inc., based in Pleasantville, filed a lien against Revel's South Inlet property earlier this year for $15.3 million and last week filed a civil action accusing the company of "breach of contract."
"There's absolutely no basis to the claim and we are vigorously defending it," said Kevin DeSanctis, Revel's chief executive officer.
DeSanctis declined to discuss the case further, only saying that "it's in the hands of our lawyers now."
Lloyd D. Levenson, an attorney representing Revel, did not return a request to be interviewed. Jeff Hawta, vice president of Stone Concrete Inc., declined to comment, referring questions to his attorney, Tom Shovlin, who did not return calls.
Stone Concrete worked on the exterior of the Revel site at least as far back as 2008, according to Revel's concrete inspection reports. The company handles many aspects of concrete, including supervising concrete pours.
In March, Stone Concrete filed a lien claim against Revel, alleging the gaming company owed it more than $15.3 million. The lien claim was amended in September, but the amount stood, and on Oct. 7, a formal lawsuit was filed in Atlantic County Superior Court. The court complaint, however, provides few details beyond alleging Revel breached its contract with the concrete company.
Revel has been mired in financial troubles and was forced to halt construction on its $2.5 billion casino project because it could not obtain additional financing to fund the construction of its interior. In April, Revel's chief financial backer, Wall Street giant Morgan Stanley, withdrew from the project after enduring a $932 million loss on its investment.
DeSanctis is attempting to put together an investment group to buy out Morgan Stanley's stake and provide final financing to get the casino finished and operational.
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