By MELISSA MOXON and NZPA
HAMILTON - Construction has begun on Hamilton's controversial Riverside Casino, despite next month's High Court appeal from opponents.
Heavy machinery was moved in yesterday to start digging foundations and a four-storey-deep car park on a site behind the Victoria St Post Office.
Opponents, led by Hamilton Mayor Russ Rimmington and church leaders, have filed for a judicial review of the Casino Control Authority's decision to grant a 25-year operating licence, accusing two of the five authority members of bias.
Mr Rimmington said the decision to start work was "an interesting call."
"They know the risks. We have a very strong case and are confident of our position," he said.
The chairman of Riverside Casino, Evan Davies, said the appeal starting on April 4 was essentially against the procedures the authority followed in granting the casino licence.
"We've been working towards this licence for a number of years and are committed to what will be a major development and beneficial to the city," Mr Davies said.
Mr Rimmington said the company had been "pretty arrogant all the way through," in going against the wishes of a large segment of the community.
The $50 million casino is a joint venture between Auckland's Sky City, Tainui Development and Hamilton's Perry Developments.
If the casino's licence stands, the construction phase will provide 370 jobs, and 350 fulltime positions will be created when it opens in the middle of next year.
The project includes a gaming area, restaurant, bars, entertainment lounge and car park.
Stage two - a separate project by Perry Developments - is an apartment block and shops.
The combined development will cost $65 million.
Meanwhile, Tainui leader Sir Robert Mahuta, in a letter to Mr Rimmington, has threatened to sue the council for $170 million for opposing the casino. Tainui has a 15 per cent stake in the project.
Sir Robert's letter implies that the council's opposition could affect its relationship with Tainui.
In 1995, Tainui received a $170 million settlement from the Crown in compensation for confiscation of the tribe's land.
Mr Rimmington refused to release the letter.
Council chief executive Tony Marryatt said it was incorrect to say the council opposed the casino. The council spent more than $300,000 fighting the casino at the authority's hearing but Mr Marryatt said this was simply its statutory right.
Mr Marryatt said the council itself was taking its opposition no further.
Asked if he was getting legal advice or taking Sir Robert's threat seriously, he replied "no."
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