Although the Silver Saddle Casino has been closed since April, 1986, real estate developer Charles R. King has retained his license to operate the card club by paying $130,728 in overdue city fees. King came up with the money just two days before a federal bankruptcy judge was to uphold a Cudahy City Council vote to revoke the license.
King had been the target of criticism for years because his casino has failed to live up to initial revenue projections. He managed to head off the council's revocation order last fall by quickly petitioning for protection against creditors in a Chapter 11 bankruptcy action.
When King formed a partnership with a second company, Naxos Inc., city officials complained to the judge that they had not been given information needed to conduct a background check on the firm. But the judge agreed to let King and Naxos hold the Silver Saddle license as long as they erased the past city debt and continued to pay the city's $10,000 monthly gaming fee, officials said.
Cudahy City Manager Gerald Caton said the city had incurred $250,000 in legal expenses fighting for the unpaid casino fees.