The widow of casino owner Andrew Fonfa is slated for a three-year extension as a gaming licensee and executor until her husband’s estate is settled in court.
Fonfa, who died in July 2020 of a heart attack at the age of 68, was a developer of the 200-room Asian-themed Lucky Dragon on West Sahara Avenue that opened in November 2016 and closed in January 2018. The property went into bankruptcy proceedings. Lenders foreclosed on the property, which was sold Don Ahern, owner of an equipment-rental company; Ahern now operates a boutique non-casino hotel on the site.
The Nevada Gaming Control Board recommended approval on Wednesday and the matter now goes to the Nevada Gaming Commission on Jan. 25.
The Fonfa estate also holds a 19% interest in the Indian Springs Operating Company that operates a Terrible’s Casino in Indian Springs, Nevada, 30 miles north of Las Vegas. His wife, Jodi, was granted a temporary license following her husband’s death, but that expires at the end of January.
In September 2022, Jodi Fonfa was approved by the probate court to be the executor of the estate and in January 2021, the Nevada Gaming Commission approved her application as temporary executor for three years. She needs the extension until probate is resolved, according to Fonfa’s attorney, Sonia Vermeys.
“At the time of Mr. Fonfa’s death, he was in process of transferring his membership interest in Indian Springs Operator Company to (his son) Evan Fonfa,” Vermeys said. “The application fees were wired to the board at the time.”
When Jodi Fonfa was approved as executor, Vermeys said they filed an application to transfer the interest and for his suitability as a licensee.
“Unfortunately, there hasn’t been much activity on those applications, because the probate case remains open due to various outstanding litigation matters,” Vermeys said. “The bulk of those litigation matters stem from the bankruptcy and foreclosure of the Lucky Dragon. Until those litigation matters are settled, the transfer of interest can’t go forward and we’re asking for an extension of her approval.”
Following the foreclosure, a deficiency judgment remains outstanding. Creditors also filed claims in the probate case and a separate fraudulent-conveyance action was filed against Jodi Fonfa and her children.
“What I understand from Ms. Fonfa’s litigation counsel is that the trial calendar for the deficiency-judgment matter is supposed to go forward in February,” Vermeys said. “If the lender on that matter loses, all of this becomes moot and everything can be resolved fairly quickly. If the lender is successful, litigation counsel would expect the probate matters to be concluded this summer, with the fraudulent action probably concluding in 2025.”
The initial proposal was for a two-year extension, but the Board granted three years in case the legal matters go longer than expected and to spare Jodi Fonfa from having to appear again before the Board and Bommission. Board Chairman Kirk Hendrick pointed out that Terrible Herbst, a company in good standing, operates the Indian Springs casino.
Vermeys said she represented Andrew Fonfa with his first gaming endeavor 20 years ago. The original location of the Indian Springs Casino was adjacent to Creech Air Force Base and when Creech needed to expand the base, Vermeys helped get a state law passed that allows for the relocation of a non-restricted casino license. The casino project moved across the highway to land owned by the same group of partners, including Fonfa. The casino was redeveloped on that site and Terrible Herbst was brought in as a partner to operate what Vermeys called a successful venture.
“Things are going smoothly,” Jodi Fonfa said. “The Herbst family has been doing this a long time and we’re very happy.”
Jodi Fonfa said she has no future gaming interest.
