Billionaire American investor Carl Icahn has gained control of Atlantic City’s Trump Taj Mahal casino after the Chapter 11 bankruptcy for Trump Entertainment Resorts was approved in Delaware by Judge Kevin Gross.
Donald Trump and Icahn made a deal that allowed Trump Entertainment to continue using the Trump name.
Trump Entertainment, owner of the Trump Taj Mahal, currently owes Icahn more tha $290 million.
Judge Gross ruled that Icahn would exchange the debt for ownership of the company’s stock.
Icahn plans to spruce up the casino, keeping it open and preventing the job losses of 3,000 people.
Icahn will put up $82.5 million to get the company through bankruptcy; however the labor union is still fighting a federal case claiming that Taj Mahal employee contracts have expired, which would see them lose their jobs.
Should the union’s appeal be successful, pension and healthcare costs may be owed and Icahn will have the option to back out of the agreement.