(MENAFN - AFP) Solaire Resort, the Philippines' biggest casino, said Friday it had fired its American managers, alleging breach of contract in a dispute that is now under arbitration.
The management contract of Las Vegas-based Global Gaming Asset Management (GGAM) was terminated "because of the material breach of the management services agreement by GGAM", Solaire's parent firm said.
"GGAM has not spent any material time in attending to the management of Solaire and has failed to perform its obligations and deliverables under the management services agreement," listed Bloomberry Resorts Corp. disclosed to the Philippine Stock Exchange.
In a statement to AFP, GGAM responded: "Bloomberry Resorts Corporation's assertions regarding GGAM's performance of its obligations under the Management Services Agreement have no factual or legal validity. Bloomberry has materially breached that agreement and GGAM is pursuing its rights under that contract in arbitration in Singapore."
Solaire opened an 1.2-billion gaming operation in March, the first of four, billion-dollar casinos to rise on government land on Manila Bay as part of the government's bid to become Asia's third major gambling hub alongside Macau and Singapore.
Bloomberry and Solaire are controlled by billionaire Philippine ports king Enrique Razon, one of the country's wealthiest men.
Bloomberry said it would hire an experienced casino hotel executive to replace Michael French, GGAM's representative who was Solaire's chief operating officer.
Bloomberry also said GGAM had put the case under arbitration as provided for by the management contract.
The Philippine government is hoping the "Entertainment City" gaming complex on Manila Bay will draw millions of newly wealthy Asians, boosting tourism and eventually generating up to 10 billion in annual revenues.