Delaware North to Part Ways with Miomni After Snafu Closes Its West Virginia Sportsbooks Indefinitely

Posted on: March 29, 2019, 03:40h. 

Last updated on: April 3, 2019, 04:58h.

Steve Bittenbender Read More
Expertise: Legislation, Sports Betting, Horse Racing.

Delaware North Companies on Friday announced it will terminate its arrangement with a company that managed the information technology systems for its two sportsbooks in West Virginia, which have been shuttered for nearly a month.

Delaware North executives celebrated the opening of the Mardi Gras sportsbook in late December. However, less than three months later it closed due to a dispute between Delaware North’s partner and a vendor. Delaware North said Friday it’s terminating the agreement with Miomni and working to find another information technology services provider. (Image: Jeff Jenkins/wvmetronews.com)

The sportsbooks at Wheeling Island Hotel-Casino-Racetrack and Mardi Gras Casino and Resort closed after a dispute between Miomni Gaming and Enterg Software Solutions Limited, better known as Entergaming, over the rights to use Entergaming’s back-end sports betting platform. The issue also forced the closure of Delaware North’s BetLucky online sportsbook.

Earlier this month, Delaware North’s President E. Brian Hansberry told the West Virginia Lottery, which oversees sports betting in the state, that the company did not know about the dispute until after the sportsbooks shut down.

A call to Miomni’s office in Nevada was not returned.

Relaunch Could Take Months or Longer

In Friday’s statement, the company apologized to its customers and said it plans to offer sports betting at its West Virginia properties “in the near future.”

However, the company also acknowledged the challenge ahead of it.

“We are evaluating all options to once again provide sports wagering services, and we want our customers to know that identifying and implementing a solution could take several months or longer,” Delaware North said. “In the meantime, we are continuing to honor and redeem all resulted bets and providing our customers with detailed information about how they can access their accounts and withdraw their funds. Support is also available at support@betlucky.com or by calling (866) 807-4007.”

In a statement, West Virginia Lottery Director John Myers said he received word from Delaware North officials about their decision.

“The West Virginia Lottery stands ready to work with Delaware North to bring both sportsbooks back online as quickly as possible once Delaware North has a solution in place,” Meyer said.

Data from the lottery shows the casinos continue to pay off winning bets. In the two weeks after the shutdown, Wheeling Island cashed $14,558 in winning tickets. Mardi Gras, located in Cross Lanes between Charleston and Huntington, paid out $25,008.

Missing Out on Indirect Revenue

State Del. Shawn Fluharty (D-Ohio) told Casino.org Friday Miomni’s lack of disclosure provided cause for Delaware North.

Fluharty’s district includes Wheeling Island and the city of Wheeling, which is located the state’s northern panhandle.

The lawmaker said he’s heard from constituents daily about their frustrations over the closure. It’s not just about residents not being able to place bets, he said. Although, since the closure took place just before the start of the NCAA Basketball Tournament, it’s been especially hard.

Wheeling is centrally located between Columbus, Ohio, and Pittsburgh, Pa. Fluharty said he and other leaders hoped people from those cities would come to Wheeling Island to place their bets. Then, they could spend the night in the hotel or eat at a local restaurant.

The indirect revenue serves as an even bigger economic development boost to the community, he said.

We wanted to get the foot traffic in my district,” Fluharty said.

Both sportsbooks opened at the end of December. Mardi Gras has generated more than $520,000 in revenue, with the state receiving $44,281. Wheeling Island’s receipts total more than $575,000, with the state getting $48,907.