Illinois Gaming Board Halts Bally’s Chicago Casino Over Undisclosed Contractor with Mob Ties
According to a statement issued Thursday, the Illinois Gaming Board (IGB) is investigating Bally’s Corp. for employing D&P Construction without board approval. The company, previously linked to the late Peter and John DiFronzo had reportedly been providing waste removal services at the $1.7 billion development site.
This revelation first came to light after journalists from the Chicago Sun-Times spotted D&P dumpsters at the site. The IGB confirmed the contractor had not been disclosed during the vendor approval process, triggering a regulatory red flag.
Bally’s Responds, Tries to Reassure
Bally’s acknowledged the violation and said it is cooperating fully with the board. A company spokesperson described the incident as a “process issue” and said the firm is working with the IGB to ensure more rigorous oversight of subcontractors going forward.
Work on the casino will remain on pause until Bally’s submits and receives approval for a new vendor vetting plan.
The timing couldn’t be worse. The project is already under pressure to meet a September 2026 deadline imposed by Illinois law. Any prolonged disruption could jeopardize that target, especially as construction is still in early stages.
Not the First Roadblock
This isn’t the first time Bally’s Chicago casino project has hit regulatory or logistical turbulence. Prior delays included:
- A major redesign following infrastructure concerns related to city water lines.
- A $940 million funding gap that was eventually closed through a deal with Gaming and Leisure Properties.
- A temporary work stoppage in late 2024 after construction debris fell into the Chicago River.
The company is currently operating a temporary casino in the Medinah Temple, which opened in September 2023. While it has brought in $29 million in revenue so far this year, it’s underperforming relative to the city’s expectations—only generating $3 million in local tax revenue compared to the $16.5 million projected in Chicago’s 2025 budget.
D&P’s Long History with the IGB
The IGB’s reaction to D&P’s involvement stems from a long and checkered history. The company was previously cited in the failed Emerald Casino project in Rosemont in the early 2000s. At the time, regulators alleged that the company’s leadership had direct familial ties to known organized crime figures.
A 2005 FBI memo described D&P as having obtained contracts “through illegal payoffs or intimidation.” That scandal ultimately led the IGB to revoke Emerald’s license—a license that eventually landed with Rivers Casino in Des Plaines, now the highest-grossing casino in Illinois.
What Comes Next?
The IGB’s investigation is ongoing, and Bally’s next steps—especially in how it revamps its contractor vetting process—will be closely watched. With billions at stake and regulatory scrutiny at full tilt, the margin for error on compliance has effectively dropped to zero.