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Pennsylvania Grand Jury Lambastes State's Casino Gambling Control Board

HARRISBURG, Pa. (CBS) - The Pennsylvania attorney general's office has released a scathing grand jury report on the operations of the state's Gaming Control Board.

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(Louis DeNaples, in file photo)

Specifically, the board examined several applications -- including two for Pittsburgh and an application for the Poconos that was awarded to Louis DeNaples (right), whom the grand jury report notes was the subject of alleged ties to organized crime.

The grand jury concludes that the reports prepared on the suitability of the applicants were no reflection of the real facts developed by the agency's investigators, and that significant derogatory information was omitted.

The grand jury says in general that the Poconos application and winning Pittsburgh application received "preferential or special treatment" with regard to licensing hearings and decisions.

The grand jury did not recommend charges but does recommend changes at the PGCB.

Reported by KYW Harrisburg Bureau chief Tony Romeo

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