Harrah's blocked from withdrawing cash from National

By Richard N. Velotta
<velotta@lasvegassun.com>
LAS VEGAS SUN
June 3, 2001
A federal bankruptcy judge Friday approved a temporary restraining order blocking Harrah's Entertainment Inc. from establishing a cash reserve fund from National Airlines' ticket receipts, a move that could have permanently grounded the Las Vegas airline.

Had this fund been established, cash from ticket sales would have gone to help pay off $39.4 million in debt National owes to Harrah's, rather than capitalizing the airline. That could have caused the airline to run out of cash in days, forcing a complete shutdown.

"I get the feeling that I'm watching a TV newscast of a runaway train full of nuclear waste, with Harrah's in the deadman's seat refusing to put on the brake," said Judge Linda Riegel.

Read this entire article in The Las Vegas Sun.