State regulators have revoked permission of MJK Electrical Corp. to work for Pennsylvania casinos after its part-owner, George Peltz, pleaded guilty to tax evasion and other charges related to the ongoing federal investigation of Electricians Local 98. Peltz has extensive ties to labor leader John J. “Johnny Doc” Dougherty.
In an emergency action, the Pennsylvania Gaming Control Board on Wednesday voted unanimously to suspend MJK’s permit as a Gaming Service Provider. MJK, which worked for SugarHouse Casino, was “unsuitable for licensure” following Peltz’s guilty pleas in January, the gaming board said.
Peltz, the first individual criminally charged in the long-running FBI investigation into Local 98, pleaded guilty to counts including tax evasion, failing to pay payroll taxes, theft from employee benefit funds, and making unlawful payments to a union official. He is scheduled for sentencing on Tuesday.
The gaming board, which licenses all suppliers and employees of the state’s casinos, filed papers on Feb. 1 to revoke MJK’s permission after Peltz’s guilty plea. MJK Electrical did not appeal the administrative action.