The State - News from March 31, 1986

Documents filed in federal court at Reno showed that the Ormsby House hotel and casino in Carson City lost nearly $1.8 million in 1972-73 while it was controlled by the family of Sen. Paul Laxalt (R-Nev.). The documents were filed in Laxalt’s $250-million libel suit against the Sacramento-based McClatchy Newspapers over a 1984 article that said the Internal Revenue Service had evidence of skimming at the Ormsby House casino. An audit showed that the casino lost $1.2 million in 1972 and $554,000 in 1973 on total revenues of $7.5 million.