Chicago's Bally's Development Advancing After Protracted Setback Connected to Mafia Involvement
Posted on: May 16, 2025, 02:41h.
Last updated on: May 16, 2025, 02:42h.
Philip Conneller @casinoorgphilcCatch up nowGaming BusinessRegulation*Tribal Gaming
Bally's Chicago casino construction resumes after a state review and vendor cleanup.
Construction halted following the appearance of a Mob-linked contractor on-site.Regulators work to keep organized crime out of casinos.
The Illinois Gaming Board (IGB) has given the go-ahead for work to restart on Bally's Chicago casino – nearly two weeks after operations were paused over worries about the alleged previous Mob connections of one of the contractors.
D&P Construction is a waste-hauling company known for its past links to the late John "No Nose" DiFronzo, a former Chicago Mob boss, and his late brother Peter DiFronzo, a reputed Outfit capo.
When a reporter from The Chicago Sun-Times noticed dumpsters at the building site bearing the D&P Construction logo and brought the issue to the IGB's attention, the regulator ordered a halt to the construction work, citing "investigation into the use of undisclosed and unapproved vendors at the construction site."
In a statement on Wednesday, the IGB reported that they had determined "currently, no vendors are working on the casino construction project without IGB approval." Bally's had been co-operative, rectified the disclosure issues, and committed to informing the agency of all future vendors going forward.
The IGB added that, under their guidance and supervision, Bally's would be implementing improvements to their vendor and contractor compliance processes, as well as stepping up monitoring, surveillance, and oversight at the construction site.
A Troubled Past
D&P was also part of the team responsible for constructing the failed Emerald Casino in Rosemont, Illinois, almost a quarter-century ago. The proposed casino was slated to be situated close to O'Hare International Airport, one of the world's biggest. Developers and politicians were eager over the prospect of billions in profits and taxes.
Work on the project commenced in 1999 but was halted in 2001 when the IGB revoked Emerald's license, citing numerous violations such as misleading statements about the company's ownership structure, hidden partnerships with individuals with Mafia ties, and D&P's involvement.
Rosemont's late Mayor, Donald E. Stephens, faced accusations throughout his political career of having dealings with the Chicago Outfit.
It is uncertain if D&P still maintains ties with the DiFronzo family. John DiFronzo suffered from Alzheimer's disease in his later years and passed away in 2018 at the age of 89. Peter DiFronzo died in 2020 due to complications from COVID-19 at 87.
Veiled Ownership
For many years, Josephine DiFronzo, Peter's widow, was listed as the owner of D&P Construction, despite a once-secret 2003 FBI memo insisting that the company was controlled by Peter and John DiFronzo. Law enforcement and federal prosecutors have noted that companies associated with organized crime families often list female relatives as nominal owners to evade scrutiny.
Josephine DiFronzo is no longer listed as the owner of D&P Construction, yet she is the president of a separate waste management company, Windy City Recycling Inc, which shares a longstanding and current officer, Kathleen Clementi, with D&P.
D&P is registered under a legal agent with the Illinois Secretary of State, a practice adopted by privately held firms that do not publicly disclose their ownership.
The deep-rooted history of organized crime in Illinois means that one of the IGB's primary objectives is keeping the Mob out of the gaming industry.
- The Illinois Gaming Board (IGB) is ensuring that organized crime, such as the Chicago Outfit and their linked contractors, stay out of casinos, as demonstrated by the halting of construction at Bally's Chicago casino due to the presence of D&P Construction.
- D&P Construction, with ties to the late John "No Nose" DiFronzo and his late brother Peter DiFronzo, a reputed Outfit capo, was part of the team responsible for the failed Emerald Casino in Rosemont, Illinois, nearly a quarter-century ago.
- As the IGB works to prevent organized crime infiltration, Bally's Chicago casino has resumed construction following a review and vendor cleanup after concerns about D&P Construction's Mob connections.
- The IGB's efforts to maintain casino-and-gambling culture free from the Mafia's influence are continuing, as they now monitor and supervise Bally's construction site and require the company to implement improvements in vendor and contractor compliance processes to prevent future undisclosed and unapproved vendors from working on the project.
