Just six months ago, Donald Trump and Dallas banker Andy Beal united in an effort to gain control of Trump Entertainment Resorts. When Trump decided in December to cede control of the company’s three casinos to Trump bondholders, who offered $225 million for the casino empire, Beal—who loaned $486 million to the struggling company—was not content to let a good deal slip away.

Late last month the founder  of Beal Bank, who is also known as a high-stakes poker player, made a surprise move by joining billionaire Carl Icahn in a new bid for Trump Entertainment. Beal hopes to convert his multimillion-dollar loan into equity in the company.

“Trump jumped ship at the last minute,” Icahn attorney Edward Weisfelner said in court, “and left Mr. Beal standing at the altar.”

U.S. Bankruptcy Judge Judith Wizmur agreed with Weisfelner, who said both reorganization plans should be presented to creditors at the same time for a vote. Wizmur will hold a hearing this month on the competing proposals and make the final choice about ownership of the three casinos.

Trump Entertainment filed for bankruptcy protection in February 2009. Donald Trump, who once owned 29 percent of the company, resigned along with his daughter Ivanka, but soon came back with Beal as his ally in an attempt to reclaim the Trump Taj Mahal, Trump Plaza and Trump Marina.

Beal confirmed that he first approached Icahn about the new deal, in which Icahn agreed to buy $500 million of Trump debt, including most of the $486 million owed to Beal Bank.

Icahn has been doing a lot of shopping in Atlantic City. Last June, he and other lenders bought the bankrupt Tropicana Casino & Resort by forgiving $200 million in debt they had accumulated in the company.

Beal, a longtime friend of Trump, told Bloomberg News he “thinks the world of Donald and Ivanka,” and is “disappointed we weren’t all able to go forward together.”

While Beal contends that all is well between him and the Trumps, Donald Trump reacted testily to Beal’s contention that the Icahn name is as big as Trump’s in the gaming world.

“These guys are much bigger users of the b-word than I am,” groused Trump, referring to Icahn’s own trips to bankruptcy court.

By Casino Connection Staff