ent001519-042

Las Vegas, Nevada 89109 t r V 'S ^K> ^ ^yV* January 26, 1971 Mr. Walter Carson Director Department of Economic Development State of Nevada Carson City, Nevada 89701 Dear Wally: Certain facts have come to the attention of both Mr. Harvey Diederich and myself which have caused us great consternation. We are most alarmed to learn that an instrument has been signed with Trans World Productions with the implication of the approval of the Tourism Advisory Council. As you know, a meeting of the Tourism Council was called on December 3 and unfortunately due to bad weather up North the only Council members in attendance were Mr. Diederich and myself. We did question the propriety and legality of undertaking any business under these circumstances. It was decided that we would proceed as far as we could with the full under- standing that the members in the North would be polled on any matters requiring a decision. This is spelled out in the fifth paragraph of page one of the minutes of that meeting of which you have copy. A presentation was made by Mr. William Butters of Thans World Productions, the details of which are spelled out on page four of the aforementioned minutes. The Council was encouraged to look favorably upon this program by Mr. Bill TVson of Tyson-Curtis-Wilson and Mr. dark Russell, the Economic Development Director, on the date of this meeting. The implication was that Governor Laxalt was very much in favor of this program. It was also stated that one-half of the funds would be forthcoming from the Industrial Council and that they had already approved this expenditure. Mr. Diederich questioned the availability of such funds and was assured by Mr. Tyson and Mr. Russell that such funds were available in our budget# Based on the facts as presented, we agreed to look favorably on the project only after the same presentation had been made to the absent members and we had a chance to discuss this program with them. Since that time, we have discovered that a funding instrument has been signed in the name of the State and I have discovered the following facts by numerous phone calls to the individuals involved. A presentation was indeed made to the Industrial Council but according to their Chairman, Mr. Frank Bender, there was no discussion on funding being needed and no funds were so voted by that Council. ...continued... 3