Omni La Costa Resort and Spa

The Omni La Costa Resort & Spa is a luxury destination resort hotel opened in 1965, located in Carlsbad, California, and is owned by Omni Hotels & Resorts, based out of Dallas, Texas. The resort is known for its golf courses and its location in the San Diego area hills. Professional golf and tennis tournaments settled into La Costa throughout the 1980s, ultimately hosting 37 PGA Tour and tennis events. Currently the resort is home to events such as World Team Tennis and The California State Amateur Championship. Omni La Costa Resort & Spa is a member of Historic Hotels of America, the official program of the National Trust for Historic Preservation, and has hosted the La Costa Film Festival.
History.
The resort was founded in the early 1960s when a real estate developer, Irwin Molasky, from Las Vegas discovered an equestrian ranch in the coastal foothills of Southern California. Originally conceived as a residential resort offering activities and instruction for all ages, the resort opened on July 10, 1965 with 40 units available to guests for $22 per night which included green fees, as well as access to tennis, horse stables and the pool.
Professional golf.
La Costa served as a home to two notable PGA Tour events. For thirty years, the resort hosted the Mercedes Championships (originally called the Tournament of Champions), from 1969 to 1998. That event left for Maui, Hawaii, when La Costa was selected to host the inaugural WGC-Accenture Match Play Championship in 1999. It hosted that event for seven of eight years (the 2001 event was played in Australia), until it moved to Arizona in 2007. In 2010 and 2012, the resort hosted the Kia Classic, an LPGA tour event with an estimated attendance of 43,000 in 2010.
"Penthouse" article lawsuit.
In March 1975, "Penthouse" published an article headlined "La Costa: The Hundred-Million-Dollar Resort with Criminal Clientele," written by Jeff Gerth and Lowell Bergman. The article indicated that the La Costa Resort and Spa in Carlsbad was developed by Mervyn Adelson and Irwin Molasky using loans from the Teamsters Pension Fund and that the resort was a playground for organized crime figures. The owners, along with two officials of the resort, Morris B. "Moe" Dalitz and Allard Roen, filed a libel lawsuit for $522 million against the magazine and the writers. In 1982, a jury absolved the magazine of any liability against the lawsuit from the owners. The plaintiffs appealed, but in December 1985, before a new trial could begin, the two sides settled. "Penthouse" issued a statement that they did not mean to imply that Adelson and Molaskey are or were members of organized crime. In turn the plaintiffs issued a statement lauding "Penthouse" publisher Bob Guccione and his magazine for their "personal and professional awards." Total litigation costs were estimated to exceed $20 million. According to the "San Diego Reader, "Merv Adelson finally admitted to mob ties in an interview published in the March 2013 issue of "Vanity Fair" magazine.
Connection to other controversies.
On May 8, 2007, WXYZ-TV in Detroit, Michigan, reported that now convicted and deposed mayor of Detroit, Kwame Kilpatrick used $8,600 from a fund created for voter education, economic empowerment, and crime prevention, to take his family and a babysitter on a week-long vacation to the La Costa Resort and Spa.
Tax and accounting experts found Kilpatrick's use of the fund also violated IRS regulations.