10/29/2001 (By FREDRIC U. DICKER, NY POST.COM) A NEW JERSEY gaming executive is threatening to launch an all-out battle with New York by building “the world’s largest casino” on the Jersey side of the Lincoln Tunnel.

The executive, who demanded anonymity, told The Post that Atlantic City’s casino owners are privately talking about jointly building the casino, to be located at the Meadowlands sports-complex racetrack.

It would be operated by the Atlantic City Casino Association and be designed to cripple New York’s efforts to build three new Indian-owned casinos in the Catskills, about 90 minutes from New York City, the executive said.

“It would destroy the effort to have casinos in the Catskills. It would kill them,” said the executive.

“They were stupid. They’ve unleashed a giant,” the executive continued, referring to Gov. Pataki and the leaders of the Legislature, who agreed last week to authorize a total of six new Indian casinos for New York.

Pataki and state lawmakers expect legal challenges to the new gambling measures, which also include authorization of slot-machine-like video terminals at many racetracks and New York’s enlistment in the multistate Powerball lottery game.

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