Murphy said he acted because of a lack of compliance over the use of face masks and social distancing as the coronavirus outbreak continues to rage in many parts of the country.
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"I think it's the right choice, but I think it's unfortunate they were given two days notice," said Danielle DiDinoto of Egg Harbor Township. "I think it's unfortunate for all the restaurants who started purchasing food - all that good stuff - and now have to waste that money because they're not allowed to open."
Casinos are still permitted to reopen on Thursday at 25% capacity. But will they?
After the Borgata almost immediately scrapped their reopening plans, employees of other casinos wonder if the rest will follow suit.
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"We just went back to work. We went through the safety procedures as far as precautions, and now we don't know," said Phyllis Pettus of Atlantic City.
At least two casinos - Resorts and Ocean Casino and Resort - still plan to open on Thursday.
Murphy also revealed he is banning smoking at reopened casinos, which could be a deal-breaker for some gambling halls.
Atlantic City last tried a smoking ban in 2008 but scrapped it after just 20 days of plunging casino revenue and disgruntled smokers.
The Associated Press contributed to this report.