ads@blueearthmarketing.com   712.224.5420

NIGC | Regulation
Native Sun News: Sisseton Wahpeton chairman in gaming feud


The following story was written and reported by Jesse Abernathy, Native Sun News Editor. All content © Native Sun News.


Robert Shepherd, Chairman of Sisseton Wahpeton Oyate

AGENCY VILLAGE. SOUTH DAKOTA –– A member of the Sisseton Wahpeton Oyate has filed a request to have the tribe’s chairman suspended from office in advance of removal proceedings.

Dawn Seaboy-Block, who resides in the Enemy Swim District of the Lake Traverse Reservation, presented the formal written request to the SWO Tribal Council at a regular meeting on April 11. After hearing Seaboy-Block’s request, the council opted to indefinitely table a decision to allow councilors time to review the matter.

As a first step toward impeachment, Seaboy-Block is calling for the immediate suspension of Chairman Robert Shepherd, citing three alleged separate causes of action against him since he took office in January of 2011 – all violations of the SWO Constitution.

“Per Sisseton Wahpeton Oyate Constitution and Bylaws, the current SWO tribal chairman, Robert Octavio Shepherd, has violated the Constitution by sending a letter to the NIGC (National Indian Gaming Commission) on October 7, 2011, without the approval and/or directive from the current Sisseton Wahpeton tribal council and without proper motion,” Seaboy-Block wrote in explaining the first charge in her request.

Shepherd’s letter, addressed to NIGC’s regional director, John Guerber, is a response to Sioux Falls attorney Steven Sandven’s September request that an NIGC investigation into the actions of a former employee of the tribe’s Dakota Magic Casino be conducted on behalf of one of his clients, who is assumed throughout the letter to be SWO member Michael J. Roberts, a former CEO of Dakota Nation Gaming Enterprise.

DNGE is a tribal entity that oversees Dakota Magic and the tribe’s other two casino properties.

Roberts was fired without cause by tribal administration in October 2009 after serving as the enterprise’s CEO for four months, as reported by Native Sun News at the time. Writing “on behalf of the Sisseton Wahpeton Oyate,” Shepherd summarily denies Sandven’s request in the first paragraph of the letter.

“Mr. Roberts filed a whistleblower complaint with the Tribe two years ago,” Shepherd said in the letter from last October, “and he provided a copy to (NIGC).”

“The Tribe responded to Mr. Roberts’ allegations on October 14, 2009, and the Tribe provided a copy of the response to (NIGC). As with Mr. Sandven’s letter, most of Mr. Roberts’ complaints pertained to former (Dakota Magic) General Manager Danny White," Shepherd said in the letter.

White, a member of the SWO, was general manager of Dakota Magic at the time Roberts was terminated.

In his complaint, which was filed under the tribe’s Whistleblower Protection Act, Roberts accused White of 11 counts of misconduct involving misappropriation of Dakota Magic funds to himself, various tribal citizens, then-tribal council members and their families, and casino vendors. He provided relevant supporting documentation at the time.

“Attorney Sandven’s confusing and self-serving request for an investigation is based upon allegations that are at least two years old, which have been thoroughly addressed by the Tribe, the (SWO) Gaming Commission, gaming management and legal counsel,” Shepherd wrote in the letter’s conclusion. “Attorney Sandven does his best spin job on these old matters but fails to inform you how any of these allegations are related to regulatory matters within the NIGC’s jurisdiction. Because each issue has been addressed or is without merit, there is simply no support for his request.”

Roberts told Native Sun News on May 3 Shepherd’s letter to Sandven was an attempt to discredit him and deter an investigation by the NIGC into White’s wrongdoing. “(Shepherd) didn’t even write the letter because he is incapable of using such language,” Roberts said.

Shepherd “pretty much blamed (Roberts) for everything that was going wrong” at Dakota Magic, Seaboy-Block said in an interview on May 4.

According to Seaboy-Block’s complaint, an ongoing investigation into past Dakota Magic operations under White is being conducted by Dakota Nation Gaming Enterprise. Seaboy-Block further contends Shepherd has been interfering with and delaying the current investigation.

“He’s trying to sabotage Danny White being looked into because he thinks it’s all Michael Roberts’ fault,” she told Native Sun News.

In laying out the second cause of action in her request, she wrote, “Chairman Shepherd has been made aware of the … investigation at the Dakota Magic Casino & Hotel on many levels and has requested updates … . (He) continues to ignore all factual evidence of wrongdoing by the former General Manager (Danny White) and other problems that arise from the findings and facts presented to him. He has not notified the Department of (the) Interior on these serious matters or allegations, findings and facts.”

The third charge levied against Shepherd by Seaboy-Block in her suspension request stems from a drunken driving conviction in Minnesota in 2007, for which Shepherd received six years of supervised probation, according to court documents.

Shepherd failed to disclose to anyone he was on probation for a DUI prior to running for the tribal chairman seat, Seaboy-Block said, in obvious violation of the Code of Ethics section of the SWO Constitution. “But since filing my request last month, Shepherd has been discharged from probation,” she noted.

Seaboy-Block calls Shepherd’s nondisclosure a “lie.”

“(Shepherd has) been going around telling people, ‘It’s not a felony, so it’s not that bad’ and ‘I’m off probation’ – that’s just showing his guilt,” she said. “There’s a lot of lying and manipulating going on (on Shepherd’s part), it’s been going on for years in our tribe.” Additionally, she is accusing the SWO chair of allowing “certain tribal members to bully and attack other tribal members.”

In concluding her request, Seaboy-Block gave Shepherd five days to respond to her charges and spelled out five stipulations to be imposed on him by tribal council for the five-day interim, including the return of SWO property, no contact with any tribal employees, banishment from Dakota Nation Gaming Enterprise properties, self-retainment of a non-tribal attorney and exclusion from utilizing tribal attorneys.

In response to Seaboy-Block’s allegations against him, Shepherd said, “I don’t even know where to start.”

He says there is no truth to any of Seaboy-Block’s claims.

“Everything I do is on behalf of the tribe, and I work with the council well. The investigation of Danny White that took place is currently still going on as far as the tribe goes, but we’re still looking into tribal laws as to what has been violated there … . NIGC has submitted a letter to me stating they are not interested (in investigating White), deeming the case closed on their behalf. But as far as the (Internal Revenue Service) or FBI or anybody else, they never responded officially or took an interest, I guess.”

Referring to Sandven’s request to the National Indian Gaming Commission for an investigation into White, Shepherd said it doesn’t make sense to him because he asked the lawyer who he represented but was told the information is “privileged.”

“(Sandven) was hired by an individual, not the tribe, that’s why there’s confusion with the investigation. The information is getting twisted to make it look like there’s corruption on my part, but there’s actually not if you have the facts.”

Shepherd also said there’s a process to start a removal hearing on SWO’s elected leaders that has to come from tribal council.

“The process for tribal members is a petition, so I think (Seaboy-Block) thought she could go through the process of just serving (the suspension request) upon me at a council meeting,” said Shepherd, “but that has to come from an elected official, not from a tribal citizen.”

According to Shepherd, there are two ways to go about removing a Sisseton Wahpeton tribal leader from office: the request either has to come from a fellow council member or at least 30 percent of the tribe’s population has to sign a removal petition against an elected official in order for the removal request to be valid.

And in Shepherd’s estimation, Seaboy-Block’s request is not valid. “She didn’t understand (the process), I think,” he said, “and she thought she could just come forward and request a removal on me herself – but it has to come from a council member in (executive) session, there needs to be a formal motion.”

Shepherd referred to Seaboy-Block’s formal request as “a pretty thick packet.” But the tribal council heard her out, he said. “I let her say what she wanted to say.”

However, the other tribal council members “basically said they needed time to review (Seaboy-Block’s request) because that was the first time they’d seen it,” Shepherd said. “And they have to look into it to verify if there’s any truth to the allegations before they could take action.”

Shepherd said he will not be present when the remainder of SWO’s council reviews Seaboy-Block’s request in executive session and that tribal attorneys will be verifying if there’s any truth to the allegations brought forth.

“So council can then go forward by taking action or not taking action.”

As far as being removed from office, Shepherd is confident that will not happen.

“Once tribal council has all the facts, they will find there is no validity to (Seaboy-Block’s) allegations. They’ll find I have been acting on behalf of the tribe, by the council’s direction. I don’t act on my own, I don’t go outside my authority – I know my place as tribal chairman.”

Tribal council has not set a date to present the findings of Seaboy-Block’s pre-impeachment request to her, said Shepherd. However, Seaboy-Block said the council set aside time on the morning of May 7 to meet with her regarding her request.

Follow-up calls to Seaboy-Block, Shepherd and SWO Vice Chairman Garryl Rousseau Sr. on May 8 had not been returned at press time.

Contact Jesse Abernathy at editor@nsweekly.com