The state of New York will extend a loan to Niagara Falls to make up for withheld Seneca Nation gaming revenues, The Buffalo News reports.

The tribe has withheld $460 million from the state over the past two years. Of that amount, the state would have sent $58 million to Niagara Falls.

"In April, they told me they would not promise me anything," Assemblyman John Ceretto (R) told the paper. "Now they're looking at it."

The tribe is holding back the money because it says the state has allowed an expansion of non-Indian gaming in violation of the exclusivity provisions of the Class III gaming compact. A newly named arbitration panel will rule on the matter in the coming months.

In other Seneca news, the tribe is coming under fire for its off-reservation casino in Buffalo. Opponents say the tribe has failed to live up to its deal for the Seneca Buffalo Creek Casino.

Get the Story:
State reportedly eyeing loan for Niagara Falls to make up for casino money (The Buffalo News 9/26)
New Battle Over Buffalo Creek Casino (WGRZ-TV 9/26)
Anti-casino group steps up fight over Buffalo site (Buffalo Business First 9/25)
Buffalo mayor thinks move to cut off services to casino is premature (The Buffalo News 9/25)

Related Stories:
Local leader takes aim at Seneca Nation off-reservation casino (9/25)
Seneca Nation casino compact brings big money to New York (9/21)