indianz.com your internet resource indianz.com on facebook indianz.com on twitter indianz.com on Google+ indianz.com on soundcloud
phone: 202 630 8439
Fredericks Peebles & Morgan LLP
Advertise on Indianz.Com
Home > News > Headlines

printer friendly version
Okla. tribe under investigation for casino
Thursday, August 14, 2003

Federal regulators have launched an investigation to determine whether the Quapaw Tribe of Oklahoma is operating a casino in violation of federal law.

In an August 8 letter, Quapaw chairman John Berrey was told to turn over a wide-ranging set of documents. Tim Harper, a regional director for the National Indian Gaming Commission, provided a 25-item list that includes casino agreements, financial statements, tax filings, bank statements and internal memos.

NIGC "is conducting an inquiry into the management of the Quapaw Casino concerning the possible management of the casino without an approved contract," Harper's letter stated.

It is a violation of the Indian Gaming Regulatory Act (IGRA) to operate a casino without federal approval. Tribes who use the services of a management company must submit a management contract to the NIGC for review.

According to Berrey, the tribe has been waiting for the NIGC to approve its management contract. "We first submitted one two years ago and we were asked to make changes," he said in an interview before the NIGC investigation was announced. "They have had [the changes] since last March."

What Berry described is not unusual -- it can take 18 to 24 months for NIGC to complete its review. The lengthy wait is one reason tribes turn to third parties to operate casinos under a consulting agreement, which NIGC does not have the authority to review.

But concerns about the Quapaw Tribe's choice of management company, Right Source Marketing of Arizona, prompted the federal investigation. The concerns are centered around how much money Right Source, which is owned by Marc Dunn, is receiving; whether casino managers are qualified to run the casino; and whether the tribe is following NIGC procedures and policies.

Earlier this summer, tribal gaming officials started their own internal audit of the casino after learning, through a preliminary review, that Dunn's company was paid $4.5 million from October 2001 through September 2002 while the tribe only received $2.5 million.

The results of the preliminary review could not be independently verified but were performed by a certified public accountant retained the tribe's gaming board.

Soon after the gaming board announced it would proceed with the audit, Berrey fired the board's head, Kugee Supernaw. A July 10 letter gave no reason for the termination and in an interview, Berrey would not explain his actions, saying it was a personnel issue.

However, he discounted the suggestion that the firing was motivated by the scrutiny the casino is facing. "I'm welcome to see any audits," he said. "I don't have any problem with that."

Dunn's company runs a casino owned by the Seneca-Cayuga Tribe of Oklahoma, whose management contract does not appear on NIGC's approved list. That casino's general manager, Rick Smith, used to run the Quapaw casino before unexpectedly resigning earlier this summer.

One tribal source said Smith left after being told by the gaming board that he would have to submit to a criminal background check that is required by federal law. NIGC is asking for Smith's letter of resignation as part of the investigation.

NIGC is also demanding documentation of payments made to all casino vendors, one of which is Right Source. According to the preliminary review, Dunn's company is not only being paid to manage the casino but is also being paid for supplying casino machines to the tribe. As a vendor, Dunn's company appears to take a cut of each Class II machine that is in play.

NIGC plans to review a wide set of internal tribal documents as well. The tribe makes video and audio recordings of its general council meetings where casino business was openly discussed. It is at these meetings that tribal members who are political opponents of Berrey have questioned Dunn's management.

The Quapaw Tribe doesn't have a large gaming operation compared to others in Oklahoma. But it has provided seed money for tribal programs and has enabled the tribe to provide funding to local communities.

The Quapaw Tribe also has not experienced some of the problems others in the state have faced over the classification of casino machines, although the Quapaw and Seneca-Cayuga casinos did stop offering a type of blackjack game for a period of time in response to an NIGC order.

Relevant Documents:
NIGC Letter to Quapaw Chairman John Berrey (August 8, 2003)

Relevant Links:
National Indian Gaming Commission - http://www.nigc.gov

Related Stories:
NIGC's Hogen warns Okla. tribes on games (5/19)
NIGC asks for greater authority over industry (5/15)
Chickasaw Nation 'followed the law' (6/28)
Tribes defy federal casino order (6/17)

Copyright � 2000-2003 Indianz.Com
More headlines...

Latest Headlines:

WNV: Puyallup Tribe enters battle against natural gas terminal in Washington
Mark Trahant: Learning from history to see why the Trump presidency is over
Harold Monteau: Donald Trump needs White supremacists to remain in office
Trump defends groups 'innocently' protesting removal of Confederate statue
New York Times turns to Native Americans for Conversation on Race project
Crow Tribe votes on potential changes to constitution despite court decision
Grand Traverse Band wasn't consulted about visit by Columbus replica ships
Sisseton Wahpeton Oyate celebrates release of bald eagle that had been shot
Klamath Tribes break ground on hotel as part of long-term casino expansion
Wilton Rancheria continues to see litigation over casino project in California
Energy firm seeks to keep illegal pipeline in place over objections of landowners
North Dakota secures $10 million in federal funds to pay for #NoDAPL response
Arne Vainio: Tough patient turns out to be a warrior with a promise to his brother
Mary Annette Pember: True Sioux Hope Foundation brings donors to Pine Ridge
Steve Russell: Poverty in Indian Country -- and in America -- is really about race
Dakota Access Pipeline dragging out dispute over disturbance of tribal artifacts
Trump offers late rebuke to 'White supremacists' as industry leaders quit council
Seneca Nation citizen maintains 5-year protest against NFL team's racist legacy
Oneida Nation starts construction of third casino as outlet mall remains on hold
Mashpee Wampanoag Tribe still confident as Trump team reviews casino plan
Tribes report mixed results in slot machine revenues at casinos in Connecticut
Trump administration abandons tribes in battle over boundaries of reservation
Yurok Tribe forced to rely on outside salmon again as yearly festival approaches
Zenobia Jeffries: Media must be honest about planned race riot in Charlottesville
DVIDS: Military partnership brings health care to Round Valley Indian Reservation
Sandra LaFleur: Let's return to our traditions by restoring power to Native women
Harold Monteau: Democrats need to get their act together in new election season
Northern Arapaho Tribe reclaims remains of students who died at Carlisle school
Elouise Cobell's family brings Presidential Medal of Freedom to Blackfeet Nation
Department of Justice opens civil rights investigation into Charlottesville death
Muscogee Nation issues citizenship to former police officer accused of murder
Tim Giago: Broken treaties remain among America's deepest and darkest secrets
Oglala Sioux Tribe secures restitution for funds stolen by former district official
Appeals court schedules hearing in long-running Mechoopda Tribe gaming case
Pit boss and patron plead in blackjack scam at Sisseton Wahpeton Oyate casino
Doug Steiger: Reform the Indian Health Service by looking at tribal success stories
Young indigenous activist fights Trump administration in climate change lawsuit
Kialegee Tribal Town warned not to engage in gaming on allotment in Oklahoma
Mark Trahant: Prepare for a big mess when Congress returns to work in September
Cronkite News: Most Native families aren't speaking their own languages at home
Agua Caliente Band faces opposition from states as high court weighs water case
Crow Tribe mourns shooting victims as details remain scarce about triple homicide
Non-Indian man sentenced to life in prison for murder, assault on Crow Reservation
Aquinnah Wampanoag citizen aims to make history with Massachusetts campaign
Cherokee Nation ready to move forward with opioid lawsuit in tribal court system
Wiyot Tribe questions attempt to buy ancestral island that was site of massacre
Southern Ute Tribe offers $1 million matching grant for KSUT public radio station
Jim Cooper: Wilton Rancheria casino brings benefits to everyone in our community
Sara Trechter: County wastes more than $600,000 battling Mechoopda Tribe casino
Anticipation builds as Indian Country calls for shutdown of Dakota Access Pipeline
Brian Lightfoot Brown: Welcome to the oldest recorded powwow in North America
Cronkite News: Backlogs at immigration courts reach a record high in Trump era
Mary Annette Pember: School offers safe place for girls on Pine Ridge Reservation
Alex Jacobs: Beware the new 'tribalism' in American politics with Donald Trump
Muscogee Nation welcomes decision affirming the boundaries of its reservation
Crow Tribe weighs stronger response after site of triple homicide burns to ground
White Earth Nation looks to diversify economy with first hemp crop on reservation
Nooksack Tribe loses federal health care funds as disenrollment drama drags on
Miccosukee Tribe can't be sued by attorneys who received $4 million settlement
Mapuche activists evicted from land protest on ancestral territory in Argentina
Casino opponents ask Supreme Court to hear Aquinnah Wampanoag Tribe case
Ho-Chunk Nation outlines optimistic schedule for stalled off-reservation casino
Seneca Nation plans meeting with state to discuss future of gaming compact
Chukchansi Tribe secures dismissal of lawsuit seeking $21 million from casino
Muscogee Nation citizen wins reversal of death penalty conviction in Oklahoma
Morongo Band enters into agreement to assist tribal veterans with housing loans
Senate approves bill to designate clinic in honor of late veteran Joe Medicine Crow
>>> more headlines...

Home | Arts & Entertainment | Business | Canada | Cobell Lawsuit | Education | Environment | Federal Recognition | Federal Register | Forum | Health | Humor | Indian Gaming | Indian Trust | Jack Abramoff Scandal | Jobs & Notices | Law | National | News | Opinion | Politics | Sports | Technology | World

Indianz.Com Terms of Service | Indianz.Com Privacy Policy
About Indianz.Com | Advertise on Indianz.Com

Indianz.Com is a product of Noble Savage Media, LLC and Ho-Chunk, Inc.