The National Indian Gaming Commission hit the Seminole Tribe with a notice of violation (NOV) on Thursday.

The NOV listed six violations of the Indian Gaming Regulatory Act. The NIGC said the tribe used gaming revenues in ways that were outside the scope of its federally approved revenue allocation plan (RAP).

"While the tribe makes authorized per capita payments pursuant to the RAP, it has also made several per capita payments outside the scope of the RAP and, therefore, in violation of IGRA," the NOV stated.

In some cases, the tribe used gaming revenues "under the pretense of delivering services" to its members, according to the NIGC. As one example, the tribe gave $19,800 to a member whose primary home was undergoing renovations but the payment did not meet the purpose of the tribe's emergency housing or relocation programs, the notice stated.

In other cases, the tribe used gaming revenues "without any pretense at all," according to the NIGC. The tribe gave $10,000 to a member for a "Christmas Gathering" that did not serve a legitimate purpose, the notice stated.

Under IGRA, tribes can use gaming revenues for five major purposes:

(i) to fund tribal government operations or programs;
(ii) to provide for the general welfare of the Indian tribe and its members;
(iii) to promote tribal economic development;
(iv) to donate to charitable organizations; or
(v) to help fund operations of local government agencies;

Tribes that decide to distribute per capita payments to their members must submit a RAP to the Interior Department for review and approval. Regulations in 25 CFR Part 290 explain the process.

The NOV to the Seminole Tribe was signed by George Skibine, the acting chairman of the NIGC.

Get the Story:
Seminole leaders accused of misusing casino profits (The Miami Herald 6/4)

Relevant Documents:
Notice of Violation to Seminole Tribe (June 3, 2010)