The Tribal Independent: Turtle Mountain Band opens new casino

The following article was written and reported by Delvin Cree. All content © The Tribal Independent, an alternative on-line news source for the Turtle Mountain Band of Chippewa.

TRENTON NORTH DAKOTA -- Despite an injunction put in place last month by four Turtle Mountain Band of Chippewa leaders, the tribe's new Painted Pony Casino opened its doors late last month.

The opening has drawn some concern because of questionable activity taking place and unanswered questions regarding the tribe's new venture. In the most recent event, The Williston Herald reported the casino was in a dispute with the North Dakota State's Attorney's Office.

According to information provided, the casino has been selling liquor "without proper documentation" -- meaning without a valid liquor license, a charge the casino operators deny. The general manager, Frank Keplin, said the state's attorney's office had been given false information. He provided a license issued by the state in February of this year.

Cindy Malaterre, a Turtle Mountain tribal leader who was one of the plaintiffs who filed court action to stop the opening of the casino, clarified the casino didn't have proper documentation.

"What happened was, the liquor license -- which was a license for Rolette County -- which the Turtle Mountain reservation resides, is where the liquor license was valid," Malaterre said. "The license came from the tribe's old bowling alley establishment, which was located on the reservation. The casino didn't refile the liquor license in Williams County where the Painted Pony Casino is located near Trenton."

Malaterre believes the casino project is moving along too fast and feels the process needs to slow down.

The Williston Herald added the casino was still selling liquor as of Wednesday and the manager stated the dispute should be settled within a week. The facility will continue to sell alcohol until then.

In paper reported that the casino is operating under a Class II gaming license. The establishment is located on reservation territory and is on land zoned for the tribe. Further information states the establishment is owned by Bakken Ridge Entertainment.

Malaterre and three other leaders filed an injunction in Turtle Mountain tribal court on May 10 to stop the casino from opening. Court documents state that Chairman Merle St. Claire signed a loan agreement in relation to the Trenton casino without a proper tribal resolution.

Malaterre addressed the $1.7 million loan issue in an earlier interview stating that the tribal council for example had put in place several resolutions on another previous $30 million casino loan. In this situation that same process was not followed.

"You need an approved resolution by tribal leaders at several stages while the loan process is taking place" she stated. "In this case the chairman and the tribe's secretary/treasure signed off on a $1.7 million loan without going through proper procedures."

Court documents state additional reasons for the injunction.

Another tribal leader, Lorne Jay, echoed what Malaterre had to say. Jay, who is a stickler as to how procedures and processes should be followed, stated the voting quorum and the chairman were moving forward too fast on the casino.

Jay, who otherwise supports the casino endeavor, believes there are a lot of unanswered questions about the project and stressed the need for court action. "Even though the injunction was placed, the chairman and his followers continued to prepare to open the casino," he said.

Jay was also concerned whether law enforcement and emergency health contracts are in place. "As far as I know -- collaboration with city and county officials haven't taken place. There needs to be a police force there. Unfortunately that is not happening" he said.

The chairman in his report to tribal members has said the casino had a soft opening in a temporary facility. He believes the new business in the oil patch will be very lucrative even with three double wide trailers that make up the casino.

He added: "I wanted something nicer built there and I am certainly not satisfied with the size of the Painted Pony. We don't want to see anymore 'Mama Sheesh' work when it comes to that facility. But the bottom line is that the place is going to make a lot of profit for the Tribe. A lot of interior work has been done to the Painted Pony and the 150 machines are all brand new. The grand opening will be happening soon and eventually we are going to have a new building and a hotel sitting out there. Keep in mind, there are billions of dollars flowing through the oil patch. Many opportunities are there!"

A recent bank transaction has gotten the attention of tribal leaders in opposition of the opening of the casino. Both Jay and Malaterre have showed some frustration over a $150,000 transaction in which loan money for an ongoing $30 million casino expansion project is being utilized for the new casino.

According to information provided by Malaterre, a letter by the chairman stated the tribe is requesting an additional advance of a $150,000 from the Sky Dancer Casino and the funds would be returned to the tribal expansion account within a two week period. Malaterre stated the approval of the transfer included the chairman himself and the Secretary/Treasure Zelma Peltier. Other signatories included Larry "Sheep" Decoteau, Jeffrey "BJ" Delorme and Vice-Chairman Curtis Poitra.

The money requested was instructed to go to the Trenton casino account at a Wells Fargo Bank in Sydney, Montana. The tribe's legal consultant, R. Jay Brunkow, was given notification of the transaction information.

Jay, the council member, was upset because the reasoning of the additional loan to the Trenton casino project was to pay employee wages. "We already have provided the funding from our gas tax dollars for employee wages besides we have an injunction in place that should be in effect and they (the chairman and other councilmembers) should not be doing business," he said.

Mike Malaterre, another tribal leader who filed the injunction, provided information regarding gas tax dollars being spent on the project. Most of the money being paid for wages was directed to Keplin -- the general manager of the casino.

The injunction to halt the Trenton casino project was filed by tribal leaders Cindy Malaterre, Lorne Jay, Mike Malaterre and Elmer Davis Jr.

The defendents in the case are AGAMENV, LLC, aka, Dakota Gaming, LLC, Associated Investors, Ray Brown, Steven Haynes.

A hearing will take place today June 8, 2012 at 1:00 pm at the Turtle Mountain court house located in Belcourt.

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