Non-Indian firms play both sides in commercial gaming industry

Friday, February 21, 2014  

As more and more states expand gambling options, they are relying on consulting firms to help them write regulations and review casino applicants.

But some of those firms are also working for casino companies in other states. That's an arrangement that wouldn't be accepted in Nevada and New Jersey, where gaming has been established for a much longer period.

“How do you vet your consultants? If a lot of these consultants at one time or another have worked for the people that you’re in charge of regulating, at some point, you’re going to have issues with the purity of the investigation," Illinois Gaming Board spokesman Gene O’Shea told the Associated Press.

In Massachusetts, for example, consultant Shefsky & Froelich recommended that a casino license be awarded to MGM Resorts International. The firm is a registered lobbyist for MGM in Illinois.

At least 16 states rely on outside companies to help them with gaming regulation, the AP said.

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States outsource casino policing to private firms (AP 2/21)