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Michigan Loses Millions of Dollars in Tribal Casino Revenues

8 May 2006

Over the years, Michigan has lost up to $337 million in revenues generated by Native American casino facilities, according to a recent report. The reason behind such a tremendous loss is the state's agreement with seven Indian tribes, under which they are allowed to stop paying a predetermined share of their gaming profits if they lose their monopoly over slot machines in Michigan. That monopoly ended when the state legislators opened casino gambling to other tribes in the late 90s.

The report also stated that federal officials almost never set foot in the state's tribal gaming venues. The report also said that authorities only occasionally go through their books. Accordingly, gaming regulators can not be sure that tribal casino operators actually do pay what was promised to their neighboring communities.

In response to the report's findings, Dan Gustafson, executive director of the Michigan Gaming Control Board, was reported as saying that, although his agency's oversight over Michigan's Indian casinos had indeed been weak, the Board should not be blamed for it. Gustafson blamed this failure on being understaffed and lacking funds. The tribes, on their part, said they regulated themselves efficiently enough, so no outside regulation was necessary.

Source: Authorized Online Casinos News Staff


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