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Alabama Bribery Scandal Centers on Gambling Operators

In October of 2010, the U.S. Department of Justice indicted eleven people in Alabama accused of involvement in a gambling vote-buying scandal. The Justice Department unveiled an indictment accusing the owners of two of Alabama’s largest casinos, four state senators and several lobbyists of a scheme to buy and sell votes in the Legislature. One defendant has pleaded guilty to offering a senator $2 million to vote for a bill to keep the state’s bingo machines operating. Below is a press release from the Justice Department, a copy of the indictment and a list of those indicted.

U.S. DOJ Press Release Alabama Gambling Vote Buying

Alabama Gambling Vote Buying Indictment

List of Indictments in AL Gambling Vote Buying Case

CkirbyAlabama Bribery Scandal Centers on Gambling Operators
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Casinos Hide Behind Public Relations Campaigns to Deflect Attention from the Addicts They Create and Exploit

Predatory gambling interests attempt to promote the perception they are concerned about the addicts they create and exploit for profit but the reality is they don’t have a business without them. Casinos commonly use tactics like those in the story below which describes the Seminole Tribe’s payment to “fight compulsive gambling.” Florida state government itself stands to collect an average of $240 million a year over five years from the casino, most of which will be coming from addicted citizens. How much did the casino tribe donate to help its victims? $1.75 million. Yet another reason why the most predatory business in the country is so profitable.

Florida Tribe Donation

CkirbyCasinos Hide Behind Public Relations Campaigns to Deflect Attention from the Addicts They Create and Exploit
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Instant Racing Machines Are Just Slots By Another Name

To circumvent existing state gambling laws, gambling interests are pushing “Instant Racing Machines” or what are also called “Historic Racing Machines.” They are simply just slots by another name. The short brief below includes an excerpt from a recent Wyoming Supreme Court decision opposing the machines.

Instant Racing Machines

LesInstant Racing Machines Are Just Slots By Another Name
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Portrait of Poverty in Oregon

Native Americans in Oregon have the state’s highest overall poverty rate, 29.4 percent. The report concludes that “given this high rate of poverty, it’s obvious that constructing gambling casinos hasn’t worked in bringing Oregon’s 40,700 Native Americans out of poverty.”

Gary Braden, executive director of the Native American Rehabilitation Association NW Inc. in Portland, said “The idea that the casinos have made all Native Americans rich is a myth.” The unemployment rate among members of the Confederated Tribes of the Umatilla Indian Reservation remains about 20 percent despite the tribe’s Wildhorse Casino, said Debra Crosswell, the tribal public affairs manager.

Portrait of Poverty in Oregon

CkirbyPortrait of Poverty in Oregon
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Hoffman v. Sandia Resort & Casino, NM

On October 6, 2010, the U.S. Supreme Court declined to review the New Mexico Court of Appeals decision in Hoffman v. Sandia Resort & Casino. The case involves a New Mexico man who reportedly won $1.6 million dollars at one of the casino’s slot machines. However, the Sandia Pueblo tribe, which owns the casino, informed Hoffman that the payout would not be made because the slot machine had malfunctioned. Arguing before courts in New Mexico, the tribe claimed Hoffman had no legal recourse because of the tribe’s sovereign immunity. Courts in New Mexico supported the tribe’s position and concluded that tribal immunity can only be waived “for purposes of providing a remedy to casino patrons who suffer physical injury to their persons or property.” These decisions seem to suggest that there is no legal remedy for casino patrons who have suffered financial injury because of wrongdoing at tribal casinos.

Please read the opinion of the New Mexico Court of Appeals below.

Hoffman vs. Sandia Resort and Casino

CkirbyHoffman v. Sandia Resort & Casino, NM
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Montana Gambling Study Commission Report

This report prepared by the University of Montana’s Bureau of Business and Economic Research for Montana Gambling Study Commission found that gambling addicts account for 36% of video gambling revenues.

Montana Gambling Study Commission Report 1

Montana Gambling Study Commission Report 2

Montana Gambling Study Commission Report 3

Montana Gambling Study Commission Report 4

Montana Gambling Study Commission Report 5

Montana Gambling Study Commission Report 6

Montana Gambling Study Commission Report 7

Montana Gambling Study Commission Report 8

CkirbyMontana Gambling Study Commission Report
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Misrepresented Game Outcomes and Problem Gambling

This research by Prof. Kevin A. Harrigan at the University of Waterloo looked at how slot players’ perceptions were influenced by a technique that has been used since 1983 in North America, called “clustering.” By observing the player perceptions (the frustration effect, the perception of early wins, illusion of control, biased evaluation of outcomes, entrapment, and irrational thinking) as well as looking at transcripts from Nevada hearings where proponents were aware of the psychological effect on players from near misses and virtual reels, the researchers raise concerns over the connection with misrepresented game outcomes and problem gambling.

Slot Machines – Pursuing Responsible Gambling Practices for Virtual Reels and Near Misses

CkirbyMisrepresented Game Outcomes and Problem Gambling
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