The First Nations Tsuut’ina Nation and the Stoney Nakoda Nation in Alberta, Canada have sued the provincial government for conflict of interest because it has begun an online casino to compete with the tribal casinos.
During the pandemic, when interest in online gaming grew exponentially, the province began taking advantage of that interest by unveiling the “Play Alberta” website that offers virtual slots and table games. The online casino has operated since October.
The First Nations have sued the Alberta Gaming, Liquor and Cannabis regulator (AGLC) claiming it violates the Gaming, Liquor and Cannabis Act because it is a conflict of interest for the regulator to also engage in the activity it regulates.
In a statement the tribes declared that previously they had good relations with the provincial government. “The decision by this government now to break that understanding and begin a business competing against private companies has significantly damaged that relationship in many ways. They have said ‘thank you for helping establish the gaming sector in Alberta, but we’ll take it over from here.”
The government claims that it created an advisory committee that included representatives of the industry and which was supposed to ensure that the online gaming operation complemented existing casinos.
However, with the First Nations casinos closed by the pandemic, Play Alberta was the only game in town—which the First Nations claim created a government-backed monopoly. According to the complaint, “We have taken the business risk of building and operating a casino and agreed to share revenue with the province. It is in bad faith for the province to do anything with online revenue other than allocate to existing casinos.”
Funds raised by the First Nations in gaming are used to operate their governments.
