Flaum: “I don’t know who’s trying to create issues”
Western Regional Off-Track Betting Corp. of New York State is accusing Rochester developer David Flaum and the Seneca Nation of Indians of violating state lobbying laws, reports the Albany Times-Union.
Flaum and the Indians have partnered to build a new Seneca casino?the tribe’s fourth?in Monroe County. According to a complaint filed by the OTB with the Joint Commission on Public Ethics, Flaum?who has been promised a $3 million “success fee” if he builds the casino?is acting as an unregistered lobbyist on behalf of the tribe. The OTB also says the contingent-based fee violates the Lobbying Act.
According to the Niagara Falls Reporter, Flaum “has either met or plans to meet” lawmakers including state Assembly Majority Leader Joseph Morrele; Town of Irondequoit Supervisor Adam Bello; state Gaming Commission Acting Executive Director Robert Williams; state Senators Joseph E. Robach, Patrick M. Gallivan and Ted O’Brian; Finger Lakes Regional Economic Development Council Chairman Joel Seligman; Regional Director Vincent Esposito; Monroe County Executive Maggie Brooks; and Deputy County Executive Dan DeLaus, among other. The Reporter contends the list of names comes from “a secret diary” documenting Flaum’s unofficial lobbying efforts.
According to the publication, “The list provides evidence that Flaum and the Senecas are working along dusky gray boundaries of New York State lobbying law by having Flaum meet and try to persuade public officials that a fourth Seneca casino in Henrietta should be approved, despite the Seneca-New York compact limiting the Senecas to three casinos.”
Western OTB represents 17 municipalities, including Buffalo and Rochester. The OTB and those communities have expressed concerned that the proposed casino, which would be sited in the town of Henrietta, would have a negative impact on OTB revenues, a portion of which are funneled to the host communities. Some lawmakers also have said the casino would force layoffs at the OTB.
The Times-Union asked Flaum last year about the potentially illegal lobbying campaign. He dodged the question, saying, “I can’t say a word about it. I don’t know who’s trying to create issues.”
