After arranging a deal with federal prosecutors, Louis Houghton, 70, a former member of the tribal council of the Winnebago Tribe of Nebraska, recently pleaded guilty in U.S. District Court in Omaha to one count of theft from a gaming establishment located on tribal lands. Houghton will be sentenced on August 14. A judge still must approve the plea deal in which federal prosecutors will dismiss charges of conspiracy and wire fraud and will recommend a sentenced of five years of probation and repayment any money Houghton may have received illegally.
Lawrence Payer, 71, also agreed to a similar plea arrangement after the pair were indicted on federal charges of conspiracy, theft and wire fraud in July. Also indicted were former Tribal Chairman John Blackhawk and members Darwin Snyder, Thomas Snowball, Travis Mallory, Charles Aldrich, Morgan Earth and Ramona Wolfe.
An FBI investigation in 2015 determined the nine had given themselves pay raises and bonuses totaling $327,500 in 2013 and 2014, taken directly from the tribe’s WinnaVegas Casino Resort, without approval at public tribal council meetings. The defendants allegedly issued gift cards worth $87,000 to themselves and uploaded $240,500 to pre-paid debit cards listed as miscellaneous administrative expenses by the casino. All nine resigned from the tribal council or were forced out by newly elected members.