A grand jury recently returned an 11-count indictment against nine former council members of the Winnebago Tribe of Nebraska, charging them with conspiracy, theft and misapplication of funds belonging to an Indian gaming establishment plus wire fraud. U.S. Attorney Deborah R. Gilg said each defendant was paid an excessive salary and bonuses. FBI Supervisory Agent in Charge Randy Thysse noted, “These individuals used their elected official positions to enrich themselves and in the process betrayed the trust of their peers and those they were elected to serve. The FBI Omaha Division will remain steadfast in aggressively investigating those responsible for perpetrating schemes like this and will continue to pursue all allegations of public corruption.”
According to the indictment, the defendants devised and implemented a plan to receive additional funds that were not approved by the Winnebago Gaming Commission. The defendants received more than $85,000 in gift certificates issued by the casino and more than $240,000 in multiple re-loads to pre-paid debit cards paid for by the casino. The total loss to the tribe’s WinnaVegas Casino in Sloan, Iowa as a result of the defendants’ actions was more than $325,000.
Once the scam was discovered, the nine defendants claimed they received the funds as additional salary to compensate for alleged required oversight duties.
