Seminole Casinos Face Closure Threat in Oklahoma

The Seminole Nation's three Oklahoma casinos could temporarily close due to National Indian Gaming Commission compliance issues. The tribe owes the NIGC $1.4 million in fines for gaming without a compact. Employee turnover and lack of training also could have contributed to the fines, said Seminole Nation Gaming Commission Chairman Willis Deatherage.

In a letter to Seminole Nation Principal Chief Leonard Harjo, the National Indian Gaming Commission warned the tribe’s three casinos in Seminole County, Oklahoma could be closed temporarily for failure to comply with NIGC regulations. The tribe operates the Seminole Nation Casino in Seminole, River Mist Casino near Konawa and the Trading Post in Wewoka. However, Seminole Nation Gaming Commission Chairman Willis Deatherage said he didn’t believe the casinos actually would close. “They’re giving us one last opportunity to make some changes,” he said.

Currently the tribe owes the NIGC $1.4 million, the balance of a 2003 fine assessed for gaming without a compact, Deatherage said. Tribal leaders asked the NIGC to waive the fine balance, which led to an NIGC review in September 2015 of the tribe’s gaming operations. That NIGC denied the tribe’s request.

“You really can’t pinpoint one issue when there are hundreds of needles in the pincushion,” he said. He noted employee turnover and lack of training also contributed to the compliance issues.

Deatherage said the NIGC could issue a notice of violation, assess an additional fine or order the casinos to close temporarily. He stated the NIGC realizes shutting down the casinos would have wide-reaching impact. “The last thing they want to do is shut someone down,” he said, noting the three casinos employ 160 people. Another 40 work for the Seminole Nation Gaming Agency, the tribe’s regulatory agency.

Harjo said the tribe is working on a plan to address the NIGC’s concerns.

“We believe we’ll be able to resolve the issue without a fine or closure,” he said.