gaming

Greektown Reorganization Plan Approved; Sault Tribe Out

Matthew L.M. Fletcher

From the Detroit News:

A plan approved Friday to lead Greektown Casino out of bankruptcy protection will repay most creditors and strip ownership from the Sault Ste. Marie Tribe of Chippewa Indians.

Judge Walter Shapero of the U.S. Bankruptcy Court in Detroit confirmed the plan, pending state and city approvals on other issues that must be obtained by June 30. The plan, the third proposal since Greektown filed for Chapter 11 bankruptcy protection in May 2008, was approved by creditors last week.

“Greektown Casino is now approaching the finish line for its exit from bankruptcy,” said Charles Moore, the casino’s lead restructuring adviser with Conway MacKenzie Inc. in Birmingham.

News Coverage Update of Lac du Flambeau/Wells Fargo Debacle

Matthew L.M. Fletcher

From the News of the North via Pechanga:

A Mississippi resort-casino venture has turned out to be a bad bet for the Lac du Flambeau Indian Tribe, which as a minority partner sunk an estimated $25 million on the Grand Soleil project in Natchez, only to see it headed for the auction block in three weeks.

According to a trustee’s notice of foreclosure and sale, parts of the Grand Soleil Casino Resort property, including three separate tracts, will be sold to the highest bidder on Feb. 12. at the Adams County (Miss.) courthouse. The notice was published this week in the Natchez Democrat newspaper. click here to read published notice

Two previous attempts to initiate the foreclosure process by United Mississippi Bank and other lenders and creditors were averted by deals struck last year. United Mississippi Bank designated Natchez lawyer Bruce M. Kuehnle, Jr. as its trustee in the latest foreclosure proceedings, according to the legal notice. Continue reading →

Oklahoma Choctaw and Chickasaw Nations Federal Complaint re: State Court Jurisdiction over Casino Cases

Matthew L.M. Fletcher1 Comment

Here is the complaint in Choctaw Nation of Oklahoma v. State of Oklahoma (W.D. Okla.): Choctaw Nation & Chicasaw Nation v Oklahoma Complaint.

At issue are the Oklahoma Supreme Court decisions holding that state courts are “courts of competent jurisdiction” in tort claims against tribal casinos under the Oklahoma model gaming compact (opinions here and here.).

Here is an August 2009 arbitration award affirming that state courts do not have such jurisdiction — Choctaw Chickasaw Oklahoma Arbitration Decision. And the joint referral to arbitration — Joint Referral to Binding Arbitration.

News analysis here, via Pechanga.

Update on Gun Lake Casino Construction

Matthew L.M. Fletcher4 Comments

From K’zoo Gazette via Pechanga:

Gun Lake Casino construction 1View full sizeShawano Cleary | Special to the Kalamazoo GazetteBob Ely, of Ace Steel and his partner, Riley Beight, work on the Gun Lake Casino in Wayland Township last week.
WAYLAND TOWNSHIP — Cooperative weather up until mid-December allowed work crews constructing the Gun Lake Casino in Wayland Township to get a bit ahead of schedule on the 83,000-square-foot facility.

Gun Lake Casino Artist renderingView full sizeHandout photo.Artist rendering of the exterior of the planned Gun Lake CasinoThe foundation has been laid and steel beams are being installed on the $157 million casino — less than half the size originally planned— off Exit 61 on U.S. 131, halfway between Grand Rapids and Kalamazoo on the former Ampro Products factory site. It is scheduled to open at the end of this summer. Continue reading →

Florida Seminole Tribe to Seek Compact through Secretarial Procedures

Matthew L.M. Fletcher

From the Orlando Sentinel:

After the Legislature voted down a proposed revenue-sharing deal Thursday, the Seminole Tribe will now turn to the federal government for authority to run its casinos that feature slots and blackjack, tribe attorney Barry Richard said in an interview.

Richard said that the tribe remains open to negotiate more with the Legislature, but “we’ve reached the conclusion that it’s time to begin looking at other options.”

“We made a vigorous effort to work this out,” he said. “We had two separate compacts with the governor. We made giant strides toward negotiation with the Legislature. It’s disappointing – the tribe can’t continue to wait forever.”

The tribe will enter a formal process known as “procedures,” in which it will ask the federal government for authorization to keep its blackjack tables open, even though there’s no compact in place to allow such table games. Continue reading →

Federal Civil Rights Complaint against Puyallup Tribal Police Dismissed

Matthew L.M. Fletcher

Here are the materials in Boyd v. Puyallup Tribal Police (W.D. Wash.):

DCT Order to Show Cause

Boyd Magistrate Report

Boyd DCT Order Adopting Magistrate Report

NIGC Indian Lands Opinion: Iowa Tribe, Oklahoma Allotments, and Section 20

Matthew L.M. Fletcher

Here.

Wells Fargo Opinion Issued

Matthew L.M. Fletcher5 Comments

Here: Decision and Order

Briefs are here, and the trust indenture is here.

LDF — Wells Fargo Trust Indenture

Matthew L.M. Fletcher1 Comment

Some have asked, so we’re posting the 86 page trust indenture: Trust Indenture

News Coverage of Wells Fargo — Flambeau Case

Matthew L.M. Fletcher

From the Milwaukee Journal Sentinel via Pechanga:

In a ruling that could have a far-reaching impact in Indian country, a federal judge has refused to appoint a receiver for the Lac du Flambeau’s northern Wisconsin casino even though the tribe defaulted on a $50 million bond.

The action last week by U.S. District Court Judge Rudolph T. Randa throws into question whether the financially struggling tribe, which has lost millions on out-of-state casino projects, will pay the $46.6 million it still owes on bonds that were sold in 2008.

“The entire agreement is a void issue,” said tribal administrator William Beson of the 2008 bond offering, which included giving Saybrook Capital – the California company that bought the bonds – the ability to force the tribe’s casino into receivership if the tribe defaulted on the bonds.

Randa’s decision means the tribe is not on the hook for the money, said Monica Riederer, the tribe’s attorney. Riederer, however, said that does not mean the tribe will walk away from the debt.

“They will do whatever they’re legally required to do,” Riederer said. “They do feel a sense of financial responsibility.” Continue reading →