Play Bingo
Play Blackjack
Play Slots
Play Poker
Play Video Poker
500 Nations Free Casino Games

State and Tribes Settle Keno Dispute

March 24, 2008

TRAVERSE CITY - The Little River Band of Ottawa Indians in Manistee and the Little Traverse Bay Bands of Odawa Indians in Petoskey have agreed to a settlement with state officials to end a three year dispute over the Michigan Lottery's Club Keno game.

The dispute began in October 2003 when the Michigan Lottery Bureau launched Club Keno, which the tribes protested as violations of their 1998 gaming compacts. The tribes said keno was a commercial casino game which was exclusive to Michigan Indian casinos and non-Indian casinos in Detroit. In protest the tribes withheld payment of 8% of their electronic gambling revenues as specified in their compacts. The state reacted with a lawsuit in federal court.

Since 2003 the Tribal payments owed to the state for electronic gambling have been held in escrow. $52 million has been deposited. $33 million was paid by the Little River Band and $19 million paid by the Little Traverse Bay Bands.

Last week a settlement was announced between the state and two northern Michigan tribes to reduce Michigan's share of tribal gambling money and to split $52 million in escrow.  Many expected the deal to allow the Little River Band of Ottawa Indians in Manistee to build a new casino in Muskegon, but there was no such provision.

DEAL

  • Tribal payments to the state of electronic gambling revenues will be reduced from 8% to 6%.
  • The $52 million in electronic gambling revenue paid by the tribes and held in escrow since the dispute began in 2003 will be split. The state will get $26 million to be used for economic development efforts through the Michigan Strategic Fund.
  • The compacts will be amended for gambling "exclusivity" for the tribes. Instead of a statewide basis, exclusivity will be limited to a nine- to 10-county area near each tribe's casino.

Return to Michigan Casinos.


VOTED #1
Favorite Casino
Best Slots

by 500 Nations players

US PLAYERS WELCOME
A World-Class Casino! *Best Slots, Blackjack, Table Games, Sports Book.

Play 300 Free Games
No Sign-up | No Download
$3,000 Welcome Bonus
100% Match Redeem 3X
$3,000 Slots Bonus
100% Match Redeem 3X
Blackjack Weekends
Up to $100 casino bonuses
See All Promotions
Member benefits & promos.


Ignition Poker Room
US Players Welcome
$2,000 WELCOME BONUS

Rev up your action with this fully loaded Poker Room and hundreds of casino games!


Join Bovada Join Bovada
500 Nations is an independent directory and information service free of any gaming operator's control and not affiliated with any casino.
Warning: You must ensure you meet all age and other regulatory requirements before entering a casino or placing a wager. There are hundreds of jurisdictions in the world with Internet access and hundreds of different games and gambling opportunities available on the Internet. Do not assume that Internet gaming sites are in compliance with the rules and regulations of every jurisdiction from which they accept players. YOU are responsible for determining if it is legal for YOU to play any particular game or place any particular wager under the laws of the jurisdiction where you are located.