Tribe owes casino money to New York, court says
According to a federal court, the Seneca Nation of Indians owes New York hundreds of millions of dollars in casino revenue payments.
US.- The Seneca Nation of Indians has been involved in a legal dispute over its gaming compact. The authorities argue it owes hundreds of millions in casino revenue to New York state coffers.
Moreover, a federal court ruled in favour of the state’s claim and says the tribe must pay.
“We understood the reality that the arbitration and court proceedings may not ultimately uphold the language of the Compact as written,” Seneca Nation of Indians President Rickey Armstrong said. “Yet, it is our obligation to defend our agreements, so they are not compromised for the benefit of others. We will take the time to review today’s decision and determine how the Nation will proceed.”
On the other end, Gov. Andrew Cuomo senior advisor Rich Azzopardi celebrated the ruling.
“The court confirmed what we’ve said all along: the Seneca Nation needs to fulfil their obligations,” he said. “[They have to] make their neighbours and the state whole, and pay what they owe in exchange for their exclusive gaming rights.”
The conflict
In 2017, the tribe argued that a drafting omission had released them from their obligation to pay the revenue-sharing agreement. That moved them to stop paying the state’s share from the three gaming venues it operates in western New York.
However, the state wanted them to continue to pay, which is why the arbitration began. After the panel ruled against the tribe, they didn’t sign off on the order.
“They had said they would honour the arbitration decision,” Governor Andrew Cuomo said. “They signed a contract saying they would honour the arbitration decision. What does that mean? Apparently not much.”
The tribe’s response to the arbitration
According to the Seneca Nation of Indians, the order to pay US$255 million by an arbitration panel improperly amended the Gaming Compact. The tribe was commanded to pay held-back casino revenues to New York but protested the resolution.
Tribe’s president Rickey Armstrong said that once the Nation has “reviewed and discussed this ruling and our legal rights, we will determine a path forward.”
