Seneca Nation, which hitherto operates three gaming facilities in the state of New York, has this week said that it is no longer going to pay the agreed revenue to the hosting state.
The three casinos that are operated by Seneca Nation are Niagara Falls Casino, Buffalo Creek Casino and gaming center and Seneca Allegany Casino that is located near Salamanca.
The Seneca Nation has been paying an approximated $110 million as revenue to the State of NY for the three gaming facilities since 2002.
However, according to the tribe’s casino officials, they are not going to pay any other money as revenue because their deal with NY has expired. Read about how New York Senate Includes Online Poker Revenue Into Draft Budget.
They argue that it is time that they are left to operate their gaming facilities without paying levies because they have been doing so for a long time.
“We have loyally paid the state an amount that is estimated to be $110 million each year for our three gaming facilities. According to the agreement that was signed between us and the state, we agreed that we’d pay revenue for only 14 years after 2002. That time has passed and if we continue to pay, we’ll be doing contrary to what has been binding us,” said the tribal operator.
The state of New York on it part wants to make real money online casino gambling sites a number one revenue booster to the state.
There is something that the deal said, which many see that might compel the tribal group to obey the deal.
In part, the deal said that after the initial 14 years, there would be an extension that would last for 7 years. The extension would only be if neither party raised concerns. The FBI Apprehended 11 People Alleged To Be Part of the 21 Practicing Money Laundery Business.
On what seems to be a late reaction, after the expiry, no party showed any sign of complaint thus the extension was automated. This scenario is likely to prompt the tribal operator to honor the payments for another 7 years, which will expire in mid 2023.
According to the tribal operator, the extended period of seven years does not in any way mention the sharing of revenue between the state of New York and the operator.
In their response to the contest, the state of New York through its spokesperson, said that the compact is still viable and should be observed.
“Under the terms agreed between the state of New York and the tribe and the 2013 MoU between us and the tribe, it is very clear that the revenue payment structure will continue to be observed by the tribe for an extra 7 years,” said Rich Azzopardi.