In a surprising turn of events, a Minnesota racetrack has filed a federal racketeering lawsuit against several tribal casinos in the state, alleging that they are running illegal gambling operations that are harming the racetrack’s business.
The lawsuit was filed by Running Aces Harness Park in Columbus, Minnesota, which has been in operation since 2008. In the suit, Running Aces alleges that the tribal casinos are offering illegal slot machines and table games that are not authorized under state law. The racetrack claims that these illegal games have siphoned off customers and revenue that would otherwise go to the racetrack.
The lawsuit also accuses the tribal casinos of violating the federal Racketeer Influenced and Corrupt Organizations (RICO) Act, which is typically used to prosecute organized crime syndicates. Running Aces claims that the tribal casinos have engaged in a pattern of racketeering activity by operating illegal gambling games and engaging in unfair competition.
The lawsuit comes at a time when the relationship between tribal casinos and non-tribal gaming facilities in Minnesota has been strained. In recent years, tribal casinos have expanded their offerings to include more traditional casino games, such as slot machines and blackjack, which have traditionally been the domain of non-tribal racetracks and card rooms.
The tribal casinos have defended their gaming operations, arguing that they are authorized under federal law and are an important source of revenue for their communities. However, Running Aces and other non-tribal gaming facilities have pushed back against what they see as unfair competition.
In a statement, Running Aces CEO Taro Ito said, “We have no choice but to take legal action to protect our business and the jobs of our employees. We believe that the tribal casinos are operating illegal games and engaging in unfair competition, and we are confident that the courts will see the merit of our case.”
The tribal casinos named in the lawsuit have not yet issued a response, but it is expected that they will vigorously defend their gaming operations in court. The outcome of the lawsuit could have far-reaching implications for the gaming industry in Minnesota and beyond.
Overall, this lawsuit represents a significant escalation in the ongoing conflict between tribal and non-tribal gaming facilities in Minnesota. It will be interesting to see how the courts ultimately decide on the legality of the tribal casinos’ gaming operations and what impact this will have on the broader gaming industry in the state.
