HomePublicationsNewsletter ArchiveNewslettersVolume 20Issue 16Charity Gaming Rules Become Effective, Troy Location Shut Down

On Wednesday, May 14, 2014, the revised charity gaming regulations for Millionaire Parties submitted by Michigan Gaming Control Board (“MGCB”) Executive Director Richard Kalm became effective. The rules became effective once the final regulations were presented to the Secretary of State after the Michigan Joint Committee on Administrative Rules (“JCAR”) did not object to the regulations during its review period. In addition, the MGCB suspended all gaming activity at Mr. B’s in Troy due to alleged violations of charity gaming laws and regulations.

The revised Millionaire Party regulations were originally submitted to JCAR on November 22, 2013. An amended version of the rules, changed in accordance with input received from JCAR and the public, were submitted on March 25, 2014. The final version of the regulations include several changes to Millionaire Party operations and licensing processes, including limiting the rental fee for locations to $250.00 per day, more flexibility for the Executive Director to review the backgrounds of organizations and locations participating in charitable gaming, and providing for basic background checks for dealers.

The House Committee on Regulatory Reform held a hearing on Wednesday, May 14, 2014, regarding proposed legislation that would revoke the amended rules. However, no vote was held on the proposed legislation during the committee hearing.

In addition, the MGCB suspended all charitable gaming at Mr. B’s, a location in Troy, Michigan serviced by Arcadia Poker Supplier, LLC, a charity gaming supplier, on Tuesday, May 13, 2014. According to a press release issued by the MGCB, the investigation initially “revealed repeated violations or refusals to comply with numerous provisions of Michigan’s Bingo Act, which authorizes charitable events.” These allegedly included instances of allowing more than $15,000 in chip sales per event day, the falsification of records and making untrue statements to the MGCB, and location employees participating in gaming in violation of state law and regulations. 

 

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