For Immediate Release                    

Contact: Shawn Pensoneau

(202) 632-7003

NIGC and Swinomish Sign Settlement Agreement

Washington DC, November 28, 2006 — The Swinomish Indian Tribal Community (Swinomish Tribe) and the National Indian Gaming Commission (NIGC) have reached an important settlement agreement to resolve a NIGC investigation into accounting practices and tribal regulatory oversight of management personnel at the Swinomish Tribe’s Northern Lights Casino in Anacortes, Washington. 

The NIGC investigation was initiated after the Swinomish Tribe failed to meet the deadline to provide the NIGC with its gaming facility’s annual audit report for fiscal year 2005, and the NIGC learned that certain internal accounting and regulatory issues were preventing the Tribe from completing its audit report.  The Indian Gaming Regulatory Act (IGRA) and NIGC regulations require annual audits from all gaming operations, and the NIGC issued a Notice of Violation (NOV) for the Tribe’s failure to submit the report by the applicable deadline.  In addition, the NIGC conducted an investigation into the underlying causes of the late report, and found several problems with the manner in which casino management applied revenues that should have been going to the Tribe.  The settlement agreement ensures that the Tribe will take appropriate licensing actions with regard to the individual casino managers, and will put into place certain regulations and policies that will prevent these types of issues in the future.    

Upon signing the agreement, Chairman Hogen stated, “This settlement agreement addresses serious issues that allowed a misapplication of Tribal gaming revenues and placed future revenue in jeopardy because of actions of individuals and the deficiency of controls to protect those assets.”  Hogen continued, “The Tribe has cooperated with the NIGC investigation and by this agreement is implementing processes and procedures to address deficiencies and protect the Tribe’s gaming assets for the future. The NIGC will offer training to tribal gaming personnel and continue to monitor the operation to assist the Swinomish Tribe as it continues to offer a positive playing experience to patrons and protect the future for tribal members.”

This settlement agreement related to matters contained in Notice of Violation No. NOV-06-16.  The NOV and the settlement agreement can be viewed by visiting our website at www.nigc.gov and clicking the links to Reading Room and Enforcement Actions.

The NIGC is an independent regulatory agency established within the Department of the Interior pursuant to the Indian Gaming Regulatory Act of 1988.

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