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A legislative effort to rein in a non-profit organization’s storefront casino open 45 hours a week and offering blackjack, poker, roulette, craps and alcohol should be just the beginning of a review of Indiana’s charitable gaming laws.
Though Indiana Gaming Commission officials say there is nothing illegal about the Parnell Poker Palace and Casino, they also know of no other operation like it in the state, said commission Director Ernest Yelton. “They advertise as a poker palace and a casino,” he noted. “You see no evidence of a charitable organization there.”
White’s School of the Arts Community Development Programs first applied for a casino license but was denied because educational organizations do not fit into categories qualified for charity gambling licenses, said Larry Delaney, the commission’s assistant director. But a separate organization, White’s School of the Arts, did qualify and was granted a license on Dec. 18.
The idea of charity gambling laws was to legitimize bingo operations that churches and other civic organizations used to raise money and allow other types of fundraisers involving games of chance. But according to the Indiana Gaming Commission’s last report, for the fiscal year ending 2006, charitable gambling reported more than $500 million going through their doors, but they donated only about 2 percent of that for charity.
The Web site for the Parnell Avenue operation – rented to the casino by businessman George Kotsopoulos – touts offering a “full liquor bar and restaurant.” The Web page states that “Funds raised from this exciting new venture (the casino) will help support” the White’s school programs. But that’s not the only place proceeds go. The Web page states just below that reference, “Everyday we are open a portion of our proceeds will go to the grand prize in our very own ‘Fort Wayne Series of Poker Tournament’ entry PRIZE fund.”
After The Journal Gazette reported that Sheriff Ken Fries and Police Chief Rusty York ordered their officers not to work security jobs at the site, legislators apparently became more aware of the operation. In addition, there were signs that a competing casino was going to open in a building on Wells Street that has been home to a number of businesses, including, years ago, the Bombay Eagle.
As a result of the new attention on Fort Wayne, State Rep. Matt Bell persuaded the House Public Policy Committee to amend a bill about drawings in taverns to limit the casinos.
While the current law restricts such charitable casino gambling to three days a week, it sets no hour limits, and Parnell Poker Palace and Casino is open noon to 3 a.m. three days a week – arguably allowing it to conduct gambling over six days. Bell’s amendment would essentially require a closing time by midnight. Bell’s language would also limit the casinos to fraternal and veterans groups.
The language is a good start for this year. But considering the professional appearance of many of the bingo operations – as well as the local casino – and the little amount of money actually going to charity, lawmakers need to take a closer and broader look at the big business of charity gambling their laws have nurtured in Indiana.
