The Catawba Indian Nation and several partners in its Two Kings Casino in North Carolina have been violating federal law and other regulations, the National Indian Gaming Commission announced Wednesday.
As a result, the Catawba Indian Nation and those partners could face a fine of nearly $60,000 per day for each violation and the Two Kings Casino could be temporarily closed.
Other WRAL Top Stories
"We do not take this enforcement action lightly, but do so to preserve the integrity of the industry and protect the valuable tool Indian Gaming represents for many Tribes as codified in the Indian Gaming Regulatory Act," said E. Sequoyah Simermeyer, the chairman of the National Indian Gaming Commission, in a statement.
The NIGC's compliance division has been investigating the Catawba and some of their arrangements to run the Two Kings Casino since July of 2021. The casino opened July 1, 2021 in temporary facilities located off Interstate 85 in Cleveland County. This fall, a sportsbook opened at the facility.
On Wednesday, the NIGC issued a notice of violation to the Catawba Indian Nation and Kings Mountain Sky Boat Partners and its principals.
According to the notice of violation, the Catawba Nation allowed Sky Boat "to manage in part the expansion of the Catawba Two Kings Casino without an approved management contract," a violation of the Indian Gaming Regulatory Act and NIGC regulations.
Also the Nation and Sky Boat failed to submit a management contract within 60 days of its execution as required by regulation.
The notice of violation can be appealed. A fine of up to $57,527 per violation per day can be levied.