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Complaint claims video poker industry illegally gave $885K to candidates, party committees

Former Democracy North Carolina executive director Bob Hall filed the complaint Tuesday with the North Carolina Board of Elections.

Posted Updated

By
Shelle Jackson
, WRAL reporter
RALEIGH, N.C. — A complaint filed this week alleges the video poker industry illegally gave $885,000 to candidates and party committees from 2019-2022.

The complaint filed Tuesday by former Democracy North Carolina executive director Bob Hall said the North Carolina Coin Operators Association conspired to donate a record amount of money in a coordinated manner that circumvented reporting obligations for political action committees.

“They organized and they didn’t register as a PAC and abide by the PAC limits,” Hall said. “Instead, they bundled their money and delivered it as one contribution, essentially.

“But, it’s way more than the $5,600 [limit]. So, they're kind of circumventing the law by bundling the money and giving it to their legislators.”

Hall filed the complaint with the North Carolina Board of Elections. It states the donations were done by bundling checks from video poker donors. The donations ranged from $50 to $5,600, the maximum donation under state law at the time.

“We don’t want an industry flourishing that is into bribery,” Hall said.

Hall raised red flags nearly two decades when it came to video poker donations. The money trail played a significant role in a scandal that cost Democratic speaker Jim Black his post.

While video poker has been illegal in North Carolina since 2007, gaming companies have consistently exploited potential loopholes in the law, tying up one ban after another in legal battles.

After fighting that battle for years, North Carolina lawmakers could take a different approach this session.

House Bill 512, filed by Rep. Harry Warren, R-Rowan, would allow the state lottery to contract with gaming companies for so-called "video lottery terminals" throughout North Carolina. The bill offers sweeteners like funding cost-free community college and increasing appropriations to historically Black colleges and universities.

The bill was given a single hearing in a House committee, but is considered unlikely to succeed.

Hall is concerned about large sums of money circumventing democracy.

“We just want our legislators to pay attention to the merits of legislation that comes before them and not be swayed by bribes,” Hall said.

WRAL News has also reached out to directors and board members of the North Carolina Coin Operators Association (NCCOA). They declined an interview.

WRAL News also reached out to several lawmakers listed as receiving donations related to the NCCOA but did not hear back.

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