Panel seeks to block charities from operating like true casinos
Sen. Ron Alting, R-Lafayette, presents legislation in committee on Tuesday, Feb. 13, 2024. (Courtesy Indiana Senate Republicans)
Less than three months after Hoosier regulators busted a northern Indiana charity casino, lawmakers added anti-fraud measures to legislation loosening spending rules for charity gambling revenue.
Charitable, civic, veteran and other groups can earn money off bingo, raffles, and more. But some have gone too far. The Indiana Gaming Commission in December accused a Fort Wayne charity casino, run by an Elks Lodge, of racketeering and seized more than $100,000, WANE reported.
'We're just putting in some safety nets, if you will, to make sure that some of these charitable events like bingo, up north, doesn't turn into full-time casinos with profits like a full-time casino,' Sen. Ron Alting, R-Lafayette, told his Public Policy Committee on Wednesday.
The substantial amendment, Alting said, is from the Indiana Alcohol and Tobacco Commission.
It begins by renaming popular 'casino game nights' to 'card, dice and roulette games events.' And starting next year, a single location wouldn't be able to host bingo or such 'games events' more than three days a week — no matter how many charities with gambling licenses are using the location.
A group conducting bingo and other games events — and that rakes in at least $1 million close to their license's expiration — would have to get an independent financial audit done.
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And people operating festivals, bingo and other games events would have to wear 'legible identification card(s)' on their clothes. It has to have a first name, last name and the name of the charity group licensed to put on the event.
Alting's committee accepted the changes without discussion.
The amendment comes just a week after the Senate voted to legalize electronic pull tabs for charity gambling — despite skepticism. Sen. Liz Brown, R-Fort Wayne, alleged that 'figurehead' charities are running multiple gambling organizations to operate more days of the week than is allowed, and Sen. Greg Taylor, D-Indianapolis, complained that groups are holding on to the money raised instead of spending it on charitable purposes.
The underlying proposal, Alting's Senate Bill 108, expands uses for charity gambling revenue.
Current law indicates groups can use the money 'only for (their) lawful purposes,' including repairs, maintenance and improvements for property they own. The legislation recasts the restrictions to 'any lawful purpose' and nixes the list.
Alting said he'd spoken with veteran service organizations struggling to use their revenue.
The committee advanced the bill on a unanimous, 9-0 vote. It next heads to the Senate chamber.
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