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Thursday, October 26, 2006

Legalized video gambling draws new interest after raids

Lobbyists pushing to legalize electronic gambling machines are finding a
more receptive audience in eastern Indiana after authorities raided more
than 20 taverns accused of violating the law. Indiana Licensed Beverage
Association officials drew about 40 bar and restaurant owners to a meeting
Tuesday. It was one of a series of public meetings around the state to
persuade lawmakers that they should legalize video gambling when the General
Assembly convenes in January. "We don't feel like it's good public policy to
enforce the law only on selected taxpayers," said Don Marquardt, president
of the Indianapolis-based trade group. Enforcing the law in taverns is
driving the video gambling machines into other venues such as convenience
stores, where state excise police lack authority, he said. The trade group
used to have a difficult time finding support for legalized gambling in the
Muncie and Anderson area. "Not everyone has been behind it," Marquardt said.
"(They said) 'Why legalize when illegally we're doing great?'" Then came the
raids last month in which authorities shut down 23 taverns in Madison,
Delaware and Henry counties after an investigation into what police said was
a gambling ring operated by John Neal, a former state Teamsters chief. Neal,
69, of rural Yorktown, remains in jail under a $2 million cash bond. The
legalization proposal would impose taxes - which the state currently doesn't
collect on the illegal machines - and an annual fee of $500 to $1,000.
Counties would split the revenues with the state. Dale Vold, of the Yorktown
American Legion, said he was not sure whether the annual fee in the proposal
made sense for his organization. "I'm trying to figure it out," he said. "We
really don't make very much, and if they want an exorbitant fee, we're not
going to pay to do it."

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