Judge's ruling favors Creek casinos

A U.S. District Court judge on Friday dismissed a lawsuit filed by the State of Alabama challenging the rights of the Poarch Band of Creek Indians to operate three casinos in the state.

In his ruling, District Court Judge Keith Watkins wrote that the state has no authority to regulate gaming on Indian lands, seemingly opening the door for the Poarch Creeks to run full-fledged casinos at its locations in Atmore, Montgomery and Wetumpka.

“The bottom line is that even if Defendants are operating illegal class III gaming at the Poarch Band casinos, (state law) does not provide the State authority to prohibit such gaming,” Watkins wrote in his ruling.

Throughout the lengthy decision, Watkins breaks down the complex legal arguments and relevant court decisions to arrive at the conclusion that the Poarch Creeks, operating casinos under the PCI Gaming Authority name, have every right to operate their casinos under the rules established by the Indian Gaming Regulatory Act and enforced by the National Indian Gaming Commission.

“This decision puts us one step closer to a final resolution of this issue, which has been our goal all along,” Alabama Attorney General Luther Strange said in a statement. “We respectfully disagree with the court’s decision and intend to appeal.”

A spokeswoman for Strange’s office said the appeal would be filed as quickly as possible with the full Eleventh Circuit Court of Appeals.

Friday’s decision was an important win for the Poarch Creeks and PCI Gaming, as it shot down the biggest threat to Indian gaming — a recent Supreme Court decision that

appeared to challenge the legality of tribal lands held in trust by the U.S. federal government for tribes that weren’t federally recognized in 1934 or before.

As Strange’s office defined that ruling, it meant the Poarch Creeks had no right to hold sovereign lands that weren’t subject to state laws.

As the Poarch Creeks, and most other tribes, defined it, the ruling was a narrow decision based on one specific set of circumstances. As far as the Poarch Creeks are concerned, it doesn’t apply because a six-year statute of limitations has expired and the tribe has held the lands for decades.

Watkins sided with the tribe, noting that the Supreme Court decision concerned a timely land-trust issue — not one decades later, well after the six-year statute — and that deeds for the properties on which PCI has built its casinos are clearly held in trust by the U.S. government.

“We are pleased with Judge Watkins’ well-reasoned decision,” PCI spokesman Robert McGhee said. “This decision not only recognizes the sovereignty of the Poarch Band of Creek Indians, but it also confirms that the tribe’s lands are held by the United States of America in trust for the tribe.”

Watkins didn’t debate the legality of electronic bingo in the state, writing that the legality of the machines in this case is irrelevant due to the tribe’s sovereign immunity.