1   BEFORE THE MISSOURI GAMING COMMISSION

 2             STATE OF MISSOURI

 3  

 4  

 5  

 6  

 7                  In Re:

 8    Missouri Gaming Commission Hearing

 9  

10  

11  

12         TRANSCRIPT OF PROCEEDINGS

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14  

15             3417 Knipp Drive

16      Jefferson City, Missouri 65109

17  

18               June 14, 2006

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 1                       APPEARANCES

 2  

 3   MISSOURI GAMING COMMISSION:

 4          Noel J. Shull, Chairman

 5          Floyd O. Bartch, Commissioner

 6          Ralph Biele, Commissioner

 7          Samuel J. Hais, Commissioner

 8          Darryl T. Jones, Commissioner

 9          Steve Johnson, Acting Executive Director

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11  

12   TRANSCRIBED BY:

13          MIDWEST LITIGATION SERVICES

14          711 N 11th Street

15          St. Louis, Missouri  63101

16          By:  Ms. Amanda Grasher

17          (314) 644-2191

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 1                TRANSCRIPT OF PROCEEDINGS

 2   **************************************************

 3                 MR. SHULL:  I believe it's nine

 4   o'clock, and we can go ahead and start the meeting

 5   if everyone would be seated.  Would you call the

 6   roll, please.

 7                 MS. ANGELA FRANKS:  Chairman Shull.

 8                 MR. SHULL:  Present.

 9                 MS. FRANKS:  Commissioner Bartch.

10                 MR. BARTCH:  Present.

11                 MS. FRANKS:  Commissioner Biele.

12                 MR. BIELE:  Present.

13                 MS. FRANKS:  Commissioner Jones.

14                 MR. JONES:  Present.

15                 MS. FRANKS:  Commissioner Hais.

16                 MR. HAIS:  Present.

17                 MR. SHULL:  Good morning.  Before we

18   start the official business, it's my pleasure to

19   introduce Commissioner Samuel Hais from Clayton,

20   Missouri.  Commissioner Hais is an attorney, a

21   former Judge of the Twenty-First Judicial Circuit

22   of St. Louis County and a former prosecuting

23   attorney.

24                 Commissioner, welcome to the Gaming

25   Commission.  If any of the other Commissioners have

 

 

 

 1   any comments.

 2                 MR. BARTCH:  Welcome.

 3                 MR. JONES:  Welcome.

 4                 MR. SHULL:  Mr. Hais.

 5                 MR. HAIS:  Thank you, Mr. Chairman

 6   and Commissioners.  I want to thank all of you for

 7   your help in getting up to speed on the current

 8   matters before the Commission, and also the acting

 9   Executive Director, thank you very much and

10   Mr. Bushmann for your help.  I want to thank the

11   Governor for expressing his confidence in

12   appointing me to this Commission.  It's very good

13   to be here.  Thank you.

14                 MR. SHULL:  Thank you.  The next

15   item is we need to consider the minutes for April

16   26th.

17                 MR. BARTCH:  Make a Motion we

18   approve those minutes.

19                 MR. JONES:  Second.

20                 MR. SHULL:  Any discussion?  Call

21   the roll.

22                 MS. FRANKS:  Chairman Shull.

23                 MR. SHULL:  Approve.

24                 MS. FRANKS:  Commissioner Bartch.

25                 MR. BARTCH:  Approve.

 

 

 

 1                 MS. FRANKS:  Commissioner Biele.

 2                 MR. BIELE:  Approve.

 3                 MS. FRANKS:  Commissioner Jones.

 4                 MR. JONES:  Approve.

 5                 MS. FRANKS:  Commissioner Hais.

 6                 MR. HAIS:  Approve.

 7                 MS. FRANKS:  By your vote, you've

 8   adopted the minutes of the April 26, 2006

 9   meeting.

10                 MR. SHULL:  In addition, we need to

11   consider the minutes of May 23, 2006.

12                 MR. BIELE:  Approved.

13                 MR. JONES:  Second.

14                 MR. SHULL:  Any discussion?  Call

15   the roll.

16                 MS. FRANKS:  Chairman Shull.

17                 MR. SHULL:  Approve.

18                 MS. FRANKS:  Commissioner Bartch.

19                 MR. BARTCH:  Approve.

20                 MS. FRANKS:  Commissioner Biele.

21                 MR. BIELE:  Approve.

22                 MS. FRANKS:  Commissioner Jones.

23                 MR. JONES:  Approve.

24                 MS. FRANKS:  Commissioner Hais.

25                 MR. HAIS:  Approve.

 

 

 

 1                 MS. FRANKS:  By your vote, you've

 2   adopted the minutes of the May 23, 2006 meeting.

 3                 MR. SHULL:  The next issue that we

 4   have is consideration of the state auditor's

 5   report.

 6                 MR. STEVE JOHNSON:  Good morning,

 7   Mr. Chairman and Members of the Commission and

 8   welcome Mr. Hais to the Commission.  I'll make an

 9   observation.  I noticed that you had your name

10   plate up there.  When staff comes on, it usually

11   takes about four months to get those name plates.

12   It's not surprising that a Commissioner would have

13   one in short order.

14                 The first item that I have this

15   morning, of course, is the consideration of the state

16   auditor's findings.  It's my pleasure to advise the

17   Commission that we had an exceedingly clean audit

18   from the state auditor signed by Auditor McCaskill.

19   The only finding that we -- that was made in regard

20   to our operation would have been a finding

21   suggesting that we do not have a comprehensive

22   performance audit plan and that was absolutely

23   correct.  We agreed with the state auditor that we did

24   not.

25                 That was brought about by the fact

 

 

 

 1   that I had very limited staff.  At the time, two

 2   auditors on the west side of the state and four out

 3   of our potential staff of twelve.  The bottom line

 4   is that it's very difficult to follow an audit plan

 5   when you are responding to forensic issues and spot

 6   audit issues and it renders the plan -- it

 7   virtually nullifies the plan.

 8                 However, as a result of this

 9   observation and the fact that you should,

10   irrespective of whether you follow it or not, have a

11   comprehensive audit plan, we do.  One was generated

12   within days of the finding being provided to us, is

13   on file, and I can say that that issue is no longer

14   a factor.  The audit plan is on file.

15                 Beyond that, it was exceedingly

16   clean.  I'd like to commend the staff for their

17   diligence in following the protocols, the

18   procedures, the operations protocols and

19   procedures.  It's clearly evident that they have a

20   keen understanding of the regulations at the state

21   level, particularly in regard to budgeting,

22   procurement of equipment and those sorts of things.

23   Their diligence is not unnoticed.

24                 In looking back, this is the

25   cleanest audit that we have seen at the Commission.

 

 

 

 1   Since '92 we have not seen a cleaner audit, and

 2   that certainly is a tribute to the maturity and the

 3   skills of the staff.  I'd welcome any questions you

 4   might have about that audit.

 5                 MR. SHULL:  That's a very good

 6   report.  Are there any follow-up questions?

 7                 MR. JONES:  Steve, did you increase

 8   the staff to handle the audit plan?

 9                 MR. JOHNSON:  Yes, sir.  What we are

10   up against, Commissioner, is quite simply a salary

11   issue.  We are able to attract folks out of college

12   with prerequisite audit hours to come to work for

13   us.  There is a minimum audit hour requirement in a

14   Bachelor's Degree.  They come to work for us and

15   gain that experience either here or at the state

16   auditors level, and this is particularly valuable

17   experience at the Gaming Commission and they move

18   to industry in typically six months to a year. 

19   Ninety percent of our turnover is as a result of

20   this.  It's higher salaries.

21                 We do have the ability to move on

22   the grids, and I would propose at some point in

23   time in the near future that I prepare for you a

24   salary consideration.  There has been a four

25   percent pay raise for state employees that goes

 

 

 

 1   into effect July the 1st, which is the first in

 2   five years.  We probably need to tag onto that pay

 3   raise with adjustments on the grid, which would be

 4   permitted, but it would take your approval to do

 5   so.  We have not drafted that as of yet.  We wanted

 6   to wait and make sure that the four percent raise

 7   was going to be in effect and has been approved and

 8   budgeted and all those things have happened.  We

 9   need to look at that issue if we're to retain

10   competent staff.

11                 Now, having said that, some of the

12   folks that we have are exceptional.  Our audit

13   supervisors are exceptional, particularly on the

14   east side of the state, somewhat inexperienced on

15   the west side of the state.  Our audit manager is

16   an aggressive individual who runs a very tight

17   program and keeps people moving on a tight

18   schedule.  With that we are blessed.  We need to

19   look at the working level and salaries in order to

20   up the retention level.

21                 MR. JONES:  So this is more of an

22   entry level as opposed to a seasoned auditor, a CPA

23   or something like that?

24                 MR. JOHNSON:  Yes, sir.  What we are

25   attracting are entry level.  We can't attract the

 

 

 

 1   seasoned folks because we simply can't compete.

 2                 MR. JONES:  Okay.

 3                 MR. SHULL:  Are there other

 4   questions, comments?

 5                 MR. JOHNSON:  Okay.  The next item

 6   on our agenda under Section IV would be the

 7   consideration of the Hearing Officer

 8   Recommendations, and we have Mr. Gary Jenkins, our

 9   Hearing Officer, to make those presentations.

10                 I should like to note that normally

11   if there are questions that would be directed to

12   the Attorney General, that Jane Rackers would

13   handle those.  She is not able to be here.  I

14   believe Ms. Sharon Euler is here should we have

15   questions as we work through this and Mr. Jenkins

16   makes his presentations.  Thank you.  Mr. Jenkins.

17                 MR. GARY JENKINS:  Good morning,

18   Commissioners.

19                 MR. SHULL:  Good morning.

20                 MR. JENKINS:  First one is Diana L.

21   Stanley.  It's Resolution 06-029, Gaming Case No.

22   05-166.  This is a case -- Ms. Stanley was an

23   employee at the -- Ms. Stanley was an employee at

24   the Ameristar Casino.

25                 On June the 14th, a shuffle master

 

 

 

 1   malfunctioned.  A shuffle master is a machine that

 2   shuffles cards.  I believe there's six decks of

 3   cards at a Blackjack table.  A shuffle master

 4   malfunctioned and she called her supervisor and

 5   advised him that the shuffle master had

 6   malfunctioned.  She wanted to close the game down,

 7   and he ordered her to keep the game going and to

 8   hand shuffle.  She kept the game going and hand

 9   shuffled.  She was there at that pit on relief.

10   She left that pit when the person came back to run

11   that game.

12                 Unbeknownst to him, there were four

13   cards left in the shuffle master.  The game

14   continued for a period of time from 10:37 p.m.

15   until 1:07 in the morning.  That Blackjack table

16   was open for play and short these cards.  That's a

17   violation of the internal controls if a -- if

18   there's a malfunctioning automatic shuffler, the

19   device will be inspected for additional cards.  If

20   they continue, which they're supposed to continue

21   with a hand shuffle, they are supposed to count the

22   cards down to make sure all the cards are in play,

23   and Ms. Stanley failed to do that.

24                 I recommend that -- I concur with

25   the Gaming Commission's recommendation and

 

 

 

 1   recommend that she receive a two consecutive day

 2   suspension of her Level II occupational license.

 3                 MR. SHULL:  Is the company

 4   responsible for anything or is the supervisor

 5   that's her supervisor when they order her to go

 6   ahead and keep the game open and she was

 7   recommending that it be closed down because of

 8   the --

 9                 MR. JENKINS:  That was not brought

10   to my attention.  That was not in the record.  This

11   was just a case against her.  I don't know what

12   happened to the supervisor if there were any charges

13   brought against the supervisor or not.

14                 MR. JONES:  That's almost the same

15   question I have.  Why isn't the supervisor

16   responsible since that was a directive to her to

17   keep the game going?

18                 MR. JENKINS:  In my opinion it was

19   that he was not there.  She called him on the phone

20   and that she didn't tell him that there were cards.

21   Her procedure was to count down the cards.  So he

22   tells her -- and the internal control states that

23   you will continue with a hand shuffle and count

24   down the cards.  He didn't order her to count down

25   the cards, but the internal control required her to

 

 

 

 1   count down the cards and make sure they were all on

 2   the table, and she didn't do that.

 3                 MR. BARTCH:  I understand that she

 4   still has a problem because she didn't follow the

 5   rules.  I understand that.  But I also feel like

 6   that that's why you have supervisors.  Supervisors

 7   have a responsibility to do more than just talk

 8   on the telephone and tell her, okay, do XYZ and

 9   then not follow it up, not check on it, not go and

10   look at it and several hours later something that

11   should not have happened of course did happen.

12                 That's why we have supervisors and

13   that's why we have sergeants.  If nothing has been

14   done to that supervisor, something probably should

15   be.  The fact that she did make the call meant that

16   she was trying to do what was right, but then she

17   didn't follow it up and do the rest of what she did

18   and because of that something happened to her.

19                 Steve, can you talk about that some.

20   You understand our problem with that --

21                 MR. JOHNSON:  Yes, sir, I can.  I'm

22   kind of hesitant to address it because I'm really

23   not sure what went into the record and what did

24   not.  Perhaps Ms. Euler would be better suited to

25   comment.

 

 

 

 1                 I can see by the look on her face

 2   that maybe not.

 3                 MS. SHARON EULER:  I'd be happy to comment

 4   if the Commission --

 5                 MR. JOHNSON:  Yes, I think that

 6   would be appropriate.  We need to stay within the

 7   record.  I'm hesitant to get off the record at this

 8   point.

 9                 MS. EULER:  What was presented in

10   the record was that, yes, she did contact her

11   supervisor, which was the proper procedure, and her

12   supervisor told her to hand shuffle.  She was the

13   person in the pit at that time.  She had an

14   obligation to look into the shuffle master to

15   ensure that there were no cards remaining and she

16   did not do that.  She did not inform her supervisor

17   that there were bent cards left in the shuffle

18   master.

19                 The red light on the shuffle master

20   was blinking, and when the red light is blinking,

21   it's that there's a malfunction.  She should have

22   looked in the shuffle master to see that there were

23   cards left in the shuffle master and informed her

24   supervisor of that fact.  She did not do that.

25                 In fact, it's in the record that she

 

 

 

 1   did not do that and that's what the violation is.

 2   She was the person on the pit.  She had an

 3   obligation to inform her supervisor that the decks

 4   were not complete.  She should have hand counted

 5   the decks to make sure that the decks were complete

 6   because if there was a problem with the decks, then

 7   she should have notified her supervisor who then

 8   may have made a different decision.

 9                 MR. BIELE:  I think we're

10   talking about two different things here.  I think

11   the point's well made that she understood the

12   supervisor has some responsibility.  To me, it's a

13   whole separate issue.  It's a whole separate case.

14   What we're talking about here is did this

15   particular person, did they do what they were

16   supposed to do, and undoubtedly they did not.

17   Whether there should have been something further

18   done with the supervisor to me is a whole other

19   issue.

20                 MR. JOHNSON:  If I might add, in the

21   record she testified that she didn't have time to

22   count them down, which of course is not

23   excusable.

24                 I might add, too, Mr. Chairman, that

25   if the Petitioners are here and wish to make a

 

 

 

 1   comment, we should recognize that at some point in

 2   time on each individual.

 3                 MR. SHULL:  All right.  Do you have

 4   any other comments?

 5                 MR. JENKINS:  I have no other

 6   comments other than just I guess my observation.

 7   My opinion was it was kind of like the employee --

 8   that when the supervisor says, go ahead and do

 9   this, and they know that they probably shouldn't,

10   they don't say anything, they say, yeah, boss, I'll

11   do that.  That was my opinion on that.  That's not

12   really in the record, that's what I used to draw my

13   decision on why I agreed with the discipline.

14                 MR. SHULL:  Thank you.  Is Diane

15   Stanley in the audience?  Is there a motion?

16                 MR. BIELE:  I move for the motion on

17   Resolution No. 06-029 -- approval of that motion.

18                 MR. HAIS:  Second it.

19                 MR. SHULL:  Any further discussion?

20   Call the roll, please.

21                 MS. FRANKS:  Chairman Shull.

22                 MR. SHULL:  Approve.

23                 MS. FRANKS:  Commissioner Bartch.

24                 MR. BARTCH:  Approve.

25                 MS. FRANKS:  Commissioner Biele.

 

 

 

 1                 MR. BIELE:  Approve.

 2                 MS. FRANKS:  Commissioner Jones.

 3                 MR. JONES:  Approve.

 4                 MS. FRANKS:  Commissioner Hais.

 5                 MR. HAIS:  Approve.

 6                 MS. FRANKS:  By your vote, you've

 7   adopted Resolution No. 06-029.

 8                 MR. BARTCH:  Steve, for the record,

 9   I'd like to know what we did to the supervisor.

10                 MR. JOHNSON:  All right, sir.

11   I'll ascertain that and make sure the Commission's

12   apprised.

13                 MR. JENKINS:  All right.  My second

14   case is Christine Burleson, Resolution No. 06-030.

15   That is Missouri Gaming Case No. 06-045.  In this

16   case, Ms. Burleson was an employee, a long term

17   employee of the Ameristar Casino.  She was

18   convicted of felony DUI in Clay County.

19                 The state statute says that a license shall

20   not be granted to an applicant if an applicant has

21   plead guilty to or been convicted of a felony.  Ms.

22   Burleson was convicted of a felony.  For that

23   reason, I concur with the Missouri Gaming

24   Commission and recommend a revocation of her Level

25   II Occupational License.

 

 

 

 1                 MR. SHULL:  Do you know if she was

 2   represented by counsel at her hearing --

 3                 MR. JENKINS:  Yes, she was.

 4                 MR. SHULL:  (continuing) -- at her

 5   trial?

 6                 MR. JENKINS:  Yes, she was.  At her

 7   trial and at this hearing.  I'll take that back.  I

 8   don't know at her trial.  She was represented by

 9   counsel at this hearing.

10                 MR. JOHNSON:  It indicates that she

11   was represented by counsel in the record in the

12   Circuit Court of Clay County.  The defense

13   attorney's name was Eric Burns, sir.

14                 MR. SHULL:  Thank you.  Is

15   Ms. Burleson here?  Is there a motion?

16                 MR. BARTCH:  Make a Motion to

17   approve Resolution 06-030.

18                 MR. BIELE:  Second.

19                 MR. SHULL:  Any discussion?  Call

20   the roll, please.

21                 MS. FRANKS:  Chairman Shull.

22                 MR. SHULL:  Approve.

23                 MS. FRANKS:  Commissioner Bartch.

24                 MR. BARTCH:  Approve.

25                 MS. FRANKS:  Commissioner Biele.

 

 

 

 1                 MR. BIELE:  Approve.

 2                 MS. FRANKS:  Commissioner Jones.

 3                 MR. JONES:  Not approve.

 4                 MS. FRANKS:  Commissioner Hais.

 5                 MR. HAIS:  Approve.

 6                 MS. FRANKS:  By your vote, you've

 7   adopted Resolution No. 06-030.

 8                 MR. JENKINS:  My third case is

 9   Rhonda Young, Resolution No. 06-031.  That's Gaming

10   Case No. 06-047.  This case, Ms. Young was a Level

11   II Occupational License holder working at a casino.

12   She was arrested and charged with felony stealing.

13   She plead guilty to a two year suspended imposition

14   of sentence for felony stealing and was required to

15   make restitution for that charge.

16                 Again -- this is slightly different,

17   I guess.  She wasn't actually convicted of the

18   felony.  It was a suspended imposition of sentence.

19   But the Commission may refuse or revoke an

20   Occupational License to anyone who has been

21   convicted of a crime or entered a plea of suspended

22   imposition of sentence.

23                 For that reason, I concur with the

24   Missouri Gaming Commission and recommend that the

25   Petitioner's Level II Occupational License be

 

 

 

 1   revoked.

 2                 MR. SHULL:  Is Ms. Young here?  Is

 3   there a motion?

 4                 MR. JONES:  I want a discussion

 5   unless you want to put a motion up.

 6                 MR. SHULL:  No.

 7                 MR. JONES:  In the statute, does it

 8   also state that if there's a SIS, that's also

 9   grounds for revoking a license?

10                 MR. JENKINS:  Correct.  Wait a

11   minute, the statute -- it's in the Code of State

12   Regulations.  That's in the Code of State

13   Regulations.

14                 MR. JOHNSON:  The operative

15   language, sir, is plead guilty.  If they have

16   actually plead guilty.

17                 MR. JONES:  Okay.  So even though it

18   was SIS, she plead guilty and that's it.

19                 MR. JOHNSON:  Yes, sir.

20                 MR. JONES:  Okay.

21                 MR. SHULL:  Any questions?

22                 MR. BARTCH:  Make a Motion we

23   approve Resolution No. 06-031.

24                 MR. HAIS:  Second.

25                 MR. SHULL:  Discussion?  Call the

 

 

 

 1   roll.

 2                 MS. FRANKS:  Chairman Shull.

 3                 MR. SHULL:  Approve.

 4                 MS. FRANKS:  Commissioner Bartch.

 5                 MR. BARTCH:  Approve.

 6                 MS. FRANKS:  Commissioner Biele.

 7                 MR. BIELE:  Approve.

 8                 MS. FRANKS:  Commissioner Jones.

 9                 MR. JONES:  Approve.

10                 MS. FRANKS:  Commissioner Hais.

11                 MR. HAIS:  Approve.

12                 MS. FRANKS:  By your vote, you've

13   adopted Resolution No. 06-031.

14                 MR. STARK:  Do you want --

15                 MR. JOHNSON:  I was reading the

16   case, I apologize.  Mr. Stephen Stark will present

17   the next case, Daniel Christoff.  My apologies, Mr.

18   Stark.

19                 MR. STEPHEN STARK:  That's fine.  Good

20   morning, Commissioners.  The next case on your

21   agenda is F -- identified as letter F, Daniel

22   Christoff.  Mr. Christoff had a Level II Gaming

23   License and worked as a card dealer.

24                 On April 22, 2005, it's alleged

25   that he violated some rules of the game with regard

 

 

 

 1   to being a dealer for Blackjack.

 2                 First of all, let me identify the

 3   rules of the game that are part of the internal

 4   control standards of the casino.  Again, this is

 5   with regard to the game of Blackjack.

 6                 A player may elect to double down,

 7   that is, make an additional wager not in excess of

 8   the amount of the original wager on the original

 9   two cards when those original two cards total ten

10   or eleven.  A second rule, whenever the initial two

11   cards dealt to the player are identical in value,

12   the player may elect to split the hand into two

13   separate hands.  The second wager then must be an

14   amount equal to the original wager.

15                 The applicable rule number three, a

16   player may not double down on a split hand.  Those

17   three particular rules applied in the situation on

18   April 22, 2005 when Mr. Christoff was dealing as

19   a Blackjack dealer.

20                 On one occasion he allowed a player

21   to split two cards that showed -- the two cards

22   being each the number three and that was okay.

23   Then he dealt the cards for the second round to

24   accommodate the splitting of those cards, and he

25   allowed the player to double down on each of their

 

 

 

 1   two hands.

 2                 The second card on one hand was an

 3   ace and the second card on the other hand was a

 4   five.  The rules being with regard to doubling down

 5   is only when the original cards are ten or eleven.

 6   So action for doubling down on those two hands was

 7   not appropriate because it did not add up to ten or

 8   eleven.  Secondly, this was a case where it was a

 9   split hand.  The third rule I read to you is that

10   you can't double down on a split hand.

11                 Later that same evening, he allowed

12   another player to double down on a fifteen, when

13   the two original cards were fifteen.  Again, not

14   being a ten or eleven, not permissible by the rules

15   for doubling down.

16                 Those rules of the game were

17   violated allegedly by Mr. Christoff.  Through the

18   hearing there was competent, convincing, cogent

19   evidence that he did indeed violate those internal

20   standards with regard to his dealing of the cards

21   that evening.  He basically admitted that that was

22   true.

23                 He had some training, but he was

24   kind of new at the game, I guess.  His main concern

25   was that there were other dealers in the casino

 

 

 

 1   that have had similar problems before, and he felt

 2   that he was being specially treated with regard to

 3   his alleged violations.  However, that was not

 4   clear and convincing evidence to overrule the

 5   recommendation or the proposal by the Commission,

 6   and as such, the one day suspension that is being

 7   proposed, I would recommend as being affirmed.

 8                 MR. SHULL:  Any questions for

 9   Mr. Stark?

10                 MR. JONES:  Has the casino engaged

11   in any type of retraining if he -- if Mr. Christoff

12   alleges that this is a -- I'm not going to say a

13   pattern -- but this has happened before, has the

14   casino been engaged in any type of retraining to

15   assure the Commission and everyone that it's not

16   going to happen in the future?

17                 MR. STARK:  That was not brought up

18   as part of the evidentiary hearing, so I would have

19   no answer to that really.

20                 MR. BARTCH:  Steve, have we had any

21   other incidents like this where it's been a -- do

22   we have a training problem out there?

23                 MR. JOHNSON:  No, I don't believe

24   that we do.  The dealers are typically trained

25   extensively and then made to pass a competency exam

 

 

 

 1   prior to going onto the floor.  The problem with

 2   this particular type of a case is it may seem

 3   innocuous, but it is these sorts of omissions and

 4   violations that can, and I am certainly not

 5   suggesting that this is the case in the Christoff,

 6   it may well not be, but it can lead to collusion

 7   and theft, improper betting and an advantage either

 8   to the house or the individual.  That's why the

 9   strict control is necessary.

10                 I cannot, Mr. Jones, speak to any

11   additional training that they may have.  I don't

12   know.  We would have to ask a representative from

13   that particular company what they do in terms of

14   ongoing training.  Normally these dealers are very,

15   very competent.  When they are out there, the pit

16   bosses and pit supervisors are charged with the

17   responsibility of ensuring compliance and that they

18   are adhering to the rule.

19                 MR. JONES:  Just one more.  They

20   have to pass a competency test --

21                 MR. JOHNSON:  Prior to going onto

22   the floor, they must demonstrate their competency

23   in a formal training setting and they do that.

24                 MR. JONES:  So the fact he's

25   claiming that this is new to him, was a new game,

 

 

 

 1   he still had to pass --

 2                 MR. JOHNSON:  Even if it's a new

 3   game, he passes a competency test with him, a

 4   competency review with -- before being turned loose

 5   on a table.  They do have formal table games

 6   training.  However, I can't speak to the quality of

 7   each particular property's training or each

 8   company's training.  I know it exists and I can

 9   assure you he had been trained prior to being

10   turned loose.

11                 MR. SHULL:  I believe his testimony

12   was that he had been trained on it, but there'd

13   been quite a bit of time that had lapsed since he

14   was originally trained.

15                 MR. HAIS:  Steve, did Mr. Christoff

16   identify any specific others who had --

17                 MR. JOHNSON:  Is that in the record,

18   sir?

19                 MR. STARK:  No.  He did not name

20   names, no.

21                 MR. HAIS:  Was that inquired of him?

22                 MR. STARK:  No.  Actually, he

23   brought it up.  One of the witnesses presented by

24   the Commission was an employee from surveillance

25   that was monitoring the cameras.  The question was

 

 

 

 1   posed by Mr. Christoff to the surveillance manager,

 2   and she basically said that she had not

 3   participated in any disciplinary hearings before,

 4   but apparently had been aware that problems had

 5   occurred before.  She didn't tell how many or the

 6   names of anybody else.

 7                 MR. SHULL:  I thought I read where

 8   she said about five hundred times.  That's what I

 9   thought I read.

10                 MR. JOHNSON:  Then it would be

11   incumbent upon that surveillance record to notify

12   the Commission if she's detecting activity like

13   that.

14                 MR. SHULL:  Is Mr. Christoff here?

15   Any further discussion?  Is there a motion?

16                 MR. JONES:  I move to accept

17   Resolution No. 06-032.

18                 MR. BIELE:  Second.

19                 MR. SHULL:  Call the roll, please.

20                 MS. FRANKS:  Chairman Shull.

21                 MR. SHULL:  Approve.

22                 MS. FRANKS:  Commissioner Bartch.

23                 MR. BARTCH:  Approve.

24                 MS. FRANKS:  Commissioner Biele.

25                 MR. BIELE:  Approve.

 

 

 

 1                 MS. FRANKS:  Commissioner Jones.

 2                 MR. JONES:  Approve.

 3                 MS. FRANKS:  Commissioner Hais.

 4                 MR. HAIS:  Approve.

 5                 MS. FRANKS:  By your vote, you've

 6   adopted Resolution No. 06-032.

 7                 MR. STARK:  The next case is

 8   identified by the letter G, Keith Jones.  Mr. Jones

 9   was an applicant for a Level II Occupational

10   License.

11                 The application process requires the

12   disclosure of any arrests, convictions with regard

13   to any criminal activity.  It is alleged that

14   Mr. Jones did not disclose on the application two

15   prior arrests for a crime of battery that occurred

16   in the State of Louisiana and also a crime of theft

17   in the State of Indiana.

18                 The application process is a written

19   process and then there's an interview with one of

20   the investigators who goes over the questions

21   face-to-face with the individual applicant.

22                 Mr. Jones had basically a second

23   opportunity to disclose any criminal history.  He

24   failed to do that at the second time.  There was a

25   third opportunity in which the investigator asked

 

 

 

 1   for court records from Louisiana, and Mr. Jones at

 2   that time did provide some records with regard to

 3   the guilty plea on the battery in the State of

 4   Louisiana.

 5                 However, the rules are clear that

 6   you need to disclose on your written application,

 7   and then of course the second time in the interview

 8   with the investigator, Mr. Jones failed as well to

 9   disclose his criminal history.  For that reason, I

10   would concur and recommend that Mr. Jones be denied

11   the license to work in the gaming industry.

12                 MR. SHULL:  Are there any questions?

13                 MR. BIELE:  I move to approve

14   Resolution No. --

15                 MR. SHULL:  Excuse me for a moment.

16   Is Mr. Jones here?

17                 MR. BIELE:  I move to approve

18   Resolution No. 06-033.

19                 MR. JONES:  Second.

20                 MR. SHULL:  Call the roll.

21                 MS. FRANKS:  Chairman Shull.

22                 MR. SHULL:  Approve.

23                 MS. FRANKS:  Commissioner Bartch.

24                 MR. BARTCH:  Approve.

25                 MS. FRANKS:  Commissioner Biele.

 

 

 

 1                 MR. BIELE:  Approve.

 2                 MS. FRANKS:  Commissioner Jones.

 3                 MR. JONES:  Approve.

 4                 MS. FRANKS:  Commissioner Hais.

 5                 MR. HAIS:  Approve.

 6                 MS. FRANKS:  By your vote, you've

 7   adopted Resolution No. 06-033.

 8                 MR. STARK:  The next case is

 9   identified with the letter H, John Shields.

10   Mr. Shields was employed in a supervisory capacity

11   with the casino having a Level II Occupational

12   License.

13                 He is alleged to not have reported

14   that a sensitive key was taken off of the premise

15   of the casino.  Actually, it's a critical sensitive

16   key.  The factual situation was that he and another

17   employee were working in the casino.  Mr. Shields

18   himself had a critical sensitive key in his

19   possession.  His co-employee also had a critical

20   sensitive key in her possession.

21                 A supervisor above them comes and

22   tells them that they need to leave the premise to

23   go tour a new hotel that's in the vicinity, and

24   that they should immediately leave their position

25   in the casino to go to this hotel for a tour.

 

 

 

 1                 Mr. Shields rightfully and correctly

 2   turned his key in locking it up in the appropriate

 3   fashion, and he made mention of this to the

 4   supervisor that that was necessary and that the

 5   other co-employee needed to do the same.  However,

 6   this co-employee did not do the same.  She actually

 7   took the critical sensitive key with her off the

 8   premise of the casino to take this tour of this

 9   hotel.

10                 The allegation is that Mr. Shields

11   failed to report the fact of a critical sensitive

12   key being removed from the premises.  There are

13   several applicable rules that apply to the handling

14   of critical sensitive keys.  There's a reporting

15   requirement that -- actually there's three

16   individuals that should be reported -- to whom a

17   person should report if they have knowledge of the

18   removal of a critical sensitive key from the

19   premises.  Mr. Shields failed to report the removal

20   of this critical sensitive key by a co-employee.

21                 Later on, there was a discussion

22   that he had with a supervisor about this particular

23   situation, and he did write up a report identifying

24   the facts of what happened on July 30, 2005.

25   That was the next month later.  But again, he had

 

 

 

 1   his own obligation as a licensee to report any

 2   alleged violation to the casino security, the

 3   casino department head and to the Gaming Commission

 4   itself.  He failed to do that.

 5                 Again, this is another situation

 6   where you have a supervisor overlooking, and I can

 7   appreciate the dilemma that an employee at the

 8   practical matter would have when a supervisor is in

 9   a rush to do something, get something done, and

10   apparently the supervisor is not being very

11   conscientious of the rules.  Nevertheless, each

12   employee as a licensee has their own duty to comply

13   with the laws.

14                 For that reason, I would concur with

15   the proposal of the suspension of two calendar days

16   as being appropriate for this violation.

17                 MR. BARTCH:  Let me get clear in my

18   mind.  This individual -- there's two individuals

19   that had sensitive keys, two employees.

20                 MR. STARK:  Correct.

21                 MR. BARTCH:  Equal status.

22                 MR. STARK:  That's my

23   understanding, both supervisory level.

24                 MR. BARTCH:  This individual here,

25   Mr. Shields, had a sensitive key, and he put his

 

 

 

 1   sensitive key where it should go.

 2                 MR. STARK:  That is correct.

 3                 MR. BARTCH:  And the other employee

 4   apparently did not.

 5                 MR. STARK:  That is correct.

 6                 MR. BARTCH:  Mr. Shields told his

 7   supervisor that this other employee should put

 8   their sensitive key away.

 9                 MR. STARK:  That is correct.

10                 MR. BARTCH:  But the supervisor did

11   not act on that and do anything about that.

12                 MR. STARK:  That is correct.

13                 MR. BARTCH:  And we're charging

14   Mr. Shields because he didn't carry it further

15   and notify gaming or there was another level in

16   there that he should have --

17                 MR. JOHNSON:  To the department

18   head, yes, sir.

19                 MR. BARTCH:  To the department head.

20                 MR. BIELE:  Where does Ms. Wallace

21   (phonetic) fit into all this?  She's the one that

22   kept the key after she was told to put it in there.

23                 MR. STARK:  None of that evidence

24   was brought into this particular case.  Again, this

25   case just dealt with Mr. Shields, so I don't know

 

 

 1   what happened to the --

 2                 MR. JOHNSON:  General counsel may be

 3   able to speak to this case, Mike.

 4                 MR. BUSHMANN:  Commissioners, I can

 5   comment on that because it's a separate issue from

 6   this case so it would be appropriate for me to give

 7   you information about that.  Ms. Wallace was

 8   actually suspended for three days for her part in

 9   this.  The staff did not take any action against

10   the supervisor because at the time the case was

11   considered, there was conflicting evidence in front

12   of the staff about whether or not the supervisor

13   actually knew th