NATIONAL JNDZAN GAMING COIMPSSION 

NOTICE OF VIOLATION 

TO: Pueblo of Tcsuque 

Attn: Robert A. Mora Sr., Governor, Governor 

(Agent Tor Servicc of Process) 

Rte 42, Box 360-T 

Pueblo of Tesuque, NM 87506 

FAX: (505) 982-233 1 

Tcsuque Pueblo Gaming Commissien 

Attn: Patrick Fennier, Interim Chairman 

P.O. Box 809 

Tesuque, NM 87506 

FAX: (505) 955-0142 

Tesuque Pueblo Gaming Commission 

Attn: Shawna Samuel, Executive Director 

P.O. Box 809 

Tesuque, NM 87506 

FAX: (505) 955-0142 

Amanda Wilbur, General Counsel 

Office of the Governor 

Route 42 Box 360-T 

Santa Fe, NM 87506 

FAX: (505) 932-2331 

1 . Notf fication of Violation 

The Chaiman of the National Indian Gaming Commission (NIGC) hereby gives notice 

that the Pueblo of Tcsuque (Respondent or Tribe), located in Tesuque, NM, has violaled 

the Indian Gaming Regulatory Act (IGRA) and NIGC regulations by failing to submit an 

annual audit. 

Under TGRA and NIGC regulations, the Chairman of the NlGC (Chairman) may issue a 

Notice of Violation (NOV) to any person for violation of any provision of the IGRA, 
NEGC regulations, or any provision of a tribal gaming ordinance or resolution approved 

by the Cl~aim~an. 25 U.S.C. 8 2713; 25 C.F.R. 8 573.3. 

3. Applicable Federal Laws 

A. IGRA requires an annual audit of each gaming operation and requires that copy of 

the results of the annual audit be submitted to the NIGC. 25 U.S .C. 5 

27 1 0(b)(2)(C). 

B. MGC regulations require that a tribe cause to be conducted annual independent 

audits of the financial statements of each gaming operation on Indian lands and 

submit a copy ofthe audit report(s) and any management letter(s) setting forth the 

results of the annual audit(s) to the NIGC within 120 days after the end of each 

gaming operation's fiscal yeas. 25 C.F.R. (j 8 57 1.12 and 571.13. 

C. NIGC regulations defhne "gaming operation" as ''each economic entity that is 

licensed by a tribe, operates the games, receives the revenues, issues the prizes 

and pays the expenses." A gaming operation may be operated by a tribe directly; 

by a management contractor; or, under certain conditions, hy mother person or 

other entity. 25 C.F.R. 5 502.10. 

4. Role of Independent Audit Report 

Submission of the annual independent audit report by a firm of certified public 

accountants is critical to the NTGC's mission to protect the integrity of Indian gaming. A 

firm's ability to conduct an audit in accordance with generaIIy accepted auditing 

standards and render an opinion on the financial statements prepared in conformity with 

generally accepted accounting principles provides a certain level of assurance as to the 

security of tnbal gaming revenues. The audit report prepared and submitted on a timely 

basis is evidence of, among other things, the integrity of the gaming operation and, more 

specifically, of the adequacy of the books and records, tl~e functioning of the internal 

financial controls, and the disclosure of information having a bearing on the financia1 

statements. 

5. Circumstances of the Violation 

A. Respondent is a federally recognized Indian Tribe with tribal headquarters in 

Tesuque, New Mexico. 

B. The Tribe operated its gaming facility, Camel Rock Casino, during all or part of 

2007. 

C. IGRA requires that tribes submit annual audits of each gaming facility. 25 U.S .C. 

8 271 0(3)(2)(C). NIGC regulations require that a tribe cause to be conducted an 
annual independent audit of the financia1 statements of each gaming operation on 

Indian lands and submit a copy of the audit report(s) and management letter(s1 

setting forth the results of the annuaI audit(s) to the NIGC within I20 days after 

theendofeachgamingoperation'sfiscal year. 25 C.P.R. $5; 571.12,571.13. 

D. The fiscal year for the gaming operation named in this violation ended December 

3 1,2007. 

E. The audit report for the facility named in this violation was due to NIGC on or 

before April 29,2008. 

F. NIGC has not received an audit report for the gaming operation named in this 

violation. 

G. The Tribe is therefore in violation of IGRA and NIGC regulations for faiIure to 

submit an annual independent audit report. 

6. Measures Required to Correct the Violation 

Audits must be received within 120 days of the end of a gaming operations fiscal year. 25 

C.F.R. 4 571.13. While there is no remedial action that can correct tl~e failure to submit 

the 2007 audit, improved controls to ensure timely compliance of the next audit should 

be put in place. 

Additionally, however, there is a continuing violation because the Tribe has yet to submit 

any audit reports for the fiscal year ended December 3 1,2007. The continuing violation 

ceases upon the NIGC's receipt of the delinquent audit repork. 

7. Appeal 

Within thirty (30) days after service of this Notice of Violation, Respondent may appeal 

to the full Commission under 25 C.F.R. Part 577 by submitting a notice of appeal, and, if 

desired, request for hearing to the National Indian Gaming Commission, 144 1 L Street 

NW, Ninth FIoor, Washington, DC 20005. Respondent has a right lo assistance of 

counsel in such an appeal. A notice of appeal must reference this Notice of Violation. 

Within ten (10) days after filing a notice of appeal, Respondent must file with the 

Commission a supplemental statement that states with particuIarity the relief desired and 

the grounds therefore and that includes, when avaiIabIe, supporting evidence in the form 

of affidavits. If Respondent wishes to present oral testimony or witnesses at thc hcaring, 

Respondent must include a request to do so with the supplemental statement. The request 

to present oral testimony or witnesses must specify the names of proposed witnesses and 

the genera1 nature of their expected testimony, whether a closed hearing is requested and 

why. Respondent may waives its right to an oral hearing and instead elect to have the 

matter determined by the Commission solely on the basis of written submissions. 
8. Fine-Submission of Information 

The violation cited above may result in the assessment of a civil fine against Respondent 

in an amount not to exceed $25,000 per violation per day. Under 25 C.F.R. 6 575,5(a), 

Respondent may submit witten information about the violation to the Chairman within 

fifteen (1 5) days after service of this notice of violation (or such Ionges period aq the 

Chairman may grant for good cause). The Chairman shall consider any information 

submitted in determining the facts sunfluriding the violation and the amount of the civil 

Staff Attorney 
Certificate of Service 

I certify that this Notice of Violation was sent by facsimiIe transIllission and certified U.S. mail, 

return receipt requested, on this w-day of August, 2008 to: 

Pueblo of Tesuque 

Attn: Robert A. Mora Sr., Governor 

(Agent for Service of Process) 

Rte 42, Box 360-T 

Pueblo of Tesuque, NM 87506 

FAX: (505) 982-233 1 

Tesuque Pueblo Gaming Commission 

Attn: Patrick Fennier, Interim Chairman 

P.O. Box 809 

Tesuque, NM 875 06 

FAX: (505) 955-0 142 

Tesuque PuebIa Gaming Commission 

Attn: Shawna Samuel, Executive Director 

P.O. Box 809 

Tesuque, NM 87506 

FAX: (505) 955-0142 

Amanda Wilbur, General Counsel 

Office of the Governor 

Route 42 Box 360-T 

Santa Fe, NM 87506 

FAX: (505) 982-233 1