u National Indian Gaming Commission 

NOTICE OF VIOLATION 

To: Johnny Wauqua, Chairman (Agent for Service of Process) 

Comanche Indian Tribe 

P.O. Box 908 

Lawton, OK 73502 

1. The Chairman of the National Indian Gaming Commission (NIGC) hereby gives notice that 

the Comanche Indian Tribe (hereafter referred to as "Respondent"), located in Lawton, 

u Oklahoma, is in violation of the Indian Gaming Regulatory Act (IGRA), NIGC regulations 

and its Gaming Ordinance for failure to submit annual audits and quarterly statements of 

gross assessable revenue. 

2. Authoritv. Under regulations of the National Indian Gaming Commission, the Chairman 

of the NIGC (hereinafter "Chairman") may issue a Notice of Violation (hereinafter 

"NOV") to any person for violation of any provision of the Indian Gaming Regulatory 

Act, NIGC regulations, or any provision of a tribal gaming ordinance or resolution 

approved by the Chairman. 25 C.F.R. 9 573.3. 

3. Applicable Federal and Tribal Laws: 

A. 25 U.S.C. 2710(b)(2)(C) - An annual audit of each gaming operation is 

required and a copy of the results of the annual audit must be submitted to the 

NIGC. 

B. 25 C.F.R. 57 1.12 and 57 1.13 - NIGC 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 of the 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 fiscal year. 
C. 25 C.F.R. 5 514.1 - NIGC regulations require Tribes submit, for each gaming 

operation, fee payments and quarterly statements showing assessable gross 

revenues for the previous year. 

D. Section 5(c) of the Comanche Indian Tribe's gaming ordinance - The 

approved gaming ordinance requires the Tribe obtain outside annual audits 

for all of its gaming operations and to submit the results of those audits to the 

NIGC. 

4. Role of Independent Audit Report. Submission of the annual independent audit report by 

a firm of certified public accountants is critical to the NIGC's mission to protect the 

integrity of Indian gaming. A firm's ability to conduct an audit in accordance with 

generally accepted auditing standards and render an opinion on the financial statements 

prepared in conformity with generally accepted accounting principals provides a certain 

level of assurance as to the security of tribal 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, the 

functioning of the internal financial controls, and the disclosure of information having a 

bearing on the financial statements. 

5. The circumstances of the violation are: 

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

Lawton, Oklahoma. 

B. Respondent operated its gaming facility, Comanche Red River Casino, during 

all or part of the following years: 1999,2000,2001, and 2002. 

C. Respondent did not submit quarterly statements showing gross assessable 

revenue for the Comanche Red River Casino for 2000,2001, and 2002. 

D. Respondent operated its gaming facility, Comanche Nation Smoke Shop and 

Game Center located in Walters, Oklahoma, during all or part of the 

following years: 2000,200 1, and 2002. 

-- 

E. Respondent did not submit quarterly statements showing gross assessable 

revenue for the Comanche Nation Smoke Shop & Game Center located in 

Walters, Oklahoma, for 2000,2001, and 2002. 

F. To date the NIGC has not received audit reports or management letters for: 

i. Comache Red River Casino: 

1. Fiscal Year 2002. 

. . 

11. Comanche Nation Smoke Shop & Game Center 

1. Fiscal Year 2002. 
~'4 6. IGRA requires that tribes submit annual audits of each gaming facility. 25 U.S.C. 

27 1 O(b)(2)(C). NIGC 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 of the 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 fiscal year. 25 C.F.R. 

$3 57 1.12-1 3. Respondent is therefore in violation of IGRA, 25 U.S.C. 27 10(b)(2)(C), 

NIGC regulations, 25 C.F.R. $5 571.12-13, and Respondent's Gaming Ordinance at section 

5(c) for failure to submit an annual independent audit report. 

7. NIGC regulations require tribes submit, for each gaming operation, fee payments and 

quarterly statements showing assessable gross revenues for the previous year. 25 C.F.R. 

9514.1 

8. The NIGC has sought compliance from Respondent on several occasions through meetings, 

correspondence, and telephone calls. 

9. To correct this continuing violation, Respondent shall: 

Submit an independent audit report, management letters, and statements of gross assessable 

revenue within 15 days of receipt of this letter for the years listed in paragraph 5 of this 

notice. 

10. Appeal. 

w 

Within 30 (thirty) 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, 1441 L Street, NW, 

Ninth Floor, Washington, DC 20005. Respondent has a right to 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 particularity the relief desired and the 

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

affidavits. If Respondent wishes to present oral testimony or witnesses at the hearing, 

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

present oraITestimony or witnesses must specify the names of proposed witnesses and the 

general nature of their expected testimony, whether a closed hearing is requested and why. 

Respondent may waive its right to an oral hearing and instead elect to have the matter 

determined by the Commission solely on the basis of written submissions. 
1 1. 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. $ 575.5(a), 

Respondent may submit written information about the violation to the Chairman within 15 

days after service of this notice of violation (or such longer period as the Chairman of the 

Commission may grant for good cause). The Chairman 

submitted in determining the facts surrounding the viola t of the civil fine, 

if any. 

~atedthisflda~of ,2003 

Chairman 

National Indian Gaming Commission 

ohn R. Hay 

Staff Attorney 
Certificate of Service 

I certify that this Notice of Violation was sent by facsimile on this 17'~ day of 

June 2003 to: 

Johnny Wauqua, Chainnan (and Agent for Service of Process) 

Comanche Indian Tribe 

P.O. Box 908 

Lawton, OK 73502 

Fax: (580) 492-3796