NATIONAL INDIAN GAMING COMMISSION 

I( 

Id 

IN THE MATTER OF 

CHOCTAW NATION OF OKLAHOMA, 

IOWA TRIBE OF OKLAHOMA, 

KIOWA TRIBE OF OKLAHOMA, 

PONCA TRIBE OF OKLAHOMA, 

SEMINOLE NATION OF OKLAHOMA : NOV-98-09 & CO-98-09 

: NOV-98-08 & CO-98-08 

Respondents : NOV-98-06 & CO-98-06 

: NOV-98-07 & CO-98-07 

and : NOV-98-01 & CO-98-01 

BROWARD VENDING, INC., 

Intervenor 

NOTICE OF DECISION AND ORDER 

DECISION OF l"I-E COhfMISSION 

A hearing on this appeal was held before Presiding Official M. Elena Gonzalez, the record of said 

hearing having closed on May 26, 1998. The Presiding Official issued following recommendation: 

In conclusion, I find that the MGC Chairman has established by fact and law that the 

notices of Violation and the Orders of Temporary Closure at issue in these appeals were 

appropriately issued pursuant to the IGRA and its implementing regulations. The 

w 

Chairman established that the "Reels of SW7 device is a gambling device under the 

Johnson Act, as required under 25 C.F.R. jj 502.8 defining an electronic or 
electromechanical facsimile, which Ms within the definition of a Class 111 gaming activity 

"d 

under the IGRA The evidence and case law support a finding that the "Reels of Skdl" 

114 

machme retained many of the characteristics and physical features of the origmal "Cherry 

Master" (which was mod3ed through trial and error into the "Reels of Skill" in an attempt 

to design a game outside the scope of the Johnson Act and the IGRA) which are 

considered indicia of an intent to design and manufacture a machine primarily intended for 

use in connection with gambling. Moreover, an "anomaly" found to exist in the "Reels of 

Slull" machines operated in Oklahoma, further evidences a machine designed and 

manufactured primarily for use in connection with gambling, and further supports a finding 

that this machine is a game of chance. In addition, the evidence and case law support a 

W conclusion that by operation of the "Reels of Skill" a person may become entitled to 

receive money or property, as a result of an application of an element of chance. 

%ddl' Although the evidence also supports a finding that varying levels of skill may be used to 

operate the "Reels of Skill" machine, there is still a substantial element of chance involved 

in the operation of the game even when played by the most skilled and experienced 

players. For the reasons discussed herein, it is recommended that the Notices of Violation 

be upheld by the full Commission, and that the Respondents be ordered to cease and desist 

the operation of the "Reels of Skill" pursuant to 25 C.F.R. 5 573.69(a)(ll). 

It is clear that the Presiding Official llly considered all of the material before her and that the 

evidence of record hlly supports her recommended decision. 

w 

In determining that "Reels of Skill" was a gambling device, the Presiding Official made the 
following key hdings, upon which the Commission has placed particular reliance in aiknhg the 

-440 

decision of the Presiding OBCicial: 

41 *IYI 

--There is sufficient evidence in the record to indicate that although some skill can be 

developed and utilized by players, there is nevertheless an element of chance in the 

operation of the game sufficient to render it a gambling device (Record of Decision p.9). 

--"Reels of Skill" electronic video machine can be played as a game of chance, either 

through ignorance or by design (Record of Decision p. 9). 

W --Given the Wculty of the game, even if only unskilled players were subjected to the 

application of the element of chance in the operation of the game, in such instances "Reels 

*141v of Skill" is being operated as a gambling device (Record of Decision p. 9). 

--While coaching and proper motivation could iduence and to some extent improve a 

player's ability to operate the game, these factors do not overcome the element of chance 

in the operation of "Reels of Skill" (Record of Decision p. 10). 

Except as provided below, based upon the Commission's review, including consideration of the 

objections filed with the Commission following the hearing, the Commission has voted to afErm 

w 

and adopt the recommended decision of the Presiding Official for the reasons stated therein. 
The Commission wishes to make clear that, while the presence of certain characteristics may be 

1 .+# 

consistent with a determination that a machine is an electronic or electromechanical facsimile of a 

(111 

game of chance, the presence of those characteristics may also be consistent with class I1 

technological aids or amusement games found in arcades. Features which the Commission 

believes have, at best, uncertain meaning as indicia that a game has been designed and 

manufactured prirnanly for use in connection with gambling include: a multiple coin feature, a 

knock off feature, a power interrupt protection feature, the brevity of play of each individual 

game, and the award of a number of free games. For that reason, to the extent that the Presiding 

Official's opinion indicates otherwise, it is partially disapproved. 

Please take notice that it is the decision of the National Indian Gaming Commission, by vote of 

1Clw*r both of its members currently serving, that the game known as "Reels of Skill" is an electronic or 

electromechanical facsimile witbin the meaning of 25 U.S.C. 2703, and that operation of the 

game constitutes class III gaming activity. Class III gaming activity on Indian lands is not lawfkl 

under 25 U. S.C. tj 2710(d) unless conducted in conformance with a Tribal-State compact. 

Inasmuch as none of the Respondent tribes have a compact with the State of ~kiahoma which 

would permit operation of a class III electronic or electromechanical facsimile, operation of 

"Reels of Skill" on Respondents' Indian lands constitutes a violation of the Indian Gaming 

Regulatory Act. 

YI 

Now, therefore, the National Indian Gaming Commission orders: 

That Respondents shall cease and desist Erom operation of the game known as "Reels of 
Slall"; and, 

'I $4 

That the following orders of temporary closure issued by the Chairman of the National 

Ill&' 

Indian Gaming Commission shall become permanent as of the date hereof 

C 0 9 8-0 1 (SEMINOLE NATION OF OKLAHOMA) 

CO 98-06 (KIOWA TRIBE OF OKLAHOMA) 

CO 98-07 (PONCA TRIBE OF OKLAHOMA) 

CO 98-08 (IOWA TRIBE OF OKLAHOMA) 

CO 98-09 (CHOCTAW NATION OF OKLAHOMA) 

FOR THE NATIONAL INDIAN GAMING COMMISSION: 

w 

JUL241998 

Date: 

Whd