National Indian Gaming Commission 

NOTICE OF VIOLATION 

To: Oglala Sioux Tribe 

(Agent for Service of Process) 

Attn: John Yellow Bird Steele, Chairman 

PO Box 2070 

Pine Ridge, SD 57770 

FAX: (605) 867:6076 

OglaI a Sioux Gaming Commission 

Attn : Pearl Cottier, Chairperson 

PO Box 3007 

Pine Ridge, SD 57770 

FAX: (605) 867-1613 

Prairie Wind Casino 

Attention: Mchael Graham, General Manager 

HC 49, Box 10 

Pine Ridge, SD 57770 

FAX: (605) 867-2612 

1. Notification of Violation 

The Vice-Chairman of the National Indian Gaming Commission (NIGC) hereby gives 

notice that the Oglala Sioux Tribe, located in Pine hdge, South Dakota, has violated 

NIGC regulations by submitting a late annual audit. 

2. Authority 

Under the Indian Garning Regulatory Act (IGRA) and MGC regulations, the 

Chairman of the NlGC (Chairman) may issue a Notice of Violation (NOV) to any 

person for violation of any provision of the Indian Gaming Regulatory Act (IGRPL), 

NGC regulations, or any provision of a tribal gaming ordinance or resolution 

approved by the Chairman. 25 U.S.C. 5 27 13; 25 C.F.R. 8 573.3. 

The Chairman is an enrolled member of the Oglala Sioux Tribe, and has recused 

himself from this matter. In matters fiom which the Chaiman is recused, 25 U.S.C. 5 

2704(e) and 25 C.F.R. § 502.1 authorize the Vice-Chairman to act in his stead. 
3. Applicable Federal Laws and Tribal Ordinance Provisions 

A. 25. U.S.C. § 27lQ(b)(2)(C)-IGRA requires an mual audit oftribal gaming 

and requires that a copy of the results of the annual audit be submitted to the 

NIGC. 

B. 25 C.F.R. $8 571.12 and 571.13 - NICrC regulations require that a tribe cause 

to be conducted annual independent audits of the financial statements of each 

gaming operation on Indian Irrnds and submit a copy of the audit report(s) and 

any management letter(sj setting forth the results of the annual audit(s) to the 

NIGC withn 120 days after the end of each fiscal year. . 

C. Section 33 of the Oglala Sioux Tribal Gaming Code - The Tribe's Gaming 

Code requires that annual outside independent certified audits of all gaming 

conducted by the Tribe pursuant to the provisions of a tribal-state compact 

shall be caused to be produced and the results of those audits shall be 

submitted to the NIGC. 

4. Role of Independent Audit Report 

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

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 generatly accepted auditing 

standards and render an opinion on the financial statemenl prepared in conformity 

with generally accepted accounting principles 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. Circumstances of the Violation 

A. The Oglala Sioux Tribe, the respondent is a federally recognized Indian Tribe 

with tribal headquarters in Pine Ridge, South Dakota. 

B. Respondent operated its gaming facility, the Prairie Wind Casino, during dl 

of 2006 The gaming facility's fiscal year ended December 31,2006. 

C. The NIGC received an untimely audit report for the fiscal year ending 

December 3 1,2006. The audit report was due to the NIGC an April 30,2007, 

120 days after the end of the Prairie Wind Casino's fiscal year. 
D. The andit report: was received by the NIGC on August 13,2007. Therefore, 

the audit report was 105 days late. 

E. IGRA requires that tribes s~tbmit annual audits of tribal gaming. 25 U.S.C. § 

2710(6)(2)(C). NIGC regulations require that a tribe cause to be conducted an. 

annual independent audit of the financial statements of each gaming operation 

on Indian lands and submit a copy of the audit report(@ and 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. $5 571.12,571.13. The Tribe 

is therefore in violation of these regulations for failure to submit a timely 

annual independent audit report. 

6. Measures Required to Correct the Violation 

There is no way to correct a late audit report submission. The regulations require that 

audits be received within 120 days of the end of the gaming operations' fiscal year. 

7. Appeal 

Within thirty (3 0) days afier 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 tm (1 0) 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 therefare 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 oral testimony 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. 

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. 9 575.5(a), Respondent may submit written information about the violation to 

the Chairman 1vitI-h fifteen (1 5) days after service of this notice of violation (or such 
longer period as the Chairman may grant for good cause). The Chairman shall 

consider any information submitted in determining the facts surroun&ng the violation 

and the mount of the civil fine, if any. 

Dated this 24th day of August, 2007.