NOTICE OF VIOLATION 

VIA FAX AND FEDERAL EXPRESS Ref: NOV-02-05 

To: Bill Annoatubby, Governor 

Chickasaw Nation 

P.O. Box 1548 

Ada, Oklahoma 74820 

Respondent 

Ms. Laquita Rich 

Central Business Services Office 

1 500 North Country Club Road 

Ada, Oklahoma 74820 

Agent for Service of Process 

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

notice that the Chickasaw Nation (hereinafter referred to as "Respondent"), 

located in Ada, Oklahoma, is in violation of the Indian Gaming Regulatory Act 

("IGRA") and NIGC regulations. 

2. The circumstances of the violation are: 

a. Respondent is a federally recognized Indian tribe with tribal headquarters 

in Ada, Oklahoma. 

b. On January 21, 1994, Respondent adopted its gaming ordinance. The 

Chairman of the NIGC approved the ordinance on March 14, 1994. 

c. Respondent has not entered into a tribal-state compact with the state of 

Oklahoma that would allow the operation of electronic or 

electromechanical facsimiles of any game of chance or any Class III 

gaming activity other than Off-Track Wagering. 1 

d. During site visits on February 8, 2002, NIGC Field Investigators observed 

the MegaNanza series of games in play at the Goldsby Gaming Center and 

at the Newcastle Gaming Center. 

e. On April 15, 2002, the NIGC issued an Advisory Game Classification 

Opinion letter to the manufacturer of the MegaNanza series of games 

stating that the games in question were Class III games under IGRA. 

I The Chickasaw Nation and the State of Oklahoma entered into a compact on July 26,2000 that authorizes only 

Off-Track Wagering. The compact was effective October 2,2000. 
f. A NIGC Field Investigator returned to the Goldsby Gaming Center and 

the Newcastle Gaming Center on June 14,2002. 

g. During the investigation on June 14,2002, the Field Investigator observed 

approximately 60 (sixty) MegaNanza machines in play at the Goldsby 

Gaming Center, and approximately 100 (one hundred) MegaNanza 

machines in play at the Newcastle Gaming Center. 

h. On June 14, 2002, the Region V, Region Chief of the NIGC issued a 

memorandum advising all gaming tribes located in Oklahoma that 

MegaNanza and its variations constituted Class I11 gaming. The 

memorandum advised tribes to cease immediately the operation of the 

MegaNanza games or risk the issuance of a Notice of Violation, Closure 

Order and Civil Fine Assessment. 

I. On June 16, 2002, a NIGC Field Investigator returned to the Goldsby 

Gaming Center and the Newcastle Gaming Center. Field Investigators 

again observed approximately 60 MegaNanza machines in play at the 

Goldsby Gaming Center and approximately 100 MegaNanza machines in 

play at the Newcastle Gaming Center. 

3. The Respondent is in violation of IGRA and NIGC regulations as follows: 

a. Under 25 U.S.C. 2703(8) of IGRA and 25 C.F.R. 502.4 of the NIGC's 

regulations, Class 111 gaming means all forms of gaming that are not Class 

I gaming or Class I1 gaming. 

b. Through June 16, 2002 the Respondent has offered the MegaNanza 

gaming machines for play at Respondent's gaming operation. Play of 

MegaNanza on these machines falls within the definition of Class I11 

gaming. The Respondent does not have a compact with the State of 

Oklahoma that authorizes the operation of these machines at the 

Respondent's gaming facilities. 

c. Accordingly, the Respondent is operating Class I11 games in the absence 

of a tribal-state compact in violation of 25 U.S.C. 2710(d) and 25 C.F.R. 

573.6(a)11. 

4. The measures required to correct these violations are: 

a. The Respondent shall, within twenty-four (24) hours of receipt of this 

Notice of Violation, cease and desist play of MegaNanza and its 

variations. 

b. The Respondent shall take action to remove all MegaNanza gaming 

machines from its operation by June 22,2002. 

5. The violations cited above may result in the assessment of civil fines 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 shall consider any information submitted in determining the facts 

surrounding the violation and the amount of the civil fine, if any. Such 

information is to be submitted to: Chairman, National Indian Gaming 

Commission, 1441 L Street, NW, 9th Floor, Washington, D.C. 20005. 

6. Respondent may appeal the allegations contained in this Notice of Violation to the 

NIGC within 30 days after service of this Notice of Violation, by submitting a 

Notice of Appeal to the NIGC at the address set forth in paragraph 5 above. 25 

C.F.R. Part 577. Respondent has the right to be represented by 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 NIGC a 

supplemental statement that states with particularity the relief desired and the 

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

of affidavits. 

7. If Respondent wishes to present oral testimony or witnesses at a hearing, 

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

request to present oral testimony must specify the names of the proposed 

witnesses and the general nature of their expected testimony, and whether a 

closed hearing is requested and why. Respondent may waive the right to an oral 

hearing and instead elect to have the matter determined by the NIGC solely on the 

basis of the written submissions. 

8. For additional information or other communication with the Commission 

regarding this matter, contact Staff Attorney Michele F. Mitchell at (202) 632- 

7003, or by facsimile at (202) 632-7066. 

Dated this 17th day of June, 2002. 

Montie R. Deer, Chairman 

National Indian Gaming Commission