North Dakota Attorney General Wrigley Announces Gaming Enforcement Action Against Western Distributing Company, Plains Gaming Distributing, Inc, and Midwest Gaming Distributing, Inc.
BISMARCK, ND (STL.News) Statement of North Dakota Attorney General Drew Wrigley:
“These gaming violations undermine the integrity of charitable gaming in North Dakota. Those responsible for these improper actions violated the public trust and the trust of the charities that relied on them. The last year has brought a new day in gaming enforcement, and the public can be assured that law enforcement and the outstanding professionals in the Attorney General’s Gaming Division are working hard to protect the integrity of the limited charitable gaming that is permitted under North Dakota law.”
Statement of Gaming Division Director, Deb McDaniel:
“Western Distributing, Plains Gaming Distributing, and Midwest Gaming Distributing intentionally used Wall of Honor to circumvent the gaming site rent limits set in law. The Gaming Division Investigators & Auditors spent countless hours across more than a year conducting audits, interviews, and investigative research to document this important case, which has now been resolved with an acknowledgment of wrongdoing by:
- Western Distributing
- Plains Gaming Distributing
- Midwest Gaming Distributing
Pursuant to April 11, 2023, enforcement action by the North Dakota Attorney General’s office against Western Distributing Company; Plains Gaming Distributing, Inc.; and Midwest Gaming Distributing, Inc., those privately owned entities have signed a binding “Settlement Agreement and Stipulated Order,” whereby the entities and specific corporate officers and/or shareholders have agreed to the following mandatory penalties, fines, and acknowledgments of wrongdoing:
- Western Distributing Company; Plains Gaming Distributing, Inc.; and Midwest Gaming Distributing, Inc. acknowledge that certain officers, shareholders, and/or other representatives of these companies engaged in conduct that unlawfully used entities such as “Wall of Honor” and Advanced Gaming Solutions, LLC to improperly acquire sites for charitable gaming organizations and/or to assist charitable gaming organizations, in violation of North Dakota gaming laws and regulations.
- Western Distributing Company; Plains Gaming Distributing, Inc.; and Midwest Gaming Distributing, Inc. further acknowledge that their public statements inaccurately denied any use of “Wall of Honor” and/or Advanced Gaming Solutions, LLC to improperly acquire sites for charitable gaming and/or to assist charitable gaming organizations, in violation of North Dakota gaming laws and rules.
- David L. Wisdom, President and Shareholder of Western Distributing Company and Plains Gaming Distributing, Inc., and any immediate family members will be removed from ownership of Western Distributing Company; Plains Gaming Distributing, Inc.; and Midwest Gaming Distributing, Inc. and will have no management, ownership, or any other ongoing role or involvement in the operation of any of the Respondent entities, Western Distributing Company; Plains Gaming Distributing, Inc.; and Midwest Gaming Distributing, Inc.
- The remaining owners/shareholders of Western Distributing Company; Plains Gaming Distributing, Inc.; and Midwest Gaming Distributing, Inc. shall refrain from using any organization (including, without limitation: Wall of Honor and Advanced Gaming Solutions, LLC) as a conduit to improperly assist charitable gaming organizations to obtain sites and will refrain from any other activities aimed at assisting charitable gaming organizations’ efforts to obtain sites unless explicitly allowed under N.D. Admin. Code Sect. 99-01.3-15-02.
- Western Distributing Company; Plains Gaming Distributing, Inc.; and Midwest Gaming Distributing, Inc. will pay fines totaling $125,000, the maximum fine possible under the Complaint filed by the North Dakota Attorney General’s office on April 11, 2023, and will also pay all attorney costs incurred by the North Dakota Attorney General’s office, $36,355.50, thus far.
- Western Distributing Company; Plains Gaming Distributing, Inc.; and Midwest Gaming Distributing, Inc. agree to a deferred revocation of their gaming/distributors’ licenses. If they fail to comply with the terms of June 30, 2023, Agreement or commit any further violations of North Dakota’s gaming laws or rules for the succeeding three years, Western Distributing Company; Plains Gaming Distributing, Inc.; and Midwest Gaming Distributing, Inc.’s licenses will be revoked.
- Western Distributing Company; Plains Gaming Distributing, Inc.; and Midwest Gaming Distributing, Inc., their shareholders, agents, or representatives shall refrain from making any statements contrary to the terms and acknowledgments of this Agreement. As with all other provisions in the Agreement, violations of this provision will result in a revocation of the Respondents’ gaming licenses.
The following officers and shareholders/owners signed the acknowledgments and agreement on behalf of themselves and the respective legal entities, Western Distributing Company; Plains Gaming Distributing, Inc.; and Midwest Gaming Distributing, Inc.
- David L. Wisdom, President and Shareholder, Western Distributing Company and Plains Gaming Distributing, Inc.
- David Meyer, Shareholder, Western Distributing Company and Plains Gaming Distributing, Inc.
- Jonathan Sanstead, Director and Shareholder, Western Distributing Company and Plains Gaming Distributing, Inc.
- Debra Stoltman, Secretary/Treasurer and Shareholder, Western Distributing Company, and Plains Gaming Distributing, Inc.
- Joseph Hoffert, Director and Shareholder, Western Distributing Company and Plains Gaming Distributing, Inc.
- Robert Harms, Shareholder, Western Distributing Company and Plains Gaming Distributing, Inc.
- Sherry Wick, President and Shareholder, Midwest Gaming Distributing, Inc.
CLICK to read the Western Distributing Settlement Agreement.
SOURCE: North Dakota Attorney General
