Just a month after a related tribe got into the interactive bingo market, the Lac Vieux Desert Chippewa Tribe of Michigan is following suit.
In March the Lac Vieux Desert (LVD) Band of Lake Superior Chippewa Indians and dot com Entertainment Group Inc. inked a deal connecting the tribe's bingo halls with Internet users all around the world.
Multimedia Games, Inc. announced that it granted a license to operate its proprietary proxy-play software and system to the LVD Chippewa Tribe of Michigan. The Tribe will use the system to facilitate participation by proxy in MGAM's high-speed Big Cash Bingo game to players in the hall and via the Internet.
Under the guidelines of the Indian Gaming Regulatory Act of 1988 (IGRA) Indian tribes are authorized to conduct gaming activities on their reservations. The gaming activities are grouped into three different classifications. Class I gaming includes social gaming played for minimal prizes or traditional gaming that is played in connection with tribal ceremonies or celebrations. Class I gaming is regulated exclusively by the tribes.
Class II gaming is described as "the game of chance, commonly known as bingo (whether or not electronic, computer, or other technologic are used in connection therewith).
Under the IGRA guidelines, any tribe can conduct bingo on its reservations as long as it is in a state where the activity is allowed. Under the act, Class II gaming is regulated by the tribe and the National Indian Gaming Commission.
Gordon Graves, the Chairman and CEO of MGAM, said the agreement will be able to reach a large consumer base.
"We are delighted that the Lac Vieux Desert Chippewa Tribe has elected to bring the excitement of our Class II games to in-hall and at-home players," he said. "The tribe is in an excellent position to attract home players and recruit other tribes, and this agreement offers them a unique opportunity to be the first tribe to capitalize on the proxy play provisions of the Indian Gaming Regulatory Act (IGRA)."
Richard McGeshick, Sr., the Chairman of the Lac Vieux Desert Chippewas said the agreement was long overdue, but the tribe had to take precautions to make sure they were in compliance with federal law.
"From the outset, the tribe has been extremely careful to offer an Internet bingo game that falls squarely within the purview of IGRA and other applicable federal law," McGeshick said. "This game has been thoroughly designed so that the gaming occurs entirely on Indian lands, thus meeting the tribe's criteria."
McGeshick said the tribe has put a great investment into this project.
"Based on IGRA and with the encouragement of the United States Congress, the tribe has invested millions of dollars and countless hours over the past three years pursuing the dream of offering Class II bingo to other Indian tribes and players around the world," he said. "Now, because of our alliance with Multimedia Games, we can make that dream a reality."
Under the agreement, MGAM will grant the tribe a license to use MGAM's patented proxy play software and system. Each in-hall player station will permit up to 200 at-home or in-hall players to simultaneously play high-speed bingo games.
They will compete with other players at Lac Vieux Desert casino and at other linked Indian halls for jackpots ranging from $10,000 to $30,000. Internet visitors to the Lac Vieux gaming facility will view the outcome of Big Cash Bingo as a proxy player is playing it for them.
Home viewers and Internet visitors alike will soon be able to play MGAM's high-stakes MegaBingoTM, which offers the opportunity to win a $1 million prize. MGAM's Class II interactive games and MegaBingo are currently played at more than 90 tribal casinos and bingo halls in North America.
The decision for the tribe to install the devices at its hall comes after much debate and countless court cases to decide the matter.
In 1995, the National Indian Gaming Commission (NIGC) chairman issued MGAM a letter authorizing the company to offer MegaBingo via proxy play. In 1998, the company discontinued offering MegaBingo via Internet proxy-play when the Justice Department challenged the right to run MegaMania as a Class II game.
Four different federal courts have since ruled in favor of the tribe on this issue, and have unanimously affirmed that MegaMania is a Class II bingo game.
Skip Lannert, MGAM vice president, said a sticking point with the Justice Department the whole time has been the daubing of the bingo cards, something that's addressed with the new system.
"Since 1997, the NIGC and the Justice Department have insisted that players of our interactive electronic bingo games must interactively daub their numbers when called, to mark their cards and claim their prize," he said. "Our proxy-play station allows one person to take that action for cards on behalf of up to 200 separate accounts."
In Big Cash Bingo, players compete in a linked high-speed game for more than $300,000 a day in prizes. The Super Jackpot starts at $10,000 and grows during each game until it is won, sometimes reaching $30,000 to $40,000.
The game has been operating on MGAM's multi-channel Betnet gaming network since 1998, with a new game starting approximately every 60 seconds.
The Lac Vieux Band will have free control of their proxy-play site without any participation by MGAM. In addition, they have the exclusive right to host other tribes in the Great Lakes region, and will be recruiting additional Native American gaming hosts to use the proxy play system around the country.
It is expected that in-hall proxy play and Internet proxy play of Big Cash Bingo will begin at Lac Vieux Desert Casino some time in June, with MegaBingo debuting shortly thereafter.
MGAM provides system services to gaming establishments. The services include designing and developing video lottery and interactive bingo games and TV game shows; delivering them over the Betnet network; and providing interconnected electronic terminals for presenting these games to players.
Betnet is a multi-channel network using intranets, local area networks, the Internet, closed-circuit satellite TV and telephone lines.