Missouri Prosecutors Association Archives

Illegal gambling complaints in Missouri have almost quadrupled in one year

October 11, 2019 By Brian Hauswirth

The Missouri State Highway Patrol testified Thursday in Jefferson City that the number of complaints it’s received about illegal gambling has increased from 39 in 2018 to 145 so far this year.

Missouri House Special Interim Committee on Gaming Chairman Dan Shaul, R-Imperial, speaks during a hearing on August 22, 2019 (file photo courtesy of Tim Bommel at House Communications)

Most of those complaints are about alleged illegal slot machines. Highway Patrol Lieutenant Roger Phillips tells state lawmakers the Patrol’s Division of Drug and Crime Control (DDCC) only has two full-time investigators to handle these complaints.

“In recent months, we’ve had such a volume of complaints that we’ve had to pull investigators from other assigned duties to come and help investigate these complaints,” Phillips testifies.

The Patrol’s DDCC is the Patrol’s criminal investigation bureau’s investigative branch. Phillips testified Thursday before the House Special Interim Committee on Gaming.

Alleged illegal slots can be found in bars, restaurants, gas stations and convenience stores.

The Missouri Prosecutors Association also testified at Thursday’s hearing. Prosecutors Association legal counsel Steve Sokoloff says the first criminal case in the state involving alleged illegal slots will go to trial in December in western Missouri’s Platte County.

“I think everybody is waiting to see once there’s a definitive statement I think you’ll find that there will be a lot more willingness to prosecute those cases,” says Sokoloff.

House Special Interim Committee on Gaming Chairman Dan Shaul, R-Imperial, predicts the alleged illegal slot machine issue will end up at the Missouri Supreme Court. Representative Shaul tells Mr. Sokoloff that whichever side loses the Platte County case will appeal.

“It’s a good chance it’s going to end up over here (across the street at the Missouri Supreme Court in Jefferson City). There’s enough money on each side of this argument,” Shaul tells Sokoloff.

“They’re going to try anyway, let’s put it that way,” Sokoloff responds.

“Either side, win or lose, they’re both,” Shaul says. “Right,” Sokoloff responds.

Sokoloff tells lawmakers that all gambling is illegal in Missouri by the Constitution, unless specifically provided for.

State Rep. Jeff Shawan, R-Poplar Bluff, says prosecutors in his southeast Missouri district are dealing with more important violent crime issues than slot machines.

The Missouri Gaming Association describes the slot machines in gas stations and truck stops as illegal, adding that they bypass Missouri voters. The Gaming Association opposes legalizing the video lottery terminals, saying Missouri casinos generated $370 million in state tax revenue in 2018.

The Missouri Gaming Commission has testified that any illegal gaming machines used in Missouri negatively impact casinos and the state Lottery, reducing taxes and funding for education and veterans.

The House committee’s next hearing will be its fourth, and is scheduled for October 24 at the Statehouse. It will be on sports betting.

Thursday’s Missouri House hearing on alleged illegal slots expected to draw crowd

October 9, 2019 By Brian Hauswirth

The Missouri State Highway Patrol and the Missouri Prosecutors Association will testify Thursday in Jefferson City before a House gaming committee investigating the issue of alleged illegal slot machines.

State Rep. Dirk Deaton, R-Noel, speaks at the August 22, 2019 Missouri House Special Interim Committee on Gaming hearing. State Rep. Robert Ross, R-Yukon, is behind him. (file photo courtesy of Tim Bommel at House Communications)

A large crowd is expected to attend the House Special Interim Committee on Gaming hearing, which begins at noon at the Statehouse.

The committee will hear testimony from Missouri State Highway Patrol Lieutenant Justin McCullough and from Missouri Prosecutors Association legal counsel Steve Sokoloff.

During the committee’s last hearing in September, Missouri Lottery Executive Director May Scheve Reardon testified that illegal slot machines are hurting public education in the Show-Me State. She says the I-44 corridor has many of them, and told lawmakers about one Lottery sales representative whose territory goes from St. James to Lebanon.

“Down that I-44 corridor in six months, her route alone was down $800,000. That’s an estimated $3.2 million sales lost for six months,” Scheve Reardon testified on September 5.

Alleged illegal slot machines can be found in bars, restaurants, gas stations and convenience stores.

Committee Chairman Dan Shaul, R-Imperial, tells Missourinet that illegal slot machines cost Missouri education at least $50 million last year. He says the illegal machines “are everywhere” in the state and in his district in eastern Missouri’s Jefferson County.

“But I think what we have to worry about is not what happened last year, it’s what’s going to happen next year because this is not a plateau. We are going to continue to see the loss,” Chairman Shaul told Missourinet after the September hearing.

Missouri Gaming Commission Executive Director David Grothaus testified in August that any illegal gaming machines used in Missouri negatively impact casinos and the state Lottery, reducing taxes and funding for education and veterans. Grothaus has called for the state to develop a coordinated effort to stop illegal slot machines.

Grothaus notes there’s one pending criminal case in western Missouri’s Platte County, in the Kansas City area.

Thursday is also your first opportunity to testify before the committee, and House officials have encouraged those who want to testify to call ahead. The hearing is expected to last for two to three hours.

Anyone who wants to testify Thursday should call E.J. Fleischmann in Chairman Shaul’s office. That number is (573) 751-2504.