SOURCE: Shingle Springs Tribal Gaming Authority

Shingle Springs Tribal Gaming Authority

February 24, 2012 21:11 ET

El Dorado County Court Issues Tentative Ruling on $30 Million Judgment

PLACERVILLE, CA--(Marketwire - Feb 24, 2012) - The El Dorado County Superior Court issued a tentative ruling this week that would prevent Sharp Image Gaming, Inc. from collecting on its $30 million judgment against the Shingle Springs Band of Miwok Indians (Tribe) while it appeals the judgment to a higher court.

In an effort to overturn the ruling in favor of the Tribe, Sharp's attorneys argued on a theory that Red Hawk Casino's revenues could be collected without consideration of the bondholders' prior rights, because the bond indenture had not been approved by the federal government and was, therefore, invalid.

"We are confident the Court will stand by its original ruling, and reject Sharp's effort to collect on a judgment while we appeal to a higher court," said Nicholas Fonseca, Chairman of the Tribe. "The fact is the federal agency that oversees gaming contracts confirmed that our bond indenture was, in fact, valid. So that's the end of it."

The Court has given the Tribe an opportunity to address Sharp's arguments in written briefing, and the Tribe will present the documentation demonstrating the agency's action. The matter should be resolved within weeks.

Contact Information

    Shingle Springs Band of Miwok Indians
    Shingle Springs Rancheria
    (Verona Tract), California
    5281 Honpie Road, Placerville, CA 95667
    P.O. Box 1340 Shingle Springs, CA 95682
    Office (530) 676-8010
    Fax (530) 676-8033

    Kim Stoll
    530.672.4179, office
    775.232.4976, cell