California gaming regulators say no to Galaxy Gaming, CEO

LAS VEGAS -- The California Gambling Control Commission on Thursday unanimously upheld a judge’s ruling that deemed Galaxy Gaming California LLC, a subsidiary of Las Vegas-based Galaxy Gaming Inc., and its CEO Robert Saucier unsuitable to do business in California.

Since it involved litigation, the four-member gaming commission voted in closed session, a commission spokeswoman in Sacramento said. The commission also declined comment on the ruling.

Both Galaxy and Saucier had submitted applications for a finding of suitability to supply Native American casinos in California with casino products. Galaxy manufactures table games, as well as TableMAX, an automated table game that offers blackjack without a live dealer.

In a 103-page decision in April, Administrative Law Judge Catherine Frink in Sacramento wrote, “cause exists to deny both applicants.”

Frink said both Galaxy Gaming and Saucier provided untrue or misleading information. Saucier also allegedly inked licensing deals with several California Indian casinos, collecting about $2,000 a month from each in licensing fees, without commission approval.

Frink’s recommendation stems from a three-year investigation of business license applications by Saucier. Messages left with Saucier Thursday were not returned.

She said Saucier “engaged in activities that created the danger of unsuitable, unfair or illegal practices.”

Nevada gaming regulators did investigate Galaxy when the company received a license in 2010 but found no problems. The decision by California regulators comes four days after Galaxy Gaming announced a deal with Harrah’s Cherokee Casino Resort east of Asheville, N.C., to install its games.

Galaxy Gaming has operated in California since 1999 without incident, according to the judge’s ruling. Frink said they “ignored the fact that those entities have been able to do so, in large part, because of (their) own dilatory tactics during the application and appeal process.”