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Detroit Casino Process Ruled Unconstitutional11 January 2002TRAVERSE CITY, Michigan –– As reported by the Associated Press: "The city of Detroit violated the U.S. Constitution by giving two companies preferential treatment when issuing licenses for casinos there, a federal appeals panel ruled today. "In a 2-1 ruling, the Sixth Circuit U.S. Court of Appeals in Cincinnati overturned a federal judge who had upheld the Detroit ordinance and returned the case to the lower court for further consideration. "The Lac Vieux Desert Band of Lake Superior Chippewa Indians, based in the western Upper Peninsula, filed suit challenging a city ordinance that determined how casino operators would be chosen. "…The ordinance contained a built-in preference for two of the groups that helped support the measure: Greektown Casino LLC and Atwater Entertainment Associates LLC, which owns part of MotorCity Casino along with Mandalay Resort Group of Las Vegas. "…The city ordinance said that in awarding licenses to operate casinos, preference should be given to developers who `made significant contributions' to bringing gambling to Detroit `by actively promoting and significantly supporting' the ballot initiatives. "In its suit, the Lac Vieux Desert tribe argued that the ordinance discriminated against it for failing to take the correct position in the political debate over legalizing off-reservation gambling. The appeals court agreed. "…It was unclear how today's ruling would affect the existing casino operators and the unsuccessful applicants…" |