Feds to audit Cheyenne, Arapaho Tribes

CONCHO — Federal Indian gaming regulators plan a rare investigative audit of the Cheyenne and Arapaho Tribes, The Oklahoman has learned.

The National Indian Gaming Commission wants to know how the two tribes have spent an estimated $50 million derived from their three casinos — primarily the Lucky Star casinos at Concho and Clinton — in the last two years.

The examination of gaming revenues will begin Jan. 8, according to a Nov. 30 letter sent to the tribe by the federal agency's audit director.

Chuck Choney, one of the agency's three commissioners, said he couldn't recall such an audit being performed on an Oklahoma tribe.

He said any criminal findings will be turned over to the FBI.

The Cheyenne and Arapaho governor, Darrell Flyingman, said he welcomes the investigation.

"It's a sad thing that our own people had to turn us in, but it's going to uncover a lot of things and bring them out into the open,” Flyingman said. "I hope they'll come down and look at all the people who have been taking money from the casinos.”

Ida Hoffman, who heads the tribes' legislative body, said she requested a more exhaustive forensic audit. Instead, the agency agreed only to make sure tribal officials are complying with a gaming revenue allocation plan.

Hoffman said the first 21 percent of casino profits goes toward "administrative expenses.” After that, the plan allots 30 percent for economic development, 20 percent for direct payments to tribe members, 16 percent for elder care, 10 percent for education, 10 percent for culture and heritage, 2 percent to the election board and 2 percent to the health board.

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