House bill could let police seize gambling houses

Published 2:55 pm Tuesday, April 10, 2012

Rep. Allen Farley was so upset, he had to go out and do yard work to let off steam Friday.

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Farley, R-McCalla, represents the 15th District in the Alabama House of Representatives, and he has introduced a bill that would upgrade illegal possession of slot machines and similar gambling devices from a misdemeanor to a felony — which would allow law enforcement agencies to not only seize the devices, but also the property where they are operating.

But his bill, HB 414, is running into opposition from those who would like electronic bingo legalized. One opponent, State Sen. Harri Anne Smith, I-Slocomb, has been giving him fits.

“She told some television news people that this bill would outlaw people bringing lottery tickets back in from Georgia and such,” Farley said. “She was showing them an old version of the bill, when she knows it’s been substituted. It’s an old version she’s using.

“These elected officials who are pro-gambling are just fanning the flames of confusion.”

Smith was one of the defendants in the federal bingo corruption trials in Montgomery, in which State Sen. Scott Beason, R-Gardendale, was a key witness for the prosecution. Smith and all other defendants, including Victoryland greyhound track/casino owner Milton McGregor, were acquitted of all charges.

Farley, retired from 36 years in law enforcement with the last seven serving as assistant sheriff in Jefferson County, was asked by Attorney General Luther Strange to carry the bill through the legislature because of his experience with shutting illegal gambling businesses.

“We’re trying to stop these large operations of devices. The Supreme Court has a very narrow description of legal bingo, and it’s traditional bingo with cards and a live caller,” Farley said. “It takes some skill and participation by the player. If you’re not paying attention to the caller, you might miss a bingo and lose. Slot machines are just a game of chance. You push a button and have absolutely no control over the outcome.”

Electronic bingo facilities flourished openly for a time in the last few years. Operations ranged from small stores and prefab buildings which sprang up throughout much of Walker County, to city-licensed large halls in Fairfield, to the biggest of them all — McGregor’s Victoryland.

But since former Gov. Bob Riley cracked down on those operations, the machines have been relegated to vacant houses and buildings off the beaten path, small operations publicized only by word of mouth. Those types of locations are the focus of another federal investigation of political corruption, this one involving Kimberly Mayor Craig Harris, who wore a wire to record gambling operators bribing him to keep city police away from at least three such locations. That investigation has already led to one plea-bargain deal, with indictments expected from a federal grand jury in the coming weeks.

Farley says there are many such gambling houses scattered throughout the state. The amount of profit they generate is much greater than the misdemeanor fines under current laws. He quotes Bob Sertell, often used as an expert witness in gambling-related cases, who claims that an individual machine can make a profit of $1,000 a day on average. That figure is backed up by data from Strange’s office, Farley said.

“It won’t take long for a group of machines to pay for itself, including the fines,” Farley said. “The operators come in from out of state, offer an owner to upgrade their property and split the profits. A building with 100 machines can bring in $3 million in one month.”

HB 414 amends the current laws to make possession of 10 or more devices a class C felony, up from a class A misdemeanor. Another clause allows law enforcement to seize the property, “just as they do if you have a drug house,” Farley said.

The law would have no effect on the casinos operated by Native American tribes, such as those run by the Poarch Band of Creek Indians in Wetumpka, Atmore and suburban Montgomery. Those facilities are controlled by federal laws.

Farley, whose district includes Mt. Olive, Corner and Bagley in north Jefferson County, is joined by Rep. Paul DeMarco, R-Homewood, in pushing the bill. Rep. Alan Treadaway, R-Morris, is a co-sponsor.

The House Judiciary Committee passed the HB 414 on Thursday. It now goes to the House floor for a vote, and if passed, moves to the State Senate.