Reprinted
April 11, 2007
ENGROSSED
HOUSE BILL No. 1510
_____
DIGEST OF HB 1510
(Updated April 10, 2007 7:54 pm - DI 92)
Citations Affected: IC 4-30; IC 4-32.2; IC 4-33; IC 4-33.5; IC 6-2.5;
IC 7.1-3; IC 33-39; IC 35-45; noncode.
Synopsis: Charity gaming. Transfers $166,666 each month from the
build Indiana fund to the enforcement and administration fund.
Transfers $41,666 each month from the build Indiana fund to the state
gambling enforcement fund. Makes numerous changes to the laws
concerning charity gaming licenses and the participants in charity
gaming. Authorizes the gaming commission to issue an annual license
permitting a qualified organization to sell pull tabs, punchboards, and
tip boards at any time on the premises owned or leased by the qualified
organization and regularly used for the activities of the qualified
organization. Authorizes an annual charity game night license.
Specifies that state educational institutions are qualified organizations.
Specifies the conditions for conducting raffles and door prize drawings
applicable to a candidate's committee. Makes certain changes
concerning manufacturers and distributors of charity gaming supplies.
Specifically lists electronic gaming devices among the gambling
devices that may not be maintained in a place accessible to the public.
(Continued next page)
Effective: Upon passage; July 1, 2007.
Van Haaften, Whetstone
(SENATE SPONSORS _ MERRITT, HERSHMAN, SIMPSON)
January 23, 2007, read first time and referred to Committee on Public Policy.
February 15, 2007, amended, reported _ Do Pass.
February 19, 2007, read second time, amended, ordered engrossed.
February 20, 2007, engrossed.
February 22, 2007, read third time, passed. Yeas 74, nays 23.
SENATE ACTION
February 27, 2007, read first time and referred to Committee on Commerce, Public Policy
and Interstate Cooperation.
March 20, 2007, Pursuant to Senate Rule 65(b), reassigned to Committee on Rules and
Legislative Procedure.
April 3, 2007, amended, reported favorably _ Do Pass.
April 10, 2007, read second time, amended, ordered engrossed.
Digest Continued
Authorizes the revocation of a lottery retailer's contract with the lottery
commission, a charity gaming license, a retail merchant's certificate, a
tobacco sales certificate, or an alcoholic beverage permit for certain
criminal violations. Provides that a second unrelated conviction for
professional gambling or promoting professional gambling is a Class C
felony rather than a Class D felony. Establishes the office of the special
prosecuting attorney for gambling enforcement. Permits the special
prosecuting attorney to prosecute certain gambling crimes: (1) if the
special prosecuting attorney certifies certain information about the crime
to a county prosecuting attorney and the county prosecuting attorney:
(A) is disqualified from investigating or bringing a criminal prosecution
in the matter addressed in the certification; (B) does not file an
information or seek an indictment within ninety (90) days after the date
on which the special prosecuting attorney certified the information to the
county prosecuting attorney; or (C) refers the case back to the special
prosecuting attorney; and (2) if the special prosecuting attorney finds
that there is probable cause to believe that a person identified in the
certification has violated a criminal statute identified in the certification.
Establishes the state gambling enforcement fund to pay the operating
expenses of the office of the special prosecuting attorney for gambling
enforcement.
Reprinted
April 11, 2007
First Regular Session 115th General Assembly (2007)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in
this style type, and deletions will appear in
this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in
this style type. Also, the word
NEW will appear in that style type in the introductory clause of each SECTION that adds a new
provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in
this style type or
this style type reconciles conflicts
between statutes enacted by the 2006 Regular Session of the General Assembly.
ENGROSSED
HOUSE BILL No. 1510
A BILL FOR AN ACT to amend the Indiana Code concerning
gaming.
Be it enacted by the General Assembly of the State of Indiana:
SOURCE: IC 4-30-9-5; (07)EH1510.2.1. -->
SECTION 1. IC 4-30-9-5 IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2007]: Sec. 5. A contract executed by the
commission under this chapter must specify the reasons for a suspension
or termination of the contract by the commission, including the
following:
(1) Commission of a violation of this article, IC 35-45-5-3,
IC 35-45-5-4, or a rule adopted under this article.
(2) Failure to accurately account for lottery tickets, revenues, or
prizes as required by the commission.
(3) Commission of a fraud, deceit, or misrepresentation.
(4) Insufficient sale of tickets.
(5) Conduct prejudicial to public confidence in the lottery.
(6) A material change in a matter considered by the commission
executing the contract with the retailer.
SOURCE: IC 4-30-17-3.5; (07)EH1510.2.2. -->
SECTION 2. IC 4-30-17-3.5 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 3.5. (a) Before the
twenty-fifth day of
the each month, the auditor of state shall
transfer
make the following transfers from the build Indiana fund: to:
(1) To the state general fund motor vehicle excise tax replacement
account, nineteen million six hundred eighty-four thousand three
hundred seventy dollars ($19,684,370). per month;
(2) To the enforcement and administration fund established
under IC 7.1-4-10, one hundred sixty-six thousand six hundred
sixty-six dollars ($166,666).
(3) To the state gambling enforcement fund established under
IC 4-33.5-4, forty-one thousand six hundred sixty-six dollars
($41,666).
(b) This subsection applies only if insufficient money is available in
the build Indiana fund to make the distributions to the state general fund
motor vehicle excise tax replacement account that are required under
subsection (a). Before the twenty-fifth day of each month, the auditor of
state shall transfer from the state general fund to the state general fund
motor vehicle excise tax replacement account the difference between:
(1) the amount that subsection (a) requires the auditor of state to
distribute from the build Indiana fund to the state general fund
motor vehicle excise tax replacement account; and
(2) the amount that is available for distribution from the build
Indiana fund to the state general fund motor vehicle excise tax
replacement account.
The transfers required under this subsection are annually appropriated
from the state general fund.
SOURCE: IC 4-32.2-1-1; (07)EH1510.2.3. -->
SECTION 3. IC 4-32.2-1-1, AS ADDED BY P.L.91-2006, SECTION
3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1,
2007]: Sec. 1. (a) This article applies only to a qualified organization.
(b) This article applies only to the following approved gambling
events conducted as fundraising activities by qualified
organizations:
(1) Bingo events, charity game nights, door prize events, raffle
events, festivals, and other gaming events approved by the
commission. and
(2) The sale of pull tabs, punchboards, and tip boards:
(A)
at bingo events, charity game nights, door prize events,
raffle events, and festivals conducted by qualified
organizations; or
(B)
at any time on the premises owned or leased by a qualified
organization and regularly used for the activities of the
qualified organization.
This article does not apply to any other sale of pull tabs,
punchboards, and tip boards.
(c) This article does not apply to a promotion offer subject to
IC 24-8.
SOURCE: IC 4-32.2-1-3; (07)EH1510.2.4. -->
SECTION 4. IC 4-32.2-1-3, AS ADDED BY P.L.91-2006, SECTION
3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1,
2007]: Sec. 3. A bingo event, charity game night, door prize drawing, or
raffle, festival event, or other charity gambling event licensed under
IC 4-32.2-4-16 is not allowed in Indiana unless it is conducted by a
qualified organization in accordance with this article.
SOURCE: IC 4-32.2-2-15; (07)EH1510.2.5. -->
SECTION 5. IC 4-32.2-2-15, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 15. "Door prize" means a prize awarded to a person
based solely upon the person's paid attendance at an a charity
fundraising event or the purchase of a ticket to attend an a charity
fundraising event.
SOURCE: IC 4-32.2-2-18.5; (07)EH1510.2.6. -->
SECTION 6. IC 4-32.2-2-18.5 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 18.5. "Full-time employee" means an individual
who:
(1) is and has been employed by a particular qualified
organization for at least ninety (90) consecutive days as of the
date of the qualified organization's allowable event; and
(2) works at least an average of thirty-two (32) hours per week
or one thousand six hundred sixty-two (1,662) hours per year
for the qualified organization in a capacity that is primarily
unrelated to the qualified organization's charity gaming
operations.
SOURCE: IC 4-32.2-2-18.7; (07)EH1510.2.7. -->
SECTION 7. IC 4-32.2-2-18.7 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 18.7. "Key person" means any:
(1) officer;
(2) director;
(3) executive;
(4) employee;
(5) trustee;
(6) substantial owner;
(7) independent owner; or
(8) agent;
of a business entity that has the power to exercise management or
operating authority over the business entity or its affiliates.
SOURCE: IC 4-32.2-2-20.5; (07)EH1510.2.8. -->
SECTION 8. IC 4-32.2-2-20.5, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 20.5. "Member" means any of the following:
(1) An individual entitled to membership in a qualified
organization under the bylaws, articles of incorporation, charter, or
rules of the qualified organization.
(2) A member of the qualified organization's auxiliary.
(3) In the case of a qualified organization that is a public or
nonpublic school (as defined in IC 20-18-2-12), either any of the
following:
(A) A parent of a child enrolled in the school.
(B) A member of the school's parent organization.
(C) A member of the school's alumni association.
(D) An employee of the school.
(E) An officer of the school.
(F) A student enrolled in the school.
(4) A member of a qualified organization's board of directors
or board of trustees.
SOURCE: IC 4-32.2-2-21.5; (07)EH1510.2.9. -->
SECTION 9. IC 4-32.2-2-21.5 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 21.5. "PPT license" refers to a license issued to
a qualified organization under IC 4-32.2-4-16.5.
SOURCE: IC 4-32.2-2-24; (07)EH1510.2.10. -->
SECTION 10. IC 4-32.2-2-24, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 24. (a) "Qualified organization" means:
(1) a bona fide religious, educational, senior citizens, veterans, or
civic organization operating in Indiana that:
(A)
operates without profit to the organization's members;
(B)
is exempt from taxation under Section 501 of the Internal
Revenue Code; and
(C)
has been continuously in existence in Indiana for at least
five (5) years or is affiliated with a parent organization that has
been in existence in Indiana for at least five (5) years; or
(2) a bona fide political organization operating in Indiana that
produces exempt function income (as defined in Section 527 of the
Internal Revenue Code); or
(3) a state educational institution (as defined in IC 20-12-0.5-1).
(b) For purposes of IC 4-32.2-4-3, a "qualified organization" includes
the following:
(1) A hospital licensed under IC 16-21.
(2) A health facility licensed under IC 16-28.
(3) A psychiatric facility licensed under IC 12-25.
(4) An organization defined in subsection (a).
(c) For purposes of IC 4-32.2-4-10, a "qualified organization"
includes a bona fide business organization.
SOURCE: IC 4-32.2-2-27.5; (07)EH1510.2.11. -->
SECTION 11. IC 4-32.2-2-27.5 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 27.5. "Substantial owner" means:
(1) a person holding at least a five percent (5%) ownership
interest; or
(2) an institutional investor holding at least a fifteen percent
(15%) ownership interest;
in a business entity.
SOURCE: IC 4-32.2-2-30; (07)EH1510.2.12. -->
SECTION 12. IC 4-32.2-2-30, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 30. "Worker" means an individual who helps or
participates in any manner in preparing for, conducting or assisting in
conducting cleaning up after, or taking any other action in connection
with an allowable event under this article.
SOURCE: IC 4-32.2-3-3; (07)EH1510.2.13. -->
SECTION 13. IC 4-32.2-3-3, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 3. (a) The commission shall adopt rules under
IC 4-22-2 for the following purposes:
(1) Administering this article.
(2) Establishing the conditions under which charity gaming in
Indiana may be conducted.
(3) Providing for the prevention of practices detrimental to the
public interest and providing for the best interests of charity
gaming.
(4) Establishing rules concerning inspection of qualified
organizations and the review of the licenses necessary to conduct
charity gaming.
(5) Imposing penalties for noncriminal violations of this article.
(6) Establishing standards for independent audits conducted
under IC 4-32.2-5-5.
(b) The commission may adopt emergency rules under
IC 4-22-2-37.1 if the commission determines that:
(1) the need for a rule is so immediate and substantial that
rulemaking procedures under IC 4-22-2-13 through IC 4-22-2-36
are inadequate to address the need; and
(2) an emergency rule is likely to address the need.
SOURCE: IC 4-32.2-3-4; (07)EH1510.2.14. -->
SECTION 14. IC 4-32.2-3-4, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 4. (a) The commission has the sole authority to
license entities under this article to sell, distribute, or manufacture the
following:
(1) Bingo cards.
(2) Bingo boards.
(3) Bingo sheets.
(4) Bingo pads.
(5) Pull tabs.
(6) Punchboards.
(7) Tip boards.
(8) Any other supplies, devices, or equipment designed to be used
in allowable events designated by rule of the commission.
a licensed supply.
(b) Qualified organizations must obtain the materials described in
subsection (a) licensed supplies only from an entity licensed by the
commission.
(c) The commission may not limit the number of qualified entities
licensed under subsection (a).
(d) The commission may deny a license to an applicant for a
license to sell, manufacture, or distribute licensed supplies if the
commission determines that at least one (1) of the following applies
with respect to the applicant:
(1) The applicant has:
(A)
violated a local ordinance, a state or federal statute, or
an administrative rule or regulation and the violation would
cause the commission to determine that the applicant, a key
person, or a substantial owner of the applicant is not of
good moral character or reputation; or
(B) committed any other act that would negatively impact
the integrity of charity gaming in Indiana.
(2) The applicant has engaged in fraud, deceit, or
misrepresentation.
(3) The applicant has failed to provide information required by
this article or a rule adopted under this article.
SOURCE: IC 4-32.2-3-5; (07)EH1510.2.15. -->
SECTION 15. IC 4-32.2-3-5, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 5. The commission shall charge appropriate fees to
the following:
(1) An applicant for a license to conduct an allowable event.
(2) An applicant seeking a license to distribute bingo supplies, pull
tabs, punchboards, or tip boards. a licensed supply.
(3) An applicant seeking a license to manufacture bingo supplies,
pull tabs, punchboards, or tip boards. a licensed supply.
SOURCE: IC 4-32.2-4-2.5; (07)EH1510.2.16. -->
SECTION 16. IC 4-32.2-4-2.5 IS ADDED TO THE INDIANA
CODE AS A
NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]:
Sec. 2.5. The commission may deny a license to an
organization if the commission determines that at least one (1) of the
following applies with respect to the organization:
(1) The organization has:
(A)
violated a local ordinance, a state or federal statute, or
an administrative rule or regulation and the violation would
cause the commission to determine that the applicant, a key
person, or a substantial owner of the applicant is not of
good moral character or reputation; or
(B) committed any other act that would negatively impact
the integrity of charity gaming in Indiana.
(2) The organization has engaged in fraud, deceit, or
misrepresentation.
(3) The organization has failed to provide information required
by this article or a rule adopted under this article.
(4) The organization has failed to provide sufficient
information to enable the commission to determine that the
organization is a qualified organization.
SOURCE: IC 4-32.2-4-3; (07)EH1510.2.17. -->
SECTION 17. IC 4-32.2-4-3, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 3. (a) A qualified organization is not required to
obtain a license from the commission if the value of all prizes awarded
at the bingo event, charity game night, raffle event,
or door prize event,
festival event, or other event licensed under section 16 of this
chapter, including prizes from pull tabs, punchboards, and tip boards,
does not exceed one thousand dollars ($1,000) for a single event and not
more than three thousand dollars ($3,000) during a calendar year.
(b) A qualified organization
described in subsection (a) that plans to
hold
a bingo an allowable event
described in subsection (a) more than
one (1) time a year shall send an annual written notice to the
commission informing the commission of the following:
(1) The estimated frequency of the planned
bingo allowable
events.
(2) The location or locations where the qualified organization plans
to hold the
bingo allowable events.
(3) The estimated
amount of revenue expected to be generated by
value of all prizes awarded at each
bingo allowable event.
(c) The notice required under subsection (b) must be filed before the
earlier of the following:
(1) March 1 of each year.
(2) One (1) week before the qualified organization holds the first
bingo allowable event of the year.
(d) A qualified organization
that conducts an allowable event
described in subsection (a) shall maintain accurate records of all
financial transactions of an the event. conducted under this section. The
commission may inspect records kept in compliance with this section.
SOURCE: IC 4-32.2-4-5; (07)EH1510.2.18. -->
SECTION 18. IC 4-32.2-4-5, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 5. (a) The commission may issue a bingo license
to a qualified organization if:
(1) the provisions of this section are satisfied; and
(2) the qualified organization:
(A) submits an application; and
(B)
pays a fee set by the commission under IC 4-32.2-6.
(b) The commission may hold a public hearing to obtain input on the
proposed issuance of an annual bingo license to an applicant that has
never held an annual bingo license under this article.
(c) The first time that a qualified organization applies for an annual
bingo license, the
commission qualified organization shall publish
notice that the application has been filed
by publication at least two (2)
times, seven (7) days apart, as follows:
(1) In one (1) newspaper in the county where the qualified
organization is located.
(2) In one (1) newspaper in the county where the allowable
event will be conducted.
(d) The notification
must be in accordance with IC 5-14-1.5-5 and
required by subsection (c) must contain the following:
(1) The name of the qualified organization and the fact that it has
applied for an annual bingo license.
(2) The location where the bingo events will be held.
(3) The names of the operator and officers of the qualified
organization.
(4) A statement that any person can protest the proposed issuance
of the annual bingo license.
(5) A statement that the commission shall hold a public hearing if
ten (10) written and signed protest letters are received by the
commission.
(6) The address of the commission where correspondence
concerning the application may be sent.
(d) (e) If the commission receives at least ten (10) protest letters, the
commission shall hold a public hearing in accordance with IC 5-14-1.5.
The commission shall issue a license or deny the application not later
than sixty (60) days after the date of the public hearing.
(e) (f) A license issued under this section:
(1) may authorize the qualified organization to conduct bingo
events on more than one (1) occasion during a period of one (1)
year;
(2) must state the locations of the permitted bingo events;
(3) must state the expiration date of the license; and
(4) may be reissued annually upon the submission of an application
for reissuance on the form established by the commission and upon
the licensee's payment of a fee set by the commission.
(f) (g) Notwithstanding subsection (e)(4), (f)(4), the commission
shall hold a public hearing for the reissuance of an annual bingo license
if either of the following conditions are met:
(1) An applicant has been cited for a violation of law or a rule of
the commission. or
(2) The commission finds, based upon investigation of at least
three (3) written and signed complaints alleging a violation of law
or a rule of the commission in connection with the bingo license,
that one (1) or more of the alleged violations:
(A) has occurred;
(B) is a type of violation that would allow the commission to
cite the applicant for a violation of a provision of this article or
of a rule of the commission; and
(C) has not been corrected after notice has been given by the
commission.
(2) The commission receives at least ten (10) protest letters
concerning the qualified organization's bingo operation.
(g) If the commission is required to hold a public hearing on an
application for a reissuance of an annual bingo license, it shall comply
with the same procedures required under this section for notice and for
conducting the hearing.
(h) The commission may deny a license if, after a public hearing, the
commission determines that the applicant:
(1) has violated a local ordinance; or
(2) has engaged in fraud, deceit, or misrepresentation.
SOURCE: IC 4-32.2-4-7.5; (07)EH1510.2.19. -->
SECTION 19. IC 4-32.2-4-7.5 IS ADDED TO THE INDIANA
CODE AS A
NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]:
Sec. 7.5. (a) Subject to subsection (h), the commission
may issue an annual charity game night license to a qualified
organization if:
(1) the provisions of this section are satisfied; and
(2) the qualified organization:
(A) submits an application; and
(B)
pays a fee set by the commission under IC 4-32.2-6.
(b) The commission may hold a public hearing to obtain input on
the proposed issuance of an annual charity game night license to an
applicant that has never held an annual charity game night license
under this article.
(c) The first time that a qualified organization applies for an
annual charity game night license, the qualified organization shall
publish notice that the application has been filed by publication at
least two (2) times, seven (7) days apart, as follows:
(1) In one (1) newspaper in the county where the qualified
organization is located.
(2) In one (1) newspaper in the county where the allowable
events will be conducted.
(d) The notification required by subsection (c) must contain the
following:
(1) The name of the qualified organization and the fact that it
has applied for an annual charity game night license.
(2) The location where the charity game night events will be
held.
(3) The names of the operator and officers of the qualified
organization.
(4) A statement that any person can protest the proposed
issuance of the annual charity game night license.
(5) A statement that the commission shall hold a public hearing
if ten (10) written and signed protest letters are received by the
commission.
(6) The address of the commission where correspondence
concerning the application may be sent.
(e) If the commission receives at least ten (10) protest letters, the
commission shall hold a public hearing in accordance with
IC 5-14-1.5. The commission shall issue a license or deny the
application not later than sixty (60) days after the date of the public
hearing.
(f) A license issued under this section:
(1) may authorize the qualified organization to conduct charity
game night events on more than one (1) occasion during a
period of one (1) year;
(2) must state the locations of the permitted charity game night
events;
(3) must state the expiration date of the license; and
(4) may be reissued annually upon the submission of an
application for reissuance on the form established by the
commission and upon the licensee's payment of a fee set by the
commission.
(g) Notwithstanding subsection (f)(4), the commission shall hold
a public hearing for the reissuance of an annual charity game night
license if either of the following conditions is met:
(1) An applicant has been cited for a violation of law or a rule
of the commission.
(2) The commission receives at least ten (10) protest letters
concerning the qualified organization's charity game night
operation.
(h) Notwithstanding IC 4-32.2-2-24, this section applies only to:
(1) a bona fide civic organization; or
(2) a bona fide veterans organization;
that has been continuously in existence in Indiana for ten (10) years.
A qualified organization that is not described in this subsection may
not apply for an annual charity game night license under this
section.
SOURCE: IC 4-32.2-4-8; (07)EH1510.2.20. -->
SECTION 20. IC 4-32.2-4-8, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 8. (a) The commission may issue a raffle license to
a qualified organization upon the organization's submission of an
application and payment of a fee determined under IC 4-32.2-6. The
license must:
(1) authorize the qualified organization to conduct a raffle event at
only one (1) time and location; and
(2) state the date, beginning and ending times, and location of the
raffle event.
(b) A qualified organization, by rule of the commission, may be
excused from the requirement of obtaining a license to conduct a raffle
event if the total market value of the prize or prizes to be awarded at the
raffle event does not exceed one thousand dollars ($1,000).
SOURCE: IC 4-32.2-4-9; (07)EH1510.2.21. -->
SECTION 21. IC 4-32.2-4-9, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 9. (a) The commissioner commission may issue an
annual raffle license to a qualified organization upon the organization's
submission of an application and payment of a fee determined under
IC 4-32.2-6. The license must
(1) authorize the qualified organization to conduct not more than
five (5) raffle events in the calendar year in which the license is
issued; and
(2) state the date, beginning and ending times, and location of each
raffle event conducted by the qualified organization in the calendar
year.
if:
(1) the provisions of this section are satisfied; and
(2) the qualified organization:
(A) submits an application; and
(B)
pays a fee set by the commission under IC 4-32.2-6.
(b) The application for an annual raffle prize license must
contain the following:
(1) The name of the qualified organization.
(2) The location where the raffle events will be held.
(3) The names of the operator and officers of the qualified
organization.
(c) A license issued under this section:
(1) may authorize the qualified organization to conduct raffle
events on more than one (1) occasion during a period of one (1)
year;
(2) must state the locations of the permitted raffle events;
(3) must state the expiration date of the license; and
(4) may be reissued annually upon the submission of an
application for reissuance on the form established by the
commission and upon the licensee's payment of a fee set by the
commission.
SOURCE: IC 4-32.2-4-10; (07)EH1510.2.22. -->
SECTION 22. IC 4-32.2-4-10, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 10. (a) The commission may issue a door prize
license to a qualified organization upon the organization's submission of
an application and payment of a fee determined under IC 4-32.2-6. The
license must:
(1) authorize the qualified organization to conduct a door prize
event at only one (1) time and location; and
(2) state the date, beginning and ending times, and location of the
door prize event.
(b) A qualified organization, by rule of the commission, may be
excused from the requirement of obtaining a license to conduct a door
prize event if the total market value of the prize or prizes to be awarded
at the door prize event does not exceed one thousand dollars ($1,000).
SOURCE: IC 4-32.2-4-11; (07)EH1510.2.23. -->
SECTION 23. IC 4-32.2-4-11, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 11. (a) The commission may issue an annual door
prize license to a qualified organization if:
(1) the provisions of this section are satisfied; and
(2) the qualified organization:
(A) submits an application; and
(B)
pays a fee set by the commission under IC 4-32.2-6.
(b) The application for an annual door prize license must contain the
following:
(1) The name of the qualified organization.
(2) The location where the door prize events will be held.
(3) The names of the operator and officers of the qualified
organization.
(c) A license issued under this section:
(1) may authorize the qualified organization to conduct door prize
events on more than one (1) occasion during a period of one (1)
year;
(2) must state the locations of the permitted door prize events;
(3) must state the expiration date of the license; and
(4) may be reissued annually upon the submission of an application
for reissuance on the form established by the commission and upon
the licensee's payment of a fee set by the commission.
(d) The commission may reject an application for an annual door
prize license if, after a public hearing, the commission determines that
the applicant:
(1) has violated a local ordinance; or
(2) has engaged in fraud, deceit, or misrepresentation.
SOURCE: IC 4-32.2-4-12; (07)EH1510.2.24. -->
SECTION 24. IC 4-32.2-4-12, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 12. (a) The commission may issue a festival license
to a qualified organization upon the organization's submission of an
application and payment of a fee determined under IC 4-32.2-6. The
license must authorize the qualified organization to conduct bingo
events, charity game nights, one (1) raffle event, events, gambling
events licensed under section 16 of this chapter, and door prize events
and to sell pull tabs, punchboards, and tip boards. The license must state
the location and the dates, not exceeding four (4) consecutive days, on
which these activities may be conducted.
(b) Except as provided in IC 4-32.2-5-6(c), a qualified organization
may not conduct more than one (1) festival each year. at which bingo
events, charity game nights, raffle events, and door prize events, are
conducted and pull tabs, punchboards, and tip boards are sold.
(c) The raffle event authorized by a festival license is not subject to
the prize limits set forth in this chapter. Bingo events, charity game
nights, and door prize events conducted at a festival are subject to the
prize limits set forth in this chapter.
SOURCE: IC 4-32.2-4-13; (07)EH1510.2.25. -->
SECTION 25. IC 4-32.2-4-13, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 13. (a) A bingo license or special bingo license
may also authorize a qualified organization to conduct raffle events and
door prize drawings and sell pull tabs, punchboards, and tip boards at
the bingo event.
(b) A charity game night license may also authorize a qualified
organization to:
(1) conduct raffle events and door prize drawings; and
(2) sell pull tabs, punchboards, and tip boards;
at the charity game night.
(c) A raffle license or an annual raffle license may also authorize
a qualified organization to conduct door prize drawings and sell pull
tabs, punchboards, and tip boards at the raffle event.
(d) A door prize license or an annual door prize license may also
authorize a qualified organization to conduct a raffle event and to sell
pull tabs, punchboards, and tip boards at the door prize event.
SOURCE: IC 4-32.2-4-14; (07)EH1510.2.26. -->
SECTION 26. IC 4-32.2-4-14, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 14. A qualified organization may hold more than
one (1) license at a time. However, a qualified organization with
multiple licenses may not hold a bingo event and raffle at the same event
or at the same time and place unless, by express determination, the
commission allows a qualified organization to do so. The commission
may allow a qualified organization to conduct only one (1) event each
year at which both bingo and a raffle may be held.
SOURCE: IC 4-32.2-4-16; (07)EH1510.2.27. -->
SECTION 27. IC 4-32.2-4-16, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 16. (a) This section applies to a gambling event that
is described in neither:
(1) section 1(1) through 1(6) of this chapter; nor
(2) IC 4-32.2-2-12(b).
(b) The commission may issue a single event license or an annual
event license to conduct a gambling event approved by the commission
to a qualified organization upon the organization's submission of an
application and payment of a fee determined under IC 4-32.2-6. The
(c) A single event license must:
(1) authorize the qualified organization to conduct the gambling
event at only one (1) time and location; and
(2) state the date, beginning and ending times, and location of the
gambling event.
(d) An annual event license:
(1) must authorize the qualified organization to conduct the
events on more than one (1) occasion during a period of one (1)
year;
(2) must state the locations of the permitted events;
(3) must state the expiration date of the license; and
(4) may be reissued annually upon the submission of an
application for reissuance on the form established by the
commission and upon the licensee's payment of a fee set by the
commission.
(c) (e) The commission may impose any condition upon a qualified
organization that is issued a license to conduct a gambling event under
this section.
SOURCE: IC 4-32.2-4-16.5; (07)EH1510.2.28. -->
SECTION 28. IC 4-32.2-4-16.5 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 16.5. (a) The commission may issue an annual
PPT license to a qualified organization upon the organization's
submission of an application and payment of a fee determined under
IC 4-32.2-6.
(b) A license issued under this section authorizes a qualified
organization to sell pull tabs, punchboards, and tip boards at any
time on the premises owned or leased by the qualified organization
and regularly used for the activities of the qualified organization.
(c) A license issued under this section is not required for the sale
of pull tabs, punchboards, and tip boards at another allowable event
as permitted under section 13 of this chapter.
(d) The application for an annual PPT license must contain the
following:
(1) The name of the qualified organization.
(2) The location where the qualified organization will sell pull
tabs, punchboards, and tip boards.
(3) The names of the operator and the officers of the qualified
organization.
SOURCE: IC 4-32.2-4-18; (07)EH1510.2.29. -->
SECTION 29. IC 4-32.2-4-18, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 18. (a) With respect to any action authorized by
this section, a candidate's committee (as defined in IC 3-5-2-7) is
considered a bona fide political organization.
(b) A candidate's committee may apply for a license under section 8
of this chapter to conduct a raffle event. A candidate's committee may
not also conduct a door prize drawing at the raffle event but is
prohibited from conducting any other kind of allowable event.
(c) The following are subject to this article: chapter and
IC 4-32.2-6:
(1) A candidate's committee that applies for a license under section
8 of this chapter.
(2) A raffle event or door prize drawing conducted by a
candidate's committee.
(d) The members of a candidate's committee may conduct an
event under this section without meeting the requirements of this
article concerning the membership of a qualified organization. A
candidate's committee licensed under this section must remain in
good standing with the election division or the county election board
having jurisdiction over the committee.
SOURCE: IC 4-32.2-5-3; (07)EH1510.2.30. -->
SECTION 30. IC 4-32.2-5-3, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 3. (a) All net proceeds from an allowable event and
related activities may be used only for the lawful purposes of the
qualified organization.
(b) To determine the net proceeds from an allowable event, a
qualified organization shall subtract the following from the gross
receipts received from the allowable event:
(1) An amount equal to the total value of the prizes, including door
prizes, awarded at the allowable event.
(2) The sum of the purchase prices paid for licensed supplies
dispensed at the allowable event.
(3) An amount equal to the qualified organization's license fees
attributable to the allowable event.
(4) An amount equal to the advertising expenses incurred by the
qualified organization to promote the allowable event.
(5) An amount not to exceed two hundred dollars ($200) per
day for rent paid for facilities leased for an allowable event.
SOURCE: IC 4-32.2-5-5; (07)EH1510.2.31. -->
SECTION 31. IC 4-32.2-5-5, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 5.
(a) A qualified organization shall maintain
accurate records of all financial aspects of an allowable event under this
article. A qualified organization shall make accurate reports of all
financial aspects of an allowable event to the commission within the
time established by the commission. The commission may prescribe
forms for this purpose. The commission shall, by rule, require a
qualified organization to deposit funds received from an allowable event
in a separate and segregated account set up for that purpose. All
expenses of the qualified organization with respect to an allowable event
shall be paid from the separate account.
(b) The commission may require a qualified organization to
submit any records maintained under this section for an
independent audit by a certified public accountant selected by the
commission. A qualified organization must bear the cost of any
audit required under this section.
SOURCE: IC 4-32.2-5-6; (07)EH1510.2.32. -->
SECTION 32. IC 4-32.2-5-6, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 6. (a) A qualified organization may not conduct
more than three (3) allowable events during a calendar week and not
more than one (1) allowable event each day.
(b) Except as provided in IC 4-32.2-4-12 and IC 4-32.2-4-16.5,
allowable events may not be held on more than two (2) consecutive
days.
(c) A bona fide civic qualified organization may conduct one (1)
additional allowable festival event during each six (6) months of a
calendar year.
SOURCE: IC 4-32.2-5-8; (07)EH1510.2.33. -->
SECTION 33. IC 4-32.2-5-8, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 8. (a) Except as provided in subsection (d), If
facilities are leased for an allowable event, the rent may not
(1) be based in whole or in part on the revenue generated from the
event. or
(2) exceed two hundred dollars ($200) per day.
(b) A facility may not be rented for more than three (3) days during
a calendar week for an allowable event.
(c) If personal property is leased for an allowable event, the rent may
not be based in whole or in part on the revenue generated from the
event.
(d) If a qualified organization conducts an allowable event in
conjunction with or at the same facility where the qualified organization
or its affiliate is having a convention or other meeting of its
membership, facility rent for the allowable event may exceed two
hundred dollars ($200) per day. A qualified organization may conduct
only one (1) allowable event under this subsection in a calendar year.
SOURCE: IC 4-32.2-5-12; (07)EH1510.2.34. -->
SECTION 34. IC 4-32.2-5-12, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 12. (a) Except as provided in subsection (b), an
operator or a worker who is not a full-time employee may not receive
remuneration for:
(1) preparing for;
(2) (1) conducting; or
(3) (2) assisting in conducting;
(4) cleaning up after; or
(5) taking any other action in connection with;
an allowable event.
(b) A qualified organization that conducts an allowable event may:
(1) provide meals for the operators and workers during the
allowable event; and
(2) provide recognition dinners and social events for the operators
and workers;
if the value of the meals and social events does not constitute a
significant inducement to participate in the conduct of the allowable
event.
SOURCE: IC 4-32.2-5-16; (07)EH1510.2.35. -->
SECTION 35. IC 4-32.2-5-16, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 16. (a) Except as provided in subsection (b), a
worker must be a member in good standing of a qualified organization
that is conducting an allowable event for at least thirty (30) days at the
time of the allowable event.
(b) A qualified organization may allow an individual who is not a
member of the qualified organization to participate in an allowable event
as a worker if the individual is a full-time employee of the qualified
organization that is conducting the allowable event or if:
(1) the individual is a member of another qualified organization;
and
(2) the individual's participation is approved by the commission.
A qualified organization may apply to the commission on a form
prescribed by the commission for approval of the participation of a
nonmember under this subsection. A qualified organization may share
the proceeds of an allowable event with the qualified organization in
which a worker participating in the allowable event under this
subsection is a member. The tasks that will be performed by an
individual participating in an allowable event under this subsection and
the amounts shared with the individual's qualified organization must be
described in the application and approved by the commission.
(c) For purposes of:
(1) the licensing requirements of this article; and
(2) section 9 of this chapter;
a qualified organization that receives a share of the proceeds of an
allowable event described in subsection (b) is not considered to be
conducting an allowable event.
SOURCE: IC 4-32.2-5-22; (07)EH1510.2.36. -->
SECTION 36. IC 4-32.2-5-22, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 22.
If an employee or officer of a manufacturer or
distributor is a member of a bona fide civic or bona fide religious
organization that holds a charity gaming license, the employee's or
officer's membership in the organization may not be construed as an
affiliation with the organization's charity gaming operations. An
employee, officer, or owner of a manufacturer or distributor is
prohibited from participating in or affiliating in any way with the
charity gaming operations of a qualified organization of which the
employee, officer, or owner is a member.
SOURCE: IC 4-32.2-8-1; (07)EH1510.2.37. -->
SECTION 37. IC 4-32.2-8-1, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 1. (a) The commission may suspend or revoke the
license of or levy a civil penalty against a qualified organization, a
manufacturer, a distributor, or an individual under this article for any
of the following:
(1) Violation of:
(A) a provision of this article, or of IC 35-45-5-3,
IC 35-45-5-4, or a rule of the commission; or
(B)
any other local ordinance, state or federal statute, or
administrative rule or regulation that would cause the
commission to determine that the person is not of good
moral character or reputation.
(2) Failure to accurately account for
(A) bingo cards;
(B) bingo boards;
(C) bingo sheets;
(D) bingo pads;
(E) pull tabs;
(F) punchboards; or
(G) tip boards.
a licensed supply.
(3) Failure to accurately account for sales proceeds from an event
or activity licensed or permitted under this article.
(4) Commission of a fraud, deceit, or misrepresentation.
(5) Conduct prejudicial to public confidence in the commission.
(b) If a violation is of a continuing nature, the commission may
impose a civil penalty upon a licensee or an individual for each day the
violation continues.
(c) For purposes of subsection (a), a finding that a person has
violated IC 35-45-5-3 or IC 35-45-5-4 must be supported by a
preponderance of the evidence.
SOURCE: IC 4-32.2-9-2; (07)EH1510.2.38. -->
SECTION 38. IC 4-32.2-9-2, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 2. An employee of the commission may do any of
the following:
(1) Investigate an alleged violation of this article.
(2) Arrest an alleged violator of this article.
or of a rule adopted by
the commission.
(3) Enter upon the following premises for the performance of the
employee's lawful duties:
(A) A location where a bingo event, charity game night, festival
event, raffle, or door prize drawing, or other charity gambling
event licensed under IC 4-32.2-4-16 is being conducted.
(B)
A location where pull tabs, tip boards, or punchboards are
being purchased, sold, manufactured, printed, or stored.
(4) Take necessary equipment from the premises for further
investigation.
(5) Obtain full access to all financial records of the entity upon
request.
(6) If there is a reason to believe that a violation has occurred,
search and inspect the premises where the violation is alleged to
have occurred or is occurring. A search under this subdivision may
not be conducted unless a warrant has first been obtained by the
executive director. A contract entered into by the executive
director may not include a provision allowing for warrantless
searches. A warrant may be obtained in the county where the
search will be conducted or in Marion County.
(7) Seize or take possession of:
(A) papers;
(B) records;
(C) tickets;
(D) currency; or
(E) other items;
related to an alleged violation.
SOURCE: IC 4-32.2-9-3; (07)EH1510.2.39. -->
SECTION 39. IC 4-32.2-9-3, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 3. (a) The commission shall conduct investigations
necessary to ensure the security and integrity of the operation of games
of chance under this article. The commission may conduct investigations
of the following:
(1) Licensed qualified organizations.
(2) Applicants for licenses issued under this article.
(3) Licensed manufacturers and distributors.
(3) Entities that sell, manufacture, or distribute licensed
supplies.
(4) Employees of the commission under this article.
(5) Applicants for contracts or employment with the commission
under this article.
(6) Individuals engaged in conducting allowable events.
(b) The commission may require persons subject to an investigation
under subsection (a) to provide information, including fingerprints, that
is:
(1) required by the commission to carry out the investigation; or
(2) otherwise needed to facilitate access to state and criminal
history information.
SOURCE: IC 4-32.2-9-6; (07)EH1510.2.40. -->
SECTION 40. IC 4-32.2-9-6, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 6. (a) This section applies only to products sold in
Indiana.
(b) If a licensed manufacturer or distributor destroys, discontinues,
or otherwise renders unusable
(1) bingo supplies;
(2) punchboards; or
(3) tip boards;
a licensed supply, the manufacturer or distributor shall provide the
commission with a written list of the items destroyed, discontinued, or
rendered otherwise unusable.
(c) The list required under subsection (b) must contain the following
information concerning the items destroyed, discontinued, or rendered
otherwise unusable:
(1) The quantity.
(2) A description.
(3) The serial numbers.
(4) The date the items were destroyed, discontinued, or rendered
otherwise unusable.
(d) Notwithstanding subsection (b), this section does not apply to a
product considered defective by the manufacturer or distributor.
SOURCE: IC 4-32.2-9-8; (07)EH1510.2.41. -->
SECTION 41. IC 4-32.2-9-8, AS ADDED BY P.L.91-2006,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 8. A manufacturer or distributor of supplies,
devices, or equipment described in IC 4-32.2-3-4(a) a licensed supply
to be used in charity gaming in Indiana must file a quarterly report
listing the manufacturer's or distributor's sales of the supplies, devices,
and equipment. licensed supply.
SOURCE: IC 4-33-4-1.5; (07)EH1510.2.42. -->
SECTION 42. IC 4-33-4-1.5 IS ADDED TO THE INDIANA CODE
AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1, 2007]: Sec. 1.5. The commission shall appoint the special
prosecuting attorney for gambling enforcement and oversee the
office of the special prosecuting attorney for gambling enforcement
established under IC 4-33.5-2-1.
SOURCE: IC 4-33.5; (07)EH1510.2.43. -->
SECTION 43. IC 4-33.5 IS ADDED TO THE INDIANA CODE AS
A NEW ARTICLE TO READ AS FOLLOWS [EFFECTIVE JULY 1,
2007]: ARTICLE 33.5. SPECIAL PROSECUTING ATTORNEY
FOR GAMBLING ENFORCEMENT
Chapter 1. Definitions
Sec. 1. The definitions in this chapter apply throughout this
article.
Sec. 2. "Commission" refers to the Indiana gaming commission
established under IC 4-33-3.
Sec. 3. "Office" refers to the office of the special prosecuting
attorney for gambling enforcement established by IC 4-33.5-2-1.
Sec. 4. "Special prosecuting attorney" refers to the special
prosecuting attorney for gambling enforcement described in
IC 4-33.5-2. The term does not include a special prosecutor
appointed under IC 33-39-1-6 or IC 4-2-7-7.
Chapter 2. Office of the Special Prosecuting Attorney for
Gambling Enforcement
Sec. 1. There is established the office of the special prosecuting
attorney for gambling enforcement. The office of the special
prosecuting attorney for gambling enforcement consists of the
special prosecuting attorney, who is the director of the office, and an
additional staff of deputy special prosecuting attorneys,
investigators, auditors, and clerical employees appointed by the
special prosecuting attorney as necessary to carry out the duties of
the special prosecuting attorney.
Sec. 2. The special prosecuting attorney shall do the following:
(1) Prosecute crimes under IC 35-45-5 (gambling) and under
IC 35-45-6-2 (corrupt business influence), if the racketeering
activity involves promoting professional gambling
(IC 35-45-5-4), and initiate, supervise, and coordinate
investigations relating to crimes under IC 35-45-5 (gambling)
and under IC 35-45-6-2 (corrupt business influence), if the
racketeering activity involves promoting professional gambling
(IC 35-45-5-4).
(2) Recommend policies and carry out other activities designed
to deter, detect, and eradicate illegal gambling.
(3) Adopt rules under IC 4-22-2 to implement this chapter.
(4) Recommend legislation to the commission and general
assembly to strengthen laws relating to gambling.
(5) Annually submit a report to the legislative council detailing
the special prosecuting attorney's activities. The report must
be in an electronic format under IC 5-14-6.
(6) Prepare interpretive and educational materials and
programs.
Sec. 3. (a) Except as provided in subsections (b) and (c), the
special prosecuting attorney has concurrent jurisdiction with the
prosecuting attorney of a county in the investigation and
prosecution of a crime under IC 35-45-5 (gambling) and under
IC 35-45-6-2 (corrupt business influence), if the racketeering
activity involves promoting professional gambling (IC 35-45-5-4).
(b) If the special prosecuting attorney discovers evidence of the
commission of a crime under IC 35-45-5 (gambling), or under
IC 35-45-6-2 (corrupt business influence), and the racketeering
activity involves promoting professional gambling (IC 35-45-5-4),
the special prosecuting attorney may certify to the prosecuting
attorney of the county in which the crime appears to have been
committed the following information:
(1) The identity of any person who may be involved in the
criminal activity.
(2) The specific criminal statute that the special prosecuting
attorney believes has been violated.
In addition, the special prosecuting attorney shall share with the
county prosecuting attorney any relevant evidence. If the county
prosecuting attorney decides to prosecute the crime described in the
information certified to the county prosecuting attorney, or any
other related crimes, the special prosecuting attorney shall
cooperate with the county prosecuting attorney in the investigation
and prosecution of the case.
(c) If:
(1) the county prosecuting attorney to whom the special
prosecuting attorney issues a certification under subsection
(b):
(A)
is disqualified from investigating or bringing a criminal
prosecution in the matter addressed in the certification;
(B)
does not file an information or seek an indictment not
later than ninety (90) days after the date on which the
special prosecuting attorney certified the information to the
county prosecuting attorney; or
(C)
refers the case back to the special prosecuting attorney;
and
(2) the special prosecuting attorney finds that there is probable
cause to believe that a person identified in the certification
under subsection (b)(1) has violated a criminal statute
identified in the certification under subsection (b)(2);
the special prosecuting attorney may prosecute the case.
Sec. 4. To carry out the duties described in sections 2 and 3 of this
chapter, the special prosecuting attorney has the following powers:
(1) As part of an investigation or prosecution, the special
prosecuting attorney may:
(A) administer oaths;
(B) examine witnesses under oath;
(C) issue subpoenas and subpoenas duces tecum; and
(D)
examine the records, reports, audits, reviews, papers,
books, recommendations, contracts, correspondence, or any
other documents maintained by any person.
(2) The special prosecuting attorney may apply to a circuit or
superior court for an order holding an individual in contempt
of court if the individual refuses to give sworn testimony under
a subpoena issued by the special prosecuting attorney or
otherwise disobeys a subpoena or subpoena duces tecum issued
by the special prosecuting attorney.
(3) In matters within the authority of the special prosecuting
attorney under this chapter, the special prosecuting attorney
has the same powers as the prosecuting attorney of a county.
However, the special prosecuting attorney may exercise these
powers only in the investigation and prosecution of an act that
is a crime under IC 35-45-5 (gambling) or under IC 35-45-6-2
(corrupt business influence), if the racketeering activity
involves promoting professional gambling (IC 35-45-5-4).
Chapter 3. Appointment and Eligibility
Sec. 1. The commission shall appoint the special prosecuting
attorney. The special prosecuting attorney serves at the pleasure of
the commission.
Sec. 2. The special prosecuting attorney and any deputy special
prosecuting attorneys must be attorneys licensed to practice law in
Indiana.
Sec. 3. The special prosecuting attorney is entitled to receive
compensation set by the commission and approved by the budget
agency. However, the special prosecuting attorney's compensation
may not exceed the minimum compensation paid to a full-time
prosecuting attorney under IC 33-39-6.
Sec. 4. Subject to the approval of the budget agency, the special
prosecuting attorney shall fix the salary of all other employees of the
office of the special prosecuting attorney.
Chapter 4. State Gambling Enforcement Fund
Sec. 1. The state gambling enforcement fund is established.
Sec. 2. The fund consists of:
(1) money transferred to the fund under IC 4-30-17-3.5; and
(2) appropriations from the general assembly.
Sec. 3. The commission shall administer the fund.
Sec. 4. The treasurer of state shall invest the money in the fund
not currently needed to meet the obligations of the fund in the same
manner as other public funds may be invested. Interest that accrues
from these investments shall be deposited in the fund.
Sec. 5. Money in the fund at the end of a state fiscal year does not
revert to the state general fund.
Sec. 6. Money in the fund must be used by the commission to pay
the operating expenses of the office.
SOURCE: IC 6-2.5-8-7; (07)EH1510.2.44. -->
SECTION 44. IC 6-2.5-8-7 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 7. (a) The department
may, for good cause, revoke a certificate issued under section 1, 3, or 4
of this chapter. However, the department must give the certificate holder
at least five (5) days notice before it revokes the certificate under this
subsection.
(b) The department shall revoke a certificate issued under section 1,
3, or 4 of this chapter if, for a period of three (3) years, the certificate
holder fails to:
(1) file the returns required by IC 6-2.5-6-1; or
(2) report the collection of any state gross retail or use tax on the
returns filed under IC 6-2.5-6-1.
However, the department must give the certificate holder at least five (5)
days notice before it revokes the certificate.
(c) The department may, for good cause, revoke a certificate issued
under section 1 of this chapter after at least five (5) days notice to the
certificate holder if:
(1) the certificate holder is subject to an innkeeper's tax under
IC 6-9; and
(2) a board, bureau, or commission established under IC 6-9 files
a written statement with the department.
(d) The statement filed under subsection (c) must state that:
(1) information obtained by the board, bureau, or commission
under IC 6-8.1-7-1 indicates that the certificate holder has not
complied with IC 6-9; and
(2) the board, bureau, or commission has determined that
significant harm will result to the county from the certificate
holder's failure to comply with IC 6-9.
(e) The department shall revoke or suspend a certificate issued under
section 1 of this chapter after at least five (5) days notice to the
certificate holder if:
(1) the certificate holder owes taxes, penalties, fines, interest, or
costs due under IC 6-1.1 that remain unpaid at least sixty (60) days
after the due date under IC 6-1.1; and
(2) the treasurer of the county to which the taxes are due requests
the department to revoke or suspend the certificate.
(f) The department shall reinstate a certificate suspended under
subsection (e) if the taxes and any penalties due under IC 6-1.1 are paid
or the county treasurer requests the department to reinstate the
certificate because an agreement for the payment of taxes and any
penalties due under IC 6-1.1 has been reached to the satisfaction of the
county treasurer.
(g) The department shall revoke a certificate issued under section
1 of this chapter after at least five (5) days notice to the certificate
holder if the department finds in a public hearing by a
preponderance of the evidence that the certificate holder has
violated IC 35-45-5-3 or IC 35-45-5-4.
SOURCE: IC 7.1-3-18.5-5; (07)EH1510.2.45. -->
SECTION 45. IC 7.1-3-18.5-5 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 5. (a) Subject to
subsection (b), the commission may suspend the certificate of a person
who fails to pay a civil penalty imposed for violating IC 35-46-1-10,
IC 35-46-1-10.2, IC 35-46-1-11.5, or IC 35-46-1-11.7.
(b) Before enforcing the imposition of a civil penalty or suspending
or revoking a certificate under this chapter, the commission shall
provide written notice of the alleged violation to the certificate holder
and conduct a hearing. The commission shall provide written notice of
the civil penalty or suspension to the certificate holder.
(c) Subject to subsection (b), the commission may revoke the
certificate of a person if the commission finds by a preponderance
of the evidence that the person has violated IC 35-45-5-3 or
IC 35-45-5-4.
SOURCE: IC 7.1-3-23-2; (07)EH1510.2.46. -->
SECTION 46. IC 7.1-3-23-2 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 2. Fine, Suspension, and
Revocation: General. The commission may fine, suspend, or revoke the
permit, or fine and suspend or revoke, the permit of a permittee for the
violation of a provision of this title, or of a rule or regulation of the
commission, or of IC 35-45-5-3 or IC 35-45-5-4. The commission may
fine a permittee for each day the violation continues if the violation is of
a continuing nature. A finding that a permittee has violated
IC 35-45-5-3 or IC 35-45-5-4 must be supported by a preponderance
of the evidence.
SOURCE: IC 7.1-3-23-5; (07)EH1510.2.47. -->
SECTION 47. IC 7.1-3-23-5 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 5.
Revocation of
Permits: General. The commission shall revoke a permit of any type
only on account of the violation of, or refusal to comply with, a
provision of this title or of a rule or regulation of the commission, or on
account of a violation of IC 35-45-5-3 or IC 35-45-5-4. A finding that
a permittee has violated IC 35-45-5-3 or IC 35-45-5-4 must be
supported by a preponderance of the evidence.
SOURCE: IC 33-39-1-6; (07)EH1510.2.48. -->
SECTION 48. IC 33-39-1-6, AS AMENDED BY P.L.222-2005,
SECTION 38, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 6.
(a) This section does not apply to the special
prosecuting attorney for gambling enforcement appointed to the
office established by IC 4-33.5-2-1.
(a) (b) Special prosecutors may be appointed under this section or in
accordance with IC 4-2-7-7.
(b) (c) A circuit or superior court judge:
(1) shall appoint a special prosecutor if:
(A)
any person other than the prosecuting attorney or the
prosecuting attorney's deputy files a verified petition requesting
the appointment of a special prosecutor; and
(B)
the prosecuting attorney agrees that a special prosecutor is
needed;
(2) may appoint a special prosecutor if:
(A)
a person files a verified petition requesting the appointment
of a special prosecutor; and
(B) the court, after:
(i)
notice is given to the prosecuting attorney; and
(ii)
an evidentiary hearing is conducted at which the
prosecuting attorney is given an opportunity to be heard;
finds
by clear and convincing evidence that the appointment is
necessary to avoid an actual conflict of interest or there is
probable cause to believe that the prosecutor has committed a
crime;
(3) may appoint a special prosecutor if:
(A)
the prosecuting attorney files a petition requesting the court
to appoint a special prosecutor; and
(B)
the court finds that the appointment is necessary to avoid
the appearance of impropriety; and
(4) may appoint a special prosecutor if:
(A)
an elected public official, who is a defendant in a criminal
proceeding, files a verified petition requesting a special
prosecutor within ten (10) days after the date of the initial
hearing; and
(B)
the court finds that the appointment of a special prosecutor
is in the best interests of justice.
(c) (d) Each person appointed to serve as a special prosecutor:
(1) must consent to the appointment; and
(2) must be:
(A)
the prosecuting attorney or a deputy prosecuting attorney in
a county other than the county in which the person is to serve as
special prosecutor; or
(B) except as provided in subsection (d), (e), a senior
prosecuting attorney.
(d) (e) A senior prosecuting attorney may be appointed in the county
in which the senior prosecuting attorney previously served if the court
finds that an appointment under this subsection would not create the
appearance of impropriety.
(e) (f) A person appointed to serve as a special prosecutor has the
same powers as the prosecuting attorney of the county. However, the
appointing judge shall limit scope of the special prosecutor's duties to
include only the investigation or prosecution of a particular case or
particular grand jury investigation.
(f) (g) The court shall establish the length of the special prosecutor's
term. If the target of an investigation by the special prosecutor is a
public servant (as defined in IC 35-41-1-24), the court shall order the
special prosecutor to file a report of the investigation with the court at
the conclusion of the investigation. The report is a public record.
(g) (h) If the special prosecutor is not regularly employed as a
full-time prosecuting attorney or full-time deputy prosecuting attorney,
the compensation for the special prosecutor's services:
(1) shall be paid to the special prosecutor from the unappropriated
funds of the appointing county; and
(2) may not exceed:
(A)
a per diem equal to the regular salary of a full-time
prosecuting attorney of the appointing circuit; and
(B)
travel expenses and reasonable accommodation expenses
actually incurred.
(h) (i) If the special prosecutor is regularly employed as a full-time
prosecuting attorney or deputy prosecuting attorney, the compensation
for the special prosecutor's services:
(1) shall be paid out of the appointing county's unappropriated
funds to the treasurer of the county in which the special prosecutor
regularly serves; and
(2) must include a per diem equal to the regular salary of a
full-time prosecuting attorney of the appointing circuit, travel
expenses, and reasonable accommodation expenses actually
incurred.
(i) (j) The combination of:
(1) the compensation paid to a senior prosecuting attorney under
this chapter; and
(2) retirement benefits that the person appointed as a senior
prosecuting attorney is receiving or entitled to receive;
may not exceed the minimum compensation to which a full-time
prosecuting attorney is entitled under IC 33-39-6-5.
(j) (k) A senior prosecuting attorney appointed under this chapter
may not be compensated as senior prosecuting attorney for more than
one hundred (100) calendar days in total during a calendar year.
SOURCE: IC 35-45-5-1; (07)EH1510.2.49. -->
SECTION 49. IC 35-45-5-1, AS AMENDED BY P.L.70-2005,
SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 1.
(a) As used in The definitions in this section
apply throughout this chapter.
(b) "Electronic gaming device" means any electromechanical
device, electrical device, or machine that satisfies the following
requirements:
(1) The device is available to play or operate upon payment of
consideration.
(2) The device:
(A) by reason of the skill of the operator;
(B) by application of the element of chance; or
(C) due to both (A) and (B);
may deliver or entitle the person playing or operating the
device to receive premiums, merchandise, tokens, redeemable
game credits, or anything of value other than unredeemable
free games regardless of whether the payoff is made
automatically from the device or in any other manner.
The term does not include a device played for amusement that
rewards a player exclusively with a toy, a novelty, or a ticket or
coupon redeemable for a toy or a novelty that has a wholesale value
of not more than the lesser of ten (10) times the amount charged to
play the amusement device one (1) time or five dollars ($5).
(c) "Gain" means the direct realization of winnings.
(d) "Gambling" means risking money or other property for gain,
contingent in whole or in part upon lot, chance, or the operation of a
gambling device; but it does not include participating in:
(1) bona fide contests of skill, speed, strength, or endurance in
which awards are made only to entrants or the owners of entries;
or
(2) bona fide business transactions that are valid under the law of
contracts.
(e) "Gambling device" means:
(1) a mechanism by the operation of which a right to money or
other property may be credited, in return for consideration, as the
result of the operation of an element of chance;
(2) a mechanism that, when operated for a consideration, does not
return the same value or property for the same consideration upon
each operation;
(3) a mechanism, furniture, fixture, construction, or installation
designed primarily for use in connection with professional
gambling;
(4) a policy ticket or wheel; or
(5) a subassembly or essential part designed or intended for use in
connection with such a device, mechanism, furniture, fixture,
construction, or installation.
In the application of this definition, an immediate and unrecorded right
to replay mechanically conferred on players of pinball machines and
similar amusement devices is presumed to be without value.
(f) "Gambling information" means:
(1) a communication with respect to a wager made in the course of
professional gambling; or
(2) information intended to be used for professional gambling.
(g) "Interactive computer service" means an Internet service, an
information service, a system, or an access software provider that
provides or enables computer access to a computer served by multiple
users. The term includes the following:
(1) A service or system that provides access or is an intermediary
to the Internet.
(2) A system operated or services offered by a library, school, state
educational institution (as defined in IC 20-12-0.5-1), or private
college or university.
(h) "Operator" means a person who owns, maintains, or operates an
Internet site that is used for interactive gambling.
(i) "Profit" means a realized or unrealized benefit (other than a gain)
and includes benefits from proprietorship or management and unequal
advantage in a series of transactions.
(j) For purposes of this chapter:
(1) a card game; or
(2) an electronic version of a card game;
is a game of chance and may not be considered a bona fide contest
of skill.
SOURCE: IC 35-45-5-3; (07)EH1510.2.50. -->
SECTION 50. IC 35-45-5-3, AS AMENDED BY P.L.70-2005,
SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2007]: Sec. 3. (a) A person who knowingly or intentionally:
(1) engages in pool-selling;
(2) engages in bookmaking;
(3) maintains, in a place accessible to the public:
(A) slot machines;
(B) one-ball machines or variants thereof;
(C) an electronic gaming device;
(D) pinball machines that award anything other than an
immediate and unrecorded right of replay;
(E) roulette wheels;
(F) dice tables; or
(G) money or merchandise pushcards, punchboards, jars, or
spindles;
(4) conducts lotteries or policy or numbers games or sells chances
therein;
(5) conducts any banking or percentage games played with cards,
dice, or counters, or accepts any fixed share of the stakes therein;
or
(6) accepts, or offers to accept, for profit, money, or other property
risked in gambling;
commits professional gambling, a Class D felony. However, the offense
is a Class C felony if the person has a prior unrelated conviction
under this subsection.
(b) An operator who knowingly or intentionally uses the Internet to:
(1) engage in pool-selling:
(A) in Indiana; or
(B)
in a transaction directly involving a person located in
Indiana;
(2) engage in bookmaking:
(A) in Indiana; or
(B)
in a transaction directly involving a person located in
Indiana;
(3) maintain, on an Internet site accessible to residents of Indiana,
the equivalent of:
(A) slot machines;
(B) one-ball machines or variants of one-ball machines;
(C) pinball machines that award anything other than an
immediate and unrecorded right of replay;
(D) roulette wheels;
(E) dice tables; or
(F)
money or merchandise pushcards, punchboards, jars, or
spindles;
(4) conduct lotteries or policy or numbers games or sell chances in
lotteries or policy or numbers games:
(A) in Indiana; or
(B)
in a transaction directly involving a person located in
Indiana;
(5) conduct any banking or percentage games played with the
computer equivalent of cards, dice, or counters, or accept any fixed
share of the stakes in those games:
(A) in Indiana; or
(B)
in a transaction directly involving a person located in
Indiana; or
(6) accept, or offer to accept, for profit, money or other property
risked in gambling:
(A) in Indiana; or
(B)
in a transaction directly involving a person located in
Indiana;
commits professional gambling over the Internet, a Class D felony.
SOURCE: IC 35-45-5-4; (07)EH1510.2.51. -->
SECTION 51. IC 35-45-5-4 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2007]: Sec. 4. (a) Except as provided
in subsection (b), a person who:
(1) knowingly or intentionally owns, manufactures, possesses,
buys, sells, rents, leases, repairs, or transports a gambling device,
or offers or solicits an interest in a gambling device;
(2) before a race, game, contest, or event on which gambling may
be conducted, knowingly or intentionally transmits or receives
gambling information by any means, or knowingly or intentionally
installs or maintains equipment for the transmission or receipt of
gambling information; or
(3) having control over the use of a place, knowingly or
intentionally permits another person to use the place for
professional gambling;
commits promoting professional gambling, a Class D felony.
However,
the offense is a Class C felony if the person has a prior unrelated
conviction under this section.
(b) Subsection (a)(1) does not apply to a boat manufacturer who:
(1) transports or possesses a gambling device solely for the
purpose of installing that device in a boat that is to be sold and
transported to a buyer; and
(2) does not display the gambling device to the general public or
make the device available for use in Indiana.
(c) When a public utility is notified by a law enforcement agency
acting within its jurisdiction that any service, facility, or equipment
furnished by it is being used or will be used to violate this section, it
shall discontinue or refuse to furnish that service, facility, or equipment,
and no damages, penalty, or forfeiture, civil or criminal, may be found
against a public utility for an act done in compliance with such a notice.
This subsection does not prejudice the right of a person affected by it to
secure an appropriate determination, as otherwise provided by law, that
the service, facility, or equipment should not be discontinued or refused,
or should be restored.
SOURCE: IC 4-32.2-5-7; (07)EH1510.2.52. -->
SECTION 52. IC 4-32.2-5-7 IS REPEALED [EFFECTIVE JULY 1,
2007].
SOURCE: ; (07)EH1510.2.53. -->
SECTION 53. [EFFECTIVE UPON PASSAGE] (a) The
amendment of IC 35-45-5-1 by this act is not intended to result in
any substantive change in the law.
(b) This act does not affect any:
(1) violations committed; or
(2) proceedings begun;
before the effective date of this act. Those offenses and proceedings
continue and shall be imposed and enforced under prior law as if
this act had not been enacted.
SOURCE: ; (07)EH1510.2.54. -->
SECTION 54. [EFFECTIVE JULY 1, 2007] IC 35-45-5-3 and
IC 35-45-5-4, both as amended by this act, apply only to crimes
committed after June 30, 2007.
SOURCE: ; (07)EH1510.2.55. -->
SECTION 55.
An emergency is declared for this act.