STATE OF MICHIGAN

MICHIGAN GAMING CONTROL BOARD

PUBLIC MEETING

Cadillac Place

3062 W. Grand Blvd., Suite L-700

Detroit, Michigan

Tuesday, April 10, 2007

10:00 A.M.

MINUTES

On Tuesday, April 10, 2007, the Michigan Gaming Control Board held a public meeting at the Board office in the Cadillac Place, 3062 W. Grand Blvd, Suite L-700, Detroit, Michigan.

Present:          In attendance were the following Board members:

                                                Mr. Damian Kassab, Chairman

                                                Mr. Donald Robinson

                                                Ms. Barbara Rom

                        Also attending were:

                                                Tom Barker

                                                Patty James

                                                D/F/Lt. Vicki Johnson

                                                John Page

                                                Jack Cahill

Business:          Board Chairman Damian Kassab called the staff briefing of the public meeting to order at 10:02 a.m.   Chairman Kassab invited Mr. Barker to give a brief overview of the meeting's agenda.

                        Upon conclusion of Mr. Barker's overview, Chairman Kassab announced that the governor has appointed Mr. Rick Kalm as the next Executive Director; however, the Senate has not yet confirmed his appointment. 

                        Chairman Kassab called the meeting to order and noted for the record that Judge Friedman was not present and that the Board still had a vacant Board seat.

                        Chairman Kassab stated the first order of business was to approve the minutes from the March 13, 2007 regular public meeting.  Chairman Kassab noted that all Board members had previously received the minutes, and asked if there were any questions or concerns.

                        It was moved and seconded that the minutes of the March 13, 2007 meeting be approved.  Motion carried.  

                        Mr. Barker next presented the Executive Director's report.  Mr. Barker advised the Board that Natalie Dirasian had been hired as a secretary in the Board's Administration Division, leaving 6 vacant positions yet to be filled.

                        In regards to the Board's budget, Mr. Barker reported that for fiscal year 2007, from October 1, 2006 through March 31, 2007, the Board has incurred expenditures of 7.2 million, leaving the unexpended balance of 12.5 million in appropriated funding for FY 2007, which includes funds for anticipated reimbursement for expenditures by the Attorney General's Office and Michigan State Police.

                        Mr. Barker next reported that the casinos continue to operate 24/7 and for March 2007, the aggregate revenue in taxes for all three Detroit casinos was up and the gaming taxes were 14.971 million compared to 13.872 million for the same period last year.

                        Next, Mr. Barker reported that pursuant to Resolution No. 2006-03, 202 level 1 and 2 occupational license renewal requests were approved on behalf of the Board. 

                        Upon conclusion of Mr. Barker's report, Chairman Kassab requested a motion to accept the recommendations of the Executive Director and the Licensing Division's staff regarding the 120 Level 1 and 2 occupational license applications. 

                        It was moved by Mr. Robinson and seconded by Ms. Rom to accept the recommendations of the Executive Director and the Licensing Division's staff for the applications summarized in Exhibit 1.  A voice vote was taken.

                        Motion carried.

                        Next the Board considered the Executive Director's Reports and the Licensing Division's staff recommendations regarding the pending applications for transfers of ownership interest in Cummins-Allison Corporation, Atronic Americas, L.L.C., NRT Technology Corporation, 538274 Ontario Limited, d/b/a Canadian Bread Bakers, Minority-Owned Reseller Enterprises Computer Supplies Company, Inc. and Northern Lakes Seafood & Meats, L.L.C.

                        There being no questions from Board members, it was moved by Ms. Rom and seconded by Mr. Robinson that the Board enter orders approving the proposed applications for transfers of ownership interest in Cummins-Allison Corporation, Atronic Americas, L.L.C., NRT Technology Corporation, 538274 Ontario Limited, d/b/a Canadian Bread Bakers, Minority-Owned Reseller Enterprises Computer Supplies Company, Inc. and Northern Lakes Seafood & Meats, L.L.C.    A voice vote was taken.

                        Motion carried.

                        The Board next considered the Executive Director's Reports and the Licensing Division's staff recommendations regarding the pending supplier license applications of Cannon Electric Company and Shores Cleaners, Inc.

                        Chairman Kassab noted that the Board's staff was recommending granting Cannon Electric Company's supplier license application with certain conditions.

                        Chairman Kassab invited Mr. John Page to clarify the Board's staff recommendation for Cannon Electric Company.   He further noted for the record the presence of Brian Lewis, President of Cannon Electric Company.

                        After questions from Ms. Rom regarding Cannon Electric Company's tax liabilities were answered, it was moved by Mr. Robinson and seconded by Ms. Rom that the Board enter orders finding and concluding that Cannon Electric Company and Shores Cleaners, Inc., and their qualifiers, are eligible and suitable for licensure.  A voice vote was taken.

                        Motion carried.

                        The next item considered by the Board was the Executive Director's Report and the Licensing Division's staff recommendation regarding the pending supplier license renewal application of Diversified Computer Services, Inc.

                        There being no questions from Board members, it was moved by Ms. Rom and seconded by Mr. Robinson that the Board enter an order granting the request of Diversified Computer Services, Inc. for the renewal of its annual supplier license.  A voice vote was taken.

                        Motion carried.

                        The Board next considered the Executive Director's Report and the Licensing Division's staff recommendation denying the pending supplier license application of Ronald J. McInnes, Inc., d/b/a Bix Furniture Service & Supply, Inc.

                        Again, there being no questions from Board members, it was moved by Mr. Robinson and seconded by Ms. Rom that the Board enter an order denying the supplier license application of Ronald J. McInnes, Inc. for the reasons stated in the written recommendation of the Executive Director and Board Licensing Division staff.  A voice vote was taken.

                        Motion carried.

                        Next the Board considered the Executive Director's Reports and the Licensing Division's staff recommendations regarding the requests to withdraw the supplier license applications of Brintons U.S. Axminster, Inc., Stargames Corporation Pty Limited, d/b/a Stargames and Qualified Abatement Services, Inc.

                        After Ms. Rom clarified for the record that the Board was not acceding to a one year waiver for reapplication for Brintons U.S. Axminster, it was moved by Ms. Rom and seconded by Mr. Robinson that the Board enter orders granting the requests of Brintons U.S. Axminster, Inc., Stargames Corporation Pty Limited and Qualified Abatement Services, Inc. for withdrawal of their supplier license applications.  A voice vote was taken.

                        Motion carried.

                        Chairman Kassab introduced the next agenda item, which was the Board's acceptance of the Acknowledgement of Violation of supplier licensee Bally Gaming, Inc.

                        Chairman Kassab invited Mr. Page to give a brief summary of the case.  Chairman Kassab also acknowledged the presence of Bob Stocker, counsel for Bally Gaming, Inc.

                        Upon conclusion of Mr. Page's summary, comments from Mr. Stocker and after questions from Board members were answered, it was moved by Mr. Robinson and seconded by Ms. Rom that the Board accept the proposed Acknowledgment of Violation as agreed to by the Board's staff and Bally Gaming, Inc., and issue an order adopting, accepting and incorporating the Acknowledgment of Violation as the Board's final decision.  A voice vote was taken.

                        Motion carried.

                        The next agenda item the Board considered was a request by Greektown Casino for a waiver of a 45 day filing requirement pursuant to the June 2006 Board order relating to its financing issue, request for approval of a first amendment to debt transaction documents previously approved by a November 2005 Board order and granting National City Bank's supplier license exemption request.

                        Chairman Kassab invited Deputy Director John Page to give a brief overview of the requests.   He also acknowledged the presence of Michael DuBay, counsel for Greektown Casino.

                        There being no questions from Board members, it was moved by Ms. Rom and seconded by Mr. Robinson that the Board enter an order granting Greektown Casino, L.L.C.'s request for waiver of a 45 day filing requirement found in the June 2006 Board order relating to its financing issue, request for approval of a first amendment to debt transaction documents previously approved by a November 2005 Board order and granting National City Bank's supplier license exemption request.  A voice vote was taken.

                        Motion carried.

                        Next Chairman Kassab requested a motion to go into closed session. 

                        Therefore, it was moved by Mr. Robinson and seconded by Ms. Rom that the Board go into closed session immediately following the conclusion of the public meeting for the purpose of receiving legal advice and counsel from the Board's attorney regarding pending Board litigation, and receiving confidential notification regarding the names of individuals placed on the Board's Disassociated Persons List since the Board's last public meeting as required by the Act.  A roll call vote was taken.

                                    Chairman Kassab:            Aye

                                    Mr. Robinson:                  Aye

                                    Ms. Rom:                        Aye

                        Motion carried.

                        There being no public comments, Chairman Kassab adjourned the meeting at 10:38 a.m.

                                Patricia S. James

                                Board Secretary