- NIGC demands suspension of Coushatta Casino consultant Todd Stewart
- Audit finds $100K in untracked credit card purchases in 2024
- Federal and tribal investigations probe $350K fraud allegations
The National Indian Gaming Council (NIGC) has ordered the Coushatta Tribal Gaming Commission (CTGC) to cut ties with a former general manager of its Louisiana casino for failing to report possible financial fraud.
The federal agency demanded that the commission suspend the gaming license of Todd Stewart, who currently acts as a consultant for the Coushatta Casino in Kinder, La., the state’s largest gaming venue, The Louisiana Illuminator reports.
Credit Card Swindle?
The move follows a complaint received by NIGC last year alleging that former Coushatta Tribe of Louisiana chairman Jonathan Cernek had misappropriated gaming revenues, a claim later backed up by an independent audit.
The audit revealed tribal leaders did not keep track of credit card use. They also failed to produce receipts for purchases totaling more than $100,000 over the two-month period in 2024 that auditors examined.
NIGC, the FBI, and state authorities are investigating allegations that Cernek and possibly others used the credit cards to swindle at least $350K from the tribe and its members, as first reported by Native News Online.
Cernek abruptly stepped down as chairman in August 2024, three years and two months into a four-year term. He was on the tribal council for 11 years, previously serving as vice chair and a council member.
$150M Loan
In a letter sent to the tribe dated September 8 and seen by the Illuminator, Shawna Castellano, a NIGC regional director, said her agency had interviewed Stewart in June and discovered he “disclose suspected fraud to the external auditors during the [fiscal year] 2023 annual audit of the financial statements.”
He also failed to bring up the matter with “the potential lender of a $150 million construction loan the Coushatta Casino was in the process of obtaining” until after the loan was secured, according to NIGC.
In March 2024, Casino.org reported that the Coushatta Tribe was putting $150 million into expanding its Louisiana resort. The project will add 204 hotel rooms and revamp the casino, restaurants, and about 800 existing rooms.
According to the NIGC letter, Stewart could not say how many credit cards were linked to the casino’s accounts and appeared unsure about who was actually using them.
NIGC has ordered CTGC to issue a hearing notice for Stewart’s potential license revocation and to notify regulators of its decision within 45 days.
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