Mystic Lake, Little Six casinos named in Running Aces lawsuit alleging illegal video games

Lawsuit filed by Minnesota's Running Aces casino

Some of Minnesota’s biggest casinos are being accused in a new lawsuit of allowing illegal gaming. FOX 9’s Courtney Godfrey has the details.

PRIOR LAKE, Minn. (FOX 9) - Running Aces' federal lawsuit against three Minnesota casinos now includes Mystic Lake and Little Six, claiming they were illegally offering Class III video games of chance.

The amended lawsuit filed on Tuesday names high-level executives at Mystic Lake and Little Six casinos, which are owned by the Shakopee Mdewakanton Sioux Community.

Previously, the lawsuit filed under the federal Racketeer Influenced and Corrupt Organization (RICO) Act, only named high-level executives at Grand Casino Hinckley, Grand Casino Mille Lacs, and Treasure Island Resort and Casino, claiming they were illegally offering Class III card games.

The lawsuit alleges Mystic Lake, Little Six, and other casinos have been illegally offering class III video games of chance, such as slots, blackjack, baccarat, roulette, Bix Six Wheel, and craps. In doing so, the lawsuit claims the casinos have been continuously violating state criminal law which "categorically prohibits such gaming- as the tribes well know," the lawsuit reads.

According to the Minnesota Alcohol and Gambling Enforcement, Class III gambling includes "common casino games such as video games of chance (slot machines and video poker), roulette, craps, baccarat, and banking card games such as blackjack. Class III gambling is conducted under a compact that each tribe negotiates with the government of the state in which it is located."

The lawsuit aims to recover damages, and Running Aces is seeking an injunction against the alleged illegal gambling activities, according to court records.

Shakopee Mdewakanton Sioux Community response

The tribal community told FOX 9 in a statement:

"Running Aces’ lawsuit has no merit. All gaming conducted at Mystic Lake and Little Six Casinos complies with tribal law, federal law, and the gaming compact that was executed in 1989.

"Winning in court is not Running Aces’ real purpose in filing this case. It is a desperate stunt to attack the good reputation of tribes and tribal gaming. This lawsuit is intended to mislead the public and influence the final stages of the Minnesota Legislature’s 2024 session."

Read the full lawsuit below: