Indiana Lawmaker Pleads Guilty To Casino-Related Corruption ChargesEberhart Faces Up to Five Years Behind Bars |
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A promise for a lucrative job in exchange for voting for a casino bill may land a former Indiana legislator in prison for quite a while after entering a guilty plea this month.
Sean Eberhart, 57, now faces a sentence of up to five years in prison, three years of supervised release, and a $250,000 fine after pleading guilty to conspiracy to commit honest services fraud. Sentencing will be announced at a later date as prosecutors and Eberhart’s attorneys have yet to reach an agreement on a recommended sentence, according to ABC News. They did reach a deal for Eberhart to pay $60,000 in restitution.
Bill Passage In Exchange For High-Paying Job
Eberhart® served in the state legislature for 17 years before leaving office in 2022. The case arises from a 2018 effort by Spectacle Entertainment to acquire two casinos in the city of Gary. The company hoped to move the two casinos to other locations in Gary, as well as Vigo County.
The Legislature passed a bill approving the idea in 2019, but a law enforcement investigation revealed more about Eberhart’s efforts at moving the bill through the House Committee on Public Policy, which oversees casinos.
“According to prosecutors, Eberhart, a member of the committee, used his position both to successfully advocate for the relocation and to obtain other favorable terms for the company, including tax incentives,” ABC reports. “In exchange, they said, Eberhart accepted the promise of future employment at Spectacle, which included annual compensation of at least $350,000.”
Spectacle Also Investigated
Spectacle Entertainment has also been investigated at state and federal levels. That led to charges involving illegal campaign contributions against another executive, John Keeler, and former Indiana state Sen. Brent Waltz®.
Keeler received two months in federal prison and a $55,000 fine and Waltz was given 10 months in federal prison. Spectacle was ultimately forced to give up ownership of casino project stakes in Gary and Terre Haute. The Gary casino was later taken over by Hard Rock International in 2021.
“We believe in the project and feel good about being in this community and in this jurisdiction,” Hard Rock COO Jon Lucas told the gaming commission. “This was the way to resolve it. We’re more than willing to do that.”
Casino-related corruption charges have made some more news recently. In September, a New Hampshire casino owner was accused of COVID relief fraud and alleged to have spent some of those funds on luxury cars and other items.
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