\nBy HOWARD STUTZ
\n\tLAS VEGAS REVIEW-JOURNAL
\n\tThe Gaming Control Board told owners of a Las Vegas restaurant Thursday to find a new slot machine route operator for the business\u2019s games \u2014 one whose owner doesn\u2019t have ties to medical marijuana.<\/p>\n
\tThe decision marks the first time gaming regulators have ruled on a licensing matter concerning a gaming business in light of the state\u2019s fledgling medical pot industry.<\/p>\n
\tIn May, the Control Board in an industry notice admonished gaming license-holders and prospective license applicants to stay away from the medical marijuana business in light of continued federal enforcement of anti-drug laws.<\/p>\n
\tAt a hearing in Las Vegas Thursday, owners of the Crab Corner on South Rainbow Boulevard were seeking a restricted gaming license to operate five slot machines. They had contracted with route operator Nevada Gaming Partners to manage the games, but the three-member Control Board unanimously voted to require the Crab Corner owners to hire a different slot route operator.<\/p>\n
\tThe Control Board rejected Nevada Gaming Partners because Sarah Familian, the wife of owner Bruce Familian, is one of several individuals who own an 8 percent share of GB Sciences Nevada LLC. The company in June was awarded one of 18 medical marijuana dispensary licenses by the Clark County Commission.<\/p>\n
\tNevada Gaming Partners operates slot machines in roughly 40 Las Vegas bars, taverns and restaurants.<\/p>\n
\tControl Board Chairman A.G. Burnett said splitting the two business interests between husband and wife was not enough separation to satisfy the industry notice, which the regulatory agency published in May.<\/p>\n
\t\u201cThat is not enough of a disconnect for me,\u201d Burnett said. \u201cI\u2019m happy to go forward with this location. I just want another slot operator.\u201d<\/p>\n
\tControl Board member Terry Johnson, who wrote the memorandum, said splitting the businesses might meet legal requirements, but it falls short of the agency\u2019s ruling. The Control Board based its decision on the federal government\u2019s view that distribution, possession and sale of marijuana is a crime.<\/p>\n
\t\u201cIt\u2019s not within the spirit of the of the notice,\u201d Johnson said.<\/p>\n
\tBurnett said after the meeting the Control Board\u2019s ruling on Nevada Gaming Partners was intended to \u201csend a message\u201d to the state\u2019s casino industry.<\/p>\n
\tIn May, Johnson wrote that \u201cunless the federal law is changed, the board does not believe investment or other involvement in a medical marijuana facility or establishment by a person who has received a gaming approval or applied for a gaming approval is consistent with the effective regulation of gaming.\u201d<\/p>\n
\tLast month, the Nevada Gaming Commission voted to uphold the Control Board\u2019s mandate, although three of the five gaming commissioners \u2014 all attorneys \u2014 recused themselves because their firms had clients applying for medical marijuana licenses.<\/p>\n
\tSeveral of the 18 dispensary licenses awarded by Clark County have owners with ties to the casino industry.<\/p>\n
\tThe Clinic Nevada D1 LLC is 10 percent owned by Troy Herbst, a partner in slot machine route operator JETT Gaming.<\/p>\n
\tIn addition to Sarah Familian, GB Sciences lists Jane Tobman Moore as an 8 percent owner. Tobman Moore is married to Barry Moore, who has restricted gaming licenses for several taverns, including Shuck\u2019s Gaming and Oyster Bar and Beano\u2019s Casino.<\/p>\n
\tThe Control Board\u2019s action took Bruce Familian by surprise. He watched the proceedings but declined comment. It\u2019s unclear what the ruling means for Nevada Gaming Partners\u2019 other route operations.<\/p>\n
\tLas Vegas gaming attorney Jennifer Roberts, who represents Nevada Gaming Partners, said GB Sciences does not yet have a license for a dispensary and has not conducted any medical marijuana sales.<\/p>\n
\t\u201cI hope this wouldn\u2019t affect this gaming license,\u201d Roberts told the Control Board. \u201cNo business has been conducted and nothing illegal has taken place.\u201d<\/p>\n
\tJohn Smolen, a Crab Corner owner, told the Control Board the restaurant would find another slot machine route operator.<\/p>\n
\tThe Nevada Gaming Commission will have a final say on the Control Board\u2019s recommendation on July 24.<\/p>\n
No replies were posted for this topic.<\/p>\n","protected":false},"excerpt":{"rendered":"
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