Clearfield Co. DA, PA Skill come to agreement over gaming machines | News

DuBOIS — District Attorney Ryan Sayers issued an order last week to suspend seizures of Pennsylvania Skill game machines and return redemption terminals and cash which were confiscated by law enforcement officers in eight establishments across Clearfield County in late September. These actions were taken pending the outcome of a Commonwealth Court lawsuit by Pennsylvania Skill, powered by Pace-O-Matic, to verify their game’s legal standing. 

“The Commonwealth is going to continue with the investigation,” said Sayers. “But the DA’s office in Clearfield County will not file criminal charges against those eight locations pending the Commonwealth Court either making a decision or the legislature passing a law statute to clarify the issue.”

Additionally, said Sayers, casinos have what are called Ticket Redemption Terminals (TRT).

“Whenever you go to the machine and you win money, you get to print out a slip and then you take it to this redemption terminal, and that is where you get your money; that is what is being returned,” said Sayers. “The order says that money is being returned, but if it is determined that these machines are illegal, then that money will be forfeited to the Commonwealth as contraband, just like we do in drug cases, when there’s money with drug deals … all that money that is around or dealing with criminal activity can be forfeited to the state.”

On Sept. 28, machines, redemption terminals and/or cash were taken, by the Pennsylvania State Police, Bureau of Liquor Control Enforcement, executing a search warrant signed by the office of DA Sayers, from the following establishments: Snappy’s in both Clearfield and DuBois; the Penfield Minit Mart; The After Dark, Clearfield; Redneck Reno, DuBois; Choice Cigarettes, DuBois; BP gas station, Clearfield, by Interstate 80; and N&T Convenience Store, Clearfield.

On Oct. 1, a motion was filed in the Clearfield County Court of Common Pleas on behalf of L&M Music Co. Inc. and Nittany Oil Co. Inc., seeking the return of four Pennsylvania Skill machines and one ticket redemption terminal containing $31,804, which were confiscated on Sept. 28. The property belongs to L&M and Nittany Oil and was seized from Nittany Oil’s premises, Penfield Minit Mart, located at 12120 Bennetts Valley Highway in Penfield. In addition, the motion sought to unseal the search warrant affidavit and suppress evidence from the seized property.

In response to Sayers’ actions, Pennsylvania Skill and Pace-O-Matic have dropped all pending lawsuits in Clearfield County regarding this matter. 

“We thank Clearfield County District Attorney Ryan Sayers for his professionalism and the time he has spent to understand and address the difficulties resulting from recent BLCE seizures of our Pennsylvania Skill games,” according to a statement released by Pennsylvania Skill. “DA Sayers worked diligently to resolve this issue in the best interests of the law, legal process, taxpayers, small businesses, and fraternal clubs, including veteran groups, which count on skill games for much-needed revenue.”

The recent order, issued on Oct. 26, by Sayers pending the Commonwealth Court lawsuit, states that the Commonwealth will do the the following, by and through the DA office:

  • Release the TRT and the $31,804 in U.S. currency contained therein, which were seized at Nittany Oil Company, Inc. 
  • Release the TRT seized at Reno DuBois, 13 Brady St., DuBois, in the condition in which it was seized.
  • Release the TRT seized at Snappy’s, Clearfield, in the condition in which it was seized.
  • Release $5,000 in U.S. currency seized at the Loyal Order of Moose, Houtzdale Lodge No. 327, 607 Brisbane St., Houtzdale, to the Loyal Order of Moose, Houtzdale Lodge No. 237.
  • Release $8,330 in U.S. currency seized at The After Dark, 309 N. Third St., Clearfield, to The After Dark.
  • Will not move forward with the prosecution of any of the eight locations regarding the operation of Pennsylvania Skill games. 

As Sayers has stated in previously published articles, “The Moose is not at issue in this case, but it is listed because they were seized on that same day, but they’re not subject to prosecution, they never have been this entire time.”

Also, the recent order states that establishments can have up to five machines in each location and they won’t be subject to prosecution, said Sayers.

“The reason for that is the big problem, and Pace-O-Matic even acknowledged this, when I sat down and met with their counsel and a couple of their representatives, is they acknowledged, and one of my big problems besides the fact that these machines are not regulated is that they’re places that are operating basically mini casinos, their primary income are these machines, and that they have, you know, five, eight, 10, 12 machines, and they’re only selling soda and candy bars. In other words, it’s just a front for a mini casino.

“Pace-O-Matic agreed that there would be no mini casinos operating in Clearfield County, and the number we set was five machines,” said Sayers. “Pace-O-Matic said that they would remove their machines from anywhere that had more than five machines, and that if law enforcement or myself come across a place that has more than five machines, then they’ll remove them so that they’re in compliance. In the event that they aren’t, and they don’t remove them, and it is over five machines, then those places will be subject to seizure and prosecution.”

“We share DA Sayers’ concerns regarding the proliferation of illegal gaming equipment, much of which masquerades as Pennsylvania Skill games,” said PA Skill’s statement. “We echo his (Sayers) call for the legislature to implement regulations and enforcement regarding skill gaming. Additionally, Pennsylvania Skill has agreed to work with DA Sayers to ensure best practices concerning terminal placement in locations are followed along with adherence to our code of conduct. We are making certain our policy of a limit of five games per location is followed.”

The Pennsylvania State Police and Liquor Enforcement are keeping the PA Skill game machines — which are separate from the redemption terminals — because they have to get search warrants to get in the machines, do a diagnostic exam, etc., said Sayers.

“Now, whether these places put them back in, up to five, is up to them and their attorney if they want to do so,” said Sayers. “The ones taken are still in the custody of Pennsylvania State Police and Liquor Enforcement and that’s where they will remain.”

Sayers noted that at no point is he acknowledging that these machines are legal. 

“In the eyes of the Commonwealth, these machines are still illegal gambling devices,” said Sayers. “However, because of the pending Commonwealth Court action … and the legislature discussing it, it’s going to end up on appeal anyhow. So we kind of saved a step. We’re going to take a step back pending the resolution by the higher court or the legislature.”

In their statement, Pennsylvania Skill said, “We are disappointed the BLCE continues to spread misinformation about our Pennsylvania Skill games and believe that was at the heart of seizures in Clearfield County.”

“I disagree with that assessment,” said Sayers. “Liquor Enforcement has a job to obviously deal with liquor, as well as illegal gaming in the Commonwealth of Pennsylvania. And right now there is not clear law on whether Pace-O-Matic or any other of these gaming systems are illegal or not. The way the law currently reads, the Commonwealth believes that these machines are illegal. Now, Pace-O-Matic specifically does have a decision out of Beaver County. However, that decision is not binding on the rest of the counties in the Commonwealth, it can only be binding on the rest of the counties is if a decision comes from the Commonwealth Court, or the Superior Court, or the Supreme Court, and that has not occurred yet. That is currently what’s happening in the Commonwealth Court.”

“In 2014, Pennsylvania Skill worked with the Pennsylvania State Police to organize a declaratory ruling regarding our skill game,” PA Skill said. “After a lengthy trial, the Beaver County Court of Common Pleas ruled that Pennsylvania Skill games are games of predominant skill and legal.”

Sayers said he appreciates the willingness of attorneys for Pennsylvania Skill games to talk with him about this issue. 

“I am always willing to discuss anything and meet with anybody. I’m very approachable,” Sayers said. “The fact that they wanted to sit and talk about these cases, I did appreciate. I think we came to a resolution for now.”

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