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Some Indian Casino Owners Challenge Governor’s Plan

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A group of Indian casino owners is throwing its weight behind a gambling initiative that threatens Governor Arnold Schwarzenegger´s ongoing negotiations with tribes to share their revenue with the state.

The California Indian Nations Gaming Association said Friday it was endorsing Proposition 70. That measure would allow tribes to operate as many slot machines as they choose as well as games currently banned in California in exchange for paying a percentage of their income.

The move represents a direct challenge to Schwarzenegger. He´s negotiated separate compacts with five tribes authorizing them to expand their gambling operations in exchange for large payments to the state.

If Proposition 70 passes in November, the governor´s deals could face court challenges and become invalid.

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