Wednesday, April 21, 2010

Gaming case going to court

By Sharon McBrayer The News Herald
Published: April 18, 2010
MORGANTON - A Superior Court judge on Monday will hear a complaint filed against local law enforcement officers, the district attorney and the state of North Carolina.
Thirteen Burke County businesses want the court to issue a preliminary injunction that prohibits police, the sheriff's office and the DA from interfering with the businesses for using, operating and promoting their marketing of telephone time through video sweepstakes
The complaint also asks the court, after a full hearing, to declare the games are "not prohibited gambling, lottery or gaming products."
Burke County sheriff's officers and municipal police on March 12 pulled the plugs, literally, on machines that offer Internet sweepstakes and other games they say violate North Carolina's gambling laws. The lawmen ordered 56 businesses to get rid of their Internet sweepstakes machines and video gaming equipment by March 26.
The plaintiffs, who filed the request for an injunction on March 26, are Larry Walker doing business as The New Salem General Store; Chad Earp dba Tobacco Barn No. 1; A.J. Aykumar dba Brendle Town Grocery; Jerry's Neighborhood Store; By Pass Beverage; JT Group Inc.; Gregory Allen dba G.A. Amusements; Tamela Cook dba Pearson's Toy Trains; Jeff Whisnant dba Country Cousins; Quick Mart No. 1; Shop & Save No. 4; Archie Bradshaw dba Bradshaw Salvage & produce; and Linda Simmons doing business as Linda New Image.
Superior Court Judge Beverly Beal will hear the complaint in Courtroom No. 1 at the Burke County Courthouse. Court starts at 9 a.m., according to officials. Beal said he likely will hear the complaint during the morning session of Superior Court.
Beal noted that the town of Valdese also filed a motion to dismiss the complaint.
Beal said whatever happens with the hearing will likely result in a preliminary action.
However, the decision on the motion to dismiss could be a permanent one.
Valdese Town Attorney Marc Mitchell filed the town's motion April 9. He said the businesses' complaint wasn't served by the sheriff or other authorized person; wasn't served on the proper person to obtain jurisdiction over the town; and that the town police department is not an entity which can be sued in the action.
Valdese Police Chief John Suttle said he was served with the complaint by the sheriff's office on Thursday.
In addition to Valdese's police department, the businesses' complaint names district attorney Jay Gaither, Burke Sheriff John T. McDevitt and the Morganton and Drexel police departments.
Victor Yamouti of Morganton and Kelly Daughtry of Daughtry Woodard Lawrence & Starling in Smithfield are representing the businesses.
Steve Settlemyer, city attorney for Morganton, said to his knowledge the city had not been served with the complaint and he hasn't seen it.
County Attorney Redmond Dill said on Friday that he hasn't filed any motions regarding the case. He said there is already an injunction in Guilford County and he will let the court decide whatever it wants to decide.
In March, Superior Court Judge John O. Craig in Guilford County, responding to an appeal from Hest Technologies and International Internet Technologies, ordered McDevitt and other law enforcers in Burke County to "cease and desist from any efforts to seize equipment or property" belonging to the two companies. Craig's injunction also prevents local law enforcement officers from filing any criminal charges against anyone using the Hest and IIT software systems.
Amending an injunction he originally imposed in May 2009, Craig's revised order adds McDevitt's name to those of other N.C. law enforcement agencies. It also clarifies who has to comply with the original injunction; that is, any law enforcer, as well as any prosecutor, acting on behalf of the state