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Thirteen casino workers accused of theft

Thursday, Dec. 16, 1999 | 10:50 a.m.

THE ASSOCIATED PRESS

CHEROKEE, N.C. -- The FBI arrested 13 former casino employees and charged them with stealing more than $187,000 over five months from Harrah's Cherokee Smoky Mountains Casino.

The suspects are charged with conspiracy and embezzlement for thefts that occurred from August 1998 until December 1998, according to a federal indictment unsealed Wednesday.

Each felony charge carries a maximum penalty of 20 years in prison and a $250,000 fine.

The Eastern Band of Cherokee Indians equally shares the profits from the casino. Tribal and casino officials said an investigation started in November 1998 after an internal audit by the Cherokee Tribal Gaming Commission revealed irregularities.

Authorities said money was stolen through an "elaborate scheme" of double-paying jackpots -- a winning customer would receive his or her correct payment and an employee would pocket an equal amount.

"We have strict internal control procedures in place and those procedures worked," said Patrick Lambert, head of the gaming commission. "We have zero tolerance of theft of any kind, and we feel these arrests are appropriate."

Jerry Egelus, general manager of the casino, said casino visitors' money was not involved.

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