Tribe reveals secret Internet project

Catherine Wilson

Wednesday, Dec. 18, 2002 | 9:29 a.m.

MIAMI -- In an unusual move Tuesday, a judge excused a jury and acquitted three fired Seminole tribal workers in their federal embezzlement trial for lack of evidence.

The decision came a day after ousted Seminole Indian Chief James Billie took full responsibility for quietly ordering the founding of an Internet gambling operation funded by $2.7 million in tribal money that prosecutors claimed was stolen. Billie was investigated but not interviewed or charged.

Ken Lipman, attorney for the tribe's fired chief administrator Tim Cox, called the prosecution "misguided." Alvin Entin, attorney for computer consultant Michael Crumpton, said the case amounted to government "overreaching."

U.S. District Judge William Dimitrouleas issued the directed verdicts of acquittal after both sides rested on the sixth day of trial in Fort Lauderdale, agreeing with the defense that the prosecution evidence's was too weak to support a conviction.

"Everyone's very pleased," said Bruce Zimet, attorney for Crumpton's father-in-law Danny Wisher. "The judge even commented to the jury that it's something that he doesn't do very frequently."

Jacqueline Becerra, spokeswoman for the U.S. attorney's office, said: "We strongly believe that the case should have gone to the jury. We stand by our case, and today's result in no way will deter us from prosecuting these cases in the future."

The defense offered the first extensive public look at the secretive tribe's finances, its unregulated $350 million-a-year gambling operation and lack of financial controls.

Under the tribe's rules, Billie and four other elected members of the Seminole tribal council were free to spend $5 million each a year as they wish, but testimony indicated they often went overboard. Even Billie acknowledged on the stand that Seminole leaders were "spending foolishly."

He blamed the federal indictment on a Seminole power struggle that ended with his suspension in May 2001 and the firing of about 30 tribal workers, including Cox, Wisher and Crumpton.

Cox "could barely speak after the verdict," Lipman said. Zimet said: "My client was bawling his head off. His life has been suspended for seven months now." Entin said Crumpton "was thrilled. He's going fishing."

The defense said the men were acting on Billie's orders when they set up an Internet gambling venture with a link on the tribe's website, first in Belize and then at a Nicaraguan hotel bought by Cox.

Money from the tribe's Raymond James investment account went to a company that listed Cox, Wisher and Crumpton as officers when it formed in 2000.

Billie said he was in the habit of creating new tribal businesses and keeping the tribe's interest hidden to both Seminole leaders and outsiders to avoid controversy and price markups.

He said he put Cox in charge of the Internet project while Wisher and Crumpton handled the operation's computers.

With six reservations in Florida, the tribe has grown rich in a generation from high-stakes bingo, low-stakes poker and video betting.

As a backdrop, the tribe's blind attorney was the victim of an attempted hit in his living room in January, the Hard Rock Cafe has two casino-style resorts in the works with the tribe, and a different casino partner is suing the tribe for defaulting on a $20 million loan.

Billie hopes to regain his seat as tribal chairman in elections next May. Acting Chairman Mitchell Cypress also plans to run.