Court Upholds Ending Casino Payments to Duluth

Created: 01/14/2013 4:36 PM KSTP.com By: Leslie Dyste

A federal appeals panel agrees the Fond du Lac Band of Lake Superior Chippewa no longer has to give the city of Duluth a cut of its casino profits.

The 8th U.S. Circuit Court of Appeals Monday upheld a 2011 ruling ending casino payments to Duluth.

But the panel reversed U.S. District Court Judge Susan Nelson's ruling that the band must pay the city $12.4 million it has withheld since the dispute over casino revenue began in 2009. The Duluth News Tribune reports that issue was sent back to Nelson.

The band had been sending the city 19 percent of its video game profits since it opened its Duluth casino, Fond-du-Luth, in 1986.

Duluth City Attorney Gunnar Johnson plans to ask the full appeals court to review the ruling.

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