The Prairie Band Potawatomi Nation has filed suit in Shawnee County District Court against Harrah's Entertainment for allegedly violating a noncompete agreement by pursuing development of a new casino in Sumner County.
Harrah's Entertainment operated the Prairie Band Casino for about 10 years until July 2007 and is now working with a Topeka investment group to build a casino in Sumner County.
The seven-member Lottery Gaming Facility Review Board will pick the contractors for the Cherokee and Sumner county casinos this week and the Ford and Wyandotte county casinos on Sept. 18-19.
Russ Brien, attorney for The Prairie Band Potawatomi Nation, said the tribe "contacted us, we evaluated the situation and took this course of action."
A Harrah's official, Jacqueline Peterson, declined to comment Monday.
Harrah's is working with Topeka-based investors Bruce and Michael McPherson, Bruce Christenson, Nancy Seitz and Jeff Ungerer in the casino development in Sumner County south of Wichita.
Brien, the tribe's attorney, requested the court stop Harrah's ongoing development activity.
"The petition alleges Harrah's active involvement in a proposed casino in Sumner County, Kan., is in clear violation of the noncompete agreement," Brien said.
The suit said Harrah's agreed not to develop, promote or encourage the expansion of casino gambling in Kansas for one year after Jan. 13, 2008, and not own, operate or manage another casino in Kansas for two years from that date.
The Prairie Band Potawatomie Tribal members took over management of their casino from Harrah's in July 2007, six months earlier than expected.
Topeka, Kan. —
