Mashpee Wampanoag tribe financial scandal broadens; Senate legislation still includes Cromwell preference

As Massachusetts Senators wind down ‘debate’ on a Bay State casino gaming bill which includes a special interest preference for the Mashpee Wampanoag, ongoing claims of financial improprieties by tribal leadership are growing.   The Mashpee band of the Wampanoag tribe, led by council chairman Cedric Cromwell, are under fire now for being in default on mortgage payments and failing to repay loans to early investors who backed their lobbying and legal costs for gaining required federal recognition as a tribe – a first step towards establishing an Indian reservation land-in-trust casino complex.

According to a new report in the Cape Cod Times, the Mashpee band owes real estate developer Herb Strather of Detroit more than $25 million.  The report also notes that the tribe is in default on the mortgage for a farm purchased for the tribe by Strather.  Strather is just one of several questionable “investors” in the Mashpee tribe scheme to open an Indian gaming resort complex in Massachusetts.  The Mashpee had also engaged the same South African investors behind the Mohegan tribe – Sol Kerzner and Len Wolman.  Both Strather and Kerzner have past charges of bribery and other claims.  How much is owed to Kerzner and Wolman is unknown as the tribal council has refused to open their financial books to members.  Under Cromwell, the tribe severed its relationship with Strather, Kerzner and Wolman in 2009 when the Mashpee Wampanoag became partners with another foreign gaming syndicate. The tribe owes its current backers, the Genting Group of Malaysia, in excess of $25 million.  Genting’s alleged ties to organized crime and terrorist groups make for a trifecta of corruption ties among Mashpee backers.  Foreign backed investors of Indian gaming and corruption are common according to a Time Magazine report exposing the problems with unregulated, tax-exempt Indian casinos including those of the Wampanoag investors.  Conservative estimates of tribal debts are in excess of $50,000,000 – with no accounting to the tribe of how that money was spent or repayment plans.  Cromwell apparently defaults, literally, to claims of tribal sovereignty anytime he’s questioned about this.

This latest news comes on the heels of reports that tribal elders seeking to recall Cromwell are calling on the Bureau of Indian Affairs to investigate the current council leadership for violating the tribe’s charter, financial improprieties and failing to make public the finances behind their casino related dealings.  Tribe members claim that Cromwell recently filed paperwork to change the tribe’s charter in such a manner that would essentially privatize the group’s casino interests and turn over the ownership to him and other council members.  Cromwell and other council members Aaron Tobey, Mark Harding, and Maria Stone have already established a for-profit real estate development arm called “First Light Corporation” using tribal resources to make real estate purchases associated with their casino endeavors.  Cromwell has reportedly used tribal credit cards to bill thousands of dollars for limousines, meals, travel and lobbying related expenses without any accounting or disclosure to the tribe or state regulators.

What tribe members do know is that Cromwell came to his position, backed by the Genting Group of Malaysia, under clouded allegations of election improprieties.  Cromwell’s tribal membership, which he gained only in 2006, qualifications have been questioned.  Cromwell had personally defaulted on his home mortgage and had liens for unpaid utilities prior to taking his new position.  Yet, today he apparently has a new unencumbered mansion on Cape Cod, membership records are locked away from prying eyes and his personal financial problems are no longer making newspaper headlines.

Massachusetts elected officials, led by Senator Therese Murray and Governor Deval Patrick, have taken hundreds of thousands of dollars in campaign contributions from the foreign money backed lobbyists behind the Wampanoag scheme.  They are paying back those lobbyists, like Bill Delahunt, with a special set-aside that ensures the Mashpee Wampanoag and no other tribe will gain exclusive and tax-free gaming rights to 1/3 of the state.  That this political scandal continues unchecked is beyond imagination.  That the Commonwealth’s financial and job needs are being put behind the interests of a small special interest group with such a long history of corruption and improprieties is immoral and criminal.

Other Native American tribes outraged at exclusion and special treatment of Mashpee Wampanoag

While Mass legislators led by top casino interest campaign contribution beneficiaries Therese Murray and Deval Patrick continue to push lobbyist written legislation giving special preference to Indian gaming with a unique carve out design to benefit only the Mashpee band of the Wampanoag tribe, other tribes apparently aren’t happy.  Murray went so far as to block an amendment which simply said the state would be authorized to negotiate with ANY federally recognized tribe in order to protect the Mashpee from potential legitimate competition.  Talk about lobbyist power - Bill Delahunt is earning his keep so all those contributions from his federal congressional PAC to state lawmakers is paying off.

The Cape Cod times reports that other Native American tribes, including Pocasset Pokanoket tribe, issued a press release Monday afternoon saying it had sent a 500-page document to the federal Bureau of Indian Affairs objecting to the Mashpee tribe’s application to put land into federal trust and saying the tribe has “absolutely no social or political ties to any part of Massachusetts except on Cape Cod.”

“There should be no advantage for any tribe,” Lesley Rich, an attorney for the Pocasset tribe, said in a phone interview. “The Pocassets are trying to protect their rights.”

George Spring Buffalo, the Pocasset leader, called it “an absolute injustice” for the Legislature to exclude state-recognized tribes from the process. 

This is just the latest blow to the scheme to turn over all gaming for Southeastern Massachusetts tax-free to  the Mashpee band and their Malaysian backers at Genting Group.  While current federal law makes such a move illegal, Therese Murray and the Governor are so in the pockets of Cedric Cromwell and the Mashpee band's lobbyists partnered with slot machine interests which will benefit from sales tax-free and fee-exempt sales to Indian tribes that they are insisting on pushing this through.  Even if Murray and Patrick are successful, and somehow the U.S. Congress passes a new law making their deal legal, the Mashpee will still have to get federal permissions which can be blocked by any number of reasons - including opposition by other tribes.

All this means the only jobs Southeastern Massachusetts will see from this deal will be lobbyists and lawyers.  The campaign contribution gravy train will continue for Therese Murray and her allies in the Senate.  Hope there is enough cash to overcome the damage to their constituents from this fiasco.

Doomsday for Cape Cod - Wampa World Countdown Clock

Ready! Fire! Aim!


The countdown to Wampa World begins once the Senate passes the Patrick-Murray Indian Gaming bill and Governor Deval "I don't count every check" Patrick signs it into law.




But don't worry, unless some savvy Senator amends the bill, the Governor's appointed henchmen can reset the clock by simply saying they believe the Mashpee Wampanoag and Supreme Commander Cedric "crush the competition" Cromwell might someday secure all the necessary federal law changes and administrative requirements to game.  Based on the current language as written in the bill, July 31, 2011 isn't an enforceable deadline.