CHAPTER 12. GAMBLING GAMES TEMPORARILY CONDUCTED BY A TRUSTEE
IC 4-35-12
Chapter 12. Gambling Games Temporarily Conducted by a
Trustee
IC 4-35-12-1
Application of chapter
Sec. 1. This chapter applies only to a trustee acting under the
authority of:
(1) a resolution adopted by the commission authorizing the
trustee to conduct gambling games under this chapter; and
(2) either of the following:
(A) A written power of attorney approved by the
commission under IC 4-35-5-9.
(B) An appointment by the commission under IC 4-35-4-14.
As added by P.L.142-2009, SEC.28.
IC 4-35-12-2
Exercise of power delegated by power of attorney prohibited unless
authorized by the commission
Sec. 2. A person may not exercise any powers delegated under a
power of attorney submitted under IC 4-35-5-9 unless the
commission adopts a resolution under section 3 of this chapter.
As added by P.L.142-2009, SEC.28.
IC 4-35-12-3
Resolution authorizing a trustee to conduct gambling games at a
racetrack
Sec. 3. The commission may adopt a resolution authorizing a
trustee to temporarily conduct gambling games at a racetrack if any
of the following occur with respect to that particular racetrack:
(1) The commission revokes the owner's permit or gambling
game license.
(2) The commission declines to renew the owner's permit or
gambling game license.
(3) A proposed transferee is denied a permit under IC 4-31 or a
gambling game license under this article when attempting to
purchase the racetrack and obtain a permit, but the person who
attempted to sell the racetrack is unable or unwilling to retain
ownership or control of the racetrack.
(4) A permit holder agrees in writing to relinquish control of the
racetrack to a trustee as approved by the commission.
As added by P.L.142-2009, SEC.28.
IC 4-35-12-4
Effective date of power of attorney
Sec. 4. A power of attorney designating a trustee to conduct
gambling games at a racetrack is effective on the date designated by
the commission in a resolution authorizing the trustee to conduct
gambling games under this chapter. The power of attorney remains
in effect until the date the trusteeship established by the operation of
the power of attorney is terminated by resolution of the commission.
As added by P.L.142-2009, SEC.28.
IC 4-35-12-5
General power of attorney law applies
Sec. 5. (a) IC 30-5 applies to a trustee exercising powers under
this chapter.
(b) For purposes of IC 30-5, a trustee is an attorney in fact.
As added by P.L.142-2009, SEC.28.
IC 4-35-12-6
Trustee requirements
Sec. 6. A trustee who conducts gambling games at a racetrack:
(1) must:
(A) be eligible to receive an occupational license under
IC 4-35-6.5; and
(B) satisfy the requirements of any rule adopted by the
commission under IC 4-35-6.5-4;
(2) must conduct the gambling games within the same standards
for character, reputation, and financial integrity that are
imposed upon a permit holder by this article;
(3) must submit to the commission any information requested
by the commission; and
(4) is charged with all the duties imposed upon a permit holder
under this article.
As added by P.L.142-2009, SEC.28.
IC 4-35-12-7
Trustee's duties
Sec. 7. (a) A trustee acting under the authority of this chapter
must fulfill the trustee's duties as a fiduciary for the owner of the
racetrack. In addition, the trustee shall consider the effect of the
trustee's actions upon:
(1) the amount of taxes and fees remitted by the trustee under
this article;
(2) the racetrack's surrounding community;
(3) the racetrack's employees; and
(4) the creditors of the owner of the racetrack.
(b) In balancing the interests described in subsection (a), a trustee
shall conduct gambling games at the racetrack in a manner that
enhances the credibility and integrity of gambling games in Indiana
while minimizing disruptions to tax revenues, fee remissions,
employment, and credit obligations.
As added by P.L.142-2009, SEC.28.
IC 4-35-12-8
Duty of racetrack owner to sell a racetrack at which a trustee
conducts gambling games
Sec. 8. (a) A person who directly or indirectly owns a racetrack
that is the subject of a resolution described in section 3 of this
chapter has one hundred eighty (180) days after the date on which
the commission adopts the resolution to sell the racetrack (and its
related properties described in section 9 of this chapter) to another
person that:
(1) satisfies the requirements of IC 4-31 for obtaining a permit
and this article for obtaining a gambling game license; and
(2) is approved by the commission.
(b) If the person is unable to sell the racetrack (and its related
properties described in section 9 of this chapter) in the time required
by subsection (a), the trustee may take any action necessary to sell
the properties to another person that:
(1) satisfies the requirements of IC 4-31 for obtaining a permit
and this article for obtaining a gambling game license; and
(2) is approved by the commission.
As added by P.L.142-2009, SEC.28.
IC 4-35-12-9
Operation of related properties
Sec. 9. A trustee acting under the authority of this chapter may
conduct the operations of any hotel, restaurant, golf course, or other
amenity related to the racetrack's slot machine facility.
As added by P.L.142-2009, SEC.28.
IC 4-35-12-10
Trustee compensation
Sec. 10. A trustee is entitled to reasonable compensation for
carrying out the duties imposed upon the trustee under this chapter.
The trustee's compensation must be:
(1) approved by the commission; and
(2) paid by the owner of the racetrack that is the subject of a
resolution described in section 3 of this chapter.
As added by P.L.142-2009, SEC.28.
IC 4-35-12-11
Liability insurance
Sec. 11. A permit holder shall purchase liability insurance, in an
amount determined by the commission, to protect the trustee
appointed to conduct gambling games on behalf of the permit holder
from liability for any act or omission by the trustee occurring within
the scope of the trustee's duties. The insurance coverage required by
this section must apply to the entire period of the trusteeship.
As added by P.L.142-2009, SEC.28.
IC 4-35-12-12
Power to revoke, modify, or amend a resolution authorizing a
trustee to conduct gambling games at a racetrack
Sec. 12. (a) Except as provided in subsection (b), the commission
may revoke, modify, or amend a resolution authorizing a trustee to
conduct gambling games under this chapter upon a showing of good
cause after a public meeting. A public meeting held under this
subsection may be conducted by the commission or the executive
director.
(b) In an emergency that requires immediate action to protect the
credibility and integrity of gambling games authorized by this article,
the commission may, without holding a hearing, take the following
actions concerning a trustee whose actions have created the
emergency:
(1) Revoke the resolution authorizing the trustee to conduct
gambling games under this chapter.
(2) Remove the trustee from the control of the racetrack subject
to the revoked resolution.
As added by P.L.142-2009, SEC.28.