Court docs: Former state lawmaker voted in favor of gaming company in exchange for job
A former Indiana lawmaker was promised future employment at a casino company and an annual compensation of at least $350,000 in exchange for using his elected position to assist the company in relocating two casinos, according to newly filed court documents.
Sean Eberhart, 57, has agreed to plead guilty to conspiracy to commit honest services fraud, according to a petition filed in the U.S. District Court Southern District of Indiana.
Patrick Cotter, an attorney for Eberhart, declined to comment on the case Friday.
Eberhart served on committee with jurisdiction over gaming and casinos
Eberhart is a former member of the Indiana House District 57, which includes Shelby County and portions of Bartholomew and Hancock counties. His district is also home to Horseshoe Indianapolis Racing & Casino. Eberhart was in office from 2006 to November of last year.
He served on the House Committee on Public Policy, which had jurisdiction over matters concerning casinos and gaming in Indiana.
In late 2018 and early 2019, a gaming company called Spectacle Entertainment sought to purchase the state licenses for two casinos that were located on the waterfront of Lake Michigan, and relocate those casinos to downtown Gary and Vigo County.
Purchases and relocations of casinos in Indiana must be approved through the passage of a bill by both houses of the Indiana legislature, then signed by the governor.
Spectacle Entertainment was a company created after the sale of the former Indiana Grand Casino and Racetrack in July 2018. The Shelbyville casino was sold to Caesars Entertainment Corporation and rebranded as Horeshoe Indianapolis Racing & Casino.
Many of the executives at the new Spectacle Entertainment company would have been familiar with Eberhart as they had held similar roles with the company that owned Indiana Grand Casino and Racetrack before it was sold and rebranded, according to an information document filed by U.S. Attorney’s Office, Southern District of Indiana.
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Prosecutors allege Eberhart advocated on Spectacle's behalf in exchange for a job and $350K salary
A bill to allow Spectacle’s purchases and relocations was introduced in the Indiana House and considered by the House Committee on Public Policy. In addition to approving the purchases and relocations of the casinos, the bill included provisions for Spectacle to pay a transfer fee.
Eberhart also allegedly sent text messages regarding his efforts to secure legislation favorable to Spectacle and to “make it right for” an individual at the company, who is not named in court documents, according to the information filed by the prosecution.
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Eberhart advocated for and voted in favor of “terms favorable” to Spectacle in exchange for future employment at the company with a salary of at least $350,000, according to the information filed by prosecutors. The lawmaker influenced the legislation so that the transfer fee to be paid by Spectacle for the licenses was reduced from $100 million to $20 million.
When the gaming bill passed in April 2019, Eberhart exchanged text messages with a person about the legislation, according to court documents.
"We got work to do and 2 casinos to open," Eberhart wrote in one message.
Contact Jake Allen at jake.allen@indystar.com. Follow him on Twitter @Jake_Allen19.
Contact IndyStar's state government and politics reporter Brittany Carloni at brittany.carloni@indystar.com or 317-779-4468. Follow her on Twitter/X @CarloniBrittany.
This article originally appeared on Indianapolis Star: Ind. lawmaker favored casino company in exchange for job, court docs say
