A veteran is suing the Illinois Gaming Board (IGB) and a group of administrators over revoking a gaming license in the Land of Lincoln.
Matthew Monson, the owner of Veterans Video Gaming Team (VGT), Equitable Veteran Solutions and Vemco, has filed a suit in the U.S. District Court of the Northern District of Illinois, Eastern Division. In the suit, Monson claims an equal protection violation by the IGB and members of the board for the revocation of VGT’s terminal operator license amid a sale of the business. Monson also claims that the IGB has refused to grant hearing requests by Vemco and Equitable Veteran Solutions causing more issues for Monson and his properties.
In the suit, Monson claims the IGB failed to renew Veterans VGT’s terminal operator license that it was first approved for in 2017. Monson alleges that Veterans VGT maintained its required annual renewals of the license through 2021. That year, Veterans VGT secured a deal to sell all of its assets to J&J Ventures Gaming, a company that is also licensed as a terminal operator.
The transaction was approved by the IGB following a probe into the proposed agreement. As a result of the approved sale, Veterans VGT did not apply for a license renewal for 2022.
License renewal issue gets expensive
Veterans VGT’s failure to renew its license ahead of a May 2022 deadline led to its expiration, and a notice was sent by the IGB to submit a license renewal application and pay a $5,000 fee. Veterans VGT allegedly notified the IGB of its refusal to submit a renewal application and pay the fee. According to an IGB rule, “the Board may only renew a license upon receipt of the annual fee and any renewal forms provided by the Board;” and “a license shall expire if the annual fee is not received by the Board prior to the expiration of the license.” Despite the approved sale and failure to renew its license, the IGB issued a disciplinary complaint against Veterans VGT for failing to timely disclose sales agents.
The complaint, which came with a $100,000 fine, was also for misrepresentations before the Board. Veterans VGT responded to the complaint by filing a request for a hearing.
According to court documents, Veterans VGT’s request for a hearing was not fulfilled as the company waited nearly a year to be assigned an administrative law judge. As a result of the delay, IGB filed an amended complaint seeking to revoke Veterans VGT’s license that it failed to renew. Veterans VGT responded with two separate answers to the complaint.
Illinois regulator impacts several businesses
The IGB’s control over licensing also impacted Monson’s Vemco business, which is intended to partner with minority-owned businesses to supply casinos with equipment.
Vemco filed its casino supplier license application with the IGB in November 2021 and was denied two years later despite the company attempting to withdraw its application. Vemco, which is a separate entity from Veterans VGT despite both being owned by Monson, was allegedly denied due to the complaint by the IGB brought against Veterans VGT.
“There is a substantial, bona fide, actual and justiciable dispute regarding punishments levied by the IGB against Matthew Monson and his related entities, for allegations pending against Veterans VGT which have not been adjudicated to final order,” says the suit.
Vemco requested a hearing regarding the issue but has yet to have its time with the IGB. Monson is seeking a jury trial on all issues raised in the suit, including demands by the IGB for J&J Ventures and Golden Nugget Danville to disassociate themselves from the veteran.
