TULSA, Okla., Oct. 27 /PRNewswire/ -- Multimedia Games, Inc.
(Nasdaq: MGAM) announced today that the Chief Judge United States District
Court for the Northern District of Oklahoma has issued a judgment holding that
MegaMania, the Company's electronically linked bingo game, is a lawful
Class II game under the Indian Gaming Regulatory Act ("IGRA"), dismissing the
Government's contention that MegaMania was a Class III gaming device.
Gordon Graves, MGAM's Chairman and CEO stated, "We are obviously pleased
by the court's decision. We said in January that we were confident in our
legal position and that we firmly believed we could convince the court that
MegaMania was a lawful Class II game. The court's decision vindicates our
belief. We remain confident in our legal position even if the Government
decides to pursue an appeal."
The judgment in favor of the Company arose out of a civil forfeiture
action filed against MegaMania in December 1997 by the U.S. Attorney for the
Northern District of Oklahoma. In its Motion for Summary Judgment filed with
the Court, the Company argued that MegaMania was a game of bingo as authorized
by IGRA and that the linked electronic player stations used by players to
assist in playing the game were electronic aids authorized by IGRA. A similar
motion is pending in the United States District Court for the Northern
District of California in response to a civil forfeiture action brought by the
government against MegaMania in May 1998. Regarding that case Graves said,
"We will move swiftly to notify the Court in California of the decision
rendered by the Chief Judge for the U.S. District Court in the Northern
District of Oklahoma."
Multimedia Games, Inc., through its wholly owned subsidiary MegaBingo,
Inc., has exclusive contracts with over 50 Native American Indian nations to
provide linked games that are integrated among multiple halls. Multimedia
Games, Inc. is the nation's leading provider of linked, high-stakes bingo
games, electronic interactive bingo games, and associated data processing
services and products to the Native American gaming industry.
SOURCE Multimedia Games, Inc.