Federal Agencies Investigate Misuse of Funds at Louisiana Tribal Casino

The FBI and the Bureau of Indian Affairs have stepped up their investigation into alleged financial wrongdoing at the Coushatta Casino Resort in Kinder, Louisiana. Several sources and internal documents reveal that federal agents have interviewed former employees about possible mishandling of casino money by previous tribal leaders.

The investigation centers on Jonathan Cernek, who used to chair the Coushatta Tribe. He stands accused of using a casino credit card to buy materials and furnishings for his own home. Todd Stewart, the former general manager and chief financial officer, brought this issue to the attention of tribal leadership last year. He expressed worry that casino profits meant to benefit tribe members were instead going toward personal use, reported the Louisiana Illuminator.

In an internal statement to the Coushatta Tribal Council in August 2024, Stewart reported finding invoices for items sent to the Cerneks’ home, including bathroom fixtures. He said that when he questioned the charges, the former chairman threatened his job. Stewart later verified his statement was true, saying he had always done his job with honesty.

Paula Corliss, who used to manage purchasing and oversee the casino’s procurement accounts, said the FBI and the Bureau of Indian Affairs interviewed her about the casino’s financial records. She admitted that the credit card was sometimes used to buy things delivered to the Cerneks’ house, but said other finance officials could see these transactions.

In September, the National Indian Gaming Commission (NIGC) suspended Stewart’s gaming license. The NIGC claimed he did not report concerns about credit card activity while he oversaw casino operations. The NIGC told the Coushatta Tribal Gaming Commission to hold a formal hearing to revoke his license.

Later audits found issues with casino spending. The Louisiana Legislative Auditor looked at one audit. It showed missing receipts for over $100,000 in purchases during a two-month period in 2024. A similar audit from 2023 noted hundreds of transactions without documentation. These added up to more than $111,000.

Current tribal leaders have kept quiet about the claims, and the council has not given any public explanation. Some tribe members feel frustrated by what they see as a lack of openness and responsibility.

Jonas John, the former heritage director who once disagreed with Cernek about budget matters, said financial control has been a concern in the tribe for a long time. He thinks the community should have stronger rules to govern itself to stop money from being misused in the future.

Cernek stepped down as chairman in August 2024 just before Stewart gave his written statement to the council. Since then, the casino has taken away purchasing credit cards and put stricter rules in place for expenses, a spokesperson said.