Former Pace-O-Matic Exec Pleads Guilty in PA Gaming Case

A former executive at Pace-O-Matic has admitted to laundering money tied to illegal activity in Pennsylvania’s gaming machine market, state officials said this week.

Attorney General Dave Sunday announced that Ricky Goodling pleaded guilty on Tuesday, February 3, in Cumberland County Court to the first-degree felony of dealing in the proceeds of unlawful activities. The 59-year-old from Mechanicsburg, PA, is scheduled to be sentenced on April 28.

Shell Company Disguised the Bribe 

Goodling’s crimes date back to his time as Pace-O-Matic’s director of national compliance, a role that was supposed to focus on making sure the company’s gaming machines were operating within the law. 

Instead, investigators say he did the opposite. According to a joint investigation by the Pennsylvania State Police and the Office of Attorney General, Goodling accepted hundreds of thousands of dollars from distributors and operators whose machines were not compliant with state rules. 

Instead of flagging or reporting those violations, he allegedly took the money and let the problems slide.

To conceal the payments, authorities say Goodling created a shell company called Rest and Relaxation, LLC. The business had no legitimate purpose and was used to funnel and disguise the cash he received, turning the bribes into what appeared to be legitimate income.

At the time of the offenses, Goodling was a retired Pennsylvania State Police corporal, a background that added to the seriousness of the case in the eyes of investigators. Officials said his actions helped deepen an already messy regulatory environment around the controversial skill games and similar machines in the state.

Skill games resemble slots but, instead of solely relying on the standard random number generator to predict the win rate, they feature an element of skill that determines the payout. 

These games enable players to complete skill-based tests to improve their odds, something that the Pennsylvania Gaming Control Board, the Pennsylvania Lottery, and the overall gaming industry strongly oppose.

“Fueled by Personal Greed”

“The defendant pleaded guilty to a very serious charge and took accountability for his conduct, which was fueled by personal greed,” Attorney General Sunday said. “His actions contributed to the disorganized and problematic environment in which these games exist in the Commonwealth,” he added. 

The collaboration between the Pennsylvania State Police, the Office of Attorney General, and the Bureau of Liquor Control Enforcement traced the payments and uncovered how the money moved through Goodling’s fake company.

In addition to the state case, Goodling also entered guilty pleas in federal court on Tuesday to tax-related charges connected to the same conduct. Sentencing in the federal case will take place at a later date.

Senior Deputy Attorney General Erik Olsen and Chief Deputy Attorney General Adrian Shchuka are handling the prosecutions. Officials have not said whether the investigation could lead to additional charges against other individuals involved in the distribution or operation of the machines.