JACKSON, MS (WLBT) - The Secretary of State was looking into questionable activities by the Fine Arts Institute of Mississippi and what it does with the money it receives from Boxcar Bingo, which the institute operates in Olive Branch.
Thursday morning, the State Gaming Commission denied Boxcar Bingo's license to operate. The director of the Fine Arts Institute of Mississippi is Bill Murphy. He and his attorney, Eric Hamer, were seen leaving the gaming commission's headquarters on North Street in downtown Jackson Thursday morning.
The gaming commission didn't like how the institute spent the millions of dollars it received from Boxcar Bingo.
Larry Gregory says three things factored in his decision: $7,500 dollars spent on software development, more than $20,000 dollars paid to Madison County Supervisor Tim Johnson who worked as a lobbyist for the institute, "...and lastly, and most importantly, this group seems to have gone out and signed a contract with another charity group with the 40-percent that they're supposed to be giving to charities, entered into an agreement to give 70-percent of those proceeds to this group that the gaming commission had no knowledge of, no one in the state and that's just totally unacceptable."
The other charity is Mississippi Youth Activities and Recreation Team, Inc. or MYART, a charity run in part by supervisor Tim Johnson's wife, Lynn Johnson.
The Fine Arts Institute's executive director, Bill Murphy says he will appeal the gaming commission's decision.
A spokesman for the Secretary of State's office said they could not comment.