ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: WEDNESDAY, March 7, 1990                   TAG: 9003071682
SECTION: VIRGINIA                    PAGE: C1   EDITION: FINAL 
SOURCE: LAURENCE HAMMACK STAFF WRITER
DATELINE:                                 LENGTH: Long


TWO FACE CHARGES IN ROANOKE BINGO

Two people have been accused of running illegal bingo games in Roanoke on behalf of charity - an activity that is being scrutinized by city officials amid allegations of widespread fraud and misuse.

George Fox of Troutville and Patricia Hendrix of Buchanan are charged with exceeding the state-mandated $1,000 limit on special jackpot prizes awarded during bingo games at the Bonanza Bingo parlor on Williamson Road.

Although the claimed violations are technical in nature, they mark the first time criminal action has been taken since a citizens' group complained to Roanoke authorities last year that some of the city's bingo operations regularly and blatantly disregard the law.

The group claimed that operators sometimes falsely claimed to represent charitable organizations as a front to hold bingo games and collect thousands of dollars spent by players.

While declining to address the specifics of the charges against Fox and Hendrix, Roanoke Commonwealth's Attorney Donald Caldwell said Tuesday that he is aware of potential problems at some of the city's bingo halls.

"I have some legitimate concerns about whether or not the bingo games are being run in accordance with the law," he said.

Caldwell also said that in some cases he has doubts about "whether the proceeds of the bingo operations are ultimately finding their way to charitable purposes."

According to records filed in the Roanoke commissioner of revenue's office, Fox was conducting games at Bonanza Bingo on behalf of the St. Andrew's Youth Group - apparently without permission from the church.

"This is to inform you that I have given no one the authority to seek a license for bingo in the name of any organization within the parish," the Rev. William S. O'Brien of St. Andrew's Church wrote in a letter to Commissioner of Revenue Jerome Howard.

O'Brien asked in the letter that a bingo permit granted to Fox be revoked. The permit was voided on Feb. 27, according to records.

In an interview Tuesday, O'Brien said he was not aware of any bingo games conducted on behalf of the church. But on an application for a permit, Fox listed gross receipts of more than $150,000 collected in games over the past year.

Fox, a member of St. Andrew's, said Tuesday that the issue was a "misunderstanding" he had with church officials, but declined to elaborate.

On the permit, Fox listed his title with the church as "ways and means chairman." O'Brien said he knew of no such position at the church.

As for the charges against him, Fox said: "The warrant that was issued was for running an illegal bingo game. What was illegal, I don't know, I guess that's why we're going to trial."

Fox is charged along with Hendrix, who was operating games at Bonanza Bingo on behalf of the Buchanan Youth Sports Booster Club. Hendrix could not be reached for comment Tuesday.

The warrants were obtained by two people involved in rival bingo operations.

Brenda Peters, who went to a magistrate and swore out a warrant against Hendrix, is the sponsor of bingo games conducted at T-K Bingo on Peters Creek Road. Peters has a permit to operate games on behalf of the Wilmont Recreation Club, according to records at the commissioner of revenue's office.

The other warrant charging Fox was obtained by Charles Craighead, whose wife, Theresa, runs T-K Bingo. Peters and Theresa Craighead declined to elaborate Tuesday on what led them to file the charges.

As early as last April, city officials began to receive letters about bingo from a group that identified itself only as "Concerned Citizens."

"These documents are being sent to you in the hope that at long last something will be done about the blatant disregard for the laws in regard to bingo in the Roanoke Valley," one letter stated.

The letters, which were not signed, were sent to Mayor Noel Taylor, members of City Council, Caldwell, state and city police, and other officials.

Bingo operators are not allowed to offer more than $1,000 per day in special jackpot prizes, which are awarded in addition to smaller prizes for regular bingo games. The warrants accuse Fox and Hendrix of exceeding the limit at games played on two nights last month at Bonanza Bingo.

A secretary at Bonanza Bingo said Tuesday that Fox and Hendrix are no longer associated with the business. The manager of the club did not return a reporter's telephone call.

Under state law, bingo operators are required to have an annual permit issued by the commissioner of revenue. Permits can be issued to veterans' groups, fraternal organizations, volunteer fire departments and rescue squads, or religious, charitable, community or educational groups.

Once they receive a permit, the groups usually pay a fee to a bingo parlor for the use of the building and equipment.

The law states that "the permit shall only be granted after a reasonable investigation has been conducted by the locality or local official."

But Howard said Tuesday that investigations are not always conducted - especially when his office is familiar with the applicant organization, as was the case with the permit application submitted by Fox.

Howard said he did not call the church group to confirm the application because he knew that it was a religious organization.

"You take the applications at face value and assume that they have the authority," Howard said.

O'Brien said an anonymous caller first told church officials that unauthorized bingo games were being conducted on behalf of the youth group.

"I don't even know what to think," O'Brien said. "I'm going to leave it up to the city."

Caldwell said Tuesday that city officials have met to discuss concerns about bingo, and that a proposal to beef up a city ordinance on the games may be in the works.



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