Louisiana Tribal Casino Under Federal Investigation for Misuse of Funds

^{The Coushatta Casino Resort in Louisiana is now under scrutiny after a former tribal chairmen used casino funds to help build his house. (Photo: Coushatta Casino and Resort / Facebook)}

The Coushatta Casino Resort in Kinder, Louisiana is at the center of a federal investigation into the activities of a former tribal chairman who allegedly used casino funds for personal benefit.

According to a report by the, federal regulators say that former Coushatta Tribe chairman Jonathan Cernek used a casino business credit card to build and furnish his home. 

Suspicious Credit Card Use Leads to Federal Intervention

In September, the National Indian Gaming Commission ordered the Coushatta Tribal Gaming Commission to suspend the gaming license of former casino general manager and CFO Todd Stewart, who allegedly failed to report suspected misuse of gaming revenues. Additionally, an independent audit by the Louisiana Legislative Auditor also found that tribal leadership failed to properly track credit card use, leaving $100,000 in purchases unaccounted for over a two-month period.

NewsNet5.com cited sources claiming that Cernek – and potentially others – embezzled at least $350,000 from the tribe. That scandal ultimately led to Cernek’s resignation as tribal chairman in August 2024.

In a letter from August 2024, Stewart reported the suspected misuse of the credit card in a statement to the Coushatta Tribal Council. In that letter, Stewart outlines events as early as November 2023, in which he says he found invoices for deliveries of bathroom fixtures and other materials to Cernek’s home.

According to Stewart’s statement, when he confronted Cernek about the credit card statements, Cernek allegedly threatened his job. 

Stewart also said he spoke with former casino purchasing manager Paula Corliss about the credit card issue. However, Corliss told the Illuminator that little was done about the spending, either by Stewart or anyone else.

“It was there for [Stewart] to see, for the council to see, everybody in finance,” Corliss told the Illuminator. “It was there. You could see it. No one addressed it with the chairman. No one, and Todd said he would handle it.”

According to Corliss, she was later questioned by both the FBI and the Bureau of Indian Affairs about the situation in 2024.

Former Tribal Official: Casino Requires ‘Honesty and Good Leadership’

While Stewart has declined to media questions about the situation, he did issue a written statement defending his tenure.

“Throughout my tenure with the Coushatta Tribe of Louisiana, I have discharged the duties of my position with professional integrity and have worked with the stakeholders for the betterment of the Coushatta Casino Resort,” Stewart wrote in his statement. “That has defined my tenure.”

Other former tribal officials have also had retaliation run-ins with Cernek. According to former heritage and cultural department director Jonas John, he was forced out of his job questioning funding for a tribal museum project.

“Sometimes, if you start questioning our department’s grant money and tribal issues, this is what happens,” John told the Illuminator. “We built the casino to help our people and the local community grow, but that takes honesty and good leadership.”

The Coushatta Casino Resort first opened for business in 1995 and has grown into one of Louisiana’s largest tribal gaming operations. The resort employs around 2,600 people and the casino resort's expansions since its opening have only helped to enhance the multiple gaming floors, hotel, and entertainment venues.