Feds move to seize S. Tahoe assets allegedly scammed from Auburn tribe

By Denny Walsh and Sam Stanton, Sacramento Bee

Federal agents are moving to seize 32 properties stretching from Sacramento to Hawaii to San Diego in an alleged kickback and money laundering scheme that they say drained $18 million from the coffers of the tribe that runs the Thunder Valley Casino in Lincoln.

Documents filed by the Internal Revenue Service in U.S. District Court in Sacramento late Tuesday allege that Sacramento developer Bart Volen and two others systematically siphoned off millions from the United Auburn Indian Community while they oversaw the construction of office buildings that now serve as the tribe’s headquarters.

The IRS is seeking to seize the properties — including condominiums in Hawaii, San Diego and South Lake Tahoe — that the agency says were purchased with money taken from the tribe in an overbilling scheme.

No criminal charges have been filed in the case, which targets Volen, tribal administrator Greg Baker and former tribal worker Darrell Hinz.

None of the three men could immediately be reached today.

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