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07/08/2004 - Court to Rule Wed. on California Casino Expansion

LOS ANGELES - A San Diego federal judge will rule on Wednesday whether to block temporarily California's deal with five tribes to expand gambling in the state, a court clerk said on Tuesday.
The Rincon tribe near San Diego has sued the state to stop new agreements between California and five tribes that would allow unlimited slot machines at tribal casinos in exchange for new payments to the state that are included in Gov. Arnold Schwarzenegger's budget plan.

The tribe has argued that bigger casinos would devastate the business of smaller competitors, like Rincon, while the state has said the court action would be unwarranted.

A clerk said Judge Thomas Whelan would rule on Wednesday whether to issue a temporary restraining order before considering the matter.

The state legislature approved the deals last week, and the U.S. Department of Interior must also approve them.

Reuters
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