Rep. Tim Bishop (D-NY) Caught Taking More Money from Notorious Law-Breaking Detroit Casino Syndicator

Rep. Tim Bishop (D-NY)

During the 2010 election cycle US Rep. Timothy Bishop (D-NY) came under fire for accepting contributions from Detroiter Michael Malik. After some heel-dragging by the Bishop campaign, it was reported that Rep. Bishop would return the funds he received from Malik. He did not!

Rather, according to records available at OpenSecrets.org, Bishop accepted an additional $2,500 from Malik on March 31, 2011.

Bishop is one of a handful of Long Island politicians helping Malik use the Shinnecock Indian Nation to advance his own schemes to bring gambling ventures convenient to the New York City marketplace.

In recent years, Detroit gambling syndicator Michael Malik, a controversial character with a history of law-breaking, has been:

• Tangled up in a federally prosecuted Ponzi scheme, in partnership with the ringleader who is now a fugitive who has taken asylum in Brazil, and forced to repay $170,000 obtained fraudulently (Golberg v. Malik).
• Found guilty and on suspension for violating Arizona’s firearms laws.
• Found to have violated campaign finance laws repeatedly (2006 & 2009) and fined more than $10,000 for his actions.
• Denied a gaming license by the Michigan Gaming Control Board; reportedly because of federal tax issues and a prior domestic violence arrest and subsequent probation.

US Rep Tim Bishop | Contributions Report

Scandal Continues to Plague Political and Lobbying Activities of Detroiters Bankrolling Shinnecock Casino Plans

For more than a decade, campaign contributions and lobbying fees doled out by Michael J. Malik, Sr. and his partners in the Ilitch Family are often attached to controversy, scandal, alleged corruption and illegal activities.  Consider that in 2010, Mrs. Michael Malik was forced to tell a Detroit-area Court that he had a consistent “pattern of bullying, intimidation and influence peddling.”

1^st Campaign Contribution Controversy Verified in the Media: 

Governor under Fire for Accepting Malik’s Money

In 1998, an investigation by the Augusta Chronicle revealed then-South Carolina Governor David Beasley had accepted campaign contributions from Detroit casino interests, namely Michael Malik and Tom Celani, an earlier Malik gaming partner.  They had played significant roles in a fundraiser organized for the South Carolina Governor in Detroit. 

At the time, South Carolina had no legalized gambling and the Governor had taken a public pledge not to accept or be influenced by gambling money.  While Malik and Celani helped bankroll a 1996 campaign to approve gambling in Detroit and were by 1998 affiliated with gambling interests some of which they controlled, no casinos had yet been approved or built in Detroit.  It was not common consideration that Detroit money might be gambling money.

Clearly, the hope was that people in South Carolina would not realize that contributions raised in Detroit were directly from those heavily invested in or affiliated with gambling. (Beasley Donors Disputed; Augusta Chronicle; 8.03.98)

Reporters & Watchdogs Make Case for All-Star Congressional Influence Peddling

On the eve of Major League Baseball’s 2005 All-Star Game (Detroit), an AP reporter broke a story about a $5,000 per head fundraiser being held in Detroit during the All-Star events to benefit then-Congressman Richard Pombo.  He was chair of the congressional committee overseeing Indian matters.  (Pombo no All-Star in watchdog group’s eyes; Associated Press; 7.13.2005)

Hosts of the All-Star Game fundraiser for Pombo were Malik and Christopher Ilitch, CEO of Ilitch Holdings.  His parents are Detroit Tiger’s owner Michael Ilitch and Marian Ilitch, Malik’s partner who reportedly has bankrolled the Shinnecock Indian Nation’s efforts to win approvals needed to establish gaming on Long Island. Perhaps most controversial was the timing of events.  Less than 48 hours after the Malik/Ilitch All-Star fundraiser, Pombo had scheduled a congressional hearing with an agenda item that read “Status of Settling Recognized Tribes’ Land Claims in the state of New York.”

For several congressional election cycles, the Ilitch Family and Malik had collectively been among Pombo’s top tier of donors. They had hosted or participated (bundling) in fundraisers on his behalf and also were flying him around the U.S. in a private jet. All they had invested in Rep. Pombo had remained under the radar until the All-Star Game story broke.  The watchdog groups Common Cause and Citizens for Responsibility and Ethics in Washington (CREW) helped break the story and kept the controversy alive for the remainder of the 2006 elections. Congressman Pombo failed to win re-election.

Failed to Disclose $26,600 Campaign Contribution; Fined $6,500 in CA

In 2004, the year before the All-Star Game controversy, Barwest, a Malik/Ilitch casino affiliate bankrolling attempts to secure approvals of various Indian gaming proposals in Barstow, CA, had quietly contributed $26,600 to Pombo’s local GOP Central Committee.  Malik failed to report the Barwest contribution to California election officials.  California’s Fair Political Practices Commission (FPPC) became aware of the possible violations of that state’s political reform laws and an investigation got underway.  In 2006, the FPPC found Malik’s Barwest violated state election law on two counts and fined Malik $6,500. (Press Release; California Fair Political Practices Commission; 10.24.2006)

Career Ending All-Star Scandals; Congressional Investigations

In 2003, Barbara Bonfiglio, the controversial Washington D.C. attorney/lobbyist/PAC treasurer, signed casino syndicator Michael Malik‘s MJM Enterprises & Development as a lobbying client of her firm Williams & Jensen. Malik paid Bonfiglio $220,000 between 2003 & 2005. Malik had matters before committees chaired by Reps. Richard Pombo, Don Young and Jerry Lewis -- Bonfiglio served as PAC treasurer/advisor to these members' leadership committees. In the midst of various GOP scandals including that involving House Speaker Tom DeLay, TPM Muckracker reported that Bonfiglio abruptly left Williams & Jensen in March 2006 and resigned as treasurer/advisor to various PACs and fundraising committees for Sen. Rick Santorum and Reps. Tom DeLay, Richard Pombo, Jerry Lewis, Don Young and others. She was subpoenaed at least once, in 2004, in connection with the DeLay corruption scandals. Malik distanced himself and affiliates from Bonfiglio but continued to invest heavily in her friends Pombo (Natural Resources/Native America Affairs), Young (Transportation) & Lewis (Appropriation).

Continued Affiliation with Controversial D.C. Lobbyists

When Malik left the Williams & Jensen lobbying firm, he took his business to Potomac Partners and lobbyist Richard Alcalde.  Alcalde particularly had a close relationship with Congressman Jerry Lewis, whose congressional district included the California desert community of Barstow, one of the communities where Malik/Ilitch have tried to build a casino.  At that time, Lewis was also the chair of the House Appropriations Committee.  Malik/Ilitch were hoping to get federal funds to support casino-related projects in Port Huron, Michigan, and other funds to support business ventures Malik pursues with the Bay Mills Indian Community.  Again, controversy ensued when the Washington Post reported that D.C. based Potomac Partners (Alcalde) was paying Lewis’ Las Vegas-based step-daughter to be a "strategic partner." 

Further, nearly all of Malik’s other affiliates and Indian partners had contracts with Wheat Government Relations, the lobbying firm of former Congressman Alan Wheat.  But in truth Wheat was funneling the funds to the Kessler & Associates (lobbyists Richard S. Kessler, Billy Lee Evans).  With the funds to Kessler funneled through Wheat, Kessler could avoid publicly disclosing the firm was a lobbying for Malik, Malik’s affiliates and partners, and “Gaming” or “Native American” interests.  In 2004 alone, Malik/Wheat paid Kessler almost $300,000 using that scheme. In all Kessler was paid nearly $600,000. The following circumstances unfolded after the scheme filtering payments to Kessler & Associates was exposed: the Kessler firm submit revised disclosure documents recategorizing the Wheat client work as involving issues of Indian/Native American Affairs or Gaming, Gambling & Casinos; Billy Lee Evans ceased his lobbying career in 2007; and in 2008, Kessler & Associates was disbanded.  Richard Kessler formed Hamilton Advisors in 2008 and has lobbied on behalf of one or two clients each year since.  The Wheat firm has continued to lobby on behalf of various Malik/Ilitch affiliates and partners.

Failed To Disclose Another 17 CA Contributions Totaling $26,500; Fined Again!

In 2006, Malik/Ilitch believed they were close to getting a gaming Compact approved in California. Governor Schwarzenegger had negotiated an amended Compact with the Los Coyotes Band of Indians, the tribe Malik/Ilitch bankrolled in California. That Compact was pending ratification by the State’s legislature.  Malik/Ilitch and their affiliates contributed heavily to those who would sit on the committees that would make the initial recommendation to ratify.  At the same time, California’s FPPC was wrapping up its investigation into the 2004 failure by Malik/Barwest to disclose the $26,600 to Pombo’s GOP Central Committee.  Malik was spending thousands to influence legislators in 2006 and despite the experience of the previous 2-year FPPC investigation and a significant fine, when he filed his official year-end 2006 major donor campaign disclosure reports, he indicated $0.00 in campaign contributions during the second half of 2006 when, in fact, he had actually given 17 lawmakers a total of $26,500.  Another FPPC investigation ensued and in 2009 the FPPC found Malik had violated California’s campaign reform laws in 2006 and this time fined $4,000. (Press Release; FPPC; 2.19.2009)

Malik’s NY Contributions Bring Controversy; NY Candidates Return Funds

During the 2010 campaign cycle Malik/Ilitch again focused their political contributions toward New York and candidates who might influence decisions that would allow them to expand gaming opportunities with the Shinnecock Indian Nation. Notably efforts to win approval to build a casino and other commercial development near the Belmont Park & Race Track on Long Island. They gave the maximum to New York’s U.S. Senators Charles Schumer and Kirsten Gillibrand. They sought to influence county and state lawmakers and Malik contributed to the campaign of now Governor Andrew Cuomo.  Contributions he made in New York races for the House of Representatives and State Senate became campaign liabilities.  News Day started reporting on the controversy surrounding Malik.  Several candidates including State Senators Jeff Klein and Craig Johnson reported returning Malik’s contributions. (Sens. Johnson, Klein to return Malik contributions; Daily News; 10.13.2010) Congressman Tim Bishop said he would return the funds too.

And now, there are questions surrounding the reporting of $15K Gov. Cuomo accepted from Malik.

Nearly $8 Million to Influence Lawmakers; Bordering on Unethical and Breaking Laws; and for the Purpose of Advancing Gaming Plans Fronted by Native Americans

Throughout the first decade of the 21^st Century, Malik/Ilitch and their affiliates have paid lobbyists more than $6,500,000 dollars and funneled more than $1,200,000 to politicians almost exclusively for the purposes of influencing matters of gambling, Native American affairs and transportation appropriations related to, as of yet unapproved, casino development projects they have pursued in three states (Bay Mills Indian Community – Port Huron, MI; Los Coyotes Band of Indians – Barstow, CA; Shinnecock Indian Nation – Long Island, NY).  Allegations of corruption and influence peddling and findings of illegal activity swirl around these Detroit casino syndicators and those they touch. And consider the possibilities that there are other investors behind the dozens of Malik/Ilitch gaming affiliates.  Who are they? What are their histories? Who are they contributing to or lobbying? What is their influence?

Reference Sources:

Search D.C. Lobbyists, Lobbying Firms, Lobbying Clients at OpenSecrets.org

Search Donors to Federal Campaigns Committees at OpenSecrets.org

Search Michigan Political Donors,  Lobbyists, Registered Casino Interests

Search California Political Donors,  FPPC

Search New York Political Donors

TheVerifiableTruth.com

See also:

• Controversy seems to always follow Detroit Casino Syndicator Michael MalikWhy is Detroiter Mike Malik Michael Malik: The Latest Life & Times of a Detroit Casino SyndicatorDragging former Hawaii Governor Waihee around Long Island, NY?
• Strange Bedfellows: Hawaii's Former Governor & Detroit's Gambling Promoter?
• Disclosure? And their tangled web: Detroiter Michael Malik, the Jack Utsick Ponzi Scheme, Shinnecock & Bay Mills Indians, and Akerman Senterfitt

•  To Bypass Carcieri and Other Off-Reservation Casino Hurdles, Detroiters Plan Introduction of "Mandatory Acquisition Legislation" in Congress
• It's Carcieri not Malik that poses Bigger Problems for the Shinnecock Nation
• What They Won't Tell You: Insights on Gateway Casino Resorts, its Detroit Organizers and Their Plans for Shinnecock Casinos

Congressman Bishop Under Fire For Accepting Michael Malik's Contribution

Published by Newsday.com on 10.13.2010

Breaking News: Bishop Donor Mixed Up With Casinos, Illegal Contributions

By Reid Epstein

Tim Bishop campaign donor Michael Malik, a Detroit developer, is a partner with the Shinnecock indian tribe seeking to develop a Long Island casino and in 2009 Malik was found guilty and fined $4,000 by the California Fair Political Practices Commission for failing to disclose 17 campaign contributions during the 2006 cycle.

In 2008, Malik was charged in a Florida federal court with being involved in a $2.1 million fraudulent transfer stemming from a Securities and Exchange Commission Ponzi scheme case against an entertainment promoter named John P. Utsick. Malik settled the case with a $170,000 payment on the $620,000 he received from the scheme.

Malik, federal campaign finance records show, gave a max contribution of $2,400 to Bishop for Congress in 2009.

We asked Bishop campaign spokesman Audrey Kubetin about Malik earlier this afternoon and are waiting to hear back from her. Bishop and Republican opponent Randy Altschuler are to debate tomorrow morning at News 12…

Also See: 
-NY Senators Return Michael Malik's Campaign Contributions
-Questions Surrounding $15K Gov. Cuomo Accepted From Detroit Casino Syndicator

FPPC Investigations

AZ Game and Fish Commission denies appeal by Michael J. Malik

As TVT previously posted, Detroit-based Michael J. Malik, Sr., requested the Arizona Game and Fish Commission reconsider its December 2008 decision to suspend Malik's right to hunt, trap and fish in Arizona and more than 30 other states including Michigan for a period of five years and assess Malik with a $14,995 fine.

The Commission entertained and denied Malik's request at its 4.17.09 meeting. He apparently has a 30-day window to make an appeal to the Arizona Superior Court.

On 8.29.08, Arizona's Pinetop Justice Court found Malik guilty of discharging a firearm while stalking elk within the quarter-mile limit of occupied residences. (See: Michigan man found guilty on charge stemming from elk hunt).

That criminal conviction authorized the Commission to take civil action against Malik at its 12.05.08 meeting. (See: Michigan man assessed $14,995 for killing trophy elk near homes).

Malik reportedly has yet to pay the $14,995 civil fine assessed by the Commission in December 2008.

Malik is the gambling and casino development partner of Detroit's Marian Ilitch. She is sole owner of MotorCity Casino. Mrs. Ilitch and her husband Mike Ilitch are founders of Little Caesar's Pizza and owners of the Detroit Red Wings hockey franchise. Mike Ilitch owns the Detroit Tigers baseball team.


Malik's Growing Record of Illegal Activity

In 1999, the Michigan Gaming Control Board (MGCB) failed to grant Malik a gambling license and he was forced to divest himself of interest in Detroit's MotorCity Casino. Among other things, it was reported that Malik had been arrested in 1997 and accused of beating a girlfriend's 12-year-old son. He served a year of probation in the matter.

Since the MGCB denied Malik a license, he has developed a growing record of illegal activity:

• The criminal and civil actions in Arizona noted above related to Malik's illegal discharge of a firearm. He's been assessed multiple fines and stripped for the next five years of his right to hunt in 32 states.


• Malik has twice (2006 & 2009) been found guilty of, and fined for, violating California's political reform laws. Over the course of several election cycles, he's simply failed to report more than $52,000 in political contributions.


• Fifth Third Bank, a Michigan Banking Corporation filed a complaint in Oakland County Court on 4.03.09 (Fifth Third Bank v. Michael M. Malik, Sr.) alleging Malik was in Default on a $1 million line of credit that had come due on 9.01.08.


• In April, Malik entered into a Settlement Agreement (Goldberg v. Malik) with a court appointed Receiver who contends Malik received more than $620,00 in fraudulent transfers. Malik has twelve months to repay the funds as agreed. That action is related to a $300 million ponzi scheme case brought by the SEC against Worldwide Entertainment and promoter Jack Utsick who has since taken asylum in Brazil.

Is this known record of illegal activity a red flag that there's more?

CA FPPC finds Detroit casino syndicator Michael Malik violated campaign reform laws

As published in the Public Notice & Agenda for a 2.19.09 meeting of California's Fair Political Practices Commission (FPPC):

In the Matter of Michael J. Malik Sr., Michael J. Malik, Sr. Trust, and MJM Manistee, Inc., FPPC No. 07/195. Staff: Commission Counsel Angela Brereton. Respondents Michael J. Malik, Sr., Michael J. Malik Sr., Trust, and MJM Manistee, Inc. (collectively, “Respondent Committee”) jointly qualified as a single “major donor committee” under the Act for calendar year 2006. Respondent Committee filed a required semi-annual campaign statement but failed to disclose on the statement 17 contributions made during the reporting period totaling $26,500, in violation of Government Code sections 84200, subdivision (b), and 84211, subdivision (k)(5) (1 count). Total Proposed Penalty: $4,000. Order / Exhibit

This isn't the first time Malik has broken the law. Considers these incidents:

Malik is currently facing federal fraud charges in Florida (Goldberg v. Malik) relating to a Securities & Exchange Commission ponzi scheme case against one-time entertainment promotor Jack Utsick.

Last year, Malik was found guilty on illegal firearms related charges in Arizona.

In its 2.19.09 findings, the FPPC acknowledges that a casino affiliate of Mrs. Marian Ilitch and Malik, BarWest LLC, was found in 2006 to have violated the same CA campaign reform laws and Malik agreed to pay fines and file the appropriate disclosures in that matter.

Malik was once arrested for beating up the 12-year-old son of a girlfriend.

Ilitch partner violated campaign laws by failing to report casino related campaign contributions

In its first public action resulting from a nearly two year investigation into the campaign finance and lobbying practices of Detroit Casino developer Michael J. Malik, Sr., California’s Fair Political Practices Commission (FPPC) has found Malik violated state political campaign laws by falsely filing a campaign finance report in January 2007 that failed to disclose political contributions Malik made to 17 campaign committees and totaling $26,500 between the period July 1 – December 31, 2006.

Malik is the principal casino and development partner of Mrs. Marian Ilitch. She is the owner of Detroit’s MotorCity Casino. Ilitch and her husband Mike Ilitch are co-founders of Little Caesars Pizza and co-owners of the Detroit Red Wings. Her husband owns the Detroit Tigers. The parent company of their various affiliates is Detroit-based Ilitch Holdings, Inc. Marian Ilitch and Malik have formed various affiliates to pursue gambling opportunities across the U.S. including BarWest LLC, an entity pursuing casino resort development projects in Barstow, CA.

In its 2.19.09 decison, the FPPC notes this isn't the first time Malik has been involved in similar violations. In 2004, BarWest LLC failed to report a $26,600 contribution to a San Joaquin County GOP committee. In the Fall 2006, Malik acknowledged those violations, and paid a fine to the FPPC.

Malik is currently facing federal fraud charges in Florida (Goldberg v. Malik) related to a Securities and Exchange Commission ponzi scheme case against concert promoter Jack Utsick.

Public Notice & Agenda: FPPC Meeting 2.19.09

Press Release: FPPC Enforcement Decisions 2.19.09

Casino Syndicator and Senator failed to make timely, accurate campaign disclosures; investigation ongoing

It took Detroit casino syndicator Michael Malik, Sr., more than 26 months to report he made a $1,000 contribution to California State Senator Roy Ashburn, in the Fall of 2006. And even then, that disclosure doesn’t sync with reports filed by Ashburn’s committee.

Malik reports in amended disclosures filed 12.23.08 that he lives in Detroit, MI 48201; his employer/occupation is MJM Manistee Inc./Developer; and that he contributed $1,000 to “Ashburn for Senate 2006” (ID: 1252371) on 10.18.06.

In a campaign report filed on 1.31.07 for the period from 10.22.06 through 12.31.06, the “Roy Ashburn Senate Committee” reported it received a $1,000 contribution from Michael Malik of Sacramento, CA 95814 on 10.24.06. Ashburn’s report indicates Malik’s employer/occupation is Governmental Advocates, Inc./Owner.

Malik isn't based in Sacramento. He lives and has his businesses in the Detroit area. And he wants to develop casinos in Barstow, CA, among other places.

Governmental Advocates Inc. is a lobbying firm that Malik had hired and was paying under the table to represent two Indian tribes (Big Lagoon Rancheria and Los Coyotes Band of Cahuilla and Cupeno Indians) that were partners with Malik’s affiliate BarWest LLC.

It does not appear that Ashburn disclosed the last minute campaign contribution from Malik as required under California political finance rules in any of the Late Contribution Reports (F497) filed by Ashburn’s Committee during October 2006. And Malik didn’t report making any such contribution until December 2008.

During 2006 & 2007 Ashburn championed failed legislation in Sacramento that would have paved the way for Malik and his partner Marian Ilitch to build two casino resorts in Barstow, CA.

Malik originally failed to report more than $26,000 in contributions to California political committees when he filed a report in 2007 for the period 7.01.06 through 12.01.06. Rather he reported under penalty of perjury that he made $0.00 contributions during that period.

For nearly two years, California’s Fair Political Practices Commission (FPPC) has been investigating Malik’s blatant failure to report these contributions and also irregularities in lobbying payments and practices. The amended 2006 disclosure filed by Malik on 12.23.08 was likely prompted by the ongoing investigation.

Malik failed to report a $26,600 contribution made by BarWest LLC in 2004 and was fined on two counts in 2006.

For two years, Michael Malik failed to report $26,500 he gave to California Legislators

Two years after the fact, Detroit casino syndicator Michael J. Malik, Sr., has finally disclosed he contributed $26,500 to various California political campaign committees during the Fall '06 Elections.

When Malik filed his original campaign disclosures for the period covering 7.01.06 through 12.31.06, he reported making $0.00 contributions to California legislators and political committees during the second half of 2006. However, Malik's representations were blatantly false at the time.

TVT has previously reported that California's Fair Political Practices Commission (FPPC) has been conducting an ongoing investigation in Malik's failure to comply with California's political reform laws in disclosing political contributions and lobbying payments. And now it seems things are perhaps coming to a crescendo.

Because now, almost two years later, we see that on 12.23.08 Malik filed an amended disclosure report for the period 7.01.06 through 12.31.06 in which he finally lists contributions to 17 political committees in California totaling $26,500.

Among those Malik gave money to during the Fall '06 Election were a handful of supporters who were trying to help him advance a bill through the California Legislature that would have paved the way for Malik to develop and manage two Indian casinos in Barstow: State Senators Roy Ashburn, Wes Chesbro and Patricia Wiggins; and Assembly Members Patty Berg and Bill Maze.

This isn't the first time that Malik's conducted himself in such a cavalier manner. In October 2004, Malik's affiliate BarWest LLC sent $26,600 to the San Joaquin County GOP Victory Committee and failed to report that contribution in a timely manner as required under California law. Rather, BarWest LLC filed a disclosure for the period ended 12.31.04 more than 20 months later on 9.05.06. Shortly after that the FPPC disclosed it had been conducting an investigation into Malik's failure to report the 2004 contribution and found BarWest (Malik) guilty on two counts of violating California election laws; and Malik paid a fine of $6,500.

That action by the FPPC in the Fall of 2006 seemed to have little impact on Malik, because at the very same time he was being reprimanded by the FPPC, we now have proof he was again ignoring disclosure requirements. And then in January 2007 he had the audacity to submit a report indicating he had not made any political contributions in California during the second half of 2006 although we now learn he contributed $26,500.

Given that Malik's finally disclosed the truth about his 2006 political contributions, it's likely that the FPPC will be concluding its investigation into Malik's campaign finance and lobbying practices soon.

Group controlled by Michigan casino interests launches dishonest robo-calls to influence Barstow elections

A so-called local grassroots campaign committee managed and funded by Michigan casino interests has launched dishonest robocalls into Barstow in an attempt to influence the outcome of Tuesday's local election for Mayor. These are the same kinds of sleazy underhanded tactics that have been used to spread lies and half-truths suggesting that Barrack Obama is really a terrorist or affiliated with Osama Bin Laden.

The pre-recorded robocall messages attempt to blame Barstow Councilman Joe Gomez for the failure by BarWest, a Detroit casino syndicator, to get a casino approved in Barstow. The caller says Gomez told legislators in Sacramento that Barstow didn’t want a casino and is responsible for losing 2,000 jobs in Barstow. That’s simply not true. Gomez’s testimony in Sacramento included no such statement. (See Transcripts). Rather, Gomez is the only candidate for Mayor of Barstow who has supported multiple competing proposals for casino development in Barstow -- not just the schemes by BarWest.

However, Gomez is challenging two-time incumbent Mayor Lawrence Dale, a politician who, since first elected in 2000, has worked tirelessly to guarantee BarWest the exclusive rights to any future casino development in Barstow. In fact, informed observers believe Dale is one of those to be held accountable for the failure to bring a casino to Barstow. Dale has repeatedly taken action to block proposals by other casino developers at all costs. Among other things, he's been called out for violating residents' first-ammendment rights, using his title and City letterhead to represent his personal interests and holding secretive meetings. The transcripts from the Legislative Hearing in question suggest that Mayor Dale's testimony may have been the most damaging to the plans for a casino.

Reports and court documents indicate the political campaign committee responsible for the robocalls, Barstow Citizens for Real Economic Development, is a front group for BarWest.

In 2006, the Committee reported spending close to $200,000 in an unprecedented attempt to influence elections in Barstow; yet it reported raising less than $48,000. Of the money it raised, $40,000 (83%) came in checks from two BarWest principals Michael Malik & Marian Ilitch.

Since the June 2006 Election Primary, the Committee hasn’t reported raising any additional funds and has continued to show a debt of close to $150,000. The debt is the result of close to $150,000 paid in 2006 to vendors and consultants on behalf of the Committee by BarWest operative Tom Shields and his Lansing-based firm Marketing Resources Group (MRG).

Nearly 2.5 years later the Committees’ debt to Shields (MRG) has gone un-reimbursed. And now the Committee is engaging in new expenses.

Was Shields "reimbursed” by unreported sources and if so, who's paying the bills? Is Shields acting as creditor/lender to the Committee? Is the Committee really a "controlled committee" and if so did it fail to appropriately disclose that fromthe beginning?It's naive to think Shields (MRG), an experienced nationally recognized GOP operative, spent $150,000 on behalf of some grassroots committee in Barstow and won't get "paid back."

This isn't the first time those affiliated with BarWest have engaged in sleazy and even unlawful campaign activity. For more than a year and half, the California Fair Political Practices Commission (FPPC) has been investigating the lobbying and campaign finance practices of BarWest and its principal Michael Malik. BarWest was previously fined by the FPPC for failing to disclose a $26,600 contribution it made to a GOP Committee in San Joaquin.

Barstow Mayor and Detroit Casino Syndicator under investigation; their casino plans dead in Sacramento

Both the Big Lagoon Rancheria and the Los Coyotes Indian tribes have terminated their Sacramento lobbying contracts. And while Barwest LLC engaged Governmental Advocates, Inc. last Spring; the firm, previously engaged by the two tribes, has not reported any payments from BarWest for lobbying activity this year.

This appears to suggest that all efforts in Sacramento to advance a Barstow casino have ceased.

It's reported that the BarWest double billboard, erected at one time on property the Detroit casino syndicators reportedly control in Barstow, has fallen into extremem disrepair and stands as an icon for the state of the Barstow casino project.

Barstow's Mayor Lawrence Dale stands for re-election next month. For the last eight years the Mayor has made the BarWest casino the cornerstone of his plans for economic development in the declining desert town. Now that the casino appears to be dead, what does the Mayor propose to turn around the local economy?

For nearly 19 months, the lobbying and campaign finance reporting practices of BarWest and its principal Michael J. Malik, Sr., have been under investigation in Sacramento. BarWest and its principles injected nearly $200,000 into local Barstow politics in recent years -- that's more than had been spent on politics in Barstow for the entire second half of the 20th Century.

Barstow Mayor Lawrence Dale is reportedly under investigation by the San Bernardino County District Attorney.

Ilitch casino partner committed perjury failing to report political contributions

The casino partner of Detroit businesswoman Marian Ilitch filed fraudulent political campaign finance disclosures in California and failed to report numerous political contributions totaling more than $20,000.

In January 2007, Michael J. Malik, Sr., (Mike Malik) filed a campaign finance disclosure statement with California's Secretary of State as required of all "Major Donors" under state law. Malik represents in that statement, signed under penalty of perjury, that he made no political contributions in California during the second half of 2006. TVT has learned that's simply not true.

A review of other information on file with the Secretary of State reveals various political committees in California actually received more than $20,000 directly from Malik between 7.01.06 and 12.31.06.

Malik failed to disclose those contributions as required of "Major Donors" at various times during the 2006 election season. And then, as referenced above, Malik submitted a semi-annual "Major Donor" statement on 1.30.07 representing he had made no political contributions during the second half of 2006.

It would appear Malik committed perjury and possibly fraud in knowingly filing the false disclosure statement on 1.30.07.

Ilitch is the owner of Detroit's MotorCity Casino and co-owner 0f the Detroit Red Wings and Little Caesars Pizza. Her husband Mike Ilitch owns the Detroit Tigers. Marian Ilitch is vice chair of Ilitch Holdings, Inc. For more than a decade, she and Malik have partnered on various casino projects in California, Hawaii, Michigan and New York. While spokespersons indicate Malik is not an employee of Ilitch Holdings, Inc., or any of its affiliates, his business offices are located within the executive suite of offices at Ilitch Holdings.

California's Fair Political Practices Commission (FPPC) is reportedly investigating circumstances surrounding political contributions and lobbying payments made by Malik and other Ilitch/Malik affiliates. BarWest, LLC, an Ilitch/Malik casino affiliate, was fined in 2006 on two counts of violating California election law when they failed to report a $26,600 contribution made in 2004.

Michael Malik and lobbyists for various Ilitch/Malik casino related affiliates find themselves at the center of various well-publicized political scandals and investigations involving Rep. Don Young (R-AK), former Rep. Richard Pombo (R-CA) and others.

You may want to review these related posts:

• Political contributions made by Michael Malik link him to Sacramento-based lobbying firm Governmental Advocates, Inc.
• Michael Malik failed to report a $5000 contribution to the California Democratic Party
• Port Huron casino promoter fined for breaking California's political reform laws; denied a casino license in Michigan
• BarWest drops California Lobbyist Keith Olberg
• It appears the Big Lagoon Rancheria failed to file lobbying disclosures for 2nd Quarter 2007

Ilitch-owned Barwest finally reveals relationship with CA lobbying firm

According to details posted at CalAccess, the California Secretary of State's lobbying and political campaign disclosures Web site; as of 5.12.08, Detroit-based Barwest LLC has finally revealed it is a California "lobbyist employer." Previously Barwest failed to report as a "lobbyist employer" even though it was making back-door payments to several Sacramento-based lobbying firms representing its casino gaming interests.

Barwest LLC, a company formed by Mrs. Marian Ilitch and casino syndicator Michael J. Malik, Sr., reports employing the Sacramento lobbying firm Governmental Advocates, Inc., to represent the company's California gaming interests.

Ilitch and Malik have previously proposed several failed casino schemes for Barstow, CA. In 2004, their original plans for a stand-alone casino failed to win approval from Governor Schwarzenegger; and then, another plan for a larger resort project with two side-by-side casinos failed to win support in the legislature during both 2006 & 2007.

Barwest's on-again/off-again gaming partner, the Los Coyotes Band of Cahuilla and Cupeno Indians, terminated its lobbying arrangement with Governmental Advocates in April. Last Fall, Los Coyotes' former chairwoman Katherine Siva Saubel terminated the tribe's partnership agreement with Barwest. In doing so, the widely respected Native American elder referred to Barwest's Mike Malik as "the devil."

It's understood that California Fair Political Practices Commission (FPPC) has an ongoing investigation into irregularities in the reporting of campaign contributions and lobbying expenses paid by Michael Malik, Barwest (Malik/Ilitch) and the Los Coyotes Band of Indians.

Among other things, irregularities in California campaign disclosure documents suggest Governmental Advocates, Inc., may have inappropriately been involved funneling funds from Barwest's Michael J. Malik, Sr., to several state legislators.

And, although Governmental Advocates received several hundred thousand dollars in back-door lobbying payments from Barwest in the past; neither the lobbying firm, Barwest or Malik have ever disclosed any formal lobbying engagement until last month.

San Francisco attorney Michael Yaki -- who claimed previously to represent the Los Coyotes Band of Indians, despite being paid for his services by Barwest LLC -- is now noted as the casino syndicator's legal counsel and lobbying agent according to the 5.12.08 lobbying disclosures.

Yaki was at the center of financial discrepancies reported in lobbying disclosure documents filed throughout 2006. In February 2007, Yaki was forced to amend the Los Coyotes tribe's entire 2006 lobbying disclosures. Yaki had significantly understated what were represented as the Los Coyotes tribe's payments to lobbyists.

In 2006, Barwest was fined by California's FPPC on two counts of failing in 2004 to disclose a $26,000 political campaign contribution.

Los Coyotes tribe terminates second Sacramento lobbying firm

According to details posted at CalAccess, the California Secretary of State's lobbying and political campaign disclosures Web site, the Los Coyotes Band of Cahuilla and Cupeno Indians has (as of 4.30.08) terminated its engagement of the Sacramento lobbying firm Governmental Advocates, Inc.

The tribe also reports terminating San Francisco-based attorney Michael Yaki as its lobbying officer.

The tribe terminated its arrangement with another lobbying firm, Capitol Ventures, Roseville, last October (10.29.07). That's the firm former California legislator Keith Olberg formed specifically to represent the Los Coyote tribe's casino partner, Detroit-based Barwest.

Barwest was formed by Mrs. Marian Ilitch (owner of Detroit's MotorCity Casino and wife of Detroit Tigers and Red Wings owner Mike Ilitch) and casino syndicator Michael J. Malik, Sr.

The California Fair Political Practices Commission (FPPC) apparently has an ongoing investigation into irregularities in the reporting of campaign contributions and lobbying expenses paid by Michael Malik, Barwest (Malik/Ilitch) and the Los Coyotes Band of Indians.

During the last several legislative sessions, the lobbying firms failed to help Barwest and the Los Coyotes tribe advance bills to approve plans for their off-reservation casino in Barstow, CA.

Patton Boggs registers as D.C. lobbyist for Barwest; same casino syndicators under investigation in CA

Patton Boggs LLP, the number one lobbying firm in Washington D.C., has officially registered as lobbyist for the Los Coyotes Band of Cahuilla and Cupeno Indians and the tribe's partner Barwest, a casino company formed by Mrs. Marian Ilitch (wife of Detroit Tigers and Red Wings owner Mike Ilitch) and Michael J. Malik, Sr.

While Heather Sibbison and other Patton Boggs lobbyists have appeared before various government agencies on behalf of Barwest in the past, the firm hasn't previously registered as lobbyists for the casino syndicator or its tribal partner. Sibbison and Patton Boggs have represented other casino gaming partners tied to Malik and Ilitch.

For the first quarter of 2008, Barwest paid Patton Boggs $50,000, likely for services rendered to push forward plans by Barwest (Malik/Ilitch) and the Los Coyotes tribe to develop an off-reservation casino in Barstow, CA. The Los Coyotes tribe paid nothing to Patton Boggs for representation during the first quarter of 2008.

These recent disclosures represent the first time that any Washington, D.C., lobbying firm has officially reported an engagement with the Los Coyotes tribe. In the past, other lobbying firms have disclosed their representation of Barwest and Michael Malik on matters related to a proposed Los Coyotes off-reservation casino; but never the tribe.

Dating back to 2005, Barwest engaged the services of Wheat Government Relations, a D.C. firm founded by former Congressman Alan Wheat. While Wheat Government Relations remains registered as lobbyist for Barwest; however, the Wheat firm has reported "no activity" on behalf of Barwest for more than two years.

CALIFORNIA INVESTIGATION
The California Fair Political Practices Commission (FPPC) apparently has an ongoing investigation into irregularities in the reporting of campaign contributions and lobbying expenses paid by Mike Malik, Barwest (Malik/Ilitch) and the Los Coyotes Band of Indians.

In recent years, several California lobbying firms have registered as lobbyists for the Los Coyotes Band of Indians. Reports filed by the tribe and these lobbying firms indicate discrepancies in payments made and received. That's most likely because the tribe never actually made any direct payments to the lobbying firms.

Rather, the tribe's gaming partner, Barwest, has made hundreds of thousands of dollars in back-door payments to the California lobbying firms but Barwest (Mike Malik & Marian Ilitch) failed to register as a "lobbyist employer" and failed to make appropriate disclosures that would be required under California law.

Further, there are irregularities in California campaign disclosure documents that suggest one lobbying firm, Governmental Advocates, Inc., may have inappropriately been involved in funneling funds to candidates from Michael J. Malik, Sr. Although that firm has received payments from Barwest, neither the firm, Barwest or Malik have ever reported any formal lobbying engagement.

Several California legislators who may have inappropriately received funds from Malik via the lobbying firm (Senator Roy Ashburn, Assemblywoman Patty Berg) were also sponsors of a 2007 bill in the California legislature that would have granted legislative approvals for Barwest and the Los Coyotes tribe to build their Barstow casino. The bill failed.

In 2006, Barwest was fined by the FPPC on two counts for failing to report a $26,000 contribution Barwest paid in 2004 to the County GOP Campaign Committee of former Rep. Richard Pombo. At the time, Pombo was chairman of the House Resources committee and had oversight for Indian Gaming matters.

Political contributions made by Michael Malik link him to Sacramento-based lobbying firm Governmental Advocates, Inc.

According to the California Secretary of State's cal-access system, three separate California political committees have reported campaign contributions from Detroit-based Michael J. Malik, Sr. (Michael Malik) listing Malik as an owner/trustee of Sacramento-based lobbying firm Governmental Advocates, Inc.

BERG, FRIENDS OF PATTY, ID#1272657
10.20.06 for $1,000

ASHBURN SENATE COMMITTEE, ROY, ID#1252371
10.24.06 for $1,000

HANCOCK FOR SENATE 2008, ID#1293127
4.30.07 for $500

While Malik did report the contribution to Hancock for Senate in his Major Donor Report (Form 461) filed 7.31.07; he did not report the previous contributions to the Berg and Ashburn committees in respective Major Donor disclosures.

There are no lobbying disclosure documents on file with the California Secretary of State that support Malik as owner/trustee of Governmental Advocates, Inc.

Some digging by TVT has uncovered disclosures that indicate in footnotes that Malik's BarWest LLC has paid Governmental Advocates, Inc. to represent the Los Coyotes Band of Cahuilla and Cupeno Indians and the Big Lagoon Rancheria in Sacramento lobbying activity. There are no disclosure reports to indicate Governmental Advocates, Inc. has represented Michael Malik, BarWest LLC or other Detroit-based Malik controlled entities. There have been no disclosure reports filed by Governmental Advocates, Inc. to suggest that firm or its agents have made any such political contributions.

Both Berg and Ashburn previously (2007) co-authored legislation (SB 157) to approve California gaming Compacts for both the Los Coyotes Band of Indians and the Big Lagoon Rancheria tribes.

It is not clear whether or not California's Fair Political Practices Commission (FPPC) is aware of or investigating these three contributions.

Michael Malik failed to report a $5000 contribution to the California Democratic Party

The Democractic State Central Committee of California, ID#741666, reported receiving a $5,000 contribution on 9.12.07 (transaction #1298259-A3288) from Michael J. Malik, Sr., a developer affiliated with Detroit-based Bar West; however, in his major donor report filed 1.31.08 covering the period 7.01.07 through 12.31.07, Mr. Malik failed to report the contribution.

In 2006, Mr. Malik paid a fine on behalf of BarWest LLC for failing to report a $26,000+ contribution to the San Joaquin County GOP Committee in 2004.

As that 2004-2006 investigation was coming to a conclusion, Michael Malik was again making other questionable contributions to the campaign committees of individual members of the California legislature (primarily between July 1, 2006 and December 31, 2006) and failing to report those contributions as required under California's political reform laws.

In fact, it appears Malik may have contribute $25,000 or more to 15 or more political committees during that time and failed to report those contributions as a major donor under California law.

TVT understands California's Fair Political Practices Commission (FPPC) has been conducting an investigation for the better part of 2007 into Malik's failure to report these contributions and other matters involving payments by BarWest LLC, Michael Malik and lobbyists Malik employed in California.

Michael J. Malik, Sr. is involved in (via management and consulting contracts) bankrolling off-reservation Indian casinos in Port Huron, Michigan (Bay Mills Indian Community); Barstow, California (Los Coyotes Band of Cahuilla and Cupeno Indians & Big Lagoon Rancheria); and near the Town of Southampton on Long Island , New York (Shinnecock Indian Nation). His publicly acknowledged partner in these ventures is Mrs. Marian Ilitch. Ilitch and her husband Mike Ilitch are the co-founders of Little Caesars Pizza and owners of the Detroit Red Wings. Marian Ilitch owns Detroit's MotorCity Casino -- a venture in which Malik was once a partner until 1999 when the Michigan Gaming Control Board (MGCB) failed to award Malik a gaming license. Mike Ilitch owns the Detroit Tigers baseball team.

Port Huron casino promoter fined for breaking California's political reform laws; denied a casino license in Michigan

Michael J. Malik, Sr., the promoter behind the Bay Mills casino proposal for Port Huron, Michigan, was fined in 2006 for breaking California's political reform laws by failing to report a $26,500 casino-related contribution in 2004; and it's believed that Malik has been under investigation in California since Spring 2007 for breaking similar laws in 2006.

California's Fair Political Practices Commission (FPPC) fined BarWest L.L.C. (a casino syndicate controlled by Michael J. Malik and Mrs. Marian Ilitch) on two counts of failing to comply with California's political reform laws.

Malik had failed to report that his Detroit-based BarWest L.L.C. made a contribution of $26,600 in October 2004 to the San Joaquin County GOP Committee. As it was, then-GOP Congressman Richard Pombo, who also happened to be chairman of the House Natural Resources Committee that oversees Indian gaming matters, was from San Joaquin County. Malik paid a fine of $6,500.

As that 2004-2006 investigation was coming to a conclusion, Michael Malik was again making other contributions to the campaign committees of individual members of the California legislature (primarily between July 1, 2006 and December 31, 2006) and failing once again to report those contributions as required under California's political reform laws. In fact, it appears Malik may have contribute $25,000 or more to 15 or more political committees during that time and failed to report those contributions as a major donor under California law.

TVT understands the FPPC has been conducting an investigation for the better part of 2007 into Malik's failure to report these contributions and other matters involving payments by BarWest LLC, Michael Malik and lobbyists (Capitol Ventures, Roseville; Governmental Advocates, Inc.) Malik employed in California.

One must consider that if Mr. Malik blatantly violated political campaign laws in California, it's possible he has also been violating political reform laws and lobbying disclosures in Michigan, New York, Washington, D.C. and elsewhere.

Certainly if California's FPPC finds Malik and his associates violated laws once again in California, it would be responsible for authorities in other states and Washington, D.C. where Malik is involved with political contributions and lobbying payments to investigate his giving practices.

Mike Malik has partnered with Marian Ilitch and the Ilitch family on various casino syndications and development projects over the last 15 years. However, Malik failed to win approval for a gaming license in Michigan in 1999 and was forced to transfer his shares in Detroit's MotorCity Casino to Marian Ilitch. Since then, throughout their various partnerships, Malik appears to have played the role of political "bag-man" or "bad cop" to Marian Ilitch's "good cop."

Some suggest Mike Malik plays the role of Marian Ilitch's "Consigliere." It has been reported that there is a doorway that connects Malik's office to Marian Ilitch's office providing him with direct access into her private domain.

A business venture that involves Michael Malik and the Bay Mills Indian Community, a federally funded enterprise involved in the research and manufacturing of plastic parts and devices, is rumored to be under investigation by the FBI.

It would seem appropriate for the Michigan Gaming Control Board (MGCB) to revisit Mr. Malik's close association and affiliation with Marian Ilitch and the Ilitch Family.

BarWest drops California Lobbyist Keith Olberg

The partnership lead by Detroit casino syndicators BarWest LLC has terminated its lobbying agreements with former California GOP Assemblyman (1994-2000) Keith Olberg (Capitol Ventures, Roseville). Records filed with the California Secretary of State indicate the Big Lagoon Rancheria and Los Coyotes Band of Indians terminated their arrangement with Olberg on 10.29.07. Disclosures filed by Olberg indicate the parties had paid Olberg $168,964 during 2007. The actual total of payments to Olberg made by the partnership in 2006 are in question and are reportedly under investigation by state officials; but Olberg has reported receiving $187,036 in 2006.

Olberg had never registered as a Sacramento lobbyist until he was retained by BarWest and partners in 2006. According to official disclosure documents, BarWest's partners were Olberg's only clients. Olberg had represented himself as leading the BarWest lobbying team in Sacramento. The team also includes Governmental Advocates, Inc. and C.W. 'Nick' Medeiros, Inc.

In October 2007, Olberg filed amended lobbying disclosure documents for the period from April-June 2006. Presumably that was as a result of the state's investigation into reporting irregularities during 2006. A drawing conducted by California's Fair Political Practices Commission (FPPC) on 2.27.07 selected Olberg's lobbying "firm," Capitol Ventures, Roseville among those lobbying firms subject to random audit for the 2005-2006 legislative cycle.

Ilitch Consigliere fined and under investigation by California's FPPC; investigations warranted elsewhere

Late last year (10.24.06), California's Fair Political Practices Commission (FPPC) fined BarWest L.L.C. (a casino syndicate controlled by Michael J. Malik and Mrs. Marian Ilitch) on two counts of failing to comply with California's political reform laws. Malik had failed to report that his Detroit-based BarWest L.L.C. made a contribution of $26,600 in October 2004 to the San Joaquin County GOP Committee. As it was, then-GOP Congressman Richard Pombo, who also happened to be chairman of the House Natural Resources Committee that oversees Indian gaming matters, was from San Joaquin County.

Malik paid a fine of $6,500.

As that 2004-2006 investigation was coming to a conclusion, Michael Malik was again making other contributions to the campaign committees of individual members of the California legislature (primarily between July 1, 2006 and December 31, 2006) and failing to report those contributions as required under California's political reform laws.

In fact, it appears Malik may have contribute $25,000 or more to 15 or more political committees during that time and failed to report those contributions as a major donor under California law.

TVT understands the FPPC has been conducting an investigation for the better part of 2007 into Malik's failure to report these contributions and other matters involving payments by BarWest LLC, Michael Malik and lobbyists Malik employed in California.

One must consider that if Mr. Malik blatantly violated political campaign laws in California, it's possible he has also been violating political reform laws and lobbying disclosures in Michigan, New York, Washington, D.C. and elsewhere.

Certainly if California's FPPC finds Malik and his associates violated laws once again in California, it would be responsible for authorities in other states and Washington, D.C. where Malik is involved with political contributions and lobbying payments to investigate his giving practices.

Malik has partnered with Marian Ilitch and the Ilitch family on various casino syndications and development projects over the last 15 years. However, Malik failed to win approval for a gaming license in Michigan in 1999 and was forced to transfer his shares in Detroit's MotorCity Casino to Marian Ilitch. Since then, throughout their various partnerships, Malik appears to have played the role of political "bag-man" or "bad cop" to Marian Ilitch's "good cop."

Some suggest Malik plays the role of Marian Ilitch's "Consigliere." It has been reported that there is a doorway that connects Malik's office to Marian Ilitch's office providing him with direct access into her private domain.

A business venture that involves Michael Malik and the Bay Mills Indian Community, a federally funded enterprise involved in the research and manufacturing of plastic parts and devices, is rumored to be under investigation by the FBI.

It would seem appropriate for the Michigan Gaming Control Board (MGCB) to revisit Mr. Malik's close association and affiliation with Marian Ilitch and the Ilitch Family.

Los Coyotes tribal leader calls Barwest's Mike Malik "devil;" says he has "seduced" younger tribal leaders

Los Coyotes tribal spokeswoman and tribal elder Katherine Siva Saubel recently called Michael J. Malik, Sr. the "devil" and said he has "seduced" younger members of the tribe to jump aboard Malik's band-wagon. Among other things, Malik's group paid younger members of the tribe to appear in Barstow as "grassroots" volunteers during the 2006 election primary:

11.01.07
"Saubel said there is a council-only meeting today to discuss the casino efforts--a meeting she was not invited to be but plans to attend anyway. A full tribal council meeting is set for mid-November. Saubel claimed the Malik has 'seduced' the younger member of the tribe and called him 'the devil himself.'
" 'I was 83 when we started this. I'm 87 now,' Saubel said. 'I think he's just waiting for me to keel over.' "

Mike Malik and Mrs. Marian Ilitch are the principals behind the Detroit-based casino syndication BarWest LLC. Malik and Ilitch have proposed building several off-reservation casinos for tribes from opposite ends of California on a site that Barwest owns in Barstow, California.

Ilitch and her husband Mike Ilitch are the co-founders of the Little Caesars Pizza franchise. The family also owns the Detroit Tigers, Detroit Red Wings, MotorCity Casino, Detroit's Fox Theater and other sports, entertainment and restaurant operations.

Malik and the Ilitches are behind stalled proposals to build unorthodox off-reservation casinos in Port Huron, Michigan; Barstow, Califorina; and in The Hamptons on New York's Long Island. (see also: Detroit Free Press exposes Malik/Ilitch casino enterprises)


Members of the Bay Mills Indian Community have expressed concerns about Malik's involvement in their casino ventures as well as a business venture involving the research and manufacturing of various plastics products. Rumors have circulated among Bay Mills members to suggest the FBI is investigating the plastics venture.

In 1999 the Michigan Gaming Control Board (MGCB) failed to grant Michael Malik a gaming license and he was forced to transfer his interests in Detroit's MotorCity Casino to Marian Ilitch before the casino could open its doors to the public.

Last year, following a two-year investigation, California's Fair Political Practices Commission (FPPC) fined Malik's Barwest LLC on two counts for failing to report a $26,600 contribution Malik made to the San Joaquin County GOP Committee in 2004 -- Malik paid a $6,500 fine; and TVT has learned the FPPC is investigating numerous unreported political contributions and questionable lobbying payments Barwest's Malik made in 2006.