Former Indiana lawmaker sentenced to one year in prison for gambling corruption case

by Leslie Bonilla Muñiz, Indiana Capital Chronicle
July 10, 2024

Former Indiana Rep. Sean Eberhart on Wednesday was sentenced to one year and one day in federal prison for his role in a five-year-old gambling corruption case.

“I have to think it was simply a matter of greed,” U.S. District Judge Matthew Brookman told Eberhart from a sun-drenched, white-walled room in the federal courthouse located in Indianapolis.

Eberhart, now 53, had “plenty of” assets, the judge said, adding: “But you wanted more.”

Eberhart pleaded guilty to one count of conspiracy to commit honest services fraud stemming from the 2019 legislative session.

The Republican from Shelbyville accepted a lucrative job opportunity — worth at least $350,000, plus an equity stake — with gambling company Spectacle Entertainment in exchange for his support of a bill allowing the transfer of casino licenses to areas beneficial to Spectacle. A yet-unidentified owner at Spectacle made the offer.

Eberhart advocated to allow the license transfers from lakeside areas to inland locations, and pushed to lower the transfer fee from $100 million to $20 million. The approved legislation also included beneficial tax incentives for Spectacle.

“I am truly, deeply sorry for what I did,” he said. “… I apologize to anyone that’s been harmed or disappointed (by) my actions.”

Eberhart wasn’t taken into custody Wednesday. The judge told him to keep in touch with counsel for his surrender date and location.

Sentencing calculations

The government, represented by Bradley Paul Shepard of the U.S. Attorney’s Office, asked for a sentence of 12 months in prison. Shepard said “even” 10 months would suffice.

Shepard noted that Brent Waltz, another former lawmaker convicted in a separate scheme involving Spectacle, was sentenced to 10 months in prison. Eberhart, he argued, should receive a “similar sentence.”

“This offense … is a breach of public trust,” Shepard said. He emphasized the importance of honesty in government, in a speech laden with quotes from founding fathers, and said Eberhart’s conduct was “salt upon that” and upon “the republic itself.”

Eberhart’s counsel, Patrick Cotter of UB Greensfelder, asked for a sentence of probation, arguing prison time was “unnecessary” and wouldn’t be an effective deterrent.

He said his client shouldn’t be judged as a “symbol” or as a “tool” of deterrence.

“I don’t think it’s fair that Sean Eberhart should be sentenced as though he is the cause of political cynicism,” Cotter said. He said that cynicism was “there before him” and “will be there after him.”

He said Eberhart served the public honestly for 24 years, and that he has suffered since the conspiracy was discovered.

“The consequences of Sean’s crime have destroyed much of the life he spent decades building,” Cotter said. “… He will be a felon, he will be disgraced in his hometown and state … and that’s worth more than any amount of money.”

Violating trust

The judge reassured Cotter that all defendants are sentenced on an individual basis. But he said Eberhart’s crime was “serious” because it involved a public official.

He said it’s “critical” that the public trust in its elected representatives.

“You threw that (trust) away,” he told Eberhart.

He sentenced Eberhart to 12 months and one day in jail, with the single-day addition entitling Eberhart to good time credit. That means a well-behaved Eberhart could serve less than the full sentence.

The sentence also included $60,000 in restitution — equal to a year of his lawmaker compensation package — a $25,000 fine and a $100 fee for a mandatory special assessment. Eberhart will also serve one year of supervised probation.

The judge said he hoped Eberhart would “use that time to reflect.”

“You’ve got a lot of life … You can put this behind you,” he said, and added that Eberhart could once more become a productive member of society.

Eberhart and his counsel declined to comment to reporters. Shepard also declined to comment.