R 432.1218 Related party transactions.

Rule 218. (1) Unless otherwise directed by the board, the internal control procedures for disclosure and approval of related party transactions do not apply to any of the following transactions: (a) Transactions between a casino licensee or a casino license applicant and a supplier licensee. (b) The payment of dividends or other distributions to members or shareholders. (c) Scheduled repayments of related party debt. (2) A related party transaction must comply with the internal control procedures and both of the following provisions: (a) A related party transaction or series of related party transactions reasonably anticipated to be greater than $250,000.00 in a 12-month period is subject to approval by the board of directors, the owner, or a designee of equivalent level. (b) A reputable and independent organization that is knowledgeable in the area of related party transactions and is approved by the board shall provide a written favorable fairness opinion for all related party transactions or series of transactions expected to be more than $5,000,000.00, unless otherwise directed by the board.