On February 25, 1987, the United States Supreme Court handed down a decision in the case of California, et al. v. the Cabeuln Band of Mission Indians, et al. The decision involved the attempt by the state of California and the country of Riverside to regulate or shut down bingo games set up by the Cabezon and Morongo bands of Indians.
Bingo has become a major source of income on a number of Indian reservations. This income comes not from winnings, but from the profits that tribes make as operators of high-stakes bingo operations. These operations have been challenged by the states, which have jurisdiction over gaming within their borders. California gaming laws, for example, place a cap of $250 per pot on all bingo games, require that bingo profits be used for charitable purposes only, and stipulate that those who run the games receive no pay for their work. Indian bingo, in contrast, is typically a high-stakes game (pots may reach $100,000 or more), profits go to the operators, and employees are paid. The vast majority of players in these games are non-Indians. Indian bingo games in Oklahoma, for example, draw high-rollers from Tulsa, Oklahoma City, and even Texas to take advantage of what has become a bigtime gambling operation.