EXHIBIT 99.2
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STATE OF SOUTH CAROLINA ) MUTUAL RELEASE
) AND
COUNTY OF LEXINGTON ) SETTLEMENT AGREEMENT
This agreement is made this 24th day of July, 1998, by and between L.
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▇▇▇▇▇▇▇ ▇▇▇▇▇▇ (hereinafter ▇▇▇▇▇▇), and American Bingo and Gaming Corp.
(hereinafter ABG), and ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇, ▇▇., Chairman of the Board of ABG.
Whereas, ABG has conducted an internal investigation which produced what
ABG believed to be credible evidence that L. ▇▇▇▇▇▇▇ ▇▇▇▇▇▇ received proceeds
from video gaming machines being operated at a facility owned by ABG at ▇▇▇▇
▇▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇, ▇▇▇▇ ▇▇▇▇▇▇▇▇, ▇▇▇▇▇ ▇▇▇▇▇▇▇▇, and leased to an operator
pursuant to an Agreement that ABG receive 80% of net proceeds from the operation
of video gaming machines at this facility;
Whereas, ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇, ▇▇., on behalf of ABG signed criminal warrants
against ▇▇▇▇▇▇ alleging breach of trust with fraudulent intent in violation of
S.C. Code 16-113-230(A) and bribery in violation of S.C. Code 16-17-540(1),
warrant nos. F-607108 and F-607109, dated June 30, 1998).
Whereas, ▇▇▇▇▇▇▇ ▇▇▇▇▇▇ has denied the material allegations contained in the
warrants and continues to deny same;
Whereas, the parties hereto wish to resolve the charges contained in the
separate warrants;
NOW THEREFORE, in consideration of the mutual promises contained herein and
the terms set forth below, the parties agree as follows:
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1. ▇▇▇▇▇▇ agrees to pay ABG Five Thousand and 00/100ths ($5,000.00) Dollars;
2. ▇▇▇▇▇▇ agrees to resign from all positions held with ABG and its
subsidiary companies pursuant to the terms of the Severance Agreement executed
herewith;
3. ABG and ▇▇▇▇▇▇ ▇▇▇▇▇▇▇▇, Jr., Chairman of the Board, hereby agrees to
dismiss the pending criminal warrants referenced herein;
4. ABG and ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇, ▇▇. hereby releases and discharges ▇▇▇▇▇▇,
▇▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇▇▇ and ▇▇▇▇▇ ▇▇▇▇▇▇, from any and every
right and all manner of action or actions, cause or causes of action, claims or
demands of any kind it now has, or anytime claimed or claimed to have had,
regarding the allegations of misappropriation of proceeds from five video game
machines placed in the premises known as "The Game Room," located within the
American Bingo Facility at ▇▇▇▇ ▇▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇, ▇▇▇▇ ▇▇▇▇▇▇▇▇, ▇▇▇▇▇
▇▇▇▇▇▇▇▇, between August 28, 1996 and March 6, 1997;
5. ▇▇▇▇▇▇▇ ▇▇▇▇▇▇, for himself, his heirs, successors and assigns, releases
and discharges ABG, ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇, ▇▇., and all other persons, firms,
corporations, associations and law firms, from any and every action or actions,
causes or causes of actions, claims or demands of any kind he now has, or at any
time claimed or claims, arising out of the execution of the arrest warrants
referenced herein and the negotiation and settlement of such charges pursuant to
this agreement.
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6. It is expressly understood and agreed that this Release contained herein
is accepted as being in full accord, satisfaction, in compromise of the disputed
claims and that the settlement is not an admission of liability, liability being
vigorously disputed, but is made for the purpose of terminating all claims,
pending or proposed, by and between ▇▇▇▇▇▇ and ABG, its officers and directors,
including ▇▇▇▇▇▇▇▇, with respect to the allegations in the arrest warrants and
the execution of those warrants.
7. The parties agree that the terms of this agreement shall remain
confidential between the parties with the exception of required disclosures or
reporting to the SEC.
WITNESSES:
/s/▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇ /s/L. ▇▇▇▇▇▇▇ ▇▇▇▇▇▇
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L. ▇▇▇▇▇▇▇ ▇▇▇▇▇▇
AMERICAN BINGO AND GAMING CORP.
/s/▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇ /s/ ▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇
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By: ▇▇▇▇▇ ▇▇▇▇▇▇▇
ITS PRESIDENT
/s/▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇ /s/ ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇, ▇▇.
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▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇, ▇▇.
CHAIRMAN OF THE BOARD
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