Gamblers play blackjack at the Oneida Casino in Oneida on May 27, 2003. MORRY GASH -- Associated Press

The state's Native American casinos might be providing reservations with economic growth, but they've also ushered in new levels of drugs and crime, according to authorities.

A drug threat assessment by the recently formed Native American Drug and Gang Task Force raises concerns about 21 casinos run by the Native American tribes under its jurisdiction - the Lac du Flambeau, Stockbridge-Munsee, Bad River, Lac Courte Oreilles, Menominee, Oneida, Red Cliff and St. Croix. (Because the Ho Chunk, Potawatomi and Mole Lake reservations don't have their own police forces, instead relying on state or county drug enforcement, they were not included in the report.)

"Casinos have changed the complexion of the reservations with respect to improving jobs, economic growth, revenue, per capita payments and, unfortunately with it, generated an influx of more drug and gang activity as a result," the report says.

I requested all of the state's drug threat assessments - annual reports required for the state's 13 state-funded drug task forces - a few weeks back, and they provide a look at drug problems facing the various parts of the state, such as the methamphetamine problem that persists along the state's western border that I wrote about last week.

The Native American task force report says there has been an influx of gang members, most notably Latin Kings, gambling at casinos. The report raises concerns that drug dealers are taking drug profits into casinos, exchanging them for chips, then a short time later cashing out their chips for clean cash.

There have been no documented investigations, but "There might be federal cases that the task force in not aware of regarding money laundering," the report says.

But there is troublesome anecdotal information.

Cash used by law enforcement to purchase illegal drugs has turned up at Wisconsin casinos, and surveillance video has shown suspected gang members exchanging cash for chips, then cashing out.

"The important factor to remember is that the casinos attract criminal elements from throughout the U.S. and world that are sophisticated,, organized and involved in money laundering," the report says.

There's plenty of drug cash flowing on the reservations. The report says groups associated with the Gangster Disciples, Latin Kings and Native American gangs like the Native Mob and Sovereign Nation Warriors are becoming entrenched on the reservations. The Lac Courte Oreilles Latin Kings have plans to open a restaurant to launder their profits after sending gang members to college so they can learn to run the business, according to the report.

"It is clear that the Latin Kings are attempting to become more sophisticated," the report says.

Authorities on the reservations say they are battling cocaine, pharmaceuticals such as Oxycontin, marijuana and methamphetamine. But a tightly woven culture of secrecy has made it difficult for undercover officers to infiltrate tribal drug networks.

"The large family structures, generations of family members that reside within the reservations, provide for a steady flow of intelligence/information between family members," the report says. "More importantly, Native Americans are reluctant to cooperate with law enforcement because of retribution to them or their families."