Thats the one.
I knew about the scam game as Bob had already told me.
The 'freeplay' was in fact exchanged for a $25 chip.
Of course I lost that immediately and bought in for another $25. I asked the guy for smaller chips (he had $5's but wouldnt part with them) but $25 was the minimum bet so no luck there.
Before I got to bet, someone called him down the other end of the bar. I just walked out with the chip. I guess I got lucky, no-one came chasing after me
It cost another club member $300+ to get his.