Two new states intensify action against sweepstake casinos
Bills have been filed in Connecticut and Maryland seeking to prohibit the sweepstake casino vertical from the states.
In a mark up from existing legislation, the Connecticut bill prohibits participation in any real or simulated online casino gaming or sports wagering, unless such person is licensed as a gambling operator in the state.
Currently in Connecticut the sole source of legalised iGaming comes from the two tribes based in the state, which are the Mashantucket Pequot Tribe and the Mohegan Tribe.
Interestingly, the bill also seeks to outlaw lottery ticket courier products being engaged with, in the state.
Ticket courier services are defined as “for-profit delivery service operated for the purpose of purchasing lottery tickets for lottery games authorised pursuant to this chapter, and on behalf of individuals located inside or outside of this state.
A further mark up on the bill sees any violation of the provision subject to penalty, elevating the consequences for infringement of the act.
Violation of the subsection is also defined as deceptive or unfair practice, potentially looking to hone in on those that promote sweepstake verticals.
A key raise in the bill also sees it include peer-to-peer casino and progressive games, which are not limited to poker and underlines just how widespread the remit the bill is seeking to cover.
It intensifies the action already taken by the state of Connecticut against sweepstake casino operators, having previously forced Virtual Gaming Worlds (VGW) from having a presence in the state.
The Connecticut Department of Consumer Protection (DCP) issued a cease-and-desist letter to the leading sweepstake casino operator at the start of last year, which led to the group’s exit from the state.
“Following careful consideration and analysis, we have made the decision to no longer offer our products in the state of Connecticut,” a VGW spokesperson stated to SBC Americas following the letter.
Meanwhile, the state of Maryland also outlined in a bill that it would prohibit sweepstakes casinos. Significantly, the state also emphasised in a new bill that it would forfeit the license of any supplier or affiliate that promotes sweeps in the jurisdiction.
The bill prohibits any supplier that supports the sweepstake sector, including payment processors, geolocation providers, affiliates and platform providers.
The implication of breaching the legislation not only could see a supplier get their license revoked but also a misdemeanor conviction and a fine ranging from $10,000 to $100,000 and no more than three years in prison.
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