Connecticut Enacts Sweepstakes Casino Ban, New York’s Gaming Market Evolves
In a move that has significant implications for the gaming industry, Connecticut Governor Ned Lamont has signed into law a bill that bans sweepstakes casinos, according to a report by Casino.com. The bill, known as SB 1235, received unanimous approval in the House on June 3 and was subsequently sent to the Governor’s desk for signature.
The new law, which comes into effect on October 1, states that "No person shall conduct or promote a sweepstakes or a promotional drawing" without licensed approval. This move is seen as a major step forward in regulating the gaming industry in Connecticut. Additionally, the bill contains adjustments to the state’s sports betting landscape, including the introduction of betting on boxing and mixed martial arts, which were previously prohibited. Sportsbooks will also be allowed to offer odds for in-state schools and universities in tournaments with at least four collegiate teams, although bettors may only wager on which team will win the tournament.
As Casino.com previously reported, the bill initially contained language that would have banned lottery couriers and secondary lottery ticket sales. However, these provisions were removed during the legislative session and did not feature in the final bill that was signed into law.
Meanwhile, in New York, the gaming market is continuing to evolve. The state is looking to introduce a ban on online sweepstakes games and revenue from illegal markets, with a bill, known as SB 5935, currently making its way through the legislative process. This move is aimed at eliminating illegal operators and supporting companies that are licensed to operate in the state’s lucrative gaming market. According to Casino.com, the New York State Gaming Commission has been cracking down on illegal operators, with staff making several referrals to law enforcement and assisting in case development.
The New York State Gaming Commission recently announced that it had sent cease-and-desist letters to 26 operators that were conducting business in the state in contravention of New York’s penal restrictions on unlawful gambling. The bill, if passed, would carry a fine of $10,000-100,000 depending on the incident. This development comes at a critical time for New York’s gaming market, with the state just two weeks away from its June 27 deadline for retail casino operator’s license applications.
The drawn-out process has been criticized, but it is expected that the state will decide which three operators will receive gaming licenses at the end of the year. It is worth noting that other states, such as Louisiana, have also been considering legislation to ban sweepstakes casinos. However, in Louisiana, the Governor vetoed the bill, describing it as "unnecessary". According to Casino.com, the regulatory landscape for the gaming industry is continuing to evolve, with states taking different approaches to regulating sweepstakes casinos and online gaming.
In conclusion, the decision by Connecticut Governor Ned Lamont to sign into law a bill banning sweepstakes casinos is a significant development in the gaming industry. As Casino.com reports, the move is part of a broader trend of states taking steps to regulate the industry and eliminate illegal operators. As the gaming market continues to evolve, it will be interesting to see how other states respond to these developments.