After recently filing a lawsuit against Amazon for introducing social casino apps, the state of Michigan is also demanding that three of these types of gaming companies stop operating in the state.
Michigan Gaming Control Board (MGCP) announced this week that the regulator recently sent cease and desist letters to three online gaming companies after investigations revealed the entities were offering unlicensed online gaming in the state.
the MGCP He noted that the measures were part of the regulatory body’s “relentless efforts to stop illegal gaming operations in the state.”
The alleged social casinos violate state law
Regulators allege that two companies operating in the United States and one abroad violated state law. Those companies that have been named before MGCP Includes:
- PredictionStrike Inc. – Bay Shore, New York
- In G.W Lucky Land Company (In G.W Holdings) – San Francisco, California
- Stake.us Limited (Stake.us) – Limassol, Cyprus
PredictionStrike offers players a “sports stock market” and Luckyland offers casino-style gambling. Stake.us also offers several casino social gaming and sports betting options. Social casinos usually involve playing with virtual currency without playing for real money. However, these often allow players to purchase additional coins if they run out.
“Gambling regulations are in place for a reason, and illegal gambling operations are not welcome in Michigan.” MGCP CEO Henry Williams said. “We don’t want companies that circumvent the law to have access to Michigan citizens and leave them vulnerable because they play on unregulated sites that leave them with no recourse, and that take money away from communities because they don’t pay taxes like regulated organizations do,” the Legal Gambling Foundation will. that.
the MGCP It listed several Michigan gaming laws that the companies allegedly violated, including the Legal Online Gaming Act, the Michigan Gaming and Revenue Control Act, and the Michigan Penal Code.
In essence, regulators say the operators offered what amounted to casino gaming and sports betting in the state without a license, depriving the state of tax revenue for online gaming. Only federally licensed tribal casinos can apply for an iGaming or sports betting operator license.
The three companies have not provided public comment on the state’s move, but many of these types of operators argue that players know there are no real games or profits. the MGCP The three platforms “have each taken steps to prevent Michiganders from gambling on their websites,” she said.
In its own case, Amazon recently disputed lawsuits against the company, arguing that federal law protects online platforms from lawsuits filed related to third-party apps.