Louisiana was poised to become the latest state, after Montana banned sweepstakes social casinos, to the disgruntlement of trade groups such as the SPGA and SGLA. Yet, sweepstake operators may release a collective sigh of relief as Gov. Jeff Landry has chosen to veto Senate Bill 181, which passed through both houses with an overwhelming majority and practically no dissent.
"This bill attempts to criminalize certain secondary gambling activities on the internet that are already prohibited in Louisiana."
Gov. Landry said in a written statement explaining his reasoning. He argued that since the Louisiana Gaming Control Board is already taking measures to combat illegal gambling, including illegal offshore wagering and online sweepstakes companies operating in-state, there was no need to pass the new media.
He also evoked recent events which saw several companies served with cease-and-desist letters, precisely to illustrate his point that the state is already acting in the matter, and specifically named Harp Media B.V. d/b/a Bovada.
Gov. Landry hailed the Board’s uncompromising stance and argued that consumers ought to be protected from unregulated gambling activities that breach state laws.
"The Board and its regulatory partners will take further action as deemed necessary to enforce state gaming laws, protect patrons and bettors, and maintain the integrity of Louisiana's gaming industry. The Board remains dedicated to promoting a secure and regulated gaming environment in Louisiana," he added.
As to why the bill was vetoed specifically, Gov. Landry said that it was a solution in search of a problem that was already being solved by the existing rules and regulations in Louisiana. Because the language of the bill was too broad, Gov. Landry said that it could be later used in unintended ways, which is why he chose to strike it down instead.
Gov. Landry has been aligned with the general opinion among lawmakers, i.e., sweepstakes social casinos are illegal and must be uprooted, a stance that has been attacked by both the SPGA and SGLA.
In the meantime, both Maine and New York have taken further hardline stances on sweepstakes operators, with the attorney general of the Empire State calling them illegal. For its part, Maine’s gambling regulator cautioned locals to avoid playing at such websites in the first place.
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