The Illinois Gaming Board (IGB) has issued cease-and-desist letters to more than 60 operators it deems to be running ”illegal online casino and online sweepstakes gaming platforms” in the state.
The letters were sent in collaboration with the state Attorney General and recipients included major brands like Chumba, McLuck, and Modo.us.
The IGB announced the news via a press release on its site, including links to a public copy of each cease-and-desist letter. Each said the IGB believed the operator was in violation of the Illinois Criminal Code, specifically 720 ILCS 5/28-1(a)(12).
This section of the Code states that illegal gambling includes instances where a person “knowingly establishes, maintains, or operates an Internet site that permits a person to play a game of chance or skill for money or other thing of value”.
Sweepstakes casinos – which generally offer free play via Gold Coins and promotional play via Sweepstakes Coins – typically exploit gray areas in state law surrounding phrases like “other thing of value”.
Sweepstakes Coins can indeed be redeemed for cash, but operators argue that these virtual tokens have no inherent value before redemption. The coins are provided for free via bonuses and mail-in requests too, meaning no purchase is required to participate.
This system has allowed sweepstakes platforms to grow in many US states without the need for traditional gambling licences. However, the IGB appears to be taking a stricter stance, effectively rejecting this interpretation and classifying sweepstakes casino models as illegal online gambling in Illinois.
Which Sweepstakes Casinos Were Targeted by the Illinois Gaming Board?
We’ve seen waves of cease-and-desists in other states like Louisiana, New York, and – more recently – Tennessee, but the total number of casinos targeted by the IGB (65) is very high.
Here’s the full list of operators contacted:
- ACE, American Luck, Cazino, Chanced, Chip’n WIN, Chumba Casino, Casino.click, Cluck, Crown Coins, Dara, Fliff, Fortune Coins, Fortune Wheelz, FreeSpin, Funrize, FunzCity, Funzpoints, Global Poker, Gold Rush City, Gold Treasure, Golden Hearts Games, GoldSlips, Hello Millions, High 5 Casino, Jackpot Go, JackpotRabbit, Jackpota, JefeBet, JuicyPopSlots, Jumbo88, Kickr, Lavish Luck, Legendz, LoneStar, LuckyLand Slots, LuckySlots.us, McLuck, Mega Bonanza, Modo.us, Moonspin, NoLimitCoins, PlayFame, Pulsz, Punt, RealPrize, Rolla, RuneWager, Shuffle.us, Sixty6, Smiles Casino, SpinBlitz, Splash Coins, Sportzino, Spree Casino, Stake.us, StormRush, Sweepshark, SweepLasVegas, TaoFortune, The Money Factory, ToraTora, WOW Vegas, Yay Casino, Zito Box, Zula Casino.
Although ToraTora did withdraw from IL earlier this year, we’re yet to see a mass exodus of sweeps casinos from the state. And going on what we’ve seen in the aforementioned states and their waves of C&Ds, sometimes the casinos targeted pull out, while sometimes they remain.
At least it’s clear where the IGB stands on this issue:
“Illegal online gambling operations threaten consumer protections, undermine responsible gaming safeguards, and are antithetical to the public’s interest in regulated gaming,” said IGB Administrator Marcus D. Fruchter. “The IGB will continue to evaluate all available regulatory and law enforcement tools to combat illegal gambling and to protect Illinoisans.”
Is Illinois Moving Toward Legalized Online Casino Gaming?
It’s also worth noting that a new bill has been introduced to the Illinois legislature, pushing for iGaming legalization and regulation in the state. HB 4797 was filed earlier this month and would permit already-established gambling outlets to move into the real money, online gambling space in IL.
Could this wave of cease-and-desists be a clearing of the way before a push for iGaming in Illinois? Possibly, but at this stage, there’s no direct evidence linking the two. For now, what’s clear is that Illinois regulators are tightening their stance on sweepstakes casinos, and operators serving the state are facing rapidly rising legal pressure.
We’ll keep you updated with any further developments.
Author: Jon Ridehalgh
Updated:
