The Michigan Gaming Control Board Thursday announced that it has joined a coalition of regulators from seven gaming states urging the U.S. Department of Justice to combat illegal offshore sportsbooks and online casinos. In an April 28 letter, MGCB Executive Director Henry Williams and other state regulators asked U.S. Attorney General Merrick Garland to address threats posed by offshore sites that state regulators cannot alone address.
“In Michigan, strict laws and rules govern internet gaming and sports betting and provide consumer protections, promote confidence, and ensure fair and honest gaming,” Williams said in a statement. “We are willing to help the U.S. Department of Justice in any way we can as it pursues enforcement of U.S. laws against offshore illegal gaming enterprises that take advantage of our citizens.”
The other state regulators signing the letter are from Colorado, Illinois, Louisiana, Mississippi, New Jersey, and Nevada.
Nevada Gaming Control Board Chairman Kirk D. Hendrick sent the letter, which outlines such dangers as:
- Lack of investment in responsible-gaming programs
- No age-verification requirements to protect minors
- No controls to prevent money laundering
- No guarantees of fair payouts for customers
- Loss of state tax revenue
Offshore operators also don’t comply with strict licensing requirements imposed on legal regulated operators and aren’t subject to the scrutiny of state regulators.
“State regulators, like the MGCB, ensure operators offer products that pass technical standards and testing, and we also require operators to comply with reporting requirements,” Williams said. “Offshore operators flaunt state regulations and offer products that do not protect the public, which greatly concerns me and my fellow state regulators.”
