Three online gaming companies in Michigan received cease-and-desist letters from the Michigan Gaming Control Board (MGCB) for operating illegally in the state. The MGCB identified PredictionStrike Inc., Sweepstakes Limited (Stake.us), and VGW LuckyLand, Inc. (VGW), claiming these companies, based in the US and overseas, were conducting online gaming without proper licensing.
PredictionStrike, based in New York, offered internet gaming and sports betting without a Michigan license. Stake.us, from Cyprus, promoted an unlicensed online lottery and raffle, while San Francisco-based VGW conducted illegal gambling by offering internet games where players wagered money for the chance to win monetary value.
The MGCB’s action is part of Michigan’s broader effort to regulate online gaming. Henry Williams, MGCB’s Executive Director, said, “Gambling regulations are in place for a reason, and illegal gambling operations are not welcome in Michigan.
“We do not want businesses who skirt the law having access to Michigan citizens and leaving them vulnerable because they are playing on unregulated sites that leave them with no recourse and that siphon funds away from communities because they are not paying taxes like a regulated, legal gambling establishment, would.”
The MGCB cited the Lawful Internet Gaming Act and the Lawful Sports Betting Act to deliver the cease-and-desist orders. These acts state that only licensed operators can offer internet gaming and sports betting. Additionally, the Michigan Gaming Control and Revenue Act prohibits unlicensed gambling operations, a felony punishable by imprisonment and fines.
All three companies have taken steps to prevent Michigan residents from accessing their sites. VGW announced its departure from the Michigan market in November. The crackdown follows a joint initiative by the MGCB and the Michigan Attorney General to push out Golden Hearts Gaming, a combination of charitable and sweepstakes gaming found in violation of state laws.
Bill Miller, CEO of the American Gaming Association, noted on X (formerly known as Twitter), “States do have the power to fight back against illegal online gambling sites—and the [Michigan Gaming Control Board] is proving it. More states must follow their lead if we want to protect consumers across the country.”
