New York Senate passes bill to ban sweepstakes casinos

The New York State Senate Racing, Gaming, and Wagering Committee passed a bill aimed at banning sweepstakes casinos in the state.
Sponsored by Senator Joseph Addabbo Jr, the bill, SB 5935, targets operators and suppliers involved in online sweepstake casinos, which often resemble real casino games, but in reality, they are not regulated.
The proposed bill explains:
“Online real money’ sweepstakes casinos’ have recently become widely available in New York over the internet on mobile devices and personal computers, including to minors. These products evade consumer protection, responsible gaming, and anti-money laundering requirements to which gambling in New York is otherwise subject. The legislation will provide a powerful deterrent to offshore and domestic illegal online gaming operators from entering the state and/or to withdraw from the state and will provide robust tools to the Gaming Commission and the Attorney’s General Office to enforce the law.”
The bill quickly passed through the committee, which also moved two other pieces of legislation forward during the same session.
The bill’s sponsor, Sen. Addabbo Jr, said:
“This is a growing issue. We have these online sweepstakes casinos that basically look a lot like casino games, but they go unregulated. Right now, we have a number of states, Connecticut being one of them, that basically made it illegal. They kicked out one of their operators, and that operator was actually targeting individuals who self-excluded.”
Under the bill, all those companies supporting sweepstake casinos would face penalties, including fines between $10,000 and $100,000 per violation. Moreover, some provisions could even lose their gaming licenses because of violators.
This bill, similar to recent bills from New Jersey, Maryland, and Florida, now moves to the Senate floor, where it needs majority support to advance further.