Legislation
SECTION 912
Prohibition of online sweepstakes games and revenue from illegal markets
Racing, Pari-Mutuel Wagering and Breeding Law (PML) CHAPTER 47-A, ARTICLE 9
§ 912. Prohibition of online sweepstakes games and revenue from
illegal markets. 1. Definitions. For the purposes of this section, the
following terms shall have the following meanings:
(a) "Online sweepstakes game" shall mean any game, contest, or
promotion that is available on the internet and/or accessible on a
mobile phone, computer terminal, or similar access device, that utilizes
a dual-currency system of payment allowing the player to exchange the
currency for any cash prize, cash award or cash equivalents, or any
chance to win any cash prize, cash award or cash equivalents, and
simulates casino-style gaming, including but not limited to, slot
machines, video poker, table games, lottery games, bingo, or sports
wagering. The state gaming commission shall determine what constitutes a
dual-currency system pursuant to this paragraph.
(b) "Table games" shall include, but not be limited to, blackjack,
roulette, craps, and poker.
(c) "Lottery games" shall include, but not be limited to, draw games,
instant win games, and keno.
2. Prohibition. (a) It shall be unlawful for any applicant, licensed
entity, gaming employee, key employee, individual investor or investment
firm, board member, or any other person or entity to operate, conduct,
or promote online sweepstakes games within the state of New York.
(b) It shall be unlawful for any applicant, licensed entity, financial
institution, payment processor, geolocation provider, gaming content
supplier, platform provider, or media affiliate to support the
operation, conduct, or promotion of online sweepstakes games within the
state of New York.
3. Penalties. (a) Any applicant, licensed entity, gaming employee, key
employee, individual investor or investment firm, board member, or any
other person or entity found in violation of this section shall be
subject to a fine of not less than ten thousand dollars and not more
than one hundred thousand dollars for each violation and shall be
subject to the loss of a gaming license and/or be ineligible for a
gaming license.
(b) All fines resulting from violations of this section shall be
collected by the state gaming commission and deposited into the
commercial gaming revenue fund, established in section ninety-seven-nnnn
of the state finance law, to be distributed for problem gambling
education and treatment purposes pursuant to paragraph a of subdivision
four of such section.
4. Enforcement. (a) The state gaming commission, the state police, or
the attorney general's office shall have the authority to enforce the
provisions of this section.
(b) The state gaming commission, state police or attorney general's
office may conduct investigations, hold hearings, issue cease and desist
letters, and issue subpoenas to ensure compliance with the provisions of
this section.
illegal markets. 1. Definitions. For the purposes of this section, the
following terms shall have the following meanings:
(a) "Online sweepstakes game" shall mean any game, contest, or
promotion that is available on the internet and/or accessible on a
mobile phone, computer terminal, or similar access device, that utilizes
a dual-currency system of payment allowing the player to exchange the
currency for any cash prize, cash award or cash equivalents, or any
chance to win any cash prize, cash award or cash equivalents, and
simulates casino-style gaming, including but not limited to, slot
machines, video poker, table games, lottery games, bingo, or sports
wagering. The state gaming commission shall determine what constitutes a
dual-currency system pursuant to this paragraph.
(b) "Table games" shall include, but not be limited to, blackjack,
roulette, craps, and poker.
(c) "Lottery games" shall include, but not be limited to, draw games,
instant win games, and keno.
2. Prohibition. (a) It shall be unlawful for any applicant, licensed
entity, gaming employee, key employee, individual investor or investment
firm, board member, or any other person or entity to operate, conduct,
or promote online sweepstakes games within the state of New York.
(b) It shall be unlawful for any applicant, licensed entity, financial
institution, payment processor, geolocation provider, gaming content
supplier, platform provider, or media affiliate to support the
operation, conduct, or promotion of online sweepstakes games within the
state of New York.
3. Penalties. (a) Any applicant, licensed entity, gaming employee, key
employee, individual investor or investment firm, board member, or any
other person or entity found in violation of this section shall be
subject to a fine of not less than ten thousand dollars and not more
than one hundred thousand dollars for each violation and shall be
subject to the loss of a gaming license and/or be ineligible for a
gaming license.
(b) All fines resulting from violations of this section shall be
collected by the state gaming commission and deposited into the
commercial gaming revenue fund, established in section ninety-seven-nnnn
of the state finance law, to be distributed for problem gambling
education and treatment purposes pursuant to paragraph a of subdivision
four of such section.
4. Enforcement. (a) The state gaming commission, the state police, or
the attorney general's office shall have the authority to enforce the
provisions of this section.
(b) The state gaming commission, state police or attorney general's
office may conduct investigations, hold hearings, issue cease and desist
letters, and issue subpoenas to ensure compliance with the provisions of
this section.