Michigan Gaming Control Board (MGCB) has defended its severe anti-illegal gambling enforcement efforts, emphasizing its commitment to safeguarding people’s welfare and implementing state laws. The statement was made following complaints leveled against it with regard to the sudden rise in casino-style electronic gaming machines in bars and restaurants across Michigan which are often referred to as “skill games.”

MGCB Challenges Legality of Skill-Based Electronic Gaming Machines in Michigan

These electronic gaming machines have increasingly become popular in various parts of this state over the past few years. Manufacturers argue that these machines involve some skill elements thereby qualifying under the exception for “redemption games” provided for in Michigan law. 

However, according to the MGCB those claims are contested because more times than not such apparatuses operate based on luck just like traditional slots hence failing to meet legal exemption requirements.

Executive director of the MGCB, Henry Williams said that these devices are not compliant with the penal code of Michigan adding that individuals or entities found running them will be dealt with through legal means if necessary. Williams further pointed out that these machines, which frequently offer cash prizes or gift cards, are misleadingly presented as legal when they are not.

Joint Efforts Against Illegal Gambling in Michigan Lead to Multiple Convictions 

Illegal gambling has been fought vigorously by both the Michigan Attorney General’s office and the MGCB together. Within five years since their collaboration began, 29 people have been convicted on a range of felony and misdemeanor charges related to illegal gambling activities while 436 unlawful machines were seized alongside substantial amounts of money and vouchers worth more than $191,000.

Some notable cases include sentencing five culprits involved in Stony Creek Internet Café illegal gambling venture at Ypsilanti Township in October 2023 where authorities confiscated 41 devices plus over $6,000 cash as well as gift cards, the conviction of three persons after a raid conducted on West Point Café located Flint in April this year whereby police officers recovered 26 units coupled with $7,500 cash alongside vouchers. 

Williams raised concerns over the dangers posed by unregulated machines to consumers particularly young people who may be introduced to gambling at an earlier age because of the lack of proper control. He also mentioned that players could easily fall victim to unfair practices or even develop addiction problems as there is no adequate regulation of the machines.

MGCB has been accused of using heavy-handed tactics but according to its officials, their actions are lawful enforcement measures with an aim to educate the public about risks associated with such games.

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GambleAware chief executive Zoë Osmond has robustly defended the charity’s work following a recent complaint from the Good Law Project. This complaint, filed in March, questions how effectively GambleAware disseminates information and accuses its trustees of failing to provide adequate gambling harm education.

The Good Law Project argues that GambleAware’s underperformance stems from its industry ties and its “reliance on industry funding.” In response, Osmond reaffirmed the charity’s independent stance, stating to iGB that GambleAware operates independently from the gambling industry.

Osmond has once again reiterated GambleAware’s independence and expressed confidence that the complaint will not be upheld. The Charity Commission is still assessing whether it needs to take action regarding the complaint.

“Our robust governance and commissioning practices ensure that the industry has no influence over our operations. GambleAware’s independence has been widely recognised by a range of stakeholders including the government, as evidenced in the gambling white paper,” Osmond stated.

She further criticized the Good Law Project’s complaint, labeling it as based on “misleading and outdated information.” While confident that the complaint will be dismissed, Osmond voiced concerns over the potential negative impact of such claims on GambleAware’s services and their beneficiaries.

Concerns Over Impact on Vulnerable Players

GambleAware is not just dismissing the complaint as baseless but also highlighting its potential adverse effects on at-risk gamblers who rely on the charity’s support services. The charity fears that such claims may discourage individuals from seeking help.

Osmond elaborated, “The deeply stigmatized nature of gambling harms often makes it difficult for individuals to reach out for help. Maintaining the credibility and reputation of essential support services is crucial to reaching people before their gambling issues become catastrophic.”

She emphasized that undermining these services risks harming not just those directly seeking help but also the families and friends affected by their loved ones’ gambling problems.

Defending Treatment Effectiveness

To bolster its defense, GambleAware pointed to statistics from the National Gambling Support Network. These statistics reveal that nine out of ten vulnerable players who complete their treatment see an improvement in their condition. For those whose conditions did not improve, 69% did not complete their treatment.

GambleAware also highlighted the significant reach of its resources, including its website, which attracts 6.5 million visits annually. Furthermore, the charity’s national stigma public health campaign has reached over 95% of the population, showcasing its extensive efforts to address gambling harms.

GambleAware remains steadfast in its commitment to providing independent and effective support to those affected by gambling harms. The charity continues to defend its practices and reputation against the allegations made by the Good Law Project, underscoring its vital role in the fight against gambling-related issues.

Source: “GambleAware defends its position after ‘misleading and outdated claims’”. iGamingBusiness. May 20, 2024.

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In a significant legal victory for the city, Norfolk has successfully fended off a $100 million lawsuit filed by Cordish Companies, the developer of Waterside District. The lawsuit claimed that Cordish should have had the first right to develop a casino in Norfolk and sought damages over the city’s casino plans with the Pamunkey Indian Tribe.

Norfolk’s Partnership with Pamunkey Tribe Prevails in Casino Lawsuit Appeal

The Court of Appeals of Virginia, in a 12-page ruling issued on February 27, upheld the lower court’s decision to dismiss Cordish’s lawsuit against Norfolk, Norfolk Redevelopment and Housing Authority (NRHA), and city attorney Bernard Pishko, as reported by The Virginian-Pilot. 

Cordish Companies, a Baltimore-based developer that revitalized Waterside in 2013, argued that it should have exclusive rights to develop and operate a casino based on its Waterside development agreement and lease.

Norfolk’s decision to move forward with the Pamunkey Indian Tribe for the HeadWaters Resort and Casino, located less than a mile from Waterside, triggered the legal dispute. Norfolk District Associates, a Cordish-owned LLC, sued in 2021, alleging breach of contract and an active attempt to exclude Waterside from casino site considerations.

The case was initially dismissed by a Richmond Circuit Court judge in 2022, leading Cordish to appeal. In the ruling from February 27, the Court of Appeals affirmed the lower court’s decision, stating that the 2013 lease agreement did not obligate the city and NRHA to use Norfolk District Associates to develop a casino.

Judge AtLee: Casino Deal Unenforceable

Judge Richard Y. AtLee, representing the three-judge panel, explained that they concluded section 10.2.1 of the agreement could not be enforced because it was essentially an agreement to agree, and the agreement did not allow for a casino. This, he said, supported the circuit court’s decision to uphold the demurrers.

Cordish Companies refrained from providing a comment regarding the ruling. In contrast, city attorney Bernard Pishko conveyed satisfaction, expressing that they were pleased with the court’s confirmation that Cordish and John Lynch had filed the lawsuit against the city, city attorney, and NRHA without a basis.

The appeal process included two rounds, with the second round featuring oral arguments in December 2023 after one judge had to recuse themselves due to a conflict of interest.

The judges who participated in the final round of oral arguments and made the ruling were AtLee, Haley, and Dominique A. Callins, with Causey recusing.The legal victory solidifies Norfolk‘s position in moving forward with the HeadWaters Resort and Casino alongside the Pamunkey Indian Tribe.

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Missouri State Treasurer Vivek Malek has reinforced his stance regarding the presence of his name on decals affixed to unregulated slot machines distributed by Torch Electronics, a company with strong political ties. 

Despite criticism and calls for removal from some quarters, Missouri Treasurer Vivek Malek remains resolute in his decision not to remove the decals, asserting that no taxpayer funds were used in their creation.

Malek, a Republican appointee seeking re-election, defended his position in a letter to Rep. Scott Cupps, emphasizing that the decals serve to promote the state’s unclaimed property program, without any intent to endorse or regulate gambling machines, reported the St. Louis Post-Dispatch. 

Cupps, who raised concerns about the potential misperception among players, sought further discussion on the matter, but Malek declined, citing prior commitments.

The controversy stems from the widespread distribution of Torch-operated gambling machines in gas stations and bars across Missouri. While Malek maintains that these machines operate within legal bounds, critics argue otherwise, pushing for legislative action to declare the unregulated market illegal. 

Malek, however, refrains from preempting judicial intervention, suggesting that the courts should decide on the matter.

Torch Electronics’ Legal Struggles Cast Shadow Over Missouri’s Political Landscape

Malek’s steadfast stance comes amidst his bid for the GOP nomination in the upcoming primary elections, facing opposition from notable figures within the party. 

Meanwhile, Torch Electronics, headquartered in Wildwood, has faced legal challenges in its endeavor to prevent investigations into the legality of its operations by the Missouri Highway Patrol.

Moreover, the company’s political connections have come under scrutiny, with revelations of contributions to political action committees associated with former House Speaker Steve Tilley. These contributions, including support for Attorney General Andrew Bailey, have raised concerns about conflicts of interest, particularly in legal matters concerning the company.

Last year, Missouri Attorney General Andrew Bailey withdrew from a lawsuit against the state concerning the regulation of unregulated slot machines after lobbying efforts from Torch Electronics and Warrenton Oil, who provided campaign contributions to a political action committee supporting Bailey. 

Despite efforts to regulate and tax these gambling machines, legislative measures have fallen short, leaving municipalities like Springfield to implement local ordinances banning their presence. The issue underscores broader challenges in reconciling regulatory frameworks with evolving forms of gambling in the digital age.

As the debate continues, Malek’s decision to maintain the decals on these machines reflects not only his commitment to promoting the state’s programs but also the complexities surrounding the intersection of politics, gambling, and regulation in Missouri.

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Simmonds staunchly defended Safer Gambling Week, denouncing critics who she claims attacked the campaign due to their general aversion towards betting and gaming activities. The yearly campaign has enjoyed resounding success, uniting the UK gambling industry in support of gambling harm prevention and awareness. Simmonds was adamant that regulated operators adhered to strict guidelines and prioritized customer safety.

Last Year’s Event Was a Resounding Success

Simmonds highlighted the overwhelming success of Safer Gambling Week 2023, which extended beyond physical gambling venues such as betting shops, casinos, and bingo clubs, aiming to encourage conversations around responsible gambling. Simmonds noted a substantial positive impact from last year’s campaign, with around 200,000 accounts setting deposit limits and a remarkable 300% increase in players actively using reality checks.

Last year’s campaign also achieved impressive success online, garnering over 50 million impressions across major platforms like Twitter, Facebook, and Instagram, marking a 70% increase from the previous year. Additionally, the Safer Gambling Week website witnessed half a million visits, indicating a significant uptake in accessing advice and support resources.

This truly was a whole industry endeavor; online, in betting shops, in bingo halls and casinos.

Bridgid Simmonds, BGC Chair

Simmonds reiterated the industry’s commitment to promoting responsible gambling, noting that the vast majority of participants engaged in gambling safely. She acknowledged the significance of addressing problem gambling while emphasizing the need to raise standards and promote responsible gaming practices, contributing to a sustainable, player-oriented market.

Simmonds Attempted to Deflect Rising Criticisms

Speaking for Politics Home, Simmonds expressed dismay at persistent criticism from certain quarters despite robust support from the government, independent regulators, and cross-party parliamentary backing. She accused detractors of merely disliking the gambling and gaming industry, thus undermining efforts to enhance industry standards.

They are not interested in genuine attempts to drive up standards – they simply dislike betting and gaming – and by extension, dislike those who enjoy it.

Bridgid Simmonds, BGC Chair

The BGC Chair highlighted the organization’s ongoing efforts beyond Safer Gambling Week, asserting the continuation of responsible gambling initiatives throughout the year. Simmonds confirmed that the BGC would continue dedicating time and resources to amplifying safer gambling tools and broadening support avenues for those in need.

Simmonds’s statements come during a tumultuous time for the UK gambling sector as the government finalizes consultations on its gambling white paper. Recent revelations regarding politicians receiving donations from the BGC raised lobbying concerns, while a proposed gambling tax increase caused further friction. While the industry’s safe gambling efforts are commendable, it should not so easily dismiss valid criticisms.

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Defending the sport’s right to benefit from responsible betting sponsorship, English Football League (EFL) Chairman Rick Parry emphasized that there were no magic answers to eliminate addiction issues, calling for empathy and support for affected players. His statements closely follow several betting scandals, highlighting the contentious nature of gambling partnerships.

Education and Rehabilitation Efforts Remain a Priority

The recent 10-month ban imposed on Newcastle midfielder Sandro Tonali due to gambling addiction has intensified scrutiny of soccer’s relationship with betting. Parry, defending the sport’s association with betting companies, stated that the industry had generated billions since the 2005 Gambling Act, noting that marketing agreements channeled some of this revenue back into sports.

According to Parry, the EFL had commissioned extensive research and did not see any correlation between sponsorships and increased gambling harm. He noted that eliminating the issue would be incredibly challenging, so the organization focused on minimizing problem gambling through various initiatives.

Educating players is something we’ve been doing for at least the last five years, and we’ll continue to do more of that.

Rick Parry, EFL chairman

Parry remained convinced that individuals would gamble regardless of the sponsorships, noting that prohibition was not a viable solution. He added that the recent cases in Italy demonstrated that rehabilitation was just as needed as punishment, and investing more resources in identifying and aiding players with genuine addiction problems could lead to significant improvements.

June saw the EFL renew its collaboration with operator Sky Bet, extending it through the 2028-29 Season. The two partners reaffirmed their commitment to deliver financial support to communities in England and Wales via the Sky Bet EFL Community Fund. This collaboration received praise from the UK government as a socially responsible model.

Chairman Parry was adamant that this partnership would not impact players, stating that some athletes would still choose to wager regardless of sponsorships. He emphasized the need for responsible marketing arrangements and improved gambling operator accountability, noting that such measures would be significantly more beneficial for players and non-players.

Parry’s observations happened during the ongoing EFL Week of Action, highlighting the organization’s life-changing community work as all 72 member clubs unite to make a positive impact. Despite his reassurances, the balance between responsible betting partnerships and addressing addiction concerns remains a hotly contested topic in the soccer landscape as stakeholders search for an optimal solution.

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The company estimates its casino resort would bring approximately 4,000 jobs to the area along with other economic benefits. However, many locals have rallied against the project, concerned about the social costs inherent in a high-profile gambling venue. Such ongoing controversy may affect the planned casino’s chances of obtaining one of the limited New York licenses.

Casino Supporters Highlighted the Attractive Job Opportunities

Thor Equities, known for its real estate ventures and urban development projects, is part of the consortium behind the planned Coney Island casino resort. The company has invested significant efforts in marketing, attempting to convince locals of the benefits such an establishment would bring to the area.

According to the developer, the casino would bring 4,000 well-paid, year-round jobs, providing residents with stable income and potential career growth. Former City Council member Robert Cornegy noted the venue would focus most of its recruitment and job training efforts on local communities, promising wages of up to $30 an hour and enticing benefits.

Being able to bring decent paying, year-round jobs is something that I feel like I am compelled to push and demand… The hotel trade is one of the more lucrative opportunities.

Robert Cornegy, former New York City Council member

Cornegy highlighted the casino industry’s rising popularity, highlighting its attractiveness for people of color looking to earn a middle-class standard of living. The planned venue would also positively impact surrounding businesses, attracting visitors and reinvesting in the community through infrastructure improvements, public services, and social programs.

Community Representatives Remain Unconvinced

Despite the developer’s efforts to bolster the casino project’s public image, many locals remain unconvinced. Critics argue that a casino could contribute to issues such as problem gambling, increased crime rates, and a change in the neighborhood’s character. Brooklyn’s Community Board 13 even urged local officials to reject the project, highlighting its hidden dangers.

According to Board members, a high-profile casino threatened to turn Coney Island into another Atlantic City, bringing all the gambling industry’s negatives to a struggling neighborhood. The area consistently falls behind in income and unemployment rates, but many residents cannot work full-time, diminishing the potential positive impact of a casino.

How do you guarantee a percentage of jobs are going into the community? You just can’t… I don’t see someone in hospitality lasting that long.

Lucy Mujica Diaz, Community Board 13 chairperson

Thor Equities’ recent promises only widen the rift between casino proponents and the stiff local opposition. Despite ongoing efforts to appease the locals, the backlash continues to intensify. Such actions can potentially undermine the consortium’s chances of securing one of New York’s three coveted casino licenses, as few other competitors face the same level of opposition.

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