Tennessee announced this week that it shut down nearly 40 online illegal sweepstakes casinos operating in the state.
A sweepstakes casino allows players to play casino-style games such as slot machines, bingo, and table games, according to a state government press release. Sweepstakes casinos enable people to play these games with virtual currencies, one of which can be retrieved for cash or other prizes.
The press release said the dual-currency system acts as a front to conceal that users may be participating in real-money gambling. Tennessee state law prevents this sweepstakes model from operating in the state because it serves as an illegal lottery.
Tennessee Attorney General Jonathan Skrmetti sent cease-and-desist letters to these companies, which included American Luck, Funrize, Global Poker, Golden Hearts Games, Hello Millions, and WOW Vegas.
The companies that received a letter from Skrmetti have disabled the illegal components of their platform and have also agreed on a date to close their illegal services, the press release noted.
“The only thing you can be sure about with an online sweepstakes casino is that it’s going to take your money,” Skrmetti said. “They work hard to make these sweepstakes casinos look legitimate, but at the end of the day they are not. They avoid any oversight that could ensure honesty or fairness.”
“Our Office was glad to chase these shady operations out of Tennessee and will keep working to protect Tennesseans from illegal gambling,” he added.
Besides sweepstakes casinos, Tennessee has also cracked down on illegal sports betting this year.
Earlier this month, the Tennessee Sports Wagering Council fined two illegal sportsbooks, BetDSI and BetNow, a total of $100,000.
The sports wagering council said it has served 24 illegal sportsbooks with cease-and-desist letters and fined them $800,000.
Some of the illegal sportsbooks that have left have been Bovada, Sportzino, BetWhale, and Kickr.
– – –
Zachery Schmidt is the digital editor of The Star News Network. Email tips to Zachery at zschmidt1717@gmail.com.
