The Empire State is the latest jurisdiction to move forward with a sweepstakes casino ban.
The New York State Senate Racing, Gaming and Wagering committee passed legislation prohibiting those platforms from doing business in the state.
Sen. Joseph Addabbo, one of the state’s most pro-gambling lawmakers, introduced S5935 at the start of the session. The bill bans sweepstakes operators from offering services in the state and also takes aim at the other businesses used to allow the sweepstakes model to work.
In addition to a simple ban, Addabbo’s legislation would keep financial institutions, payment processors, geolocation providers, gaming content suppliers, platform providers and media affiliates from helping operators serve New York customers.
The bill establishes fines ranging from $10,000 to $100,000 per violation and could result in the loss of a gaming license. State police, the state gaming commission, and the Attorney General’s office were tasked with enforcement.
Currently, sweepstakes operators and offshore options are the only way for New Yorkers to access online casinos.
The committee consists of seven senators, with Addabbo serving as chairman. There are five Democrats and two Republicans.
They passed the bill with two “aye” votes and one “aye without recommendation.” Now, the bill moves to the senate floor where it would be up for discussion and a general vote.
New York Follows Their Neighbor’s Lead
During a short discussion about the bill, Addabbo highlighted Connecticut’s ban of these operations.
“We have these online sweepstakes casinos that basically look a lot like casinos games, but they go unregulated,” said Addabbo. “Right now we have a number of states, Connecticut being one of them, that basically made it illegal.”
Republican Sen. James Tedisco added that these operators could impact children.
“A lot of kids have temptations; they don’t need another one,” said Tedisco.
The other Republican member, Sen. Pamela Helming, “agreed with the intent,” but was the lone AWR vote, citing her constituents’ questions on the matter.
Addabbo may be following Connecticut’s lead, but his comments appear to mimic those made in Maryland.
In the Old Line State, Sen. Ron Watson voted in favor of a sweeps ban, but told Card Player that it was to clear the markets for regulated operators. Like Addabbo, Watson sponsored multiple gambling-related bills in the past.
Florida, New Jersey and Mississippi are also moving forward with similar legislation.
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