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Compliance Updates

Pennsylvania Gaming Control Board Levies $147,500 in Fines

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Pennsylvania Gaming Control Board also places three adults on exclusion list for gambling at casinos while leaving children unattended

The Pennsylvania Gaming Control Board has approved three consent agreements presented by its Office of Enforcement Counsel (OEC) during its public meeting regarding violations that occurred at three casinos. Total fines levied were $147,500.

The approved consent agreements were the result of negotiations between OEC and:

* Mount Airy #1, LLC, operator of Mount Airy Casino Resort in Monroe County was fined $120,000 for failure to timely submit internal audit plans, a stipulation of its statement of conditions for licensure.

* Downs Racing, LP, operator of Mohegan Pennsylvania casino in Luzerne County, received a fine of $20,000 for two incidents in which supervisory employees worked without the proper Pennsylvania Gaming Control Board-issued permit.

* Sugarhouse HSP Gaming, LP, operator of Rivers Casino Philadelphia, a $7,500 fine for not properly notifying its security and surveillance staff along with law enforcement about an alleged cheating incident at a table game involving marked cards.

Copies of the approved consent agreements offering more details on these matters are available upon request through the Pennsylvania Gaming Control Board’s Office of Communications.

The Pennsylvania Gaming Control Board also acted on petitions to ban three adults from all casinos in the Commonwealth for leaving a total of six children unattended in order to engage in gaming activities:

* A male patron was placed on the involuntary exclusion list after leaving three children, ages three, eight and ten, unattended in a vehicle in the Mohegan Pennsylvania casino parking lot while he wagered at the sportsbook.

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* A female patron was placed on the involuntary exclusion list after leaving two children, ages two and five, unattended in the food court at Valley Forge Casino Resort in order to wager at the sportsbook and later, once again, left the children unattended in a vehicle in the casino’s parking lot but was approached by security before she was able to gamble.

* A female patron was placed on the involuntary exclusion list after leaving her 13-year-old child unattended in a vehicle at Hollywood Casino at Penn National Race Course while she cashed a check and gambled on slot machines.

The Pennsylvania Gaming Control Board’s actions serve as a reminder that adults are prohibited from leaving minors unattended in the parking lot or garage, a hotel or other venues at a casino since it creates a potentially unsafe and dangerous environment for the children.

Leaving minors unattended at a Pennsylvania casino also subjects the offending adult to criminal prosecution in addition to exclusion from all Pennsylvania casinos.

The Pennsylvania Gaming Control Board is reporting that since the start of 2022 through March of 2023 it has identified 344 incidents of adults leaving children unattended to gamble at Pennsylvania casinos involving 568 minors.

For more information on this issue and to assist in bringing awareness of this problem, you can visit the Pennsylvania Gaming Control Board’s special Don’t Gamble with Kids campaign website. The next meeting of the Pennsylvania Gaming Control Board is scheduled for 10:00 am, Wednesday, May 24, 2023, in the Pennsylvania Gaming Control Board’s public hearing room located on the second floor of the Strawberry Square Complex in Harrisburg.

Canada

AGCO Removes Cap on Seller Commission for Charitable Lottery Products

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The Alcohol and Gaming Commission of Ontario (AGCO) has updated several lottery policies to remove the cap on seller commission for Paper Raffles and Media Bingo, along with removing the prohibition on Catch the Ace paper lotteries, to align with other charitable lottery products.

Licensed charities may now negotiate commissions directly with sellers and determine commissions, provided they are reasonable and tied to the cost of service provided by the seller.

These updates further the AGCO’s commitment to adopt an outcomes-based regulatory approach and reduce burden for the charitable gaming sector. Local charitable organizations will have greater flexibility to make decisions that best serve their fundraising objectives.

Important Reminders

• Charities must still receive approval for other expenses incurred under their licence and retain receipts for seller commission paid.

• Licensing authorities will not require documentation to be submitted as part of the application process, however, charities are still subject to audit to determine compliance.

• Charities are reminded of their legal requirement to meet their obligations under the Criminal Code and with respect to conducting and managing a charitable gaming scheme.

• As with all licensed charitable lottery events, charities must take the necessary steps to ensure that they are conducting and managing the lottery event within Ontario.

For charitable gaming-related inquiries, email an AGCO Eligibility Officer at [email protected] or call AGCO Customer Service at 1-800-522-2876, Monday to Friday from 8:30 a.m. to 5 p.m.

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Segev LLP Celebrates 10 Years of Business-Focused Legal Innovation

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Segev LLP Celebrates 10 Years of Business-Focused Legal Innovation

 

Leading business, technology, finance, and gaming law firm, Segev LLP, is proud to announce its 10th anniversary. Over the past decade, Segev has evolved from a bold idea into a multi-jurisdictional firm serving clients across Canada, the U.S., and beyond.

Built for innovation-driven industries, the firm is widely recognized for its work with companies at the forefront of gaming, crypto, technology, and emerging sectors. “Our 10-year anniversary is a defining moment,” said Founding Partner, Ron Segev. “It’s a testament to the strength of our team and our culture of teamwork, self-improvement, and growthall of which is directed at scoring wins for our great clients.”

As industries like fintech, crypto, iGaming, and AI have matured, so has the firm, often in parallel with its clients. “We’ve all grown together with our clients from one success to the next, whether it be helping clients complete financings or helping them close business,” said Managing Partner Alon Segev. “I look forward to continued growth for us and our clients in the next 10 years!”

The firm’s client-first approach has consistently earned recognition from top legal ranking guides. Segev LLP is ranked by Chambers and Partners as a “Leading Firm” and “Band-1” in Canada for Gaming Law and are also recommended by The Legal 500 and Lexology. These rankings reflect the team’s ability to deliver strategic, high-quality legal solutions that align with their clients’ business goals.

Recognized for their unique ability to exceed expectations and deliver out-of-the-box solutions, Segev LLP’s clients have affirmed: “The firm demonstrates its capability not only to understand complex matters, but also to offer solutions that are practical, pragmatic, and value-adding.”

“Segev possesses outstanding resources and maintains global partnerships, enabling it to deliver precise and informed responses to any queries related to the iGaming industry.”

“Epic service, very good, I won the case!”

“Great service, friendly atmosphere, and support.”

Several Segev team members also reflected on the milestone: “There was a moment early in my time here when I realized I wasn’t just being brought in to help; I was expected to contribute, take initiative, and run with big ideas. That stuck with me,” said Negin Alavi.

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“Together with our clients, [Segev] has experienced remarkable growth over the past decade. I’m honored to have contributed to this journey and to celebrate these shared successes,” said David McHugh.

Segev has cultivated a thriving law practice on the principle that challenges are to be embraced as opportunities. The approach has enabled us to grow as lawyers, but more importantly, it has enabled us to ensure the success of our clients,” said Mark Balestra.

“Since joining through Segev’s Ontario expansion, I’ve had the chance to work alongside some of the sharpest and most collaborative lawyers in the gaming space,” added Manav Bhargava. “As a full-service firm and industry leader, Segev stands out for its ability to support innovative businesses with practical, forward-thinking legal advice.”

Segev LLP will commemorate the anniversary with a series of internal and external initiatives throughout the remainder of the year.

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Compliance Updates

Illinois Gaming Board Announces Enhanced, Uniformed Advertising Rules for Casinos, Video Gaming and Sports Wagering

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The Illinois Gaming Board (IGB) adopted new rules that expand existing restrictions on advertising, marketing and promotions for licensed casino, video gaming, and sports wagering operators including a ban on advertising on college campuses and new requirements to protect the public, especially young people and problem gamblers.

“By adopting these measures, the IGB is building upon existing regulations to implement additional safeguards and standards that further protect the public and encourage responsible gambling habits. These regulations provide for clear, consistent, ethical, and transparent advertising and marketing guidelines for all casino, video gaming, and sports wagering operations under IGB jurisdiction,” said IGB Administrator Marcus D. Fruchter.

While previous IGB rules placed restrictions on advertising and promotional content which included prohibitions against false or misleading claims and other restrictions, the new rules go farther to ensure advertisements are not placed in locations where they are likely to be seen by underage or vulnerable populations. The expanded rules also require operators to maintain advertising records and include prominent, responsible gaming messages in advertising, marketing and promotions.

After assessing the advertising and marketing rules for sports wagering adopted in 2020, the IGB determined that those limitations apply equally to video gaming and casinos. The IGB further determined to enhance the existing rules to best assure an ethical advertising environment that restricts enticements to minors and those with gambling problems.

The revised advertising and marketing rules which expanded and codified practices for all gambling segments under IGB jurisdiction are now effective, following a public notice and comment period, the May 13, 2025 approval from the Illinois General Assembly’s Joint Committee on Administrative Rules (JCAR), and publication by the Secretary of State in the Illinois Register Issue 31 on August 1, 2025.

The rules feature requirements for Illinois operators including:

• Prohibition from having advertisements or promotions published, aired, broadcast, displayed, or distributed on any college or university campus, or college or university media outlets such as college or university newspapers and radio or television broadcasts, or any sports venues used primarily for college and university events.

• Prohibition from depicting college or university students, colleges or universities, or college or university settings.

• Retention of copies of all advertising and marketing materials including a log of when and how those materials have been published, aired, displayed, or distributed.

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• Allowing patrons the option to unsubscribe or opt out of advertising, marketing or promotional materials. Additionally, operators should comply with any patron request to unsubscribe or opt out of receiving materials as soon as practicable.

• Prohibition on entering into agreements with third parties to conduct advertising or marketing on behalf of, or to the benefit of, the Illinois operator when compensation is dependent upon, or related to, the volume or outcome of wagers.

• Include problem gambling text as determined by the Illinois Department of Human Services in all advertising and marketing materials.

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