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Compliance Updates

Pace-O-Matic Secures Another Legal Victory in Pennsylvania

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Pace-O-Matic announced the company won a return of property motion in Dauphin County. This property – gaming machines, related equipment, and cash – was wrongfully seized during raids conducted by the Pennsylvania Bureau of Liquor Control and Enforcement (BLCE) in 2019.

“First and foremost, this ruling again reaffirms our status as legal games of skill. This is another tremendous victory for Pennsylvania Skill games, powered by Pace-O-Matic, and our Pennsylvania small business and fraternal partners,” said Pace-O-Matic spokesman Mike Barley.

The ruling also castigates the Commonwealth and BLCE for their biased conduct in the matter.

Dauphin County Common Pleas Judge Andrew H. Dowling wrote: “All three of the Commonwealth witnesses opined that the games were predominantly games of chance. However, we do not find these opinions to be persuasive for a number of reasons. Initially, it is this Court’s belief that the Commonwealth’s investigation shows case bias. The Commonwealth is seeking to make all machines like the POM Machines into illegal gambling devices, and their whole approach and intent is to shut down games regardless of the actual gameplay. The fact that Officer Wentsler never played the Follow Me feature while undercover is indicative of this. Thus, the Commonwealth as a whole is biased against the games, and their approach lacks case credibility.”

This is the second court in as many months to rule the games were legal games of skill and allege misconduct in the investigation and prosecution of legal skill games.

Last month, Monroe County Common Pleas Judge Jennifer Harlacher Sibum wrote: “The court finds that the Commonwealth improperly withheld and misrepresented material evidence relative to the issuance of the search warrant in this matter, and that such conduct warrants the suppression of the seized property.”

Barley said: “We applaud the most recent court’s decision, especially for highlighting the extreme level of bias shown by the Commonwealth against a legal product. The behavior of the BLCE agents and prosecutors, in this case, has been egregious, and we are deeply concerned about the motivation to disregard, bend and violate the law and our constitutional rights in a coordinated effort to harm our company and the small businesses, clubs, fire halls and veterans groups that benefit from skill game revenue and support.

“Every time the legality of our skill games has been called into question, the legal status of our games has been upheld by the judiciary. Pace-O-Matic stands out among our competitors as the active driving force seeking additional regulation and taxation. We remain steadfast in our commitment to working with the state General Assembly and asking for legislation providing additional regulation and increased tax money for the state.”

Pennsylvania Skill has pumped new life into the commonwealth’s small businesses, fraternal and social clubs, and veterans’ organizations by providing them with an entertainment product that the public enjoys. Meanwhile, research data proves skill games do not impact the revenue of casinos and the lottery, both of which are achieving record profits year after year.

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Pennsylvania Skill games are manufactured in the commonwealth, and over 90% of the profits stay inside the state. That is unheard of in gaming and many other industries.

Pace-O-Matic’s Pennsylvania Skill products are manufactured by Miele Manufacturing in Williamsport, which has created nearly 200 direct jobs. Many of the materials used to make up the gaming machines come from companies in the Commonwealth. Additionally, Pennsylvania Skill game revenue has become a lifeline to fraternal clubs and organizations across the commonwealth, including American Legions, VFWs, and local fire companies.

As part of ongoing efforts to ensure compliance, Pace-O-Matic employs a team of former state police officers to enforce all terms of contracts and codes of conduct. These contracted terms limit the number of machines, where they are placed in a location and have protections in place to prevent anyone underage from playing the devices.

In 2014, the Beaver County Court of Common Pleas ruled that Pace-O-Matic’s Pennsylvania Skill games are legal as games of predominant skill.

In addition, last year, the Pennsylvania Office of the Attorney General and the Clearfield County District Attorney’s office negotiated a settlement to return wrongfully seized Pennsylvania Skill games, related equipment, and cash.

Compliance Updates

The Saskatchewan Indian Gaming Authority (SIGA) Selects New Board Chair

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The Saskatchewan Indian Gaming Authority (SIGA) has announced Chief Tammy Cook-Searson, of the Lac La Ronge Indian Band, as its new Board Chair for SIGA’s Board of Directors.

SIGA is a non-profit First Nation gaming operator for seven land-based casinos and the online gaming platform PlayNow.com in Saskatchewan.

Chief Cook-Searson first joined SIGA’s Board of Directors in 2018 and has been a regular SIGA Board member as well as a member of SIGA’s Audit & Finance Committee.

She is serving in her 20th year as Chief of Lac La Ronge Indian Band and has a Master of Business Administration (MBA) degree and a graduate diploma in management from Athabasca University. She also holds honorary degrees from the University of Regina, the Saskatchewan Indian Institute of Technologies (SIIT) and Saskatchewan Polytechnic.

Chief Cook-Searson replaces outgoing Board Chair former Chief of Muskowekwan First Nation Reginald Bellerose, who has held the Board Chair position since February 4, 2015.

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Compliance Updates

MGCB Showcases National Leadership on Illegal Gaming Enforcement at 2025 NAGRA Conference

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Michigan Gaming Control Board (MGCB) Criminal Investigations Section Manager John Lessnau recently represented the agency at the 2025 North American Gaming Regulators Association (NAGRA) Annual Training and Education Conference, held June 2-5 in Nashville, Tennessee.

Lessnau presented a featured session titled “Case Study: Tackling the Illegal/Offshore Gaming Market” and facilitated a discussion on how Michigan is setting the standard nationwide in combatting illegal and unregulated gaming operations. His presentation outlined Michigan’s strategic enforcement model and collaborative approach to removing illegal gambling from the state and deterring bad actors from targeting Michigan consumers.

“Michigan is at the forefront of the national conversation on illegal gambling, and we were proud to share how our efforts are making a real impact. We’re leveraging every tool available—from anonymous tip lines and interagency partnerships to direct enforcement and public awareness—to crack down on illegal gaming operations that threaten consumer protection and undermine legal businesses,” MGCB Criminal Investigations Section Manager John Lessnau said.

To date, the MGCB has issued nearly 100 cease-and-desist letters to unauthorized gambling operators—including high-profile offshore websites—and continues to pursue new cases with more enforcement actions expected in the months ahead. These efforts underscore the agency’s commitment to upholding integrity in Michigan’s legal, regulated gaming market.

The MGCB’s aggressive stance on illegal and offshore gambling has drawn national recognition and strengthened its partnerships with regulatory peers across the US.

As part of the NAGRA conference, MGCB Executive Director Henry Williams was honored with the 2025 Excellence in Gaming – Individual Award, recognizing his leadership in expanding responsible gaming outreach and fortifying criminal enforcement efforts. The award reflects the continued success of the MGCB under Williams’ direction and the agency’s role as a model for effective, transparent regulation.

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Compliance Updates

Wyoming Committee Proposes Tax Rise on Sports Betting

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Wyoming lawmakers have proposed to double the sports betting tax rate in the state. That would take it to 20% from 10%.

Since sportsbooks launched in September 2021, the state has collected $3.8 million in taxes on $69 million in sports betting revenue.

The committee also proposed increasing taxes on “skill-based amusement games” to 25% from 20% and the tax on historic horse racing to 2.5% from 1.5%.

Committee Chair Tara Nethercott led the proposals. Nethercott said the state has been “generous to players in this space.”

She also said the state has offered “modest regulation with little oversight.” Nethercott wants to see oversight and revenues that match the industry.

Opponents of the measure said the hikes would harm the solid growth the state’s gambling industry has seen.

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