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Compliance Updates

MGCB Issues Cease-and-Desist Letters to Ace23 and Ace Per Head for Illegal Gambling Activities

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The Michigan Gaming Control Board (MGCB) has taken illegal gambling operations seriously and recently issued cease-and-desist letters to Ace23 and Ace Per Head, located in Costa Rica. Ace23 operates the website, Ace23.ag, which functions as a sportsbook and casino service provider catering to agents/bookies. Ace Per Head manages Ace23.

Ace23 purports it is part of the Ace Gaming Network, which claims on their website to be licensed in Canada and Costa Rica but is not licensed to operate in Michigan.

An extensive investigation has revealed the website enables account holders, who are considered “agents” to establish bookmaking operations using different “skins” (designs) and webpages, whereby the agents/bookies can accept wagers and make payouts to players on those webpages. Ace23 handles all the organizing, setup, and administration for the agent’s/bookie’s operation and charges them $10 per active player per week for doing so. Additionally, the website offers casino-style games but does not take any wagers or make any payouts, as those are handled between the agent/bookie and participating gamblers.

“The Michigan Gaming Control Board is committed to safeguarding the integrity of legal gaming in the state and protecting consumers from illicit offshore operations like Ace23. Our regulatory efforts are focused on promoting responsible gaming practices and upholding the laws that govern the industry. To that end, we ask all Michigan residents to stay informed and stay safe by reporting any suspected illegal gambling activities to the agency because we take every tip very seriously,” MGCB Executive Director Henry Williams said.

Ace23 facilitates transactions from agents for the “per head” charges through cryptocurrencies or approved retailer gift cards. To pay with a gift card, agents are required to scratch off the hidden code on the back of the card and input it into an area on their account page to release the dollar amount to Ace23.

The MGCB has determined that Ace23 is operating in direct violation of Michigan’s Lawful Internet Gaming Act, the Michigan Penal Code, and the Michigan Gaming Control and Revenue Act. Such activities pose a significant risk to consumers and the integrity of legal gaming operations within the state of Michigan.

These cease-and-desist letters serve as a formal notice to Ace23 and Ace Per Head to immediately halt all gambling activities within Michigan and refrain from further violations of the law within 14 days from receipt of the letter.

Compliance Updates

Washington’s Lottery Achieves Nation’s Highest Level of Responsible Gambling Certification

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Washington’s Lottery announced that it has achieved the highest level of responsible gambling certification in the country. As acknowledged by the National Council on Problem Gambling (NCPG) and the North American Association of State and Provincial Lotteries (NASPL), Washington’s Lottery officially was certified for “Responsible Gambling Verification Best Practices at the Sustaining Level” in December 2024, the culmination of a process that began with certification at the Planning Level in 2019 and Implementation Level in 2021.

Washington’s Lottery is only the third state lottery in addition to Virginia and Ohio to achieve this milestone. NCPG and NASPL also recognize nine other state lotteries that have achieved a similar certification through the World Lottery Association.

“I can’t begin to express how proud I am of the work our team has done to achieve this important standard. We have a unique obligation as a state agency that sells a gambling product and need to balance the goal of raising money for important state initiatives like education with the need to acknowledge and assist the small percentage of players who may experience gambling-related distress. We take that work very seriously and weave it into all aspects of our jobs,” Kristi Weeks, Director of Legal Services for Washington’s Lottery, said.

To receive the Sustaining Level certification, Washington’s Lottery was evaluated by a team of four independent experts, who reviewed the lottery’s efforts in eight key categories related to responsible gambling: planning, employee training, retailer training, public education and awareness, product oversight, research, advertising, and resources.

“The key to our success has been the integration of responsible gambling initiatives into each and every employee’s position rather than centralizing it into only one or a few positions,” Weeks added.

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Compliance Updates

IBIA establishes innovative Payment Provider Forum to protect the integrity of the sports betting market in Brazil from financial fraud

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IBIA establishes innovative Payment Provider Forum to protect the integrity of the sports betting market in Brazil from financial fraud

 

Six payment providers have signed a Declaration of Commitment and Participation

In a pioneering move to bolster the integrity of Brazil’s newly regulated and rapidly expanding sports betting market, the International Betting Integrity Association (IBIA) today launched a dedicated Payment Provider Forum with the explicit goal of protecting the market from financial fraud related to competition manipulation. The project has launched with six prominent payment providers already signed up to a Declaration of Commitment and Participation: Bazk, Z.ro Bank, OneKey Payments, OKTO, VPag and Pay4Fun.

With IBIA’s members forecast to generate over 70% of remote gross gambling revenue in Brazil, IBIA will play a key role in protecting the integrity of the sports betting market. Payment providers and other related financial services can also play a crucial role in ensuring the integrity of sports betting. The IBIA Payment Provider Forum has therefore been established to foster collaborative activities that contribute to a robust, secure and responsible gambling market in Brazil.

Regulatory and other institutions linked to financial payments and competition manipulation will be invited to join Forum meetings and engage in the development and implementation of preventative actions against financial fraud.

The Forum will also benefit from IBIA’s extensive knowledge of sports betting integrity issues and trends, obtained from its global integrity monitoring and data intelligence network. That includes many of the world’s largest regulated betting operators, active across six continents, and partnerships with leading sports bodies and gambling regulatory authorities. It will also leverage IBIA’s expertise in establishing industry standards, such as its Data Standards Kitemark.

Khalid Ali, CEO at IBIA, said: “Cooperation between financial services, regulatory authorities and betting operators is essential to address the challenges from financial fraud and to maximise the potential of the sector in Brazil. IBIA is therefore delighted that these major payment institutions have agreed to explore collaborative activities to protect the market. Working together, we can create a sustainable and thriving sports betting market in Brazil that benefits all stakeholders. Cross-sector partnership working is a central pillar of IBIA’s global activity, and the association will be assessing the potential benefits of replicating this group in a wider international setting.”

To that end, the Declaration’s signatories have committed to:

  • Collaborate in the development of standards and best practices for payment processing.
  • Engage with regulatory bodies to defend a robust, fair and effective regulatory framework.
  • Promote responsible gambling and consumer, market and sporting event protection.
  • Share knowledge and expertise to innovate and improve the payments ecosystem.
  • Maintain the highest standards of ethical conduct and compliance with regulations.

The first meeting of the Forum will take place during SBC Rio.

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Compliance Updates

Aristocrat Interactive Secures Approval for OASIS Rollout in Washington

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Aristocrat Interactive, the rebranded online Real Money Gaming (RMG) division of Aristocrat, has received certification from the Washington State Gambling Commission to roll out its OASIS system to Class III operators across the State. OASIS is a comprehensive casino management system designed to offer a superior experience for land and sea-based operators.

Through this new jurisdiction approval, OASIS is now available to all 29 federally recognized tribal casinos in the state with a Class III Gaming Compact. This approval builds on OASIS’ existing authorization for Class II gaming in Washington, as BJ’s Bingo & Gaming in Fife, WA has used Aristocrat Interactive’s OASIS system for many years.

“We are thrilled that our OASIS system has been licensed by the Washington State Gambling Commission, and we look forward to working with more Casinos as we expand our footprint across the state. We strive to provide our casino partners with innovative solutions, helping them stand apart from their competition,” Kristen Jones, VP Sales of Aristocrat Interactive Gaming Systems, said.

With 360 partners across North America, Aristocrat Interactive Gaming Systems’ product suite has proven to be a key addition to casinos looking to enhance their operational capabilities. Quinault Beach Resort will be the first operator to incorporate the OASIS system through this new approval.

“We look forward to being the first-Class III casino in Washington to utilize the OASIS system across our casino floor. It is a cutting-edge solution that we are confident will lead to increased efficiencies across our operations,” Mark Palmer, GM at Quinault Beach Resort, said.

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