Compliance Updates
GAMING LAW & REGULATORY ATTORNEYS LAUNCH GAMING LAW PRACTICE
Susan Hensel, the former Pennsylvania Gaming Control Board (PGCB) Director of Licensing, and former PGCB attorney Joseph Grad, announced today the launch of Hensel Grad P.C., a boutique law firm focused on providing legal services to domestic and international clients in the gaming industry. At the PGCB, Hensel and Grad’s collaborative work played a key role in developing the licensing regulatory structure for Pennsylvania, which is today the 2nd largest commercial gaming market in the United States.
Hensel and Grad are reuniting through the founding of Hensel Grad P.C. to expand beyond Pennsylvania in serving clients interested in entering or thriving in the rapidly expanding U.S. gaming industry. “We believe the time is right for a law firm with a solid understanding of how U.S. gaming regulation is created, implemented and enforced,” said Hensel.
She added, “we have the knowledge, experience and relationships necessary to serve all of a client’s regulatory needs and believe a boutique law firm is the ideal platform from which to deliver the highest quality gaming law services to clients.”
“The firm’s focus will be on servicing new and recent entrants to the U.S. gaming market, whether they are foreign entities, early stage U.S. companies, or state agencies charged with overseeing the development of new gaming verticals,” said Grad. Grad noted, “from a client’s decision to enter a jurisdiction to post-licensing compliance and at all points in between, we will be their partner in navigating the U.S. gaming landscape.”
The firm will serve gaming operators, manufacturers, suppliers, affiliates, equity investors, start-ups, non-gaming vendors, entrepreneurs, inventors, lenders, and others seeking to participate in the U.S. gaming industry. In addition, Hensel Grad will serve as a consultant to jurisdictions in the U.S. and throughout the world that are embarking on legalizing one or more gaming verticals.
About Susan Hensel
Susan Hensel was the PGCB’s first employee and first Director of Licensing. She has overseen the licensing of more than 100,000 individuals and entities as Pennsylvania evolved from a slots only jurisdiction to one offering the full range of gaming verticals including integrated casino resorts, online gaming, sports wagering, fantasy sports, and video gaming terminals at truck stop establishments. She stepped down from the position in April.
In addition to her work in Pennsylvania, Hensel is among the best known and respected U.S. regulators on an international stage. In 2020, Hensel was named one of the Ten Most Influential Women in gaming by iGaming Business. She is Past President of the International Association of Gaming Regulators having served in that position for two terms. She is an original member of the Advisory Board of the All-In-Diversity Project, an industry-driven not-for-profit initiative to benchmark diversity, equality and inclusion in the global gaming industry and is a strong advocate for women in the gaming industry.
Hensel is a frequent speaker on gaming law and regulation and has spoken throughout the world. She has published articles on gaming regulation and has collaborated with gaming regulators around the globe. Hensel is an adjunct law professor teaching gaming law and regulation.
About Joseph Grad
Prior to co-founding Hensel Grad P.C., Joseph Grad was the founder and Principal of the Law Office of Joseph W. Grad, LLC which had a successful ten-year run providing services in the areas of gaming, corporate and healthcare law to clients of all shapes and sizes.
In his gaming practice, Grad represented individuals and entities in all aspects of gaming law across numerous U.S. jurisdictions, including matters relating to licensing such as multi-jurisdictional and contested licensing, regulatory compliance with state and federal laws, suitability investigations, approval of corporate transactions, appellate litigation and emerging gaming law issues. He has also been a frequent speaker and contributor to gaming conferences around the world and has served as an advisor to U.S. state gaming authorities, including a recent appointment to the Colorado Sports Betting Working Group.
Prior to starting his firm, Grad was one of the first attorneys hired by the PGCB and served in the positions of Assistant Chief Counsel and Special Counsel for Corporate Finance & Governance. During his tenure with the PGCB, he drafted, developed and shaped many of the PGCB’s regulations, policies and procedures, including the PGCB’s licensing regulations. In addition, he served as the PGCB’s legal advisor on matters involving corporate licensees, including all mergers and acquisitions within the PGCB’s jurisdiction.
More information about Hensel Grad P.C. can be found at HenselGrad.com.
Compliance Updates
GLI Becomes First Laboratory to be Accredited in Maranhão, Brazil
Gaming Laboratories International (GLI) has become the first laboratory to achieve accreditation in Maranhão, Brazil. The accreditation allows GLI to perform tests and certification for the gambling and lottery industry interested in working with lottery and fixed-odds betting operators in the state of Maranhão.
The milestone is the latest in a series of regulatory achievements for GLI in Brazil. Lottery of the State of Maranhão is the third jurisdiction in Brazil to accredit laboratories, and GLI is accredited in all and the first to be authorized in all.
Cassiano Pereira Junior, president of Maranhão Parcerias (Mapa), highlighted the importance of the partnership between the Maranhão State Lottery (Lotema) and GLI. “Every day we strive to make Lotema even better, providing greater security for its users. The partnership with GLI is a concrete way of achieving this goal, as its certification laboratories play an important role for the gaming and lottery industry, guaranteeing the conformity, security, and integrity of the products and systems used by Lotema,” Cassiano explained.
“We are grateful to the Lottery of the State of Maranhão for granting GLI the laboratory accreditation, becoming the first to be authorized in Maranhão. It is extremely gratifying to see how Lotema empower themselves by trusting the technical compliance process to provide transparency, integrity, and accountability to all the industry stakeholders through the certification process. The laboratory accreditation is the first step for a successful implementation of the certification based on jurisdictional standards, and the reason why we at GLI take this step very seriously and with great priority every time a new jurisdiction opens. We feel responsible for being part of the solution towards a fast and efficient implementation of regulations, thus supporting further local industry development and sustainable growth. We are grateful to Lotema and excited to be part of its thriving industry,” said Karen Sierra-Hughes, Vice President of Latin America, Caribbean, and Spain.
GLI has been working with regulators, lotteries, and industry stakeholders across the Latin American and Caribbean region for more than 26 years in their efforts toward regulation, sustainable growth, and eradicating illegal gaming. In Brazil, GLI has been side by side with government entities and all industry stakeholders for nearly 20 years, participating in public hearings in the Senate, Chamber of Deputies, and State government level, and in recent years, adding strategic local representation to strengthen their local support.
Compliance Updates
Betano Receives Licence to Operate in Colombia
Kaizen Gaming Colombia, owner of the Betano.co brand, was authorized by Coljuegos to operate online betting in the country. With this new operator, there are now 16 web platforms that have the approval of the entity to market games of chance online.
“We continue to strengthen the online gaming industry. We hope that, with the entry of this new operator, we can continue to increase transfers for the health of Colombians. At this time, the platform is already operating for the betting public,” said Marco Emilio Hincapié, president of Coljuegos.
The entity is also in the process of authorizing an additional operator called Bingo Casino, which is expected to begin offering bets in the coming weeks.
It is worth mentioning that, by 2024, it is estimated that online betting portals will pay around $419,527 million to Coljuegos for exploitation rights, which represents an increase of 31% compared to the same period in 2023. All of these resources are transferred to the health system.
“We are seeing that online betting is a sector of the economy that has driven the growth of the country’s Gross Domestic Product. That is why we are working to make the market even more attractive and to provide more options to bettors,” said the president.
According to financial projections, this new operator is expected to pay Coljuegos around $21.513 billion over the next five years for operating rights and administration costs, resources that can be transferred to subsidize health and scientific research.
Compliance Updates
Chris Christie bets on Texas to approve OSB in 2025
Former New Jersey Governor Chris Christie has backed Texas to legalise online sports betting in the state’s next legislative session.
Christie helped pave the way for sports betting liberalisation across the US by bringing the Supreme Court case that led to the repeal of PASPA.
The case was fought and won by prominent conservative lawyer Ted Olson, who Christie hired to argue the case for states to make their own decisions on sports betting. Olson died last week at the age of 84.
After Missouri became the 39th US state to legalise sports betting in some capacity, attention has quickly turned again to the big three states of Texas, California, and Florida.
“I think it’ll happen in Texas in the next legislative session,” said Christie, speaking to Covers.com. The next session is due to commence in Texas on January 14, 2025.
Christie is less confident about California, however, where competing sports betting ballots failed in 2022 amid a bitter dispute and lobbying war between online operators and local tribes.
California is seen as essential to the future prospects of US sports betting operators, given its size and wealth and dramatic impact on the country’s total addressable market (TAM).
“I don’t know about California,” said Christie. “This really takes gubernatorial leadership, and Gavin Newsom has got to decide if this is one of the issues he wants to lead on.
“Without gubernatorial leadership, the legislature won’t do it because they’re pulled like taffy in too many directions by too many different interests. Without the governor pushing for it, I just don’t think it’ll happen.”
Despite another potential setback in California, Christie has backed sports betting to penetrate pretty much every state eventually.
“I really believe sports betting is inevitable to go just about nationwide, because people in America love their sports, they just do,” he said. “I think it is in the leagues’ best interests to grow their audience. The government gets some piece of the pie out of that which they enjoy, and the public seems to be pretty happy for the most part.”
Depending on expansion, US sports betting could, in theory, reach every state. It would then become a national issue, but Christie has warned the federal government not to interfere.
“Let the states handle it,” he said. “The states are doing fine. You haven’t heard of anything awful or irreversible happening since each state has been involved and they should have the ability to decide whether they want gambling or not.
“I don’t think the federal government should have anything to do with it and I don’t think they ever should have. I don’t think they have to be babysitters for the governors of the country.”
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