Compliance Updates
PACE-O-MATIC Releases Statement Regarding Important Announcement on Virginia Market
Pace-O-Matic of Virginia (POM of VA) released the following statement regarding the status of illegal games in the Virginia market and the legality of Pre-Reveal/NextPlay software currently invading the Commonwealth.
“The Virginia legislature’s decision to ban the regulated skill game industry has resulted in an influx of illegal gaming terminals that are not paying taxes. Skill games were critical in helping restaurants and small businesses survive and thrive in the Commonwealth and generated over $130 million in tax revenue. Whether it is illegal gaming equipment in strip malls, VGTs in bars and restaurants disguised as charitable games, or the Pre-Reveal/NextPlay software invading the market… the influx is real and expansive. POM of VA finds the situation untenable and urges legislators to strongly consider righting a wrong and allow the play of skill games to help small businesses in the Commonwealth.
“The expansion of illegal games in the Commonwealth has been aided by legal opinion letters that have no basis under Virginia law and even under the most generous interpretation. Additionally, confusion surrounding the lack of clarity to enforcement agencies from the skill game ban has resulted in a complete lack of enforcement by Virginia State and local officials, putting tremendous pressure on all small businesses in the Commonwealth. Facing market pressure from locations struggling to make ends meet, POM of VA was asked to consider deploying Pre-Reveal/NextPlay software, the software discussed in the opinion letters, to be deployed into the Virginia market.
“POM of VA invests heavily in securing the services of best-in-class legal counsel. Our legal advisors strongly believe that the opinion letters being relied on are incorrect and do not accurately reflect the law as it currently stands in Virginia. In our view, these opinions are incorrect and advise people to commit illegal acts.
“POM of VA will continue to keep our games out of the marketplace in accordance with the law. While we still have terminals at some locations as pending lawsuits work through the courts, our games have been turned off and unavailable for play since July 1, 2021. That is who we are, and that is who we want to be for the Commonwealth of Virginia. A trusted partner that the Commonwealth can count on to abide by all applicable laws, support small businesses and capture significant tax revenue for the Commonwealth.”
POM of VA believes there is a bright future for legal skill games in the Commonwealth of Virginia. The facts are clear, legal skill games generated over $130 million in tax revenue for the Commonwealth and localities in the one year they were regulated. In addition, legal skill games provided a lifeline for small businesses, bars, restaurants, and convenience stores by generating critical revenue during the pandemic. Most of those small businesses would have met their demise without this lifeline.
Compliance Updates
eCOGRA Approved to Operate in Arizona, Indiana and Panama
eCOGRA, a leading international authority in Testing, Inspection and Certification services for the iGaming industry, has secured new regulatory approvals across three key jurisdictions: Arizona, Indiana and Panama. With these developments, eCOGRA strengthens its position in the U.S. and Latin American markets, offering excellence in compliance through their Quality, Speed, and Service promise.
This strategic expansion allows eCOGRA to conduct independent compliance audits and certification services in each region, addressing the growing demand for rigorous regulatory oversight in the fast-evolving global iGaming industry.
Securing approval in Arizona, where eCOGRA has now been licensed as an Event Wagering Ancillary Supplier, enables the International Testing Laboratory (ITL) to audit event wagering licensees in line with Arizona’s expanding regulatory landscape. Indiana, which introduced online sports betting in September 2019, has authorised eCOGRA to perform regulatory compliance audits, providing licensed operators with crucial assurance in meeting the state’s high standards.
In Panama, the Board of Gaming Control officially recognised eCOGRA as an Authorised Entity for Compliance Certification, specifically for slot machines and gaming software. This endorsement reinforces eCOGRA’s role as a trusted partner for operators seeking to meet stringent regulatory requirements in Latin America’s emerging iGaming sector.
“Our recent approvals in Indiana, Arizona, and Panama underline our dedication to continually expand our offering, to support our growing portfolio of clients with their global growth plans. We are committed to ensuring that we bring the same quality, speed and service that marks us out to both our clients and regulators in these dynamic markets,” said Will Shuckburgh, Group CEO of eCOGRA.
Bradley Khoury, Chief Technology Officer at eCOGRA, said: “Securing licensure as an Event Wagering Ancillary Supplier in Arizona and an Authorised Entity in Panama underscores our dedication to supporting responsible and sustainable iGaming operations. We are committed to driving trust and accountability within the industry by providing compliance solutions that uphold the highest standards.”
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.
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