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Compliance Updates

PACE-O-MATIC Releases Statement Regarding Important Announcement on Virginia Market

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Pace-O-Matic Announces Major Fraud Suit Against Prominent Pennsylvania Law Firm

 

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

Greyhound Advocates Applaud Oregon Governor Tina Kotek for Signing Historic Internet Betting Ban on Greyhound Races

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The largest greyhound protection group in the world thanked Oregon Governor Tina Kotek for signing a bill to outlaw the processing of internet bets on dog races, calling the new law a landmark victory for greyhound advocates.

“This is the biggest victory for American greyhound advocates since Florida outlawed dog racing in 2018. The walls are closing in on the final remnants of this cruel industry,” said GREY2K USA Executive Director Carey Theil.

Internet wagers on dog races can only be legally processed in two states, Oregon and North Dakota. More than $155 million was gambled on dog racing in 2024 through these Advance Deposit Wagering platforms, with Oregon processing 57% of all internet greyhound bets nationwide. House Bill 3020 phases out the processing of greyhound bets by July 1, 2027. It also ends remote gambling on dog races in Oregon, known as simulcasting.

Greyhound racing is a dying industry, and only continues to exist at two tracks in West Virginia. Florida voters outlawed the activity in 2018 by a vote of 69% to 31%, closing twelve operational racetracks. A bill to prohibit gambling on dog racing nationwide was introduced in the 118th Congress. The bipartisan Greyhound Protection Act earned the support of 80 cosponsors and more than 250 humane groups, anti-gambling organizations, and local animal shelters.

Since 2022, greyhound simulcasting has been outlawed in the seven states of Arizona, Arkansas, Colorado, Kansas, Massachusetts, New Hampshire, and Oregon. When all of these laws take effect, gambling on greyhound racing will only be legal in fourteen states.

All mainstream animal protection groups oppose dog racing due to animal welfare concerns. At the final two tracks in West Virginia, state records indicate that 487 greyhounds were injured in 2024 including 162 dogs that suffered broken bones and thirteen greyhounds that died. Thousands of dogs also endure lives of confinement at West Virginia tracks, kept in cages barely large enough for them to stand up or turn around for long hours each day.

Formed in February of 2001, GREY2K USA is the largest greyhound protection organization in the US with more than 300,000 supporters. As a non-profit 501(c)4 organization, the group works to pass stronger greyhound protection laws and end the cruelty of dog racing on both national and international levels. GREY2K USA also promotes the rescue and adoption of greyhounds across the globe.

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AGCO issues penalties of $151,000 against Great Canadian Entertainment for alleged age verification failures

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AGCO issues penalties of $151,000 against Great Canadian Entertainment for alleged age verification failures

 

The Alcohol and Gaming Commission of Ontario (AGCO) has issued $151,000 in penalties to Great Canadian Entertainment for allegedly failing to prevent minors from accessing gambling on multiple occasions at three Toronto-area casinos.

As part of its investigation, the AGCO reviewed four separate incidents in which minors allegedly gained access to the casino floors and in which some of these minors participated in gambling activities – two cases at Great Canadian Casino Resort Toronto, and one at each of Casino Ajax and Pickering Casino Resort.

The AGCO is committed to ensuring casinos meet Ontario’s high standards of harm reduction and responsible gambling. The AGCO’s Standards require operators to ensure only eligible individuals are permitted into a gambling site and strictly prohibit access to anyone under 19 years of age (except in the course of employment). The Standards also mandate that casino employees have the necessary competence, skills, experience and training to effectively carry out their duties, including age verification.

This enforcement action underscores the AGCO’s dedication to protecting youth and other vulnerable individuals.

A casino operator served with an Order of Monetary Penalty by the AGCO Registrar has the right to appeal the Registrar’s decision to the Licence Appeal Tribunal (LAT), an adjudicative tribunal that is part of Tribunals Ontario and independent of the AGCO.

“Ontario casino operators have an obligation to ensure minors are not able to access casino floors or activities such as slot machines or table games. The AGCO will continue to monitor and hold all casino operators accountable for fulfilling this important role.”  – Dr. Karin Schnarr, Chief Executive Officer and Registrar, AGCO.

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Compliance Updates

MGCB Issues Cease-and-Desist Order to BetUS

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The Michigan Gaming Control Board (MGCB) has issued a cease-and-desist order to BetUS, an offshore gambling operator, for illegally offering internet gaming and sports betting to Michigan residents without proper licensure.

Investigations by the MGCB revealed that BetUS was accepting wagers from Michigan residents on various gambling activities, including sports and casino-style games, without the necessary state authorization. This operation violates Michigan’s Lawful Internet Gaming Act, the Gaming Control and Revenue Act, and the Michigan Penal Code.

“Unlicensed operators like BetUS undermine the integrity of Michigan’s regulated gaming market and expose consumers to potential risks. The MGCB is committed to protecting Michigan residents by ensuring that all gambling activities are conducted legally and responsibly,” said Henry Williams, Executive Director of MGCB.

The cease-and-desist order mandates that BetUS immediately halt all operations involving Michigan residents. The company has 14 days to comply or face further legal action in coordination with the Michigan Department of Attorney General.

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