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Red Rake Gaming Secures Provisional License in Michigan to Expand US Presence
Michigan Closed 14 Illegal Gambling Facilities
February 23, 2020 TamaraTam
Michigan State has obvious problems with illegal gambling activities. Law enforcement representatives have just unveiled that they issued cease and desist orders against 14 local operators who have been organizing illegal gambling activities. The action was taken in cooperation of Michigan Attorney General Dana Nessel’s department and the Michigan Gaming Control Board (MGCB).
What Was Illegal
The business operators have allegedly been offering redemption games, which are completely approved in the state. However, the investigators have uncovered that 14 businesses offered casino-designated video slot machines. These options are considered illegal given the fact that slots are games of chances rather than games of skill.
The owners of 14 businesses have obviously breached state regulations. They have reacted by shutting down operations to avoid criminal charges. According to Michigan law, an unlicensed provider offering betting activities can face a prison charge of up to 10 years. Despite these threats, two gambling facilities have been relaunched.
Official Announcement
Commenting on the recent case, executive director of the MGCB, Richard S. Kalm said:
“Illegal gambling can lead to money laundering and other crimes that impact the safety and security of Michigan communities. Legal gambling is taxed and regulated, and taxes go back into the community as funding for K-12 education. An illegal gambling operation doesn’t the community but instead siphons funds away from it.”
The Michigan Attorney General delivered another statement:
“Gambling regulations are in place for a reason, and when bad actors choose to ignore the law, they must be held able. We’re grateful for the opportunity to work with our partners at the Michigan Gaming Control Board in putting a stop to these illegal operations.”
Details and Outcome
The previous case has seen 14 businesses from six counties receiving cease orders. It included Kent County, Lapeer County, Genesee County, Macomb County, Oakland County, and Washtenaw County. Oakland County saw four businesses receiving the order.
The situation in Michigan isn’t calming down. The Gaming Control Board looks to approve sports betting at local casinos. Additionally, on-site sports betting is soon to be approved, right at the time of NCAA basketball March Madness scheduled for the middle of March.
Despite the ongoing activity, Michigan will not introduce online gambling competitions until the next year. The activity needs more time to detail regulations.
Source:
“Michigan shuts down 14 illegal gambling operations“, calvinayre.com, February 14, 2020.
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I can see that Michigan authorities reacted quickly and issued the orders. Other states should take this example and implement harsher measures against illegal operators. It will result in a fair and safe gaming community.