Michigan Cracks Down on Nine Unlicensed Online Casinos

The Michigan Gaming Control Board (MGCB) has taken decisive action against nine online casinos, issuing cease-and-desist letters for operating without a state license. The platforms, which offer casino-style games and sports betting, have been given 14 days to halt operations before the state takes further legal measures.

Unlicensed Operators Facing Legal Action

The nine platforms identified by the MGCB are:

• BetAnySports (BAS)
• CoolCat Casino
• Diamond Sportsbook International (BetDSI)
• Solar Game LTD and Busan Trade Office (Go Go Gold)
• My Dreams Casino
• NonStop Casino
• Palace of Chance
• Xbet Casino
• WagerWeb

According to the MGCB, these operators are violating multiple state laws, including the Lawful Internet Gaming Act, the Michigan Gaming Control and Revenue Act, and the Michigan Penal Code. These laws prohibit online gambling unless conducted by a licensed operator within the state.

MGCB Executive Director Henry Williams emphasized the risks posed by these unregulated platforms, noting that they often have limited withdrawal options and lack proper consumer protections. He warned that if the operators fail to comply within 14 days, the MGCB will escalate enforcement efforts in collaboration with the Michigan Attorney General’s Office.

Growing Efforts to Shut Down Illegal Gambling

Michigan has been aggressive in its efforts toBovada’s withdrawal from multiple states, including Colorado, Pennsylvania, and Massachusetts.

Similar enforcement actions have targeted MyBookie, another offshore gambling operator.

The MGCB has also warned that many of these unlicensed platforms operate under the guise of sweepstakes, allowing them to by traditional gambling regulations. These businesses claim to offer sweepstakes-based prizes rather than direct gambling, but the regulator asserts that they still function as unregulated online casinos.

The Financial Impact of Illegal Gambling

Illegal online gambling is not just a regulatory issue—it carries significant financial consequences. A 2022 report from the American Gaming Association (AGA) estimated that Americans wagered over $510 billion annually with illegal and unregulated operators, leading to approximately $13.3 billion in lost tax revenue.

These unregulated sites lack key consumer protections, and players often face difficulties when trying to withdraw winnings. Many offshore casinos require s to play through their entire deposit before being allowed to cash out, a practice that makes withdrawals nearly impossible for many customers.

What’s Next?

The nine operators targeted in Michigan now have 14 days to respond to the cease-and-desist orders. If they fail to shut down voluntarily, the MGCB has indicated it will pursue further legal action, including possible fines or criminal charges.

Michigan residents are urged to check the MGCB’s list of licensed online gaming operators before placing bets to ensure they are using legal and state-regulated platforms. Anyone with knowledge of illegal gambling activity is encouraged to report it to the MGCB through its confidential tip line.

Source:

Cease-and-Desist Letters Issued to Nine Unlicensed Online Casinos, michigan.gov, February 12, 2025.