47 PUBLIC GAMING INTERNATIONAL • JULY/AUGUST 2025 New York Attorney General Letitia James today announced that her office has stopped online sweepstakes casinos operating in New York. The Office of the Attorney General (OAG), working with the New York State Gaming Commission, identified 26 online platforms offering players slots, table games, and sports betting using virtual coins that could be exchanged for cash and prizes. New York law prohibits online platforms from offering gambling that involves risking something of value, including virtual coins that can be redeemed for cash or prizes. Online sweepstakes casinos are not subject to audits and other regulatory oversight by the state to ensure that games are not rigged, putting New Yorkers at risk. Attorney General James sent cease and desist letters to the operators of these platforms, demanding that they stop all prohibited gambling activity in the state, and as a result, all 26 platforms are ending the sale of sweepstakes coins in New York. “Online sweepstakes casinos are illegal, dangerous, and can seriously ruin people’s finances,” said Attorney General James. “I thank the New York State Gaming Commission and Senator Addabbo for partnering with my office on this issue to protect New Yorkers.” “These so-called ‘sweepstakes’ games are unscrupulous, unsecure, and unlawful,” said New York State Gaming Commission Chairman Brian O’Dwyer. “I have been very vocal about the need to crack down on these operations, and I am thrilled that Attorney General James has taken this significant step to eradicate the illegal gambling market. We encourage those of age who wish to gamble to do so with legal operators.” “At a time when illegal gambling, underage participation, and identity theft are soaring, it is deeply concerning that prohibited, unregulated, and unenforceable gambling entities are providing easy access to illegal gaming sites and obtaining personal information of unsuspecting New Yorkers,” said Senator Joseph P. Addabbo, Jr. “These so-called sweepstakes casinos not only put individuals at risk of fraud and financial exploitation, but they also create dangerous pathways for gambling addiction, especially among minors. This is not about taking away anyone's livelihood, it's about protecting New Yorkers and working toward a safer, regulated online gaming environment for age-appropriate individuals. I commend Attorney General James and her office for their dedication towards protecting our residents and for recognizing the urgent risks posed by these illegal platforms.” “As Chair of the Assembly's Standing Committee on Racing and Wagering, I and my committee are deeply concerned about the prevalence of sweepstakes games, where players can redeem coins for money,” said Assemblywoman Carrie Woerner. “These online sweepstakes games can serve as the on-ramp to problem gambling for teenagers, particularly. I am grateful for the work of Attorney General James and her staff for shutting down 26 of these games.” Sweepstakes casinos allow users to play traditional casino games, including slot machines, blackjack, and sports betting, using virtual sweepstakes coins that can be redeemed for cash or prizes, such as Amazon gift cards. Players typically purchase these virtual sweepstakes coins as part of a package with other virtual currency. Under New York law, betting cash-redeemable virtual coins on games of chance constitutes gambling, regardless of how the casino operator characterizes how players can obtain the virtual coins. Placing a bet at a sweepstakes casino is risky because sweepstakes casinos are not subject to audits and other regulatory oversight by the state. Without oversight, players have no way of knowing whether a sweepstakes casino’s games are rigged, whether it will be able to cover a winning bet, or whether it complies with the many other consumer protection measures required of legal, licensed casinos under New York law. Attorney General James warns New York consumers to steer clear of sweepstakes casinos. New York Senate approves bill targeting online sweepstakes casinos, now heads to Assembly Mary Neubauer, Iowa Lottery, to retire in June after 26 years of service Iowa Lottery CEO Matt Strawn noted during the Iowa Lottery's recent annual meeting, the notion of "leaving a legacy of service" was a constant theme throughout the day. There is no question regarding the significant impact and legacy of Mary Neubauer's dedication and contributions to the Iowa Lottery, the State of Iowa, and all those great causes over the years that have benefitted from her service. Our team and the Lottery is stronger because of her service. Thank you, Mary, for being a trusted and valued colleague to us all." Matt Strawn, Terry Rich, Mary Neubauer, Ken Brickman, Dr. Ed Stanek, Larry Loss) Massachusetts Lottery introduces $50 scratch-off ticket with $25 million top prize Manitoba judge sides with lottery coalition against offshore gaming firm A local judge has ruled in favour of Manitoba Liquor & Lotteries (MBLL), the lottery and gaming operator of the Canadian province of Manitoba, in its legal action against gaming firm Bodog. A complaint was filed by the MBLL on behalf of the Canadian Lottery Coalition (CLC), an organisation representing the MBLL, Loto-Quebec, the British Columbia Lottery Corporation (BCLC), Lotteries and Gaming Saskatchewan (LGS) and the Atlantic Lottery Corporation (ALC). The organisation was founded in 2022 with the stated goal of combating illegal gambling. The monopolies held by Canada’s various crown corporations are strong, though as Ontario showed they are not guaranteed to last forever. Alberta seems to be on the cusp of launching a regulated market like Ontario, with the iGaming Alberta Act having passed the third reading of the provincial legislature early this month. Ontario to Crack Down on Illegal Gaming Websites There’s a new focus on enforcement against grey market players in Ontario, listening to comments made this week by industry leaders like Doug Downey, Attorney General of Ontario, and Alcohol and Gaming Commission of Ontario (AGCO) Chair Dave Forestell. When we launched the market in April of 2022 about 70% of players were in the grey or unregulated market. I don’t use that term anymore. I say now it’s the illegal market.” Ontario market still has 16%-17% of residents using unregulated gaming sites. Maine House of Representatives approves online casino bill with tribal exclusivity Maine House of Representatives has approved a bill that would allow the state’s four federally recognised tribes to offer online casino games. New Jersey Lottery Proposes Amendments to Rules Governing Courier Services The New Jersey Lottery has announced a Notice of Proposal to amend rules governing the regulation of registered courier services. The proposed amendments, filed with the New Jersey Office of Administrative Law and published in the New Jersey Register and distributed to media outlets that cover the state, are part of the Lottery Division’s continuing efforts to modernize operational requirements while maintaining the integrity and reputation of the Lottery. Provisions related to couriers include revisions to insurance and indemnification requirements, modified processes for financial transactions and ticket redemption, and updated audit and reporting obligations. Additionally, the amendments simplify obligations for affiliate agents, allowing separate remittances of proceeds and commissions.
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