DOJ takes seriously the issue of illegal gambling, including illegal online gambling, and continues to successfully investigate and prosecute illegal internet gambling.
In a rare exchange of correspondence, the US Department of Justice (DOJ) reached out to regulators from seven igaming states that had appealed for a federal crackdown on illegal offshore gaming sites back in late April.
Gaming regulators from Colorado, Illinois, Louisiana, Michigan, Mississippi, Nevada, and New Jersey sent a letter to AG Merrick Garland on April 28, urging him to investigate and prosecute offshore sites. The states said they don’t have the resources to address the problem alone and that offshore sites pose a danger to US citizens.
“We appreciate your views on this matter,” Megan Bennett, intergovernmental liaison for the DOJ, said in an undated letter addressed to Kirk Hendrick, chairman of the Nevada Gaming Control Board (NGCB) and one of seven state officials who signed the letter to Garland.
The response is noteworthy because the DOJ rarely comments on gaming matters.
“DOJ has undertaken, and continues to pursue, investigations into illegal gaming,” Bennett continued, adding that the FBI’s role is to serve as the investigative arm of the DOJ and to look into allegations of violations of federal gaming laws.
Although Bennett didn’t cite any specific examples of investigations into illegal gaming in her letter, she added that when “violations have been substantiated, the FBI will forward the allegations to the appropriate federal prosecuting authority to pursue charges — likely a US attorney general’s (AG) office in the jurisdiction where the alleged violations had taken place.”
The NGCB posted a copy of Bennett’s letter on the social media website X (formerly known as Twitter) on Tuesday, but it appeared to be the only one of the seven regulatory agencies that signed the letter to Garland to do so.
“DOJ takes seriously the issue of illegal gambling, including illegal online gambling, and continues to successfully investigate and prosecute illegal internet gambling,” Bennett said. “The FBI works hard to establish and maintain strong partnerships with both police and private entities to combat illegal gaming. DOJ appreciates the adverse impact illegal gaming has on individuals and communities and will continue to use all available tools to detect, investigate, and prosecute such illegal activity.”
In response, the NGCB said on X that it “appreciates the US DOJ addressing perils of illegal, offshore sportsbooks and online casinos.”
Connecticut Was Most Recent State to Warn Its Citizens
The American Gaming Association (AGA) has been lobbying for a federal crackdown on offshore sites for years. One of its most recent appeals, made in April 2022, is very similar to the letter that the state AGs sent to Garland in late April.
AGA had told Garland previously about a troubling trend — that internet searches nationwide in 2021 for offshore sportsbooks were growing faster than searches for legal sites. That trend appeared to be easing by the time AGA conducted a second survey in December 2022.
In Michigan, the Michigan Gaming Control Board (MGCB) warned its citizens against gambling offshore in December 2021. The regulator said identity theft and deposit theft were common crimes at offshore sites.
Connecticut is the most recent state to warn its citizens about gambling on illegal offshore sites. AG William Tong and the Connecticut Department of Consumer Protection (CDCP) issued a joint statement in mid-August about the dangers of gambling offshore.
