Indiana lawmakers have passed a law to ban internet casino-style sweepstakes games and have now sent the bill to Governor Mike Braun for his signature.
House Enrolled Act 1052, the measure, was approved by both chambers and Senate President Rodric Bray endorsed the final text on March 2. This action officially presented the bill to the governor who has seven days to make a decision whether he wants to sign it into law.
If the governor agrees to sign the bill, the legislation will alter the gambling scenario of Indiana. Besides other things, the changes contain specific clauses targeted at sweepstakes casinos as well as general gaming regulations that will be applicable from July 1.
Bill Defines and Prohibits Dual-Currency Sweepstakes Gaming in Indiana
The main point of the bill is the crackdown on online sweepstakes gaming, and it even outlines the very definition of the forbidden acts. Legislators depict these kinds of services as online promotions or games which have dual or multi currency systems whereby players can exchange virtual tokens for cash prizes or money-making opportunities.
The range of the law also extends to the casino product types like slots, video poker, bingo, table games, and even sports betting if offered through a sweepstakes model. Indiana law, on the other hand, distinctly sets these types of operations apart from other gambling products authorized in the state.
The Indiana State Lottery is the only one that is clearly exempt along with peer-to-peer skill-based poker platforms, which legislators see as different from sweepstakes gambling. By delineating these exceptions, the bill neither contradicts the existing regulated services nor does it allow the operators of sweepstakes to go more loosely.
Indiana Gaming Commission Granted Enforcement Powers and $100,000 Fines
Enforcement will be made by the Indiana Gaming Commission, which after the enactment of the law will be given powers to impose heavy sanctions.
Moreover, the law foresees very serious consequences for violations. If a person or an entity knowingly offers online sweepstakes casino games in Indiana or processes payments involving residents of Indiana, they may face civil fines up to $100,000. The reach of these enforcement provisions also extends to companies that are not physically present in the state but operate remotely and target Indiana players.
In addition to the sweepstakes provisions, the bill changes the kind of oversight that horse racing has, updates the licensing requirements, and increases the enforcement powers of the authorities over the state’s entire gaming sector in Indiana.
