The Mississippi Senate voted 44-1 in favor of SB 2510, taking a significant step to ban sweepstakes casinos from operating in the Magnolia State. The legislation is expected to head to the House of Representatives. If the House approves it and Gov. Jeff Landry signs it, the ban will start on July 1.
Social And Promotional Games Association Believes Mississippi SB 2510 Unjustly Targets Sweepstakes Gaming
In response to this ruling, the Social and Promotional Games Association (SPGA) released a statement saying it strongly opposes the bill because it unjustly targets sweepstakes gaming.
SB 2510 was approved on Feb. 13 with the goal of expanding existing gaming prohibitions to include any online, interactive, or computerized game. The SPGA said the bill “unjustly targets sweepstakes and conflates a safe and legal form of entertainment with illegal operations.”
According to Gaming America, the SPGA statement reads:
“The SPGA is deeply disappointed by the Mississippi Senate’s decision to advance SB 2510, which unjustly targets sweepstakes and conflates a safe and legal form of entertainment with illegal operations. This bill not only misrepresents the nature of sweepstakes gaming — an established and consumer-friendly model — but also sets a troubling precedent by equating these operations with illicit gambling.”
“Social sweepstakes are free-to-play games that never require a purchase for a player to win a game. They’re part of a long-established industry of social casino games enjoyed by tens of millions of adults across America.”
SPGA Says Bill Was Drafted To Protect Retail Casino Economy
The SPGA also has uncertainty as to whether “voters in Mississippi appreciate their elected officials dictating what games adults can and can’t play on their phones.”
The Association argues that sweepstakes gaming is legal and differs from illicit gambling schemes. It characterized the legislation as a protectionist bill drafted to benefit the retail casino economy, stifling innovation and alienating sweepstake gamers in the process.
Simply put, the SPGA is calling for transparent and consumer-friendly legislation that allows Mississippi players to continue enjoying and participating in social sweepstakes gaming.
Of course, Sen. Joey Fillingane introduced SB 2510 last month, with plans to add prohibiting online sweepstakes-style casino games to a gaming statute that already bans brick-and-mortar sweepstakes facilities. The proposal also includes the violation to increase from a misdemeanor to a felony.
“If any person shall operate an online platform that facilitates illegal wagering, such person shall be guilty of a felony. Upon each conviction, a person shall be fined in a sum not more than One Hundred Thousand Dollars ($100,000.00), or shall be imprisoned for a term of years not to exceed ten (10) years, or by both fine and imprisonment,” the bill reads.
“The assets, rights, and privileges used in connection with violations of the provisions of this section shall be liable to forfeiture, to the State of Mississippi or to the county in which a violation is committed.”
American Gaming Association Addressed Sweepstakes Casinos
The American Gaming Association (AGA), the national trade group for the U.S. casino industry, addressed concerns in August that sweepstakes casinos do not comply with gambling laws and even evade states taxes on revenues generated via online casino-style games.
“Sweepstakes casinos claim that because they don’t require real money for their gameplay, they are not offering gambling under the letter of the law,” the AGA said.
“However, functionally, sweepstakes casinos look and play like an online casino while using a dual-currency system to avoid licensing and regulation.”
Another issue addressed by the AGA pertains to sweepstakes-based operators not being up to speed on responsible gaming protocols and self-exclusion programs.
There is also no third-party product testing to ensure fairness to players. Since sweepstakes casinos are generally unregulated, there is no way to confirm that all players are at least 18 years old.