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Offshore Gambling Sites Side-Step Legal Challenges Between States and Native American Tribes

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Gila River Casino

According to a recent op-ed released by the Off Shore Gaming Association, Native American gambling operators are unfairly handcuffed by various anti-gambling laws, including the Federal Wire Act.

The Wire Act came into existence in 1961 and was originally intended to prevent mafia and other organized crime organizations from using wire communications (telephone, telegraph, etc) to take bets on sporting events. At the time illegal sports betting operations were a common form of corruption and money laundering.

But since then, the gambling and sports betting industry has largely legitimized itself both domestically and offshore. U.S. Politicians however used the Wire Act to target legal offshore gambling companies like NETeller and BetonSports.

The law specifically targets the “wire communications” and several lawsuits have equivocated on whether that definition applies to internet and other forms of wireless communication, as well as whether that definition includes casino games and poker in conjunction with sports.

The Department of Justice ruled in 2011 that the Wire Act does apply to internet as a form of wire communications, but that this law applies solely to sports betting. The Wire Act and the UIGEA have had negative impacts on Native American Tribes attempting to offer legal online sports betting or online gambling.

The main restrictions lie in the fact that many states have used these laws to make Native American online gambling operations available only on tribal land. But other states, like Michigan, agreed to allow Tribes to offer sports betting and online gambling off their reserves as long as they abide by commercial regulations, meaning they will be subject to taxation that Native casinos usually are protected from paying.

In other states, like New York, Iowa, and Tennessee, state legislators appear to expect tribal casinos to stick the original agreements of their compacts. States like Florida and California, both with large Native American business presences, will undergo similar legal challenges in reference to online gambling and sports betting.

Some industry analysts hinted that the Wire Act will come under scrutiny in the first term of the Biden administration, and will seek to either amend or repeal the act entirely to settle legal battles between states and Tribal gambling operators.

The offshore gambling industry has passed by unscathed in these domestic issues since they operate outside of US jurisdiction and are not subject to the same restrictions. Offshore gambling sites offering casino games and online sports betting provide a great alternative to domestic operators that are caught up in old and unnecessary laws.

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OH Gaming Agents Crack Down on Illegal Slot Machines

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Ohio slot raid

Ohio logoAccording to the Ohio Casino Control Commission (OCCC), gaming authorities raided three Ohio businesses with assistance from Columbus police, seizing nearly 200 slot machines and arresting two individuals as part of the investigation.

After receiving complaints about potential illegal gambling operations, gaming agents from the OCCC initiated investigations into three local businesses: Winners Arcade!, Blackjack Skill Game, and 777.

Following an investigation, gaming agents and Columbus PD executed search warrants at the three locations, seizing 184 suspected illegal slot machines and an unspecified amount of U.S. currency. Two individuals were arrested in association with the raids, but their charges have not been made public.

So far, the OCCC has confirmed executed search warrants on over 160 businesses in the state and has seized more than 7,386 illegal slot machines.

How Many Casinos Are In Ohio?

There are currently four state-licensed retail casinos in Ohio: Hard Rock Casino Cincinnati, Hollywood Casino Toledo, Hollywood Columbus Casino, and JACK Cleveland Casino. Seven racinos in the state also offer limited gaming options.

The first Ohio casino opened in 2012 and featured no-table games. Today, all state-licensed casinos have class III gaming licenses, which allow them to offer slots, table games, video poker, and specialty games. Racinos can only offer VLTs (Video Lottery Terminals), similar to slots.

Are Online Casinos Legal In Ohio?

In January 2023, Ohio enacted its first online gambling legislation to allow online sports betting. Daily fantasy sports wagering and online horse betting are also legal, but no current legislation exists to enable state-licensed online casinos.

Due to the lack of state and federal laws concerning online casino gambling, residents and visitors can access offshore betting sites without concerns of legal ramifications. Since online operators do not reside in the state, local officials cannot prosecute them.

Will Ohio Pass Online Casino Legislation In 2025?

Online casino legislation is not on the Ohio docket for 2025, but with the success of online sports wagering, it will likely be considered at some point. While more than 38 states and D.C. have passed online sports legislation in the post-PASPA era, the trend has not continued with online casino gambling.

According to the American Gaming Association, only eight states have passed laws to allow iGaming: Michigan, Vermont, Rhode Island, West Virginia, Pennsylvania, Connecticut, New Jersey, and Delaware. However, Ohio could follow suit with neighboring states and spark what many believe is an inevitable iGaming revolution.

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Lawmakers Seek Bill To Authorize New Casino Gambling In Hawaii

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Hawaii casino with volcano

Hula girlLawmakers are reviewing a bill to legalize gambling in Hawaii with casinos in mind, potentially having a presence in current and future venues.

Senate Bill 893 proposes a 20-year license for casinos in the Hawaii Convention Center and the new Aloha Stadium Entertainment District. It also suggests the establishment of a Hawaii Gaming Control Commission to oversee casino licensing and gaming violations.

The bill would implement a 15% wagering tax on gross receipts, with funds allocated to the Department of Education, a program for compulsive gamblers, and public security at casino facilities.

Opposition to these developments exists, including Senator Kurt Fevella, who expressed concerns about gambling at family-oriented locations such as the Aloha Stadium and Convention Center, which host events like graduations, sports, proms, the Great Aloha Run, and family parties.

The bill is scheduled for a hearing by the Senate Committee on Economic Development and Tourism on Thursday, Feb. 13, 2025.

Current Hawaii Casino Laws

Hawaii has some of the most restrictive gambling laws in the country. Current gambling laws prohibit all forms of gambling, including casinos, sports betting, lotteries, and fantasy sports. However, HI players do have access to offshore casino sites that offer Vegas-style casino games.

If the local Hawaii legislature approves new casino legislation, Utah will be the only state to have completely banned all forms of gambling.

Offshore Casino Games

Offshore casinos available to players in Hawaii offer a comprehensive selection of online casino games. These games often include classic table games such as blackjack, poker, and roulette, where players can engage in a real-time gaming experience against virtual dealers or live dealers (at select sites).

Additionally, a wide variety of virtual slot machines are powered by random number generators. Online slots typically range from 3 to 5 reels and include numerous pay lines. Spins are also as low as $0.01 at some sites.

Video poker games provide an additional mode of entertainment, combining the excitement of virtual slots with the strategic elements of poker.

Furthermore, offshore gambling platforms often feature specialty games like bingo, keno, and scratch cards, ensuring that players have an extensive array of entertainment options.

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Conway’s Revo Casino and Social House Prepares To Open

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Revo Casino

Revo Casino logoDick Anagnost, one of the owners of the new Revo Casino and Social House in Conway, New Hampshire, told the media that the casino is expected to open February 1st, 2025. Anagnost also stated that more than 70 employment positions are already filled, and two local charities (Mount Washington Valley Promotions and the North Conway Community Center) are already poised to benefit.

The new charitable gaming casino is in Shurfine Plaza, which also houses the New Hampshire liquor store. Revo will move into the suite that used to be a grocery store. The new facility will be 11,800 square feet and include a bar, a restaurant, multiple table game options, and electronic gaming machines offering slots, video poker, and more.

Before the new casino can open, the building has to undergo a plumbing, electrical, health/safety building, and a Liquor Commission inspection. Anagnost said, “If we pass all of that, our (certificates of occupancy) would probably be issued Jan. 28 or 29, and probably 48-72 hours after that, we’d be open for business.” He also stated that a soft opening could possibly occur before February 1st.

On opening day, the casino will feature 75 gaming machines and table games, including blackjack, roulette, and poker. An adjacent smoking room with some gaming machines will allow patrons to smoke and enjoy gambling while the main casino floor remains smoke-free.

Anagost also stated that the casino has had more than 200 applicants and that the local community has supported the project, “I don’t think anyone in any of the casinos we’ve opened across the state has received so much attention.”

New Hampshire Casinos

New Hampshire currently has no commercial casinos but has 14 charitable casinos where a portion of the profits go to local charities. These casinos are no different from what you would find anywhere else in the USA except for how the revenue is disbursed.

Current NH gambling laws mandate that 35% of casino game profits go to charity, while another 10% goes to the New Hampshire Lottery for the state’s educational fund. This system has proved beneficial to the state’s bottom line, helping fund educational programs across the state.

However, while online casino options are limited to offshore sites, both in-person and online sports betting have been legal in the state since 2019. Sports betting in the state must also give 51% of online revenue and 50% of in-person revenue to the state.

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