The Michigan Gaming Control Board is relentlessly going after all those online gambling platforms, pushing for ceasing and desist with the orders

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In order to protect the interests of its residents, the Michigan Gaming Control Board sent cease-and-desist letters against five offshore online gambling platforms for violating state gaming laws. These offending websites offer various gambling services ranging from sports betting and poker to bingo and games of chance, all of which are illegal under Michigan law without a state-issued license. One of the sites, among others, is being monitored as it offers lions sports betting and was found to be operating in Michigan without any appropriate authority from the state.

The following unlicensed operators are now under scrutiny following the MGCB’s action:

  • BetWhale Sportsbook, Curaçao
  • Black Lotus Betting, owned by TD Investments Ltd., Belize
  • Coins Game, Curaçao
  • Love2play Sports, Curaçao and Costa Rica
  • Orion Stars 777, Sichuan Province, China

"The illegal sites not only disregard Michigan's gaming rules but also put consumers in danger through unreliable withdrawal mode and lacking vital consumer protections," said Henry Williams, executive director of the MGCB. "The protection of Michigan residents from online gambling is our top priority, ensuring that it has not been conducted in an unlawful or unsafe manner. These operators should stop their activities, or otherwise, we would be forced to take other legal actions."

Legal Violations and Potential Consequences

The investigations into these illegal activities have shown that the operators have run afoul of various Michigan state laws, including:

  • Lawful Internet Gaming Act: Only licensed casinos can legally offer online gambling in Michigan. Operators who fail to meet licensing requirements are in breach of the law.
  • Michigan Gaming Control and Revenue Act: Operating an unlicensed gambling service is a felony, punishable by up to 10 years in prison, a fine of up to $100,000, or both.
  • Michigan Penal Code: Gambling that involves consideration, prize, and chance is broadly prohibited under Michigan law. Accepting payments for gambling services tied to uncertain outcomes is illegal.

Although they offer a variety of methods to make payments such as Visa, MasterCard, PayPal, etc., even some illegal ones, these operators impose severe constraints on the individual; they may force players to gamble their original deposits multitudes of times before they can even think of taking their winnings.

MGCB’s Ongoing Commitment to Consumer Safety

These operators have received cease-and-desist letters from the MGCB that give them 14 days to stop their illegal activities. If they do not comply, the MGCB will work with the Michigan Attorney General's Office to pursue other legal remedies.

Michigan residents are advised to be careful when gambling online. They can verify whether a site is licensed by visiting the official MGCB site at Michigan.gov/MGCB, with a list of approved internet gaming suppliers. Any person who has noticed illegal activity gambling is encouraged to inform the MGCB by either calling the anonymous phone line number 1-888-314-2682 or sending them an email at [email protected].

The Importance of Consumer Protection in Online Gambling

The MGCB has put even more pressure on unlicensed, and potentially dangerous, online gambling websites. The latest unfortunate news is of the Board applying various cease-and-desist orders aimed at protecting Michigan residents. The crackdown targets not only operators working from offshore jurisdictions such as Curaçao and Belize but also addresses a wider theme of consuming consumer protections amid continuing regulatory uncertainty surrounding the online gaming business.

Unregulated gambling sites usually entice players with attractive bonuses and a wide range of services, but these sites do not meet the legal standards necessary for licensed operators. Such systems tend to be far less transparent, with players sometimes finding it hard to withdraw their winnings. Hefty wagering requirements are sometimes force-fed onto players in one-sided terms.

For Michigan residents, it is crucial to understand that engaging with unlicensed platforms might put them at the risk of financial exploitation, data breaches, or inevitably, fraud. Hence, the MGCB has committed to the ongoing review of unlicensed operators, with plans to adapt its response as the online gambling industry evolves. Interminably, players have to make sure that the platforms they are using have been properly licensed by cross-checking them with the official list of online gaming providers approved by the MGCB to avert falling prey to any illegal gambling operations.