NY Senate Panel Unanimously Backs Ban on Online Sweepstakes Gaming
The New York Senate Racing, Gaming and Wagering Committee unanimously approved a sweepstakes gaming prohibition bill (SB 5935), sponsored by Sen. Joseph P. Addabbo Jr. (D-15), marking a significant step toward banning online sweepstakes games in the state.
Green casino gaming table
The bill aims to prohibit online sweepstakes games that use a dual-currency system and simulate casino-style gaming. Under the proposed legislation, operators or affiliates offering sweepstakes casino games could face fines ranging from $10,000 to $100,000.
Key aspects of the prohibition include:
- Games that simulate slots, poker, table games, lottery games, and sports wagering
- Platforms using dual-currency systems for exchanging prizes or cash
- Any internet-based or mobile-accessible gaming contests
- Games offering cash prizes or equivalents
The Social and Promotional Games Association (SPGA) opposes the legislation, arguing it mischaracterizes sweepstakes gaming and could harm legitimate businesses. They warn the bill could create a precedent affecting industries beyond social gaming.
Exceptions to the prohibition include games that don't award cash prizes or cash equivalents.
The bill, which passed through committee in a brief five-minute session, now moves to the Senate floor for further discussion and potential vote. Supporters, including Sen. James Tedisco (R-44), praise the bill as a protective measure against gambling temptations, particularly for young people.