On Monday, the Michigan Gaming Control Board (MGCB) posted a statement on its website stating it issued offshore casino operator BetNow.eu a cease-and-desist order.
BetNow offers Wolverine State players games such as slots, poker, live dealer blackjack, roulette, and craps, and betting services for sports events and horse races. BetNow’s operation is also considered illegal within Michigan, because it's unlicensed.
Henry Williams, Executive Director of the MGCB, stated, “This unlicensed operator not only violates Michigan law, but also exposes consumers to significant risks. Our job is to protect Michigan residents by ensuring that all online gambling is conducted legally and responsibly.”
One of the issues the MGCB identified is that although BetNow offers customers options to make deposits through numerous payment mthods — with the standard ones (Visa, Mastercard, American Express), as well as others (Ethereum, Litecoin, Bitcoin, to mention a few) — users have to wager their entire initial deposit before they can withdraw winnings.
Which state laws has BetNow violated?
The MGCB investigated BetNow’s practices and revealed BetNow violated several state laws: the Lawful Internet Gaming Act, the Michigan Gaming Control and Revenue Act, and the Michigan Penal Code. The Lawful Internet Gaming Act requires an operator license to offer internet gaming. According to this act, only casinos licensed in Michigan and federally authorized tribal casinos can legally acquire a gaming license, something BetNow doesn't possess.
The Michigan Gaming Control and Revenue Act authorizes casino operations within Michigan and ensures tax revenue distribution from these operations within the state. It also states running an unlicensed gambling business in Michigan is considered a felony that could lead to up to 10 years in prison, a fine of up to $100,000, or both. The Michigan Penal Code sets guidelines for penalties, ensuring licensed operators understand accepting payments based on games of chance is illegal.
According to the MGCB’s statement, BetNow violated these three state laws and must cease all operations in Michigan within 14 days. If BetNow doesn’t comply, the MGCB said it's prepared to pursue legal action with the Michigan Attorney General’s support.
MyBookie and other offshore casinos cease Michigan operations
BetNow is not the only operator to receive a cease-and-desist letter from the Michigan Gaming Control Board. In fact, the regulator announced on Feb. 12 that it sent nine cease-and-desist letters to offshore operators.
The MGCB found online platforms BetAnySports, CoolCat Casino, Diamond Sportsbook International, Solar Game LTD and Busan Trad Office, My Dreams Casino, NonStop Casino, Palace of Chance, Xbet Casino, and WagerWeb were all operating illegally in the Wolverine State.
In addition, the MGCB sent MyBookie a cease-and-desist letter the month prior after the Gaming Control Board found the Curaçao-based operator violated three Michigan state laws. The letter told MyBookie to cease all operations within 14 days or face prosecution by the Michigan Attorney General’s Office.
