A Mississippi lawmaker wants to make online sweepstakes gaming explicitly illegal and a felony for violators. Sen. Joey Fillingane recently filed SB 2510 to amend a statute to include online versions with previously prohibited brick-and-mortar sweepstakes cafes.
The proposal calls for a $100,000 fine and/or up to a 10-year prison sentence “in the discretion of the court,” as well as forfeiture of “rights and privileges used in connection with violations” of the amended law. The state's Senate Judiciary Division B Committee is currently reviewing the bill. If it passes and becomes law, the amended statute goes into effect July 1.
Games of chance
The bill is designed to stop online sweepstakes operators from offering prizes for games of chance.
SB 2510 states “any online, interactive, or computerized version of any game as defined in Section 75-76-5(k) or any other game of chance or digital simulation thereof, including, but not limited to, online race books, online sports pools, and online sweepstakes casino-style games, is hereby declared to be a gambling device, and the offering for play or operating an online or interactive platform that offers for play such games” is unlawful.
The proposal doesn’t alter what’s already considered legal gaming in Mississippi, and exempts promotions, contests, and prize sweepstakes marketing as long as the promotions comply with state law.
Attacking sweepstakes
The casino-style games funded by credits that can be turned into prizes and cash were under fire in the Magnolia State before the introduced bill. Plaintiffs filed a class-action lawsuit in Oct. 2024 against Virtual Gaming Worlds, a company that operates sweepstakes sites Chumba Casino, Global Poker, and Luckyland Slots. They argued VGW should repay all money lost during three years. The Australia-based gaming operator has faced similar claims in other jurisdictions.
Michigan regulators told VGW to end operations in the Wolverine State, and the company is dealing with a federal case in Florida. New York regulators are also mulling a crackdown on social sweepstakes gaming while a New Jersey lawmaker wants the Garden State to be the first jurisdiction to regulate the controversial form of gambling.
The American Gaming Association, a U.S. gaming industry trade group, and the Indian Gaming Association are two other organizations arguing sweepstakes operators violate state laws because they aren’t regulated and don’t pay taxes like legal sportsbooks and online casinos, even though they offer similar gaming experiences.
