We’ve become accustomed to hearing from one coalition of sweepstakes and social gaming operators about legislation that targets the sweeps casino vertical. The other group has begun to speak up.
The Social Gaming Leadership Alliance (SGLA) published statements on Thursday night directly addressing two states’ decisions to pass anti-sweepstakes gaming legislation.
The SGLA is spearheaded by social gaming giant Virtual Gaming Worlds (VGW), the company behind the likes of Chumba Casino, LuckyLand Slots and Global Poker. Its members also include the likes of B-Two Operations, which runs brands such as McLuck and Hello Millions, and Canadian payment processing firm Nuvei.
Its executive director is former South Carolina congressman Jeff Duncan.
Louisiana and Connecticut both passed online sweepstakes casino bans this week, Louisiana doing so with unanimous approval in both chambers. Once the respective governors sign the bills, they will become law. This comes after Montana became the first state to ratify an explicit ban on sweeps.
‘Lawmakers fell for campaign of deliberate misinformation’
In both cases, asserted Duncan in a pair of statements addressing each case, the bills were “hastily passed based on incomplete information.”
Louisiana’s SB 181 was introduced on April 14, passed in the Senate on April 29 and approved in the House on June 2. The Connecticut bill, SB 1235, was filed in February.
Duncan wrote that the sweepstakes industry was not given adequate opportunity to have its say, while competitors and critics were given “ample voice in a concerted effort that prevented a commonsense solution.”
In the statement about the Louisiana ban, SB 181, Duncan asserted that lawmakers in the state were duped by “misinformation.”
“Louisiana residents will be abruptly cut off from popular, free-to-play online games enjoyed by millions nationwide after lawmakers fell for a campaign of deliberate misinformation from parties with clear vested interests that was designed to eliminate legitimate competition,” read the Louisiana statement.
Black market will ‘laugh all the way to the bank’
The SGLA added that residents of both states will now lose access to entertainment products that are enjoyed by millions of Americans, “while black market operators laugh all the way to the bank.”
“The result is a win for the black market, and other groups with vested interests that campaigned for this bill with falsehoods and misinformation,” said Duncan in the Connecticut statement. “It is a loss for innovation, competition, free choice and potential benefits for the State of Connecticut.”
The statements ended with the SGLA noting that it would be willing to work with lawmakers in both states in the future to help establish “a robust regulatory framework.”
SGLA adds voice to SPGA
While representatives for VGW have testified in writing and in person in multiple states this year in committee discussions of legislation relating to sweeps, these are the first public statements from the new coalition.
Meanwhile, the Social and Promotional Games Association (SPGA) has been a frequent and vocal critic of how states are handling sweepstakes gaming, routinely responding with public comments.
Most recently, the group, which counts the likes of Blazesoft, Fliff and High 5 Entertainment among its members, called the Louisiana ban a “step backward” in a statement provided to SBC Americas.
“This bill carelessly conflates legal entertainment with illegal gambling, without evidence of harm,” wrote the SPGA. “It also threatens Louisiana’s economy by stifling digital innovation and driving compliant companies out of the state. It’s a step backward for consumer choice, lawful innovation, and common sense.”
