The Maine Gambling Control Unit (MGCU) issued a public statement to warn residents to avoid online sweepstakes casinos, branding them as “illegal interactive gaming.”
The notice, posted on Monday, swept sweeps under the same umbrella as all unauthorized online gambling.
“Despite the legality of online advance deposit wagering, fantasy contests and sports wagering, online casino games like slots, blackjack and roulette for real money remain strictly prohibited in the State,” stated the notice, which bore the name of MGCU Executive Director Milton Champion alongside Gov. Janet Mills and Commissioner Michael Sauschuck.
“Numerous unregulated entities continue to target Maine residents, offering illicit iGaming opportunities. These operations, based out of state and often out of the country, include sites that may appear legitimate but lack any regulatory oversight in Maine. Examples of such unlicensed platforms may include, but are not limited to, certain ‘sweepstakes’ or ‘social casino’ sites that offer real-money payouts, coin-titled substitutes, dual-currency systems, material prizes or gift cards.”
In doing so, the MGCU grouped online sweepstakes together with unlicensed online casinos and offshore platforms.
The Gambling Control Unit stated unequivocally in the notice that it does not license any online casino, iGaming or sweepstakes site to operate in the state. It added that while the unit strongly encourages Maine residents to avoid such websites, people who choose to engage with the unlicensed platforms do so at their own risk. and the MGCU cannot assist or intervene in any related account or play issues.
SPGA: Maine’s attitude ‘disheartening’
One of the two prominent coalitions of sweepstakes and social gaming operators, the Social and Promotional Games Association (SPGA), issued a response on Tuesday in which it said it “respectfully, but firmly” disagrees with the Gambling Control Unit’s characterization of sweepstakes-based gaming platforms.
Asserting that its members operate legally under longstanding promotional frameworks, the SPGA took issue with online sweeps being branded with the same rod as offshore online gambling sites.
“Unlike the offshore gambling sites referenced in the statement, SPGA members operate legally within the U.S., pay appropriate taxes, and follow a strict code of conduct to ensure consumer protection and fair play,” said the association. “It’s disheartening to see this continued conflation of lawful sweepstakes promotions with unregulated gambling, particularly in the absence of any evidence of consumer harm.
“We welcome the opportunity to engage with Maine officials in a constructive dialogue to clarify how these platforms operate, the legal principles they follow, and the safeguards in place to ensure they serve the public responsibly.”
Maine considers online casino as states take action on sweeps
As far as some states go, sending a public notice of warning about sweepstakes is a pretty mild action.
This year, Montana, Louisiana and Connecticut have all banned online sweepstakes casinos, decisions which have been criticized by both the SPGA and the other sweepstakes-centric coalition, the Social Gaming Leadership Alliance (SGLA).
Another bill passed in Nevada arguably also applies to the category. Similar legislation came close to getting over the line in Maryland and Mississippi before stalling. Elsewhere, New York this week confirmed it had sent cease-and-desist letters to 26 operators and claimed victory in shutting down the sites.
The timing of the MGCU’s warning is noteworthy not only in that context, but also given that the state legislature has reconvened to discuss potentially legalizing online casino gaming during its special session, which ends June 18. The bill would give the Wabanaki Nations the right to operate online casinos.
