Department Of Justice Urged To Shut Down Threat Of Illegal Gambling Sites

Can you please rewrite the following statement?

The American Gaming Association has recently urged the United States Justice Department to take stronger legal action against illegal gaming operations that are conducting business within the country.

The Attorney General’s office, in a letter spanning three pages and addressed to Merrick Garland, highlighted the alarming and orchestrated nature of online establishments and other entities, emphasizing the heightened risk posed to American consumers availing their services.

References were made to offshore websites like MyBookie, BetOnline, and Bovada, along with cautions about manufacturers of “skill-based” machines.

Bill Miller, President and CEO of the AGA, wrote a letter emphasizing the importance of the Department taking immediate action to safeguard American consumers, clamp down on illegal operators, and enforce federal regulations.

AGA says it wants to protect its members, consumers

According to Chris Cylke, the senior vice president of government relations at AGA, responsible gaming and compliance are common concerns that bring together members of the organization. This is particularly challenging in a fiercely competitive industry where consensus is not always reached on every issue.

The gaming industry is represented by approximately 80 AGA members, comprising major casino gaming operators, native online gaming platforms, sports betting sites, slot-machine manufacturers, and others.

Throughout the year, the association convenes to determine the most effective endeavors to prioritize in order to accurately represent the industry’s concerns and goals.

Cylke clarified that the justice department letter was not influenced by a particular incident, but rather a reflection of their continuous dedication to transitioning into fully legalized markets.

According to Cylke, it seems that the main purpose of this letter was to specifically focus on influential members of the Department of Justice (DOJ) and highlight the urgency of taking stronger measures using their enforcement powers to tackle the illegal gambling industry.

Offshore sites: Legal or not legal or what?

It can be challenging to explain the legal status of offshore operators to the general public. For instance, let’s consider Bovada, a company mentioned in the AGA communication. Bovada manages its own Twitter account where they promote bonus offers and share sports-related humor, just like any other regulated platform.

If you’re wondering about the legal status of Bovada, a quick Google search will reassure you that it’s generally accepted in most states. Bovada’s terms of service provide a link confirming its licensing by the Government of Curaçao since 1996. So, is it considered legal or not?

Cylke stated that these operations are considered illegal since they lack the necessary licenses to operate in any state across the country. Furthermore, they are also in breach of numerous federal laws.

According to Cylke, enforcement becomes challenging unless one of the officers of the site sets foot on U.S. soil, as they operate beyond the jurisdiction of the country’s law.

Cylke stated that our intention in the letter to DOJ was to emphasize the importance of taking any official government action, such as issuing an indictment or any other form of legal consequence, even if it falls short of a conviction. This action would effectively communicate to the public that these individuals are engaging in unlawful activities and serve as an educational tool.

Why would someone use an illegal site anyway?

Playinmichigan had a conversation with an individual who has experience in both legal and illegal gambling activities, which involved operating their own offshore betting site and acting as a bookie for real-life bets. To ensure their anonymity, we will refer to this person as “Paul.”

We inquired Paul about the potential motivations behind individuals’ decision to gamble money on an offshore website. In response, they provided us with a range of explanations via text messages.

• Legal sites accept credit and/or debit cards, which means there is a chance for a significant other to easily discover the amount of money being wagered.
• Taxes are imposed on the winnings received from a legitimate website.
• While legal sportsbooks require upfront deposits, local bookies may offer individuals the option of extending credit.

The case for regulated gaming

Cylke responded by stating that the AGA’s response may not be able to cater to everyone’s needs.

Cylke expressed, “Those individuals who would purchase illicit cigarettes from a moving truck are probably the same ones, I suppose.”

According to Cylke, the AGA’s position is primarily focused on safeguarding American consumers and ensuring fair regulations within the U.S. gaming industry. This pertains not only to online operations but also extends to unregulated skill machines. While there is undoubtedly a competitive aspect involved, the main goal is to prioritize consumer protection and industry regulation.

Imagine a vintage slot machine nestled in the depths of a quaint, old-fashioned bar or a comparable establishment. Cylke recounted his encounters at various 7-11 gas stations in Virginia, where he came across an abundance of these machines. They were frequently occupied by individuals who appeared to have spent an extensive amount of time engrossed in the game.

Cylke mentioned that there is a significant difference between the highly-regulated environment we currently have, where individuals are trained to identify and address problem gambling when people start experiencing financial difficulties.

He mentioned that several states have numerous such machines, but specifically commended Michigan’s proactive measures to address them.

Cylke acknowledged the efforts of the Michigan regulator in prioritizing the crackdown on unregulated gambling machines.

Michigan cracking down on illegal operations

The Michigan Gaming Control Board, in collaboration with the Lansing police and the attorney general’s office, announced its involvement in conducting raids at two suspected storefront casinos in the city during March. These operations successfully led to the seizure of over $91,000 in cash and more than 80 machines.

According to Mary Kay Bean, the spokesperson for MGCB, the Lansing locations were included in a series of three raids that have taken place since the state authorized internet gaming and sports betting in January 2021.

In an email to Playinmichigan, Bean expressed that the MGCB collaborates with the Michigan Department of Attorney General during investigations, while the department takes charge of pursuing warrants, charges, and the prosecution of alleged illegal gambling cases.

The gaming board extends its specialized knowledge in gaming to assist law enforcement in addressing the menace of illegal gaming, deeming it as a potential danger to the well-being of consumers in Michigan.

Bean stated that the MGCB is well-informed about illicit offshore operations, and they firmly believe that the lawful and regulated market in Michigan acts as a deterrent for illegal operators. Similar to the AGA, the MGCB regards illegal gambling as a significant concern for the United States.

Bean stated that the MGCB promotes the submission of tips from the public regarding suspected illegal gambling. Tips can be made anonymously through the agency’s website or by calling (888)-314-2682. However, it is important to note that information sent directly via email to [email protected] will not be treated as anonymous.

Legal gaming benefits states in different ways

According to Cylke, regulated markets receive funds from legal gaming operations, which not only benefit the consumers who play but also get affected by offshore operations that divert money away from these programs.

Since its legalization in January 2021, online gambling in Michigan has resulted in the generation of hundreds of millions of dollars in tax revenue. The state and local governments have received over $360 million in tax contributions from online casinos.

State, local, and tribal governments have benefited from sports betting through a tax revenue of over $19 million.

Online gaming has been acknowledged by Detroit Mayor Mike Duggan as a significant contributor in compensating for the city’s pandemic-related financial setbacks. The tax revenue generated from this source is intended to support a range of public services, such as education and economic development.

Cylke further stated that the tax dollars also contribute to the funding of programs in various states, which aim to support veterans and combat homelessness.

Regulated markets provide safeguards for bettors

According to Cylke, the AGA highlights that legal and regulated markets offer thorough safety measures, backed by extensive research, to assist individuals struggling with addiction. These reasons emphasize the significant risks that illegal gaming poses to consumers.

Operators that abide by regulations offer several measures to protect bettors. These measures include allowing customers to set their own limits on time and money within their apps. Additionally, legal operators respect self-exclusion programs and offer resources to help individuals manage and overcome gambling addiction.

The increased availability of online gambling in Michigan has resulted in a higher number of individuals contacting the problem gambling hotline for various reasons. However, seeking assistance becomes more accessible when the addictive activity is legalized.

Legal operators are crucial in safeguarding the fairness of games, as demonstrated by the situation involving Calvin Ridley, a receiver for the Atlanta Falcons. Ridley made a bet on a Falcons game through a legitimate application available in Florida. Thanks to the vigilance of the app’s operator, the wager was flagged and investigated. Such thorough scrutiny and detection would not have occurred had Ridley used an illegal or offshore account.

According to Cylke, the presence of illegal channels operating openly poses a threat not just to our economy, but also to consumer protection.

Please rephrase your request or provide the original statement for rewriting.