News In Brief: January 20-January 24, 2025

January 24, 2025
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Brazilian betting brand Esportes da Sorte receives federal licence to operate sports betting and online gaming, and the Nevada Gaming Control Board chair announces he will be stepping down.
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Esportes da Sorte Among Brazilian Operators Approved Via Court Rulings
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Leading Brazilian betting brand Esportes da Sorte has received a federal licence to operate sports betting and online gaming, some three weeks after the launch of the country’s regulated market.

In a notice in the Brazilian government’s official gazette, the Ministry of Finance’s Secretariat of Prizes and Bets (SPA) said that Esportes da Sorte’s parent company Esportes Gaming Brasil had been granted an authorisation “in accordance with a court decision handed down in court proceedings under judicial secrecy”.

The sponsor of several leading football teams including Corinthians, Esportes da Sorte has recently been implicated in investigations into alleged illegal gambling and money laundering, although no formal charges have been filed.

Despite their authorisation, Esportes da Sorte and sister brand OnaBet have not been included on the SPA’s official list of licensees.

Instead, they are named on a separate list published on Wednesday (January 22) of companies able to operate in Brazil “due to judicial determination”.

Five further companies have also been authorised through court rulings, per the SPA list, including the operators of Megapix.bet and Sportsbet.io.

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Nevada Gaming Control Board Chairman To Step Down
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Nevada Gaming Control Board (NGCB) chairman Kirk Hendrick has announced he will step down early from his position at the end of the state’s 120-day legislative session that begins next month.

Hendrick’s decision to leave his position comes in the middle of his four-year term as Nevada’s top gaming regulator. Republican Governor Joe Lombardo will now have to fill two vacant seats on the control board following the departure of member Brittnie Watkins, who announced last week that she would not seek reappointment to the three-member control board.

In a statement, Hendrick, 60, said he had discussed with Lombardo how much the NGCB had accomplished since he was appointed chairman two years ago.

“We also discussed more to still be accomplished, including board priorities for the legislative session next month,” Hendrick said. “Our conversation concluded with me informing the governor of my intention to resign as board chair following the legislative session.”

The Nevada legislative session is scheduled to begin on February 3 and end on June 2.

“My announcement [Wednesday] allows Governor Lombardo time to find the next board chair and provides for a smooth transition of leadership,” Hendrick said. “It also allows me to tell all the amazing board agents and employees, as well as Nevada’s gaming industry, citizens and visitors, that I am dedicated to accomplishing much more over the next several months.” 

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Virginia Skill-Games Bill Clears Legislative Hurdle
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A controversial bill that would regulate and tax skill games that are currently banned in Virginia passed its first Senate committee on Wednesday (January 22). 

The Senate Committee on General Laws and Technology voted 9-6 to pass an amended Senate Bill 1323, sending the measure to the Finance and Appropriations Committee. On Monday, SB 1323 did not receive a second to a motion on the bill, so the gaming subcommittee did not vote on the bill before sending it to the full committee.

Republican Senator Christie Craig amended her bill to require those wanting to play skill games to show identification to make sure they are at least 21 years of age and reinstates an opt-out clause for cities and counties that want to ban the machines.

Prior to the vote on SB 1323, Craig tried and failed to incorporate her bill into Senate Bill 1287 that would establish the Virginia Gaming Commission. Senator Adam Ebbin, a Democrat and chair of the committee, did not think the move to incorporate this bill was appropriate.

After two-and-a-half years of work, Ebbin said her proposal could “potentially derail it by trying to introduce a new topic at the last minute.” Republican Senator Bryce Reeves, who authored SB 1287, said there were some good enforcement provisions in Craig’s bill that would actually strengthen his bill.

But Reeves left it to the committee to decide how to move forward. In the end, SB 1287 was approved 13-2 and referred to the Finance and Appropriations Committee. 

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North Dakota House Kills Sports Betting Bill
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A bill that would give voters in North Dakota an opportunity next year to vote on a constitutional amendment to allow sports betting was overwhelmingly defeated Wednesday (January 22) in the House. 

House Concurrent Resolution 3002 failed by a 24 to 70 vote, a day after the House Judiciary Committee recommended not passing the proposal.

Currently, commercial sports betting is prohibited in North Dakota. Tribes are authorized to offer retail and mobile sports betting within tribal lands, pursuant to a tribal-state compact. 

“This is not about legalizing sports betting. It is about putting it on the ballot to let your constituents make the decision for themselves,” Republican state Representative Scott Louser, one of ten co-sponsors of HCR 3002, said prior to the resolution being defeated in the House. 

If approved, HCR 3002 would be on the November 2026 general election ballot.

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Connecticut Takes Flight With Betting On Planes Bill
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Even though federal law prohibits gambling on domestic and international flights, a new bill would allow for in-flight sports betting on commercial flights originating out of Connecticut airports should the ban be removed.

House Bill 6051, authored Representative Christopher Rosario, a Democrat and Deputy House Speaker Pro Tempore, would also set aside 1 percent of all revenue generated by in-flight wagering to support education.

Rosario told Vixio GamblingCompliance that he is aware that federal law prohibits in-flight betting. However, he stressed, with emerging partnerships like Delta Airlines and DraftKings, “it’s crucial Connecticut prepares for potential changes.”

The one-page bill ensures that all in-flight sports betting complies with state law and existing agreements with the Connecticut Lottery Corporation, Mashantucket Pequot Tribe and Mohegan Tribe of Indians of Connecticut. DraftKings has partnered with the Mashantucket Pequot, FanDuel with Mohegan, and Fanatics Sportsbook with the Connecticut Lottery.

Delta’s partnership with DraftKings is being scrutinized by Senator Richard Blumenthal, a Democrat from Connecticut. Blumenthal wrote to both companies demanding they “pause implementation of their partnership until they provide his office with details of the agreement." 

“Senator Blumenthal's letter highlights existing regulations, but HB6051 anticipates a future where federal laws evolve,” Rosario said. “By passing this bill, we ensure our state is poised to capitalize on revenue opportunities when that day comes.”

“We're taking a proactive approach to position Connecticut for success, rather than reacting to future developments,” he added.

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New York Seeks To Ban Sweepstakes Games
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New York State Senator Joseph Addabbo Jr., a Democrat and chair of the Senate Racing, Gaming and Wagering Committee, wants to close a legal loophole that allows online sweepstakes casino operators to do business in New York.

“One of my primary objectives as gaming chair is ensuring New Yorkers are protected from gambling operations that have the potential of becoming more problematic without proper legislative action, such as unregulated sweepstakes casino operators,” Addabbo told political news website City & State.

Currently, sweepstakes casinos are allowed to operate in New York, according to Addabbo.

“To close this loophole, I will work to ban or incorporate sweepstakes casinos in the state, akin to current laws in Michigan, Idaho and Washington, and I will push for iGaming as a safe, effective alternative for online casino enthusiasts,” Addabbo said.

In neighboring New Jersey, the Assembly Tourism, Gaming and the Arts Committee will hold a hearing on Thursday (January 23) on Assembly Bill 5196 that would legalize and tax online sweepstakes casinos.

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Virginia Online Gaming Bill Delayed Until 2026
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Lawmakers in Virginia will have to wait until next year to consider whether to legalize online casino games after the author pulled her bill on Monday (January 20) for further study.

Senate Bill 827, authored by Democratic state Senator Mamie Locke, proposed that the Virginia Lottery Board would regulate iGaming in the state. Each existing casino in Virginia would be allowed to operate an iGaming site, and each would be entitled to launch three skins.

Locke’s proposal would have taxed iGaming at 15 percent of adjusted revenue.

“We have decided that it requires additional study,” Locke said of her bill to legalize iGaming.

Locke confirmed that she will reintroduce her proposal in 2026 after the legislative work group studies it.

The Gaming Subcommittee of the Senate Committee on General Laws and Technology voted unanimously to send SB 827 for further study.

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PAGCOR Cuts E-Game Fees To 30 And 25 Percent
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Philippine gambling regulator PAGCOR has reduced gross gambling revenue (GGR) fees for the domestic electronic game (E-game) segment by at least another 5 percentage points to 30 percent in an attempt to claw back business from underground operators.

PAGCOR chairman and CEO Alejandro Tengco on Monday (January 20) said the reductions, including a cut to 25 percent of E-game GGR at integrated resorts, create a “more favourable regulatory environment by encouraging unregistered online game operators to transition to the legal market”.

He said the latest reductions, following cuts last April, will free up capital for marketing and contribute to the durability of the regulated E-game space.

“The gradual reduction of share rates has significantly contributed to the growth of the E-games sector, which has become a key driver of the local gaming industry,” Tengco said.

PAGCOR’s enthusiasm for the domestic online gambling segment has gradually increased as cascading political, fiscal and regulatory pressure weighed on foreign-facing online gambling operations (POGOs), culminating in a presidential executive order banning the latter segment from January 1.

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U.S. Senator Demands Fine Print On DraftKings-Delta Marketing Deal
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The chief critic of the sports-betting industry in the U.S. Senate has written to the CEOs of DraftKings and Delta Airlines, demanding they “pause implementation” of their marketing partnership until they provide details on the agreement and on "any protections you may have included to protect the flying public, including minors”.

“This partnership seems to be aimed at enticing the flying public — many of them possibly problem gamblers or recovering problem gamblers — to engage in a high-risk activity from their seatbacks, while in the air and unable to walk away,” wrote Senator Richard Blumenthal, a Democrat from Connecticut, in a letter dated January 17.

DraftKings and Delta announced a marketing agreement earlier this month, but have yet to disclose what exactly it will involve.

Blumenthal called for the companies’ CEOs to respond to his request for further information no later than January 28.

Blumenthal, who last year sponsored legislation to prohibit most advertising for sports betting and all in-play betting, also noted that federal law expressly prohibits gambling on commercial aircraft.

Under the 1994 Gorton Amendment to the Gambling Devices Act of 1962, all airlines are prohibited from operating or installing gambling devices on any aircraft that may be used for travel to or from the United States.

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Isle of Man Names New Boss Of Gambling Regulator
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The Isle of Man on Friday (January 17) confirmed the elevation of Mark Rutherford from deputy CEO to CEO of the Gambling Supervision Commission (GSC).

Rutherford is a 15-year veteran of the GSC, starting in 2009 as director of policy and legislation before his promotion to deputy CEO in 2013. Prior to his GSC tenure, Rutherford worked in the Isle of Man government’s tax division.

“There is an important opportunity to strengthen the Isle of Man’s defences against financial crime and I am embarking on an ambitious programme of reform to reinforce the powers we have to supervise and regulate the gambling sector,” Rutherford said in a statement.

“It is imperative that we continue to review and adapt our approach to stay aligned with evolving challenges, including the emerging risks and typologies arising from particular markets. I shall be examining those threats closely to ensure that we are alert to them and manage the risk.”

The GSC has had a tougher time in recent years amid local police investigations into two influential former online gambling licensees, criticism of the Isle of Man by the United Nations Office on Drugs and Crime, and being labelled by the International Federation of Horseracing Authorities as a “pseudo-regulator”.

Rutherford said the GSC will strengthen international connections and local agency cooperation, and will “continue to play its part in the network of authorities that detect and disrupt criminal activity in the island".

“It is vital that we maintain alignment with the international standards’ requirements for combatting financial crime as they continue to evolve,” he said.

Rutherford replaces Steve Brennan, who led the GSC for almost 17 years.

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Brazilian betting brand Esportes da Sorte receives federal licence to operate sports betting and online gaming, and the Nevada Gaming Control Board chair announces he will be stepping down.

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