Michigan successfully bans Bovada from operating in the state – Legal and Compliance

On May 29, the Michigan Gaming Control Board (MGCB) ordered Curacao-based Bovada to stop allowing Michigan residents to access its games unless they have the appropriate license.

Bovada operator Harp Media BV was given 14 days from receipt of the order to prohibit Michigan residents from using its services.

The regulator said Bovada violated the Lawful Internet Gaming Act, the Michigan Gaming Control and Revenue Act, and several sections of the Michigan Criminal Code.

In an emailed statement to iGaming Business, Chris Cylke, SVP of government relations for the American Gaming Association (AGA), said Michigan and Colorado’s successful enforcement actions against Bovada “are proof that states have the tools to fight back against offshore operators and should serve as a blueprint for other states.”

“But states should not have to fight this battle alone – the Justice Department must also use its authority to support the fight against illegal gambling, which Congress has clearly identified as a priority for the Department,” Cylke added.

Connecticut joins the club

Last week, on June 14, Connecticut sent its own letter to Harp Media BV, pointing out that Bovada’s actions were a violation of Connecticut’s General Statutes, which prohibit gambling and professional gambling.

The state Department of Consumer Protection ordered the operator to stop advertising and offering its games and services to customers in Connecticut.

“Bovada does not hold a license as an online gambling operator or any other relevant qualification that would allow Bovada to offer online gambling to residents of Connecticut; nor do Bovada’s activities fall under any of the activities exempted from the gambling prohibition in Conn. Gen. Stat.,” the letter states.

Various industry stakeholders believe that the injunctions should be followed by legal action.

Brendan Bussmann of Las Vegas-based B Global recently told iGB: “First comes the cease and desist order, then the question of how far you can go in terms of criminal prosecution to protect illegal operators. That’s where the authorities come in, it has to be a coordinated effort.”

Bovada’s government blacklist is getting longer

Bovada has long been a leading black market sports betting operator in the United States. According to Bovada’s website, the service has already been blocked by five other U.S. states, including New Jersey, New York, Nevada, Maryland and Delaware.

According to industry reports and the AMA’s Cylke, Colorado was also added to Bovada’s block list, but it’s not clear when exactly this happened.