Key Moments:
- Maryland Lottery and Gaming Control Agency officials have called on lawmakers to clarify what qualifies as illegal online gambling
- Senate Bill 112 is under review to establish a clear definition of “interactive games” and enhance enforcement authority
- No vote was taken on SB 112, while its House counterpart HB 295 is set for a hearing next week
Push for Greater Legal Clarity
Regulators from Maryland’s lottery and gaming sector are pressing legislators to define more explicitly what constitutes illegal online gambling within the state. They assert that current legislation is insufficient for dealing with changing and evasive gambling offerings, leaving enforcement efforts falling short.
Maryland Lottery and Gaming Control Agency officials note that while existing laws prohibit unlicensed casino-style play, many operators persist by exploiting legal ambiguities or circumventing enforcement altogether. Despite the agency’s intervention, a significant number of platforms have remained accessible to Maryland users.
Senate Bill 112 Aims to Close Loopholes
The Senate Budget and Taxation Committee heard from lottery officials who advocated for Senate Bill 112, which they believe would provide more definitive authority to shut down unauthorized online gaming. The bill intends to clearly outline which types of games are permitted and which would be forbidden.
Lottery Director John Martin stated that the agency’s typical strategy has been to issue cease-and-desist letters against suspected illegal operators, but admitted this approach has limited effectiveness. He reported that approximately 75 such letters have been sent, with about one-third of recipients ceasing operations in Maryland. Nonetheless, a considerable share of platforms – particularly those offshore or with no tangible U.S. presence – remain active.
How the Proposed Bill Defines Interactive Games
SB 112 introduces the term “interactive game,” encompassing internet or mobile offerings that utilize multiple types of currency and enable players to exchange these for prizes, cash, or equivalents, all while featuring casino, sportsbook, or lottery-based gameplay. The proposal specifically excludes games that only offer non-cash rewards.
Although sweepstakes casinos have drawn the greatest attention, lottery authorities emphasized that the legislation would apply broadly to all unlicensed operators implementing similar mechanics, not just sweepstakes-based platforms. Jennifer Beskid, director of legislation and policy at the agency, maintained that any platform operating outside Maryland’s licensed systems would be deemed illegal, grouping sweepstakes, offshore casinos, and unauthorized sportsbooks together.
Legislative Outlook
No decision was reached on Senate Bill 112 during the committee hearing. Discussion will continue, with the House version of the bill, HB 295, scheduled for a hearing next week. Lawmakers are now faced with the choice of continuing to treat sweepstakes-style casinos as a unique issue or of adopting a single, comprehensive rule that categorically prohibits all similar unlicensed operations.
| Bill Number | Status | Next Step |
|---|---|---|
| SB 112 | Under review in Senate | No vote taken |
| HB 295 | Awaiting hearing in House | Hearing scheduled next week |
- Author
Daniel Williams
