Maryland regulator orders Virtual Gaming Worlds to leave state
Maryland Lottery and Gaming Control Agency states Chumba Casino and LuckyLand Slots brands have been offering online gaming activities illegally
The Maryland Lottery and Gaming Control Agency (MLGCA) has issued a cease-and-desist letter to Virtual Gaming Worlds (VGW) after alleging the firm is operating in the state without the “legal authority to do so.”
In the letter sent to the sweepstakes operator on March 12, the regulator accused VGW brands Chumba Casino and LuckyLand Slots of “conducting online gaming activities” in Maryland without a license.
Chumba is VGW’s leading sweeps brand and, according to Semrush data, accrued 15.8 million hits in February across the US, above the likes of DraftKings and FanDuel.
Online casino is not permitted in the state of Maryland, with only online sports wagering and online fantasy sports being regulated in there. Land-based casinos are permitted.
Per the commission’s letter, signed by managing director Michael Eaton, VGW has never been issued with a sports wagering, land-based casino, or fantasy competition operator license.
The regulator has asked the company to confirm it is not offering gaming activities in the state by 5pm ET on March 27.
Within that response to the regulator, it’s also been requested that VGW describe if it has offered types of gaming without a license, and what “legal analysis or opinion” of Maryland law has allowed it to do so without a permit.
If VGW has offered any gaming activity without a license, it has been asked to halt operations within 10 days from the date of the cease-and-desist letter.
The MLGCA added: “Your failure to provide the required information may jeopardize the ability of VGW to ever be issued: a license for sports wagering or gaming, registration as a fantasy competition operator, any other license, registration, or certification from the commission in the future.”
Last December, VGW told its customers that it would shutter its Global Poker operations in Nevada from April 15.
This came after VGW had ceased operations in Connecticut in October. The operator is currently banned in Montana, Idaho, Michigan, and Washington.
EGR North America has contacted both the Social and Promotional Gaming Association and VGW for comment.