A national coalition of attorneys general is urging the Department of Justice to take action against the rise of illegal offshore gambling, citing harm to state economies, consumers, and vulnerable populations.
Nevada has joined 49 other states and territories in a bipartisan effort asking the U.S. Department of Justice to step up enforcement against illegal online gaming operations.
The coalition sent a letter to U.S. Attorney General Pam Bondi outlining the need for federal coordination and legal action to address the growing presence of unregulated, foreign-based gambling platforms.
Illegal online sports betting and gaming operations, the letter states, are often run by companies that operate without licenses, avoid state taxes, and lack basic consumer protections.
These platforms are accused of failing to verify user age, ignoring state boundaries, and facilitating fraudulent activity.
According to the coalition, such operations are linked to money laundering, human trafficking, and other criminal activity.
“Illegal online gaming is a danger to every jurisdiction and requires bipartisan collaboration to stop,” said Nevada Attorney General Aaron D. Ford. "Regulations on gaming exist to ensure the industry’s economic activity is safe and non-predatory. Nevada’s gaming industry is the envy of the world because our state has benefited from an important and ongoing dialogue between the public and private sectors. Illegal online gaming acts outside of this industry and opens up our youth and vulnerable populations to harm. I urge the DOJ to act to rein in this problem.”
The coalition argues that these unlawful gaming operations undercut legal, regulated markets and contribute to widespread social and economic harm. Estimates cited in the letter suggest illegal online gaming produces more than $400 billion in annual volume, costing states more than $4 billion in lost tax revenue.
In response to these concerns, Nevada lawmakers passed Senate Bill 256 during this year’s legislative session, increasing penalties for those involved in illegal online gambling operations.
The letter calls on the DOJ to make use of federal tools to help states address the issue, including seeking court orders under the Unlawful Internet Gambling Enforcement Act to block access to illegal websites and payment systems, seizing assets connected to illegal operations, and coordinating with states and financial institutions to disrupt the financial infrastructure supporting illicit gaming.
Attorneys general from all 50 states, the District of Columbia, and three U.S. territories joined the letter, including co-leads from Connecticut, Massachusetts, Nebraska, and Utah.
