The Mayor and City Council of Baltimore have filed a lawsuit against six major social casino operators, accusing them of violating city laws by operating “illegal online gambling platforms disguised as lawful sweepstakes.”
Named as defendants were offshore operators licensed in Malta, Cyprus, Estonia, and Canada, including Stake.us, Pulsz Casino, High 5 Games, McLuck, Blazesoft’s Fortune Coins, and VGW Holdings duo Chumba Casino and Luckyland Slots. According to the City, the easy-to-access platforms take “millions of dollars while dodging state regulation, taxation, and consumer safeguards.”
operating illegally in Baltimore and causing real harm to our residents.”
Mayor Brandon M. Scott said these were “foreign companies operating illegally in Baltimore and causing real harm to our residents.”
The Mayor warned of similar action it took against FanDuel and DraftKings last year when it hit both firms with a lawsuit for th ‘shady’ targeting of vulnerable gamblers via bonus bets and data harvesting.
“We will not sit by while companies break the law to steal Baltimoreans’ hard-earned money.”
According to media reports, the six firms’ platforms allegedly allowed users to use real money to buy virtual coins for gambling. In addition, the firms use TikTok, YouTube, and Instagram platforms to market free-to-play or “social entertainment” games.
As such, stated Mayor Scott, the firms are targeting “young people and minors, and profiting while ignoring the law.”
“No company, especially those operating from overseas, gets to profit here while flouting our laws and endangering our residents.”
The City’s suit seeks “civil penalties, injunctive relief, restitution for affected consumers, and disgorgement of ill-gotten profits.”
