NC Supreme Court Overturns Ruling Allowing ‘SWEEPSTAKES’ Video Machines

In NC, ‘Sweepstakes’ machines have crept through a loophole in the law and a nascent industry began before the State Supreme Court could decide on the ruling. Most of the machines are within other stores, such as convenience stores, but there have been businesses opened that are entertainment venues with the sweepstakes machines as the central draw.

On December 14, the NC Supreme Court shut the loophole with an iron lock, and in the stroke of a pen made all sweepstakes video games once more illegal. A NC Court of Appeals had overturned the law as it regards to sweepstakes laws over a free speech issue, but the NC Supreme Court said the state did have the power to stop the use of video sweepstakes machines.

Gov. Perdue of NC had tried to get the state assembly to levy an extra tax on the machines for the funding of schools but the republican controlled NC legislature declined to pass any laws regarding the further legalization of the machines.

Sweepstakes operators have already said they would look for other ways the laws could be read to continue gaming, but NC Senate leader Phil; Berger said he expects the NC Justice Dept. to begin shutting down machines and sweepstakes parlors within a week.

If the past is any indication, NC video gambling operators will simply slip back under cover. The people that play know the local places to go for action, but as long as there is no legal framework there are plenty of businesses and people who are willing to supply video poker to customers.

In other news concerning gambling and legal systems, a sports book in Nevada accepted bets on the 20121 Kentucky Derby at four of its locations without approval. Leroy’s Horse and Sports Place admitted the infractions and paid $25,815 in fines, but the settlement still has to be approved by the state Gaming Commission.

The business has since been sold to William Hill PLC.

Also in Nevada, this instance is not illegal, it just looks bad. It has come out that casino guru Brewer Adelson, who helped to bankroll Newt Gingrich’s run for the republican presidential nomination in 2012 also donated $250,000 along with his wife. This was part of a total of $95 million he gave this election season. The money is not illegal due to decisions which have affected election finance over the last ten years. PACS and other entities can now rise as much as possible from individuals, and there are other structures now that do not even have to disclose their funding.

That was a requirement of the Arizona Governor Jan Brewer’s PAC and is the reason we now know who donated the money. Expect more money to flow into the structures that don’t have to disclose donors in the future.

Laws and court decisions continue to go back and forth depending on the state, and online gaming is slowly making headway into State’s agendas but there is no question that legal gaming is gaining a stronger and stronger foothold into the American landscape.