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| | 10000SB0208sam001 | - 2 - | LRB100 04954 AMC 27129 a |
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1 | | control or influence because contestants have control over |
2 | | which players they choose and the outcome of each contest |
3 | | is not dependent upon the performance of any one player or |
4 | | any one actual team. The outcome of any interactive fantasy |
5 | | sports contest does not correspond to the outcome of any |
6 | | one real-life competitive event. Instead, the outcome |
7 | | depends on how the performances of participants' fantasy |
8 | | roster choices compared to the performance of others' |
9 | | roster choices. |
10 | | (b) Based on the findings in this Section, the General |
11 | | Assembly declares that interactive fantasy sports contests do |
12 | | not constitute gambling as defined in Section 28-1 of the |
13 | | Criminal Code of 2012. |
14 | | (c) The General Assembly further finds that as the Internet |
15 | | has become an integral part of society, and interactive fantasy |
16 | | sports contests a major form of entertainment for many |
17 | | consumers, any interactive fantasy sports enforcement and |
18 | | regulatory structure must begin from the bedrock premise that |
19 | | participation in a lawful and licensed interactive fantasy |
20 | | sports industry is a privilege and not a right, and that |
21 | | regulatory oversight is intended to safeguard the integrity of |
22 | | the games and participants and to ensure accountability and the |
23 | | public trust. |
24 | | Section 1-10. Definitions. As used in this Act: |
25 | | "Authorized player" means an individual located in this |
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1 | | State that participates in an interactive fantasy sports |
2 | | contest offered by an interactive fantasy sports operator.
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3 | | "Beginner fantasy sports player" means an individual who is |
4 | | at least 21 years of age and who has entered fewer than 51 |
5 | | interactive fantasy sports contests offered by a single |
6 | | interactive fantasy sports operator. |
7 | | "Board" means the Illinois Gaming Board.
|
8 | | "Collegiate sport or athletic event" means a sport or |
9 | | athletic event offered or sponsored by or played in connection |
10 | | with a public or private institution that offers education |
11 | | services beyond the secondary level. |
12 | | "Entry fee" means cash or cash equivalent that is paid by |
13 | | an authorized player to an interactive fantasy sports operator |
14 | | to participate in an interactive fantasy sports contest offered |
15 | | by that interactive fantasy sports operator. |
16 | | "High school sport or athletic event" means a sport or |
17 | | athletic event offered or sponsored by or played in connection |
18 | | with a public or private institution that offers education |
19 | | services at the secondary level. |
20 | | "Highly experienced player" means an authorized player who |
21 | | has: |
22 | | (1) entered more than 1,000 interactive fantasy sports |
23 | | contests offered by a single interactive fantasy sports |
24 | | operator; or |
25 | | (2) won more than 3 prizes valued at $1,000 each or |
26 | | more from a single interactive fantasy sports operator. |
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| | 10000SB0208sam001 | - 4 - | LRB100 04954 AMC 27129 a |
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1 | | "Interactive fantasy sports contest" means a fantasy |
2 | | contest, in which: |
3 | | (1) the value of all prizes and awards offered to |
4 | | winning participants are established and made known to the |
5 | | participants in advance of the contest and their value is |
6 | | not determined by the number of participants or the amount |
7 | | of any fees paid by those participants; |
8 | | (2) all winning outcomes are determined predominantly |
9 | | by accumulated statistical results of the performance of |
10 | | individual athletes in real-world professional athletic |
11 | | competitions; a professional athletic competition does not |
12 | | include any amateur or collegiate level sport; and |
13 | | (3) no winning outcome is based on the score, point |
14 | | spread, or any performance or performances of any single |
15 | | actual team or combination of such teams or solely on any |
16 | | single performance of an individual athlete or player in |
17 | | any single actual event. |
18 | | "Interactive fantasy sports gross revenue" means the |
19 | | amount equal to the total of all entry fees that an interactive |
20 | | fantasy sports operator collects from all players, multiplied |
21 | | by the location percentage for the State. |
22 | | "Interactive fantasy sports operator" means a person or |
23 | | entity that engages in the business of offering, by means of |
24 | | the Internet, a smart phone application, or other similar |
25 | | electronic or digital media or communication technologies, |
26 | | multiple interactive fantasy sports contests to persons. |
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1 | | "Interactive fantasy sports platform" means any website, |
2 | | smart phone application, or other portal providing access to an |
3 | | interactive fantasy sports contest. |
4 | | "Location percentage" means, for each interactive fantasy |
5 | | sports contest, the percentage, rounded to the nearest tenth of |
6 | | a percent, of the total entry fees collected by an interactive |
7 | | fantasy sports operator from players located in this State, |
8 | | divided by the total entry fees collected by an interactive |
9 | | fantasy sports operator from all players in interactive fantasy |
10 | | sports contests. |
11 | | "Minor" means a person under the age of 21 years. |
12 | | "Permitted sports event" means a professional sport or |
13 | | athletic event or other competitive event. "Permitted sports |
14 | | event" does not include a prohibited sports event. |
15 | | "Prohibited sports event" means an amateur sport or |
16 | | athletic event, a collegiate sport or athletic event, or a high |
17 | | school sport or athletic event. |
18 | | Section 1-15. Applicability. This Act and all rules adopted |
19 | | under the authority of this Act shall apply only to interactive |
20 | | fantasy sports contests for which an authorized player pays an |
21 | | entry fee. |
22 | | Section 1-20. Licensing. |
23 | | (a) No interactive fantasy sports operator shall |
24 | | administer, manage, or otherwise make available an interactive |
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1 | | fantasy sports platform to persons located in the State unless |
2 | | licensed by the Board under this Act. |
3 | | (b) A qualified person may apply to the Board for an |
4 | | interactive fantasy sports operator license to conduct |
5 | | interactive fantasy sports contests as provided in this Act. |
6 | | The application shall be made on forms provided by the Board. |
7 | | The burden is upon each applicant to demonstrate suitability |
8 | | for licensure. Each interactive fantasy sports operator shall |
9 | | be licensed by the Board. The Board may issue a license for a |
10 | | period of up to 2 years or, in the case of interactive fantasy |
11 | | sports operators with annual interactive fantasy sports gross |
12 | | revenues less than $100,000, for up to 3 years. |
13 | | (c) Each person seeking and possessing a license as an |
14 | | interactive fantasy sports operator shall submit to a |
15 | | background investigation conducted by the Board with the |
16 | | assistance of the State Police or other law enforcement. To the |
17 | | extent that the corporate structure of the applicant allows, |
18 | | the background investigation shall include any or all of the |
19 | | following as the Board deems appropriate or as provided by |
20 | | rule: (i) each beneficiary of a trust, (ii) each partner of a |
21 | | partnership, (iii) each member of a limited liability company, |
22 | | (iv) each director and officer of a publicly or non-publicly |
23 | | held corporation, (v) each stockholder of a non-publicly held |
24 | | corporation, (vi) each stockholder of 5% or more of a publicly |
25 | | held corporation, or (vii) each stockholder of 5% or more in a |
26 | | parent or subsidiary corporation. |
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1 | | (d) Each person seeking and possessing a license as an |
2 | | interactive fantasy sports operator shall disclose the |
3 | | identity of every person, association, trust, corporation, or |
4 | | limited liability company having a greater than 1% direct or |
5 | | indirect pecuniary interest in the interactive fantasy sports |
6 | | operator for which the license is sought. If the disclosed |
7 | | entity is a trust, the application shall disclose the names and |
8 | | addresses of the beneficiaries; if a corporation, the names and |
9 | | addresses of all stockholders and directors; if a limited |
10 | | liability company, the names and addresses of all members; or |
11 | | if a partnership, the names and addresses of all partners, both |
12 | | general and limited. |
13 | | (e) All information, records, interviews, reports, |
14 | | statements, memoranda, or other data supplied to or used by the |
15 | | Board in the course of its review or investigation of an |
16 | | application for a license or a renewal under this Act shall be |
17 | | privileged and strictly confidential and shall be used only for |
18 | | the purpose of evaluating an applicant for a license or a |
19 | | renewal. The information, records, interviews, reports, |
20 | | statements, memoranda, or other data shall not be admissible as |
21 | | evidence nor discoverable in any action of any kind in any |
22 | | court or before any tribunal, board, agency, or person, except |
23 | | for any action deemed necessary by the Board. |
24 | | (f) No person may be licensed as an interactive fantasy |
25 | | sports operator if that person has been found by the Board to: |
26 | | (1) have a background, including a criminal record, |
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1 | | reputation, habits, social or business associations, or |
2 | | prior activities, that poses a threat to the public |
3 | | interests of the State or to the security and integrity of |
4 | | interactive fantasy sports contests; |
5 | | (2) create or enhance the dangers of unsuitable, |
6 | | unfair, or illegal practices, methods, and activities in |
7 | | the conduct of interactive fantasy sports contests; or |
8 | | (3) present questionable business practices and |
9 | | financial arrangements incidental to the conduct of |
10 | | interactive fantasy sports contests. |
11 | | (g) Any applicant for a license under this Act has the |
12 | | burden of proving his or her qualifications to the satisfaction |
13 | | of the Board. The Board may adopt rules to establish additional |
14 | | qualifications and requirements to preserve the integrity and |
15 | | security of interactive fantasy sports contests in this State. |
16 | | (h) An interactive fantasy sports operator that has been |
17 | | operating in Illinois for at least 6 months on December 23, |
18 | | 2015 may operate in Illinois until a final decision is rendered |
19 | | on the application for an interactive fantasy sports operator |
20 | | license. |
21 | | (i) The Board, by rule, shall establish a process for |
22 | | license renewal. |
23 | | (j) The Board shall publish a list of all interactive |
24 | | fantasy sports operators licensed in this State under this |
25 | | Section on the Board's website for public use. |
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1 | | Section 1-25. Operators; required safeguards; minimum |
2 | | standards. |
3 | | (a) As a condition of licensure in this State, each |
4 | | interactive fantasy sports operator shall implement and |
5 | | maintain commercially reasonable measures to: |
6 | | (1) limit each authorized player to one username and |
7 | | one account and verify a fantasy sports player's true |
8 | | identity; |
9 | | (2) prohibit minors from participating in an |
10 | | interactive fantasy sports contest, including: |
11 | | (A) if the interactive fantasy sports operator |
12 | | becomes or is made aware that a minor has participated |
13 | | in one of its interactive fantasy sports contests, |
14 | | promptly refund any deposit received from the minor, |
15 | | whether or not the minor has engaged in or attempted to |
16 | | engage in an interactive fantasy sports contest; |
17 | | however, any refund may be offset by any prizes already |
18 | | awarded; |
19 | | (B) publishing and facilitating parental control |
20 | | procedures to allow parents or guardians to exclude |
21 | | minors from access to any interactive fantasy sports |
22 | | contest or interactive fantasy sports platform; and |
23 | | (C) taking appropriate steps to confirm that an |
24 | | individual opening an account is not a minor; |
25 | | (3) when referencing the likelihood of winning in |
26 | | advertisements or upon interactive fantasy sports contest |
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1 | | entry, make clear and conspicuous statements that are not |
2 | | inaccurate or misleading concerning the likelihood of |
3 | | winning and the number of winners; |
4 | | (4) enable authorized players to restrict themselves |
5 | | from interactive fantasy sports contests and take |
6 | | reasonable steps to prevent these players from entering an |
7 | | interactive fantasy sports contest from which they have |
8 | | excluded themselves; these restrictions shall include, but |
9 | | not be limited to: (A) interactive fantasy sports contest |
10 | | entry limits, (B) limiting play to interactive fantasy |
11 | | sports contest with entry fees below an established limit, |
12 | | and (C) self-imposed deposit limits less than allowed under |
13 | | this Act; interactive fantasy sports operators shall |
14 | | implement and prominently publish procedures for fantasy |
15 | | sports players to implement the restrictions; fantasy |
16 | | sports players shall have the option to adjust these limits |
17 | | to make them more restrictive of gameplay as often as they |
18 | | like, but shall not have the option to make limits less |
19 | | restrictive of gameplay within 90 days after setting the |
20 | | limits; |
21 | | (5) offer introductory procedures for authorized |
22 | | players, that shall be prominently displayed on the |
23 | | interactive fantasy sports operator's interactive fantasy |
24 | | sports platform, that explain interactive fantasy sports |
25 | | contest play and how to identify a highly experienced |
26 | | player; |
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1 | | (6) identify all highly experienced players in an |
2 | | interactive fantasy sports contest by a symbol attached to |
3 | | the players' user names, or by other easily visible means, |
4 | | on all interactive fantasy sports platforms supported by an |
5 | | interactive fantasy sports operator; |
6 | | (7) disclose the number of entries a single authorized |
7 | | player may submit to each interactive fantasy sports |
8 | | contest; |
9 | | (8) disclose the maximum number of total entries |
10 | | allowed for each interactive fantasy sports contest; |
11 | | (9) implement measures to comply with all applicable |
12 | | State and federal requirements for data security, |
13 | | including, but not limited to, age verification and |
14 | | location software; |
15 | | (10) offer all authorized players access to his or her |
16 | | account history and account details; |
17 | | (11) ensure funds in fantasy sports players' accounts |
18 | | are held in segregated accounts by the interactive fantasy |
19 | | sports operators for the fantasy sports players that |
20 | | establish the accounts; interactive fantasy sports |
21 | | operators shall implement and prominently publish |
22 | | procedures that: |
23 | | (A) prevent unauthorized withdrawals from fantasy |
24 | | sports player accounts by interactive fantasy sports |
25 | | operators or others; |
26 | | (B) prevent commingling of funds in a fantasy |
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1 | | sports player's account with other funds, including, |
2 | | without limitation, funds of the interactive fantasy |
3 | | sports operator; fantasy sports player funds shall be |
4 | | segregated from interactive fantasy sports operators' |
5 | | operational funds and any other funds held by the |
6 | | interactive fantasy sports operator; and |
7 | | (C) address reporting on complaints by fantasy |
8 | | sports players that their accounts have been |
9 | | misallocated, compromised, or otherwise mishandled; |
10 | | (12) provide on the interactive fantasy sports |
11 | | platform, in a prominent place, information concerning |
12 | | assistance for compulsive play; |
13 | | (13) prohibit the extension of credit from an |
14 | | interactive fantasy sports operator to an authorized |
15 | | player; |
16 | | (14) develop policies to prevent the use of proxy |
17 | | servers for the purpose of misrepresenting a player's |
18 | | location in order to engage in interactive fantasy sports |
19 | | contests; and |
20 | | (15) prevent one fantasy sports player from acting as a |
21 | | proxy for another. |
22 | | (b) No interactive fantasy sports operator employee, |
23 | | principal, officer, director, or contractor shall play any |
24 | | interactive fantasy sports contest offered to the general |
25 | | public or play in such contest through another person as a |
26 | | proxy. For the purposes of this subsection (b), a contractor is |
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1 | | limited to a contractor who can access information of an |
2 | | interactive fantasy sports operator related to the conduct of |
3 | | an interactive fantasy sports contest that is not available to |
4 | | other fantasy sports players. Interactive fantasy sports |
5 | | operators shall make these restrictions known to all affected |
6 | | individuals and corporate entities. |
7 | | (c) No interactive fantasy sports operator employee, |
8 | | principal, officer, director, or contractor shall disclose |
9 | | confidential information that may affect interactive fantasy |
10 | | sports contest gameplay to any person permitted to engage in |
11 | | interactive fantasy sports contest gameplay. Interactive |
12 | | fantasy sports operators shall make these restrictions known to |
13 | | all affected individuals and corporate entities. |
14 | | (d) No interactive fantasy sports operator shall allow a |
15 | | professional athlete whose individual statistics or |
16 | | performance may be used to determine any part of the outcome of |
17 | | any interactive fantasy sports contest to enter interactive |
18 | | fantasy sports contests in the sports in which he or she |
19 | | participates. An interactive fantasy sports operator shall |
20 | | take commercially reasonable efforts to prevent a sports agent, |
21 | | team employee, referee, or league official associated with any |
22 | | competition that is the subject of interactive fantasy sports |
23 | | contests to enter interactive fantasy sports contests in the |
24 | | sport in which he or she participates, nor shall such athlete, |
25 | | sports agent, team official, team representative, referee, or |
26 | | league official play through another person as a proxy. |
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1 | | (1) Interactive fantasy sports operators shall take |
2 | | commercially reasonable efforts to obtain lists of persons |
3 | | described in this subsection (d) for the purpose of |
4 | | implementing this subsection (d). |
5 | | (2) Interactive fantasy sports operators, upon |
6 | | learning of a violation of this subsection (d), shall bar |
7 | | the individual committing the violation from playing in any |
8 | | interactive fantasy sports contest by suspending the |
9 | | individual's account and banning the individual from |
10 | | further play, shall terminate any existing promotional |
11 | | agreements with the individual, and shall refuse to make |
12 | | any new promotional agreements that compensate the |
13 | | individual. |
14 | | (3) Interactive fantasy sports operators shall make |
15 | | these restrictions known to all affected individuals and |
16 | | corporate entities. |
17 | | (e) Each interactive fantasy sports operator shall: |
18 | | (1) ensure the value of any prizes and awards offered |
19 | | to authorized players are established and made known to the |
20 | | players in advance of the interactive fantasy sports |
21 | | contest; |
22 | | (2) ensure all winning outcomes reflect the relative |
23 | | knowledge and skill of the authorized players and are |
24 | | determined predominantly by accumulated statistical |
25 | | results of the performance of individuals in permitted |
26 | | sports events; |
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1 | | (3) ensure no winning outcome is based on the score, |
2 | | point spread, or performance of a single sports team, or a |
3 | | combination of sports teams; |
4 | | (4) ensure no winning outcome is based solely on a |
5 | | single performance of an individual athlete in a single |
6 | | sport or athletic event; and |
7 | | (5) ensure no interactive fantasy sports contest is |
8 | | based on a prohibited sports event. |
9 | | (f) Interactive fantasy sports operators shall implement |
10 | | and prominently publish procedures that allow any fantasy |
11 | | sports player to permanently close an account at any time and |
12 | | for any reason. The procedures shall allow for cancellation by |
13 | | any means, including, without limitation, by a fantasy sports |
14 | | player on any interactive fantasy sports contest used by that |
15 | | fantasy sports player to make deposits into a fantasy sports |
16 | | player account. A copy of an interactive fantasy sports |
17 | | operator's procedures shall be submitted to the Board and any |
18 | | changes shall be submitted within 30 days. |
19 | | (g) When a fantasy sports player account is closed, the |
20 | | interactive fantasy sports operator shall refund all funds in |
21 | | the account no later than 5 business days after submission of |
22 | | the request or 10 business days after submission of any tax |
23 | | reporting information required by law, whichever is later, |
24 | | unless the interactive fantasy sports operator makes a good |
25 | | faith determination that the fantasy sports player engaged in |
26 | | fraudulent or other conduct that would constitute a violation |
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1 | | of this Act, rules adopted pursuant to this Act, or the |
2 | | interactive fantasy sports operator's policies, in which case, |
3 | | upon notice to the fantasy sports player of that determination, |
4 | | the withdrawal may be held pending a reasonable investigative |
5 | | period to resolve its investigation. For the purposes of this |
6 | | subsection (g), a request for withdrawal shall be considered |
7 | | honored if it is processed by the interactive fantasy sports |
8 | | operator, but delayed by a payment processor, a credit card |
9 | | issuer, or the custodian of the financial account. |
10 | | (h) If a prize is awarded to a fantasy sports player with a |
11 | | closed account, that prize, to the extent it consists of funds, |
12 | | shall be distributed by the interactive fantasy sports operator |
13 | | within 5 business days, or 10 business days of submission of |
14 | | any tax reporting information required by law, unless the |
15 | | interactive fantasy sports operator makes a good faith |
16 | | determination that the fantasy sports player engaged in |
17 | | fraudulent or other conduct that would constitute a violation |
18 | | of this Act or rules adopted pursuant to this Act. If such |
19 | | determination is made, then the prize may be withheld, provided |
20 | | that it is then awarded to another fantasy sports player in the |
21 | | same interactive fantasy sports contest who would have won the |
22 | | prize had the fantasy sports player with the closed account not |
23 | | participated. |
24 | | (i) An interactive fantasy sports operator shall |
25 | | prominently publish all contractual terms and conditions and |
26 | | rules of general applicability that affect a fantasy sports |
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1 | | player's account. Presentation of such terms, conditions, and |
2 | | rules at the time of on boarding a new fantasy sports player |
3 | | shall not suffice. |
4 | | (j) Interactive fantasy sports operators shall have |
5 | | prominently published rules that govern when each interactive |
6 | | fantasy sports contest shall close or lock. Each interactive |
7 | | fantasy sports contest operator shall also prominently |
8 | | disclose contest-specific information about the time that the |
9 | | interactive fantasy sports contest closes or locks in |
10 | | connection with each interactive fantasy sports contest |
11 | | offered. An interactive fantasy sports operator shall strictly |
12 | | enforce all disclosed closing or lock times. |
13 | | (k) Fantasy sports player's deposits shall be limited to no |
14 | | more than $1,000 per month. However, an interactive fantasy |
15 | | sports operator may establish and prominently publish |
16 | | procedures for temporarily or permanently increasing a fantasy |
17 | | sports player's deposit limit, at the request of the fantasy |
18 | | sports player, above $1,000 per month. Such procedures shall be |
19 | | submitted to the Board. |
20 | | If established by an interactive fantasy sports operator, |
21 | | such procedures shall include evaluation of information, |
22 | | including income or asset information, sufficient to establish |
23 | | that the fantasy sports player can afford losses that might |
24 | | result from gameplay at the deposit limit level requested. |
25 | | When a temporary or permanent deposit level limit increase |
26 | | is approved, the interactive fantasy sports operator's |
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1 | | procedures shall provide for annual re-certification of a |
2 | | player's financial ability to afford losses. |
3 | | (l) The following entry limits apply: |
4 | | (1) interactive fantasy sports operators shall not |
5 | | allow players to submit more than one entry in an |
6 | | interactive fantasy sports contest involving 12 entries or |
7 | | fewer; |
8 | | (2) interactive fantasy sports operators shall not |
9 | | allow players to submit more than 2 entries in an |
10 | | interactive fantasy sports contest involving more than 13 |
11 | | entries but fewer than 36 entries; |
12 | | (3) interactive fantasy sports operators shall not |
13 | | allow players to submit more than 3 entries in an |
14 | | interactive fantasy sports contest involving 36 or more |
15 | | entries but fewer than 101 entries; and |
16 | | (4) interactive fantasy sports operators shall not |
17 | | allow fantasy sports players to submit more than 3% of all |
18 | | entries in an interactive fantasy sports contest involving |
19 | | 101 or more entries. |
20 | | An interactive fantasy sports operator may establish |
21 | | interactive fantasy sports contests, representing less |
22 | | than 2% of the total number of interactive fantasy sports |
23 | | contests that the interactive fantasy sports operator |
24 | | offers, in which there is no restriction on the number of |
25 | | entries, provided that (i) the interactive fantasy sports |
26 | | operator clearly discloses that there are no limits on the |
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1 | | number of entries by each player in the interactive fantasy |
2 | | sports contest and (ii) that the cost of participating in |
3 | | the interactive fantasy sports contest is $50 or more per |
4 | | entry. |
5 | | (m) Interactive fantasy sports operators shall not offer an |
6 | | interactive fantasy sports contest based on a prohibited sports |
7 | | event. |
8 | | (n) An interactive fantasy sports operator shall not |
9 | | participate in an interactive fantasy sports contest offered by |
10 | | the interactive fantasy sports operator. |
11 | | (o) An interactive fantasy sports operator shall not permit |
12 | | unauthorized scripts to be used on interactive fantasy sports |
13 | | platforms and shall use commercially reasonable efforts to |
14 | | monitor for and to prevent use of such scripts. |
15 | | (p) Interactive fantasy sports operators shall develop and |
16 | | prominently display procedures on the interactive fantasy |
17 | | sports operator's interactive fantasy sports platform for the |
18 | | filing of a complaint by the authorized player against the |
19 | | interactive fantasy sports operator. The interactive fantasy |
20 | | sports operator shall give an initial response to the player |
21 | | within 48 hours after the player files the complaint. The |
22 | | interactive fantasy sports operator shall give a complete |
23 | | response to the player filing the complaint within 10 business |
24 | | days after the initial response is issued. An authorized player |
25 | | may file a complaint alleging a violation of the provisions of |
26 | | this Act with the Board. |
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1 | | (q) An interactive fantasy sports operator shall close any |
2 | | fantasy player account that is inactive for 2 years and notify |
3 | | the account holder that the account has been closed by email to |
4 | | the account holder's last known email address. When a fantasy |
5 | | sports player account is closed due to inactivity, the |
6 | | interactive fantasy sports operator shall take commercially |
7 | | reasonable steps to refund all funds in the fantasy sports |
8 | | player account within 30 days, subject to the receipt of any |
9 | | tax information required by law. In the event that funds in a |
10 | | closed fantasy sports player account exceed $5 and cannot be |
11 | | refunded and remain unclaimed, the interactive fantasy sports |
12 | | operator shall provide notice of the existence of funds to the |
13 | | fantasy sports player. Such notice shall be provided by email |
14 | | to the account holder's last known email address. In the event |
15 | | that funds in a closed fantasy sports player account cannot be |
16 | | refunded and remain unclaimed by the fantasy sports player |
17 | | after 3 years, such funds shall be paid by the interactive |
18 | | fantasy sports operator to the Unclaimed Property Trust Fund in |
19 | | the Office of the State Treasurer. The interactive fantasy |
20 | | sports operator shall provide notice to the fantasy sports |
21 | | player's email address at least 60 days prior to paying the |
22 | | funds to the Unclaimed Property Trust Fund. |
23 | | (r) Interactive fantasy sports operators shall develop |
24 | | games that are limited to beginner fantasy sports players and |
25 | | shall prohibit individuals who are not beginner fantasy sports |
26 | | players from participating in those games either directly or |
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1 | | through another person as a proxy. An interactive fantasy |
2 | | sports operator shall suspend the account of an individual who |
3 | | is not a beginner fantasy sports player and who enters a game |
4 | | limited to beginner fantasy sports players and shall ban the |
5 | | player from future play. |
6 | | (s) All interactive fantasy sports operators shall develop |
7 | | games in which highly experienced fantasy sports players cannot |
8 | | participate either directly or through another person as a |
9 | | proxy. An interactive fantasy sports operator shall suspend the |
10 | | account of a highly experienced fantasy sports player who |
11 | | enters a game that excludes highly experienced fantasy sports |
12 | | players directly or through another person as a proxy and shall |
13 | | ban the individual from future play. |
14 | | Section 1-30. Multiple interactive fantasy sports |
15 | | platforms; interactive fantasy sports contests. A licensee may |
16 | | use multiple interactive fantasy sports platforms and offer |
17 | | multiple types of interactive fantasy sports contests. |
18 | | Section 1-35. Advertising. |
19 | | (a) Advertisements of interactive fantasy sports operators |
20 | | shall not feature: (1) minors (other than professional athletes |
21 | | who may be minors), (2) students, (3) schools, colleges, or |
22 | | universities, or (4) school, college, or university settings. |
23 | | However, incidental depiction of non-featured minors or minors |
24 | | accompanying adults shall not be a violation of this subsection |
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1 | | (a). |
2 | | (b) Interactive fantasy sports operators shall not |
3 | | advertise on school, college, or university campuses. |
4 | | (c) Interactive fantasy sports operators shall not |
5 | | advertise at amateur athletic competitions, except to the |
6 | | extent that those competitions are played in stadiums where |
7 | | professional competitions are held and where non-digital |
8 | | advertisements have been posted, erected, or otherwise |
9 | | displayed in a manner that would require substantial effort to |
10 | | remove. |
11 | | Section 1-40. Powers and duties of the Board. |
12 | | (a) The Board has jurisdiction over and shall supervise all |
13 | | interactive fantasy sports contests governed by this Act. The |
14 | | Board has all powers and duties necessary and proper to fully |
15 | | and exclusively execute the provisions of the Act, including, |
16 | | but not limited to, the following: |
17 | | (1) To investigate applicants and determine the |
18 | | eligibility of applicants that best serve the interests of |
19 | | the citizens of Illinois. |
20 | | (2) To provide for the establishment and collection of |
21 | | all fees, fines, and taxes imposed by this Act and the |
22 | | rules adopted under this Act. |
23 | | (3) To suspend, revoke, or restrict licenses; to |
24 | | require the removal of an interactive fantasy sports |
25 | | operator or an employee of an interactive fantasy sports |
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1 | | operator for a violation of this Act; and to impose civil |
2 | | penalties of an amount up to $5,000 against individuals and |
3 | | $10,000 against licensees for each violation of the |
4 | | provisions of this Act. |
5 | | (4) To approve and deny applications for licensure to |
6 | | conduct interactive fantasy sports contests in this State, |
7 | | and to suspend, refuse or renew, or revoke a license issued |
8 | | under this Act. |
9 | | (5) To accept and investigate complaints of any kind |
10 | | from an authorized player and attempt to mediate the |
11 | | complaints where appropriate. |
12 | | (6) To investigate alleged violations of this Act. |
13 | | (7) To initiate proper enforcement proceedings where |
14 | | such action is deemed by the Board to be necessary or |
15 | | appropriate. |
16 | | (8) To exercise all powers and duties assigned by this |
17 | | Act. |
18 | | (b) The Board shall adopt rules to implement the provisions |
19 | | of and effectuate the policy and objectives of this Act as the |
20 | | Board may deem necessary or advisable, including, but not |
21 | | limited to, the development of the initial form of the |
22 | | application for licensure. These rules shall include, but not |
23 | | be limited to, responsible protections with regard to |
24 | | compulsive play and safeguards for fair play. The Board shall |
25 | | not adopt rules limiting or regulating: |
26 | | (1) the rules or the administration of an individual |
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1 | | interactive fantasy sports contest; |
2 | | (2) the statistical makeup of an interactive fantasy |
3 | | sports contest; or |
4 | | (3) the digital interactive fantasy sports platform of |
5 | | an interactive fantasy sports operator. |
6 | | (c) The Board shall adopt emergency rules to administer |
7 | | this Act in accordance with Section 5-45 of the Illinois |
8 | | Administrative Procedure Act. For the purposes of the Illinois |
9 | | Administrative Procedure Act, the General Assembly finds that |
10 | | the adoption of rules to implement this Act is deemed an |
11 | | emergency and necessary for the public interest, safety, and |
12 | | welfare. |
13 | | Section 1-45. Annual report. |
14 | | (a) Each licensee shall annually submit a report to the |
15 | | Board by no later than June 30 of each year that shall include |
16 | | the following information as it applies to accounts held by |
17 | | authorized players located in this State: |
18 | | (1) the number of accounts held by authorized players |
19 | | on all interactive fantasy sports platforms offered by the |
20 | | interactive fantasy sports operator and the number of |
21 | | accounts held by highly experienced players on all |
22 | | interactive fantasy sports platforms offered by the |
23 | | interactive fantasy sports operator; |
24 | | (2) the total number of new accounts established in the |
25 | | preceding year as well as the total number of accounts |
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1 | | permanently closed in the preceding year; |
2 | | (3) the total amount of entry fees received from |
3 | | authorized players; |
4 | | (4) the total amount of prizes awarded to authorized |
5 | | players; |
6 | | (5) the total amount of interactive fantasy sports |
7 | | gross revenue received by the licensee; and |
8 | | (6) the total number of authorized players that |
9 | | requested to exclude themselves from interactive fantasy |
10 | | sports contests. |
11 | | (b) The Board shall annually publish a report based on the |
12 | | aggregate information provided by all interactive fantasy |
13 | | sports operators in accordance with this Section, that shall be |
14 | | published on the Board's website no later than 180 days after |
15 | | the deadline for the submission of individual reports as |
16 | | specified in this Section. |
17 | | Section 1-50. State tax. |
18 | | (a) A privilege tax is imposed on persons engaged in the |
19 | | business of operating an interactive fantasy sports contest in |
20 | | this State. For the privilege of conducting interactive fantasy |
21 | | sports contests in the State, interactive fantasy sports |
22 | | operators shall pay a tax at the following graduated rates: |
23 | | (1) 5% of annual interactive fantasy sports gross |
24 | | revenue up to and including $1,000,000; |
25 | | (2) 7.5% of annual interactive fantasy sports gross |
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1 | | revenue in excess of $1,000,000 but not exceeding |
2 | | $3,000,000; |
3 | | (3) 10% of annual interactive fantasy sports gross |
4 | | revenue in excess of $3,000,000 but not exceeding |
5 | | $8,000,000; |
6 | | (4) 15% of annual interactive fantasy sports gross |
7 | | revenue in excess of $8,000,000. |
8 | | (b) The tax imposed by this Section shall be paid by the |
9 | | interactive fantasy sports operator to the Board not later than |
10 | | the 15th day of every month for the previous month's privilege |
11 | | taxes. |
12 | | Section 1-55. Disposition of taxes. The Board shall pay |
13 | | into the Education Assistance Fund all taxes imposed by this |
14 | | Act, any interest and penalties imposed by the Board relating |
15 | | to those taxes, all penalties levied and collected by the |
16 | | Board, and the appropriate funds, cash, or prizes forfeited |
17 | | from interactive fantasy sports contests. |
18 | | Section 1-60. Audits. All interactive fantasy sports |
19 | | operators with annual interactive fantasy sports contest gross |
20 | | revenue of $100,000 or more shall annually be subject to an |
21 | | audit of the financial transactions and condition of the |
22 | | interactive fantasy sports operator's total operations as they |
23 | | relate to the offering and operating of interactive fantasy |
24 | | sports contests and to ensure compliance with all of the |
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1 | | requirements in this Act. Interactive fantasy sports operators |
2 | | with annual interactive fantasy sports contest gross revenues |
3 | | less than $100,000 shall every 3 years be subject to an audit |
4 | | of the financial transactions and condition of the interactive |
5 | | fantasy sports operator's total operations as they relate to |
6 | | the offering and operating of interactive fantasy sports |
7 | | contests and to ensure compliance with all of the requirements |
8 | | in this Act. All audits and compliance engagements shall be |
9 | | conducted by certified public accountants or an independent |
10 | | testing laboratory approved by the Board. The compensation for |
11 | | each certified public accountant or independent testing |
12 | | laboratory shall be paid directly by the interactive fantasy |
13 | | sports operator to the certified public accountant or |
14 | | independent testing laboratory. The audit shall be conducted |
15 | | and submitted to the Board by June 30 of each year. |
16 | | Section 1-65. Limitation on the taxation of interactive |
17 | | fantasy sports operators. Interactive fantasy sports operators |
18 | | shall not be subjected to an excise tax, license tax, permit |
19 | | tax, privilege tax, amusement tax, or occupation tax that is |
20 | | imposed upon the licensee by the State or any political |
21 | | subdivision thereof, except as provided in this Act. |
22 | | Section 1-70. Application fees; license fees. |
23 | | (a) A non-refundable application fee shall be paid at the |
24 | | time an application for licensure is filed with the Board in |
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1 | | the following amounts: |
2 | | (1) Interactive fantasy sports operators with annual |
3 | | interactive fantasy sports gross revenue greater than |
4 | | $10,000,000 ......................................... $25,000 |
5 | | (2) Interactive fantasy sports operators with annual |
6 | | interactive fantasy sports gross revenue greater than |
7 | | $5,000,000 but not more than $10,000,000 ............ $12,500 |
8 | | (3) Interactive fantasy sports operators with annual |
9 | | interactive fantasy sports gross revenue greater than |
10 | | $1,000,000 but not more than $5,000,000 .............. $7,500 |
11 | | (4) Interactive fantasy sports operators with annual |
12 | | interactive fantasy sports gross revenue of at least |
13 | | $100,000 but not more than $1,000,000 ................ $5,000 |
14 | | (5) Interactive fantasy sports operators with annual |
15 | | interactive fantasy sports gross revenue less than |
16 | | $100,000 ............................................... $500 |
17 | | (b) The Board shall establish a fee for each license not to |
18 | | exceed the following for the initial licensure period: |
19 | | (1) Interactive fantasy sports operators with annual |
20 | | interactive fantasy sports gross revenue greater than |
21 | | $10,000,000 ......................................... $50,000 |
22 | | (2) Interactive fantasy sports operators with annual |
23 | | interactive fantasy sports gross revenue greater than |
24 | | $5,000,000 but not more than $10,000,000 ............ $25,000 |
25 | | (3) Interactive fantasy sports operators with annual |
26 | | interactive fantasy sports gross revenue greater than |
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1 | | $1,000,000 but not more than $5,000,000 ..............$15,000 |
2 | | (4) Interactive fantasy sports operators with annual |
3 | | interactive fantasy sports gross revenue of at least |
4 | | $100,000 but not more than $1,000,000 ............... $10,000 |
5 | | (5) Interactive fantasy sports operators with annual |
6 | | interactive fantasy sports gross revenue less than |
7 | | $100,000 ............................................. $1,500 |
8 | | (c) For subsequent licensure periods, the renewal fee shall |
9 | | not exceed the following: |
10 | | (1) Interactive fantasy sports operators with annual |
11 | | interactive fantasy sports gross revenue greater than |
12 | | $10,000,000 ......................................... $37,500 |
13 | | (2) Interactive fantasy sports operators with annual |
14 | | interactive fantasy sports gross revenue greater than |
15 | | $5,000,000 but not more than $10,000,000 ............ $18,750 |
16 | | (3) Interactive fantasy sports operators with annual |
17 | | interactive fantasy sports gross revenue greater than |
18 | | $1,000,000 but not more than $5,000,000 ............. $11,250 |
19 | | (4) Interactive fantasy sports operators with annual |
20 | | interactive fantasy sports gross revenue of at least |
21 | | $100,000 but not more than $1,000,000 .................$7,500 |
22 | | (5) Interactive fantasy sports operators with annual |
23 | | interactive fantasy sports gross revenue less than |
24 | | $100,000 ............................................. $1,125 |
25 | | (d) All fees collected under this Section shall be |
26 | | deposited into the State Gaming Fund. |
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1 | | (e) All fees collected under this Section shall be used for |
2 | | the administration of this Act. |
3 | | Section 1-75. Interactive fantasy sports contests |
4 | | authorized. Interactive fantasy sports contests conducted in |
5 | | accordance with the provisions of this Act are hereby |
6 | | authorized. |
7 | | Section 1-80. Interactive fantasy sports contests |
8 | | prohibited. The conduct of interactive fantasy sports contests |
9 | | by unlicensed operators is prohibited. |
10 | | Section 1-85. Interactive fantasy sports contests; |
11 | | Criminal Code of 2012. Interactive fantasy sports contests |
12 | | offered in accordance with the provisions of this Act shall not |
13 | | constitute gambling as defined in Section 28-1 of the Criminal |
14 | | Code of 2012. |
15 | | Section 1-900. Repeal. This Act is repealed on January 1, |
16 | | 2021. |
17 | | Article 5. Internet Gaming Act |
18 | | Section 5-1. Short title. This Article may be cited as the |
19 | | Internet Gaming Act. References in
this Article to "this Act" |
20 | | mean this Article. |
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1 | | Section 5-5. Legislative findings and intent. The General |
2 | | Assembly finds that the Internet has become an integral part of |
3 | | everyday life for a significant number of Illinois residents, |
4 | | not only in regard to their professional life, but also in |
5 | | regard to personal business and communication. Internet |
6 | | wagering on games of chance and games of skill is a core form |
7 | | of entertainment for millions of individuals worldwide. In |
8 | | multiple jurisdictions across the world, Internet gaming is |
9 | | legal, regulated, and taxed, generating millions of dollars in |
10 | | revenue for governments. |
11 | | The General Assembly further finds that Illinois residents |
12 | | participate in illegal online gambling on unregulated Internet |
13 | | websites operated by offshore operators who are not subject to |
14 | | regulation or taxation in the United States. Neither federal |
15 | | nor Illinois laws provide sufficient consumer protections for |
16 | | Illinois residents who play games of chance or skill on these |
17 | | illegal websites, nor does the State realize any benefits from |
18 | | the revenues generated nor jobs created by illegal online |
19 | | gaming. |
20 | | In an opinion dated September 20, 2011, the United States |
21 | | Department of Justice reversed its previous interpretation of |
22 | | the federal Wire Act, 18 U.S.C. 1084, allowing states, subject |
23 | | to certain restrictions, to legalize and regulate Internet |
24 | | gaming and capture the revenue for the benefit of state |
25 | | governments. The Department of Justice's opinion was prompted |
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1 | | in part by a request made by the Department of Revenue pursuant |
2 | | to Public Act 96-34. In order to protect Illinois residents who |
3 | | wager on games of chance and skill through the Internet and to |
4 | | capture revenues and create jobs generated from Internet |
5 | | gaming, it is in the best interest of the State and its |
6 | | citizens to regulate this activity by authorizing and |
7 | | establishing a secure, responsible, fair, and legal system of |
8 | | Internet gaming that complies with the United States Department |
9 | | of Justice's September 2011 opinion concerning the federal Wire |
10 | | Act. |
11 | | The General Assembly additionally finds that pursuant to |
12 | | the federal Unlawful Internet Gambling Enforcement Act of 2006 |
13 | | (UIGEA), 31 U.S.C. 5361, the provisions of this Act are |
14 | | consistent and comply with the UIGEA and specifically authorize |
15 | | use of the Internet to place, receive, or otherwise knowingly |
16 | | transmit a bet or wager where Internet wagering complies with |
17 | | this Act and rules adopted pursuant to this Act. |
18 | | Section 5-10. Definitions. As used in this Act: |
19 | | "Authorized participant" means a person who has a valid |
20 | | Internet wagering account with an Internet gaming licensee and |
21 | | is at least 21 years of age.
|
22 | | "Board" means the Illinois Gaming Board. |
23 | | "Division" means the Division of Internet Gaming within the |
24 | | Illinois Gaming Board. |
25 | | "Fee-based game" means a game determined by the Division to |
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1 | | be a fee-based game, where the Internet gaming licensee charges |
2 | | a fee, rake, or commission for operating the game.
|
3 | | "Gross fee-based gaming revenue" means the fee, rake, or |
4 | | commission charged by the Internet gaming licensee for |
5 | | operation of fee-based games.
|
6 | | "Gross gaming revenue" is the aggregate of gross fee-based |
7 | | gaming revenue and gross non-fee-based gaming revenue. |
8 | | "Gross non-fee-based gaming revenue" means the aggregate |
9 | | of the amount of net wins received on all non-fee-based games.
|
10 | | "Internet" means the international computer network of |
11 | | interoperable packet-switched data networks, inclusive of such |
12 | | additional technological platforms as mobile, satellite, and |
13 | | other electronic distribution channels approved by the Board.
|
14 | | "Internet game" means a fee-based or non-fee-based game of |
15 | | skill or chance that is offered by an Internet gaming licensee, |
16 | | as authorized by the Board.
"Internet game" includes gaming |
17 | | tournaments conducted via the Internet in which players compete |
18 | | against one another in one or more of the games authorized in |
19 | | this definition or by the Division or in approved variations or |
20 | | composites as authorized by the Division. "Internet game" does |
21 | | not include an interactive fantasy sports contest under the |
22 | | Fantasy Sports Contest Act. |
23 | | "Internet gaming licensee" means a person, corporation, |
24 | | partnership, or other entity receiving an Internet gaming |
25 | | license from the Board to conduct Internet wagering. |
26 | | "Internet gaming platform" means the combination of |
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1 | | hardware and software or other technology designed and used to |
2 | | manage, conduct, and record Internet gaming and the wagers |
3 | | associated with internet gaming, as approved by the Board. |
4 | | "Internet gaming platform" includes an emerging or new |
5 | | technology deployed to advance the conduct and operation of |
6 | | Internet gaming, as approved through rulemaking by the Board. |
7 | | "Internet gaming skin" means the brand used by the Internet |
8 | | gaming licensee as presented through a portal, Internet |
9 | | website, or computer or mobile application or app through which |
10 | | authorized Internet gaming is made available to authorized |
11 | | participants by an Internet gaming licensee.
|
12 | | "Internet gaming vendor" means a person, corporation, |
13 | | partnership, or other entity that is certified by the Division |
14 | | to provide or offer to provide goods, software, or services to |
15 | | an Internet gaming licensee related to or supporting: (i) the |
16 | | acceptance, testing, auditing, management, operation, support, |
17 | | administration, or control of Internet wagers, Internet games, |
18 | | Internet wagering accounts, or Internet gaming platforms or |
19 | | (ii) the management, operation, administration, or control of |
20 | | payment processing systems. Notwithstanding this definition, |
21 | | the licensing of trademarks, names, likenesses, graphics, or |
22 | | other images, without more, shall not render a licensor of such |
23 | | intellectual property an Internet gaming vendor. |
24 | | "Internet wagering" means the placing of wagers with an |
25 | | Internet gaming licensee by persons who are either physically |
26 | | present in Illinois when placing a wager or otherwise permitted |
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1 | | to place a wager by law. The intermediate routing of electronic |
2 | | data in connection with Internet wagering, including across |
3 | | state lines, shall not determine the location or locations in |
4 | | which a wager is initiated, received, or otherwise made. |
5 | | "Internet wagering account" means an electronic ledger |
6 | | wherein the following types of transactions relative to the |
7 | | Internet gaming platform are recorded: (i) deposits; (ii) |
8 | | withdrawals; (iii) amounts wagered; (iv) amounts paid on |
9 | | winning wagers; (v) service or other transaction-related |
10 | | charges authorized by the patron, if any; (vi) adjustments to |
11 | | the account; and (vii) any other information required by the |
12 | | Division. |
13 | | "Net wins" means the amount of Internet wagers received by |
14 | | the Internet gaming licensee on non-fee based games less the |
15 | | amount paid by the Internet gaming licensee as winnings on that |
16 | | non-fee based game.
|
17 | | "Non-fee-based game" means a game determined by the Board |
18 | | to be a non-fee-based game, where (i) the player plays against |
19 | | the Internet gaming licensee and (ii) the Internet gaming |
20 | | licensee is banking the game and its bottom line is affected by |
21 | | players' wins and losses. |
22 | | Section 5-15. Authorization. Internet wagering, as |
23 | | defined in this Act, is hereby authorized to the extent that it |
24 | | is carried out in accordance with the provisions of this Act. |
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1 | | Section 5-20. Division of Internet Gaming. The Division of |
2 | | Internet Gaming is established within the Illinois Gaming Board |
3 | | and shall have all of the powers and duties specified in this |
4 | | Act and all other powers necessary and proper to enable it to |
5 | | fully and effectively execute the provisions of this Act for |
6 | | the purpose of administering, regulating, and enforcing the |
7 | | system of Internet gaming established by this Act. The Division |
8 | | of Internet Gaming's jurisdiction shall extend under this Act |
9 | | to every person, corporation, partnership, or other entity |
10 | | involved in Internet gaming operations. To the extent |
11 | | consistent with the provisions of this Act, the Division shall |
12 | | be subject to and governed by the laws and rules applicable to |
13 | | the Board. The Division of Internet Gaming is also authorized |
14 | | to enter into agreements with other gaming entities within the |
15 | | United States, including any State or United States territory |
16 | | or possession, for the purpose of facilitating, administering, |
17 | | and regulating Internet gaming to the extent consistent with |
18 | | federal laws and the laws of any State or United States |
19 | | territory or possession that is a party to the |
20 | | multijurisdictional agreement. The Division shall not |
21 | | authorize, administer, or otherwise maintain a system for |
22 | | offering wagering on any amateur or professional sporting event |
23 | | or contest. Notwithstanding any other provision of this Act, |
24 | | wagers may be accepted from persons who are in the United |
25 | | States but not physically present in this State if the Division |
26 | | determines that such wagering is not inconsistent with federal |
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1 | | law and the law of the United States jurisdiction in which any |
2 | | such person is located or such wagering is conducted in |
3 | | accordance with a multijurisdictional agreement that is not |
4 | | inconsistent with federal law to which this State is a party. |
5 | | The Division shall be funded with moneys appropriated to the |
6 | | Illinois Gaming Board. |
7 | | Section 5-25. Application and eligibility for licensure. |
8 | | The Division of Internet Gaming is authorized to issue Internet |
9 | | gaming licenses to persons, firms, partnerships, or |
10 | | corporations that apply for such licensure upon a determination |
11 | | by the Division that the applicant is eligible for an Internet |
12 | | gaming license under this Act and rules adopted by the |
13 | | Division. An Internet gaming license issued under this Act |
14 | | shall be valid for a period of 5 years after the date of |
15 | | issuance and shall be renewable thereafter for an additional 5 |
16 | | years based on a determination by the Division that the |
17 | | licensee continues to meet all the requirements of this Act and |
18 | | the Division's rules. Notwithstanding any other law to the |
19 | | contrary, any assignment or transfer of an interest in an |
20 | | Internet gaming license, or a greater than 10% interest, direct |
21 | | or indirect, in any entity holding such a license, is subject |
22 | | to the written approval by the Division. Approved transferees |
23 | | are subject to a $250,000 non-refundable application fee. |
24 | | Eligibility for application for an Internet
gaming license |
25 | | shall be limited to any
person or entity that holds a valid and |
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1 | | unrevoked: (i) owners
license issued pursuant to the Riverboat |
2 | | Gambling Act, or any affiliate thereof as defined by the Board |
3 | | in its administrative rules implementing such Act, or any |
4 | | person or entity who as of January 1, 2017 was designated by |
5 | | the Illinois Gaming Board as a key person of an owners licensee |
6 | | or is controlled by one or more key persons of an owners |
7 | | licensee; (ii) organization license issued pursuant to the |
8 | | Illinois Horse Racing Act of 1975, but only if the organization |
9 | | licensee conducted live racing in calendar year 2016; (iii) |
10 | | advance deposit wagering license issued pursuant to the |
11 | | Illinois Horse Racing Act of 1975, but only if the advance |
12 | | deposit wagering licensee conducted advance deposit wagering |
13 | | in Illinois in calendar year 2016. No Internet gaming license |
14 | | shall be granted to any applicant that has accepted, that has |
15 | | or had an affiliate that has accepted, or that has officers or |
16 | | directors who are or have been officers or directors of another |
17 | | party that accepted wagers via the Internet in contravention of |
18 | | this Act, Illinois law, or United States law in the 5 years |
19 | | preceding the application date. |
20 | | A qualified applicant may apply to the Division for an |
21 | | Internet gaming license to offer wagering on Internet games as |
22 | | provided in this Act. The application shall be made on forms |
23 | | provided by the Division and shall contain such information as |
24 | | the Division prescribes, including, but not limited to, |
25 | | detailed information regarding the ownership and management of |
26 | | the applicant, detailed personal information regarding the |
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1 | | applicant, financial information regarding the applicant, and |
2 | | the gaming history and experience of the applicant in the |
3 | | United States and other jurisdictions. Each application shall |
4 | | be accompanied by a non-refundable application fee of $250,000. |
5 | | An incomplete application shall be cause for denial of a |
6 | | license by the Division. |
7 | | All information, records, interviews, reports, statements, |
8 | | memoranda, or other data supplied to or used by the Division in |
9 | | the course of its review or investigation of an application for |
10 | | an Internet gaming license or a renewal under this Act is |
11 | | subject to Section 5.1 and Section (d) of Section 6 of the |
12 | | Riverboat Gambling Act. |
13 | | Any person, association, corporation, partnership, or |
14 | | entity who (i) knowingly makes materially false statements in |
15 | | order to obtain an Internet gaming license; (ii) knowingly |
16 | | advertises within the State of Illinois any game, product, or |
17 | | feature that is not authorized by his or her license; or (iii) |
18 | | violates any other provision of this Act or any rule adopted |
19 | | under this Act is guilty of a Class B misdemeanor for the first |
20 | | violation and is guilty of a Class A misdemeanor for a second |
21 | | or subsequent violation. In the case of an association, |
22 | | corporation, partnership, or entity, imprisonment may be |
23 | | imposed upon its officers who knowingly participated in the |
24 | | violation. |
25 | | An application shall be filed and considered in accordance |
26 | | with the rules of the Division. The Division shall adopt rules |
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1 | | to effectuate the provisions of this Section within 30 days |
2 | | after the effective date of this Act. |
3 | | A license fee of $10,000,000 shall be paid to the Division |
4 | | by an Internet gaming licensee at the time of issuance of the |
5 | | license. All application and license fees shall be deposited |
6 | | into the State Gaming Fund. The license fee imposed by this |
7 | | Section shall constitute an advance payment of Internet |
8 | | wagering taxes owed by the Internet gaming licensee under |
9 | | Section 5-55 of this Act. |
10 | | Section 5-30. Certification of Internet gaming vendors. |
11 | | The Division is authorized to certify Internet gaming vendors |
12 | | to provide goods, software, or services to Internet gaming |
13 | | licensees. Certification by the Division of an Internet gaming |
14 | | vendor shall be for a period of 5 years and shall be renewable |
15 | | thereafter for an additional 5 years based on a determination |
16 | | by the Division that the Internet gaming vendor continues to |
17 | | meet all the requirements of this Act and the Division's rules. |
18 | | The Division shall have the sole and exclusive jurisdiction to |
19 | | determine what persons, corporations, partnerships, or other |
20 | | entities require certification under this Act and the rules |
21 | | adopted under this Act. |
22 | | A person, corporation, partnership, or other entity may |
23 | | apply to the Division to become an Internet gaming vendor as |
24 | | provided in this Act and the rules of the Division. The |
25 | | application shall be made on forms provided by the Division and |
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1 | | shall contain such information as the Division prescribes, |
2 | | including, but not limited to, detailed information regarding |
3 | | the ownership and management of the applicant, detailed |
4 | | personal information regarding the applicant, financial |
5 | | information regarding the applicant, and the gaming history and |
6 | | experience of the applicant in the United States and other |
7 | | jurisdictions. Each application shall be accompanied by a |
8 | | non-refundable application fee, the amount of which shall be |
9 | | determined by the Division, but shall not exceed $250,000. An |
10 | | incomplete application shall be cause for denial of |
11 | | certification. No certification shall be granted to an Internet |
12 | | gaming vendor who has accepted wagers via the Internet in |
13 | | contravention of this Act or in contravention of any law of the |
14 | | United States. |
15 | | All information, records, interviews, reports, statements, |
16 | | memoranda, or other data supplied to or used by the Division in |
17 | | the course of its review or investigation of an application for |
18 | | certification as an Internet gaming vendor is strictly |
19 | | confidential and shall only be used for the purpose of |
20 | | evaluating an applicant for a certification. Notwithstanding |
21 | | any law to the contrary, such information is subject to Section |
22 | | 5.1 and subsection (d) of Section 6 of the Riverboat Gambling |
23 | | Act. |
24 | | Any person, association, corporation, partnership, or |
25 | | entity who (i) knowingly makes materially false statements in |
26 | | order to obtain certification as an Internet gaming vendor or |
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1 | | (ii) violates any other provision of this Act or any rule |
2 | | adopted under this Act is guilty of a Class B misdemeanor for a |
3 | | first offense and is guilty of a Class A misdemeanor for a |
4 | | second or subsequent offense. In the case of an association, |
5 | | corporation, partnership, or entity, imprisonment may be |
6 | | imposed upon its officers who knowingly participate in the |
7 | | violation. |
8 | | The Board shall adopt rules to ensure that all licensees |
9 | | are treated and all licensees act in a non-discriminatory |
10 | | manner and develop processes and penalties to enforce those |
11 | | rules. |
12 | | Section 5-35. Authority of the Division. |
13 | | (a) The Division shall have all the powers necessary or |
14 | | desirable to effectuate the provisions of this Act, including, |
15 | | but not limited to, the following powers: |
16 | | (1) To develop qualifications, standards, and |
17 | | procedures for approval and licensure of Internet gaming |
18 | | licensees and certification of Internet gaming vendors. |
19 | | (2) To decide promptly and in reasonable order all |
20 | | license applications and to approve, deny, suspend, |
21 | | revoke, restrict, or refuse to renew Internet gaming |
22 | | licenses and Internet gaming vendor certifications. Any |
23 | | party aggrieved by an action of the Division denying, |
24 | | suspending, revoking, restricting, or refusing to renew a |
25 | | license may request a hearing before the Division. A |
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1 | | request for hearing must be made to the Division in writing |
2 | | within 5 days after service of notice of the action by the |
3 | | Division. Notice of action by the Division shall be served |
4 | | either by personal delivery or by certified mail, postage |
5 | | prepaid, to the aggrieved party. Notice served by certified |
6 | | mail shall be deemed complete on the business day following |
7 | | the date of such mailing. The Division shall conduct all |
8 | | requested hearings promptly and in reasonable order. |
9 | | (3) To conduct all hearings pertaining to civil |
10 | | violations of this Act or rules adopted under this Act. |
11 | | Such hearings shall be governed by Section 5 of the |
12 | | Riverboat Gambling Act. The Division shall further adopt |
13 | | hearing rules and procedures for conducting hearings under |
14 | | this Act. In such hearings, reproduced copies of any of the |
15 | | Division's records relating to an Internet gaming licensee |
16 | | or Internet gaming vendor, including (i) any notices |
17 | | prepared in the Division's ordinary course of business and |
18 | | (ii) any books, records, or other documents offered in the |
19 | | name of the Division under certificate of the Executive |
20 | | Director, or any officer or employee of the Division |
21 | | designated in writing by the Executive Director, shall, |
22 | | without further proof, be admitted into evidence in any |
23 | | hearing before the hearing officers or any legal proceeding |
24 | | and shall be prima facie proof of the information contained |
25 | | therein.
The Office of the Attorney General shall prosecute |
26 | | all criminal violations of this Act or rules adopted under |
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1 | | this Act. |
2 | | (4) To provide for the establishment and collection of |
3 | | all license and certification fees and taxes imposed by |
4 | | this Act and the rules adopted under this Act. All such |
5 | | fees and taxes shall be deposited into the State Gaming |
6 | | Fund. |
7 | | (5) To develop and enforce testing, audit, and |
8 | | certification requirements and schedules for Internet |
9 | | gaming platforms, Internet gaming skins, Internet |
10 | | wagering, and Internet wagering accounts, including, |
11 | | without limitation, age and identification verification |
12 | | software, geolocation software, Internet games, and gaming |
13 | | hub software. |
14 | | (6) To develop and enforce requirements for |
15 | | responsible gaming and player protection, including |
16 | | privacy and confidentiality standards and duties. |
17 | | (7) To develop and enforce requirements for accepting |
18 | | Internet wagers, Internet wagering accounts, and |
19 | | authorized participants and minimum insurance |
20 | | requirements. |
21 | | (8) To develop and promote standards governing |
22 | | contracts between Internet gaming licensees and the |
23 | | payments industry. |
24 | | (9) To develop and enforce standards and requirements |
25 | | regarding anti-fraud, anti-money laundering, and |
26 | | anti-collusion methods. |
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1 | | (10) To develop protocols related to the security of |
2 | | and disputes arising over Internet wagers and Internet |
3 | | wagering accounts. |
4 | | (11) To be present through its inspectors and agents |
5 | | upon the premises of any location where Internet gaming |
6 | | operations are conducted by an Internet gaming licensee or |
7 | | where components of an Internet gaming licensee's Internet |
8 | | gaming platform are located, housed, or otherwise |
9 | | maintained. |
10 | | (12) To adopt by rule a code of conduct governing |
11 | | Division employees that ensures, to the maximum extent |
12 | | possible, that persons subject to this Act avoid |
13 | | situations, relationships, or associations that may |
14 | | represent or lead to an actual or perceived conflict of |
15 | | interest. |
16 | | (13) To develop and administer civil penalties for |
17 | | Internet gaming licensees and Internet gaming vendors who |
18 | | violate this Act or the rules adopted under this Act. |
19 | | (14) To audit and inspect, on reasonable notice, books |
20 | | and records relevant to Internet gaming operations, |
21 | | Internet wagers, Internet wagering accounts, Internet |
22 | | gaming skins, Internet games, or Internet gaming |
23 | | platforms, including, without limitation, those books and |
24 | | records regarding financing or accounting, marketing or |
25 | | operational materials, or any other such materials held by |
26 | | or in the custody of any Internet gaming licensee or |
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1 | | Internet gaming vendor. The Division may assert such |
2 | | authority by administrative subpoena, which may further |
3 | | set forth relevant document requests and interrogatories |
4 | | and which shall be enforceable in the Circuit Court of Cook |
5 | | County in the State of Illinois. |
6 | | (15) To determine whether an Internet game is a |
7 | | fee-based game or non-fee-based game. |
8 | | (16) To acquire or lease real property and make |
9 | | improvements thereon and acquire by lease or by purchase |
10 | | personal property, including, but not limited to: |
11 | | (A) computer hardware; |
12 | | (B) mechanical, electronic, and online equipment |
13 | | and terminals; and |
14 | | (C) intangible property, including, but not |
15 | | limited to, computer programs, software, and systems. |
16 | | (17) To adopt rules for the purpose of administering |
17 | | the provisions of this Act and to prescribe rules and |
18 | | conditions under which all Internet gaming in the State |
19 | | shall be conducted. Such rules are to provide for the |
20 | | prevention of practices detrimental to the public interest |
21 | | and for the best interests of Internet gaming, including |
22 | | rules (i) regarding the inspection of licensees and the |
23 | | review of any permits or licenses necessary to operate |
24 | | under any applicable laws or rules, (ii) to impose |
25 | | penalties for violations of this Act and its rules, and |
26 | | (iii) establishing standards for advertising of Internet |
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1 | | gaming. |
2 | | (b) The Division shall adopt and enforce such rules |
3 | | governing the administration and conduct of Internet gaming as |
4 | | it deems necessary to carry out the purpose of this Act. These |
5 | | rules shall be subject to the provisions of the Illinois |
6 | | Administrative Procedure Act and may include, but shall not be |
7 | | limited to: |
8 | | (1) the types of Internet games to be offered; |
9 | | (2) price points for Internet games; |
10 | | (3) player fees and percentage of rake commission or |
11 | | other fee for Internet games; |
12 | | (4) forms of payment accepted for Internet games; |
13 | | (5) the number, type, and amount of prizes for Internet |
14 | | games; |
15 | | (6) the method of selecting winners and validating |
16 | | winnings; |
17 | | (7) the frequency of Internet games; |
18 | | (8) responsible gaming; |
19 | | (9) technical and financial standards for Internet |
20 | | wagering, Internet wagering accounts, and Internet gaming |
21 | | platforms, systems, and software or other electronic |
22 | | components for Internet gaming; and |
23 | | (10) such other matters necessary or desirable for the |
24 | | efficient and economical operation and administration of |
25 | | Internet gaming and for the convenience of authorized |
26 | | Internet gaming participants and Internet gaming licensees |
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1 | | and certified Internet gaming vendors.
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2 | | (c) Notwithstanding any law to the contrary, the Board |
3 | | shall hire an Executive Director of the Division for a 5-year |
4 | | term who shall be responsible to the Board and shall serve |
5 | | subject only to removal by the Board for incompetence, neglect |
6 | | of duty, or malfeasance in office. The Executive Director shall |
7 | | be responsible for the supervision and direction of the |
8 | | Division staff and for the necessary administrative activities |
9 | | of the Division, subject only to the direction and approval of |
10 | | the Board notwithstanding any law to the contrary. |
11 | | Notwithstanding any law to the contrary, the Executive |
12 | | Director shall hire and employ employees as may be necessary to |
13 | | carry out the provisions of this Act or to perform the duties |
14 | | and exercise the powers conferred by law upon the Division. All |
15 | | employees of the Division shall receive the compensation fixed |
16 | | by the Executive Director, and approved by the Board. The |
17 | | Board, Executive Director, and Division employees shall be |
18 | | reimbursed for all actual and necessary traveling and other |
19 | | expenses and disbursements necessarily incurred or made by them |
20 | | in the discharge of their official duties. The Board and |
21 | | Executive Director may also incur necessary expenses for office |
22 | | space, furniture, stationery, printing, operations, and other |
23 | | incidental expenses. |
24 | | The Executive Director shall report monthly to the Gaming |
25 | | Board a full and complete statement of Internet gaming |
26 | | revenues, other expenses for each month, and the amounts to be |
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1 | | transferred to the State Gaming Fund in accordance with this |
2 | | Act. The Executive Director shall also make an annual report, |
3 | | which shall include a full and complete statement of Internet |
4 | | gaming revenues and other expenses, that shall be publicly |
5 | | disclosed on the Board's Internet website. All reports required |
6 | | by this subsection shall be public, and copies of all such |
7 | | reports shall be sent to the Speaker of the House of |
8 | | Representatives, the President of the Senate, the Minority |
9 | | Leader of the House of Representatives, and the Minority Leader |
10 | | of the Senate. |
11 | | The Executive Director shall apprise himself or herself of: |
12 | | (i) the operation and the administration of similar Internet |
13 | | gaming laws that may be in effect in other states or countries; |
14 | | (ii) any relevant literature on Internet gaming that from time |
15 | | to time may be published or available; (iii) any federal laws |
16 | | and regulations that may affect the operation of Internet |
17 | | gaming; and (iv) the reaction of Illinois citizens to existing |
18 | | and potential features of Internet gaming with a view to |
19 | | recommending or effecting changes that will tend to serve the |
20 | | purposes of this Act.
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21 | | Section 5-40. Internet gaming skins.
Each internet gaming |
22 | | licensee shall be limited to not more than 2 Internet gaming |
23 | | skins, each of which must reflect a brand owned by the licensee |
24 | | or any affiliate of the licensee in the United States. |
25 | | As used in this Section, "affiliate" means a person that |
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1 | | directly, or indirectly through one or more intermediaries, |
2 | | controls, is controlled by, or is under common control with a |
3 | | licensee.
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4 | | Section 5-45. Place of public accommodation. |
5 | | (a) No organization or commercial enterprise shall operate |
6 | | a place of public accommodation, club, including a club or |
7 | | association limited to dues-paying members or similar |
8 | | restricted groups, or similar establishment in which computer |
9 | | terminals or similar access devices are advertised or made |
10 | | available to be used principally for the purpose of accessing |
11 | | Internet games. No holder of (i) an owners license issued under |
12 | | the Riverboat Gambling Act or (ii) an organization license or |
13 | | advance deposit wagering license under the Illinois Horse |
14 | | Racing Act of 1975 shall offer or make available computer |
15 | | terminals or similar access devices to be used principally for |
16 | | the purpose of accessing Internet games within the premises of |
17 | | such license holder. |
18 | | (b) Nothing in this Section shall be construed:
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19 | | (1) to require the owner or operator of a hotel or |
20 | | motel or other public place of general use in this State to |
21 | | prohibit or block guests from playing Internet games; or |
22 | | (2) to require an Internet gaming license holder to |
23 | | prohibit authorized participants within the premises of |
24 | | the license holder from playing Internet games. |
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1 | | Section 5-50. Age verification and responsible gaming. |
2 | | (a) An Internet gaming licensee's Internet gaming platform |
3 | | shall provide one or more mechanisms to reasonably verify that |
4 | | a participant is 21 years of age or older and that wagering on |
5 | | Internet games is limited to transactions that are initiated |
6 | | and received or otherwise made exclusively within the State of |
7 | | Illinois. A participant must satisfy the verification |
8 | | requirements before he or she may establish an Internet gaming |
9 | | account and wager on Internet games offered by Internet gaming |
10 | | licensees. All servers on which any Internet games are operated |
11 | | and conducted, and all underlying material technology, shall be |
12 | | located in the State of Illinois, unless the Division has |
13 | | otherwise authorized another location, which the Division may |
14 | | so authorize in its discretion if it maintains the ability to |
15 | | access or obtain all relevant data from such servers in such |
16 | | manner as it may specify. At such a time that a legally |
17 | | compliant mechanism is established to permit wagering on |
18 | | Internet games by individuals physically located outside of the |
19 | | State, the Division may adopt rules and procedures to allow and |
20 | | govern wagering by those individuals and shall have the |
21 | | authority to enter into multijurisdictional agreements and |
22 | | related and ancillary agreements in order to effectuate such |
23 | | wagering. An Internet gaming licensee's Internet gaming |
24 | | platform shall also provide mechanisms designed to detect and |
25 | | prevent the unauthorized use of Internet wagering accounts and |
26 | | to detect and prevent fraud, money laundering, and collusion. |
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1 | | If a participant in Internet gaming violates any provision of |
2 | | this Act or rule adopted by the Division, then the |
3 | | participant's winnings shall be forfeited. Forfeited winnings |
4 | | shall be deposited into the State Gaming Fund. |
5 | | The following persons shall not be authorized to establish |
6 | | Internet gaming accounts or wager on Internet games offered by |
7 | | Internet gaming licensees, except where required and |
8 | | authorized by the Division for testing purposes or to otherwise |
9 | | fulfill the purposes set forth in this Act: (i) a minor under |
10 | | 21 years of age; (ii) a current member of the Lottery Control |
11 | | Board; (iii) a current officer or other person employed by the |
12 | | Department of the Lottery, the Division of Internet Gaming, the |
13 | | Illinois Racing Board, or the Illinois Gaming Board; (iv) a |
14 | | spouse, civil union partner, child, brother, sister, or parent |
15 | | residing as a member of the same household in the principal |
16 | | place of abode of any persons identified in (ii) or (iii); and |
17 | | (iv) an individual whose name appears in the Division's |
18 | | responsible gaming database. |
19 | | (b) The Division shall develop responsible gaming |
20 | | measures, including a statewide responsible gaming database |
21 | | identifying individuals who shall be prohibited from |
22 | | establishing an Internet wagering account or participating in |
23 | | Internet gaming offered by an Internet gaming licensee. The |
24 | | Executive Director may place a person on the responsible gaming |
25 | | database if that person (i) has been convicted in any |
26 | | jurisdiction of a felony or a crime involving gaming; (ii) has |
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1 | | violated this Act, the Illinois Horse Racing Act of 1975, the |
2 | | Riverboat Gambling Act, the Raffles and Poker Runs Act, the |
3 | | Illinois Pull Tabs and Jar Games Act, the Bingo License and Tax |
4 | | Act, the Charitable Games Act, or the Video Gaming Act; (iii) |
5 | | has performed any act or had a notorious or unsavory reputation |
6 | | that would adversely affect public confidence and trust in |
7 | | gaming; or (iv) has his or her name on any valid and current |
8 | | exclusion list from another jurisdiction in the United States |
9 | | or foreign jurisdiction. By rule, the Division shall adopt |
10 | | procedures for the establishment and maintenance of the |
11 | | responsible gaming database. The Illinois Gaming Board and the |
12 | | Illinois Racing Board, in a format specified by the Division, |
13 | | provide the Division with names of individuals to be included |
14 | | in the responsible gaming database. The Division may impose |
15 | | reasonable fees on persons authorized to access and use the |
16 | | responsible gaming database. |
17 | | An Internet gaming licensee's Internet gaming platform |
18 | | shall offer in a clear, conspicuous, and accessible manner, |
19 | | responsible gambling services and technical controls to |
20 | | participants, including both temporary and permanent |
21 | | self-exclusion for all games offered; the ability for |
22 | | participants to establish their own periodic deposit and |
23 | | wagering limits and maximum playing times; referrals to crisis |
24 | | counseling and referral services for individuals and families |
25 | | experiencing difficulty as a result of problem or compulsive |
26 | | gambling; and other services as the Division reasonably may |
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1 | | determine are necessary or appropriate to reduce and prevent |
2 | | problem gambling. Any authorized participant who is allowed to |
3 | | participate in Internet gaming may voluntarily prohibit |
4 | | themselves from establishing an Internet gaming account. The |
5 | | Division shall incorporate the voluntary self-exclusion list |
6 | | into the responsible gaming database and maintain both the |
7 | | self-exclusion list and the responsible gaming database in a |
8 | | confidential manner. Notwithstanding any law to the contrary, |
9 | | the self-exclusion list and responsible gaming database are not |
10 | | public records subject to copying and disclosure under the |
11 | | Freedom of Information Act. |
12 | | (c) There is created the Responsible Internet Gaming |
13 | | Advisory Board to make recommendations to the Executive |
14 | | Director regarding the development of rules and procedures to |
15 | | reduce and prevent problem or compulsive gambling and youth |
16 | | gambling and to ensure the conduct of safe, fair, and |
17 | | responsible Internet gaming. The Advisory Board shall consist |
18 | | of the following members: |
19 | | (1) the Chairman of the Illinois Gaming Board, who |
20 | | shall be an ex officio member and shall serve as |
21 | | Chairperson; |
22 | | (2) the Executive Director of the Division of Internet |
23 | | Gaming, who shall be an ex officio member; |
24 | | (3) one representative from a national organization |
25 | | dedicated to the study and prevention of problem gambling, |
26 | | appointed by the Board; |
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1 | | (4) one member who is an academic professional engaged |
2 | | in the study of problem gambling at a university or other |
3 | | institution of higher learning, appointed by the Board; |
4 | | (5) one member who has professional experience and |
5 | | expertise in the field of technical and systemic controls |
6 | | for responsible Internet gaming, appointed by the Board; |
7 | | and |
8 | | (6) one member who is an Illinois citizen and a member |
9 | | of the public, appointed by the Board.
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10 | | Each Advisory Board member shall serve for a term of 4 |
11 | | years and until his or her successor is appointed and |
12 | | qualified. However, in making initial appointments, 2 shall be |
13 | | appointed to serve for 2 years and 2 shall be appointed to |
14 | | serve for 4 years. Appointments to fill vacancies shall be made |
15 | | in the same manner as original appointments for the unexpired |
16 | | portion of the vacated term. Initial terms shall begin on the |
17 | | effective date of this Act. Each member of the Advisory Board |
18 | | shall be eligible for reappointment at the discretion of the |
19 | | Board. A member of the Advisory Board may be removed from |
20 | | office for just cause. Advisory Board members shall receive no |
21 | | compensation, but shall be reimbursed for expenses incurred in |
22 | | connection with their duties as Advisory Board members. |
23 | | Four members shall constitute a quorum. A majority vote of |
24 | | the Advisory Board is required for an Advisory Board decision. |
25 | | The Advisory Board shall meet no less often than once every 6 |
26 | | months and shall meet as often as the Chairperson deems |
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1 | | necessary. Advisory Board members shall not be liable for any |
2 | | of their acts, omissions, decisions, or any other conduct in |
3 | | connection with their duties on the Advisory Board, except |
4 | | those involving willful, wanton, or intentional misconduct. |
5 | | The Advisory Board may have such powers as may be granted |
6 | | by the Executive Director to carry out the provisions of this |
7 | | Act regarding responsible Internet gaming.
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8 | | Section 5-55. Tax rate and distribution. |
9 | | (a) Except as otherwise provided in this subsection (a), a |
10 | | tax is hereby imposed on Internet gaming licensees, based on |
11 | | the gross gaming revenue received by an Internet gaming |
12 | | licensee from Internet games authorized under this Act, at the |
13 | | rate of 15% of annual gross gaming revenue for all fee-based |
14 | | games and all non-fee-based games. |
15 | | The taxes imposed by this Section shall be paid by the |
16 | | Internet gaming licensee to the Division no later than 5:00 |
17 | | p.m. on the day after the day when the wagers were made. |
18 | | In recognition of the advance tax revenue paid by the |
19 | | Internet gaming licensee in its license fee, an Internet gaming |
20 | | licensee shall be taxed at the following rates during the |
21 | | initial 5-year license term: |
22 | | (1) for all non-fee-based games, the tax shall be 10% |
23 | | of annual gross non-fee-based gaming revenue up to and |
24 | | including $100,000,000 of gross gaming revenue and 15% of |
25 | | annual gross non-fee-based gaming revenue in excess |
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1 | | $100,000,000 of gross gaming revenue; and |
2 | | (2) for all fee-based games, the tax shall be 10% of |
3 | | annual gross fee-based gaming revenue up to and |
4 | | $100,000,000 of gross gaming revenue and 15% of annual |
5 | | gross fee-based gaming revenue in excess $100,000,000 of |
6 | | gross gaming revenue. |
7 | | (b) $10,000,000 from the tax revenue deposited in the State |
8 | | Gaming Fund under this Act shall be paid annually to the |
9 | | Department of Human Services for the administration of programs |
10 | | to treat problem gambling. |
11 | | (c) From the tax revenue deposited into the State Gaming |
12 | | Fund under this Act, 5% shall be transferred into the Depressed |
13 | | Communities Economic Development Fund annually. |
14 | | (d) After the amounts specified in subsections (b) and (c) |
15 | | have been paid or transferred, all remaining tax revenue |
16 | | deposited in the State Gaming Fund in accordance with this Act |
17 | | shall be transferred in equal parts to the Pension |
18 | | Stabilization Fund and Education Assistance Fund.
|
19 | | Section 5-60. Applicability of the Riverboat Gambling Act |
20 | | and the Uniform Penalty and Interest Act. The provisions of the |
21 | | Riverboat Gambling Act, and all rules adopted thereunder, shall |
22 | | apply to the Internet Gaming Act, except where there is a |
23 | | conflict between the 2 Acts. All provisions of the Uniform |
24 | | Penalty and Interest Act shall apply, as far as practicable, to |
25 | | the subject matter of this Act to the same extent as if such |
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1 | | provisions were included herein. |
2 | | Section 5-65. Rulemaking. The Board shall adopt emergency |
3 | | rules to administer this Act in accordance with Section 5-45 of |
4 | | the Illinois Administrative Procedure Act. For the purposes of |
5 | | the Illinois Administrative Procedure Act, the General |
6 | | Assembly finds that the adoption of rules to implement this Act |
7 | | is deemed an emergency and necessary to the public interest, |
8 | | safety, and welfare.
|
9 | | Article 90. Amendatory Provisions |
10 | | Section 90-5. The State Finance Act is amended by adding |
11 | | Section 5.878 as follows: |
12 | | (30 ILCS 105/5.878 new) |
13 | | Sec. 5.878. The Depressed Communities Economic Development |
14 | | Fund. |
15 | | Section 90-10. The Department of Commerce and Economic |
16 | | Opportunity Law of the
Civil Administrative Code of Illinois is |
17 | | amended by adding Section 605-530 as follows: |
18 | | (20 ILCS 605/605-530 new) |
19 | | Sec. 605-530. The Depressed Communities Economic |
20 | | Development Board. |
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1 | | (a) The Depressed Communities Economic Development Board |
2 | | is created as an advisory board within the Department of |
3 | | Commerce and Economic Opportunity. The Board shall consist of |
4 | | the following members: |
5 | | (1) 2 members appointed by the Governor, one of whom |
6 | | shall be appointed to serve an initial term of one year and |
7 | | 2 of whom shall be appointed to serve an initial term of 2 |
8 | | years; |
9 | | (2) 2 members appointed by the Speaker of the House of |
10 | | Representatives, one of whom shall be appointed to serve an |
11 | | initial term of one year and one of whom shall be appointed |
12 | | to serve an initial term of 2 years; |
13 | | (3) 2 members appointed by the President of the Senate, |
14 | | one of whom shall be appointed to serve an initial term of |
15 | | one year and one of whom shall be appointed to serve an |
16 | | initial term of 2 years; |
17 | | (4) 2 members appointed by the Minority Leader of the |
18 | | House of Representatives, one of whom shall be appointed to |
19 | | serve an initial term of one year and one of whom shall be |
20 | | appointed to serve an initial term of 2 years; and |
21 | | (5) 2 members appointed by the Minority Leader of the |
22 | | Senate, one of whom shall be appointed to serve an initial |
23 | | term of one year and one of whom shall be appointed to |
24 | | serve an initial term of 2 years. |
25 | | The members of the Board shall elect a member to serve as |
26 | | chair of the Board. The members of the Board shall reflect the |
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1 | | composition of the Illinois population with regard to ethnic |
2 | | and racial composition. |
3 | | After the initial terms, each member shall be appointed to |
4 | | serve a term of 2 years and until his or her successor has been |
5 | | appointed and assumes office. If a vacancy occurs in the Board |
6 | | membership, then the vacancy shall be filled in the same manner |
7 | | as the initial appointment. No member of the Board shall, at |
8 | | the time of his or her appointment or within 2 years before the |
9 | | appointment, hold elected office or be appointed to a State |
10 | | board, commission, or agency. All Board members are subject to |
11 | | the State Officials and Employees Ethics Act. |
12 | | (b) Board members shall serve without compensation, but may |
13 | | be reimbursed for their reasonable travel expenses from funds |
14 | | available for that purpose. The Department of Commerce and |
15 | | Economic Opportunity shall provide staff and administrative |
16 | | support services to the Board. |
17 | | (c) The Board must make recommendations, which must be |
18 | | approved by a majority of the Board, to the Department of |
19 | | Commerce and Economic Opportunity concerning the award of |
20 | | grants from amounts appropriated to the Department from the |
21 | | Depressed Communities Economic Development Fund, a special |
22 | | fund created in the State treasury. The Department must make |
23 | | grants to public or private entities submitting proposals to |
24 | | the Board to revitalize an Illinois depressed community. Grants |
25 | | may be used by these entities only for those purposes |
26 | | conditioned with the grant. For the purposes of this subsection |
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1 | | (c), plans for revitalizing an Illinois depressed community |
2 | | include plans intended to curb high levels of poverty, |
3 | | unemployment, job and population loss, and general distress. An |
4 | | Illinois depressed community is an area where the poverty rate, |
5 | | as determined by using the most recent data released by the |
6 | | United States Census Bureau, is at least 3% greater than the |
7 | | State poverty rate as determined by using the most recent data |
8 | | released by the United States Census Bureau. |
9 | | Section 90-15. The Criminal Code of 2012 is amended by |
10 | | changing Sections 28-1, 28-1.1, 28-3,
and 28-5 as follows:
|
11 | | (720 ILCS 5/28-1) (from Ch. 38, par. 28-1)
|
12 | | Sec. 28-1. Gambling.
|
13 | | (a) A person commits gambling when he or she:
|
14 | | (1) knowingly plays a game of chance or skill for money |
15 | | or other thing of
value, unless excepted in subsection (b) |
16 | | of this Section;
|
17 | | (2) knowingly makes a wager upon the result of any |
18 | | game, contest, or any
political nomination, appointment or |
19 | | election;
|
20 | | (3) knowingly operates, keeps, owns, uses, purchases, |
21 | | exhibits, rents, sells,
bargains for the sale or lease of, |
22 | | manufactures or distributes any
gambling device;
|
23 | | (4) contracts to have or give himself or herself or |
24 | | another the option to buy
or sell, or contracts to buy or |
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1 | | sell, at a future time, any grain or
other commodity |
2 | | whatsoever, or any stock or security of any company,
where |
3 | | it is at the time of making such contract intended by both |
4 | | parties
thereto that the contract to buy or sell, or the |
5 | | option, whenever
exercised, or the contract resulting |
6 | | therefrom, shall be settled, not by
the receipt or delivery |
7 | | of such property, but by the payment only of
differences in |
8 | | prices thereof; however, the issuance, purchase, sale,
|
9 | | exercise, endorsement or guarantee, by or through a person |
10 | | registered
with the Secretary of State pursuant to Section |
11 | | 8 of the Illinois
Securities Law of 1953, or by or through |
12 | | a person exempt from such
registration under said Section |
13 | | 8, of a put, call, or other option to
buy or sell |
14 | | securities which have been registered with the Secretary of
|
15 | | State or which are exempt from such registration under |
16 | | Section 3 of the
Illinois Securities Law of 1953 is not |
17 | | gambling within the meaning of
this paragraph (4);
|
18 | | (5) knowingly owns or possesses any book, instrument or |
19 | | apparatus by
means of which bets or wagers have been, or |
20 | | are, recorded or registered,
or knowingly possesses any |
21 | | money which he has received in the course of
a bet or |
22 | | wager;
|
23 | | (6) knowingly sells pools upon the result of any game |
24 | | or contest of skill or
chance, political nomination, |
25 | | appointment or election;
|
26 | | (7) knowingly sets up or promotes any lottery or sells, |
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1 | | offers to sell or
transfers any ticket or share for any |
2 | | lottery;
|
3 | | (8) knowingly sets up or promotes any policy game or |
4 | | sells, offers to sell or
knowingly possesses or transfers |
5 | | any policy ticket, slip, record,
document or other similar |
6 | | device;
|
7 | | (9) knowingly drafts, prints or publishes any lottery |
8 | | ticket or share,
or any policy ticket, slip, record, |
9 | | document or similar device, except for
such activity |
10 | | related to lotteries, bingo games and raffles authorized by
|
11 | | and conducted in accordance with the laws of Illinois or |
12 | | any other state or
foreign government;
|
13 | | (10) knowingly advertises any lottery or policy game, |
14 | | except for such
activity related to lotteries, bingo games |
15 | | and raffles authorized by and
conducted in accordance with |
16 | | the laws of Illinois or any other state;
|
17 | | (11) knowingly transmits information as to wagers, |
18 | | betting odds, or
changes in betting odds by telephone, |
19 | | telegraph, radio, semaphore or
similar means; or knowingly |
20 | | installs or maintains equipment for the
transmission or |
21 | | receipt of such information; except that nothing in this
|
22 | | subdivision (11) prohibits transmission or receipt of such |
23 | | information
for use in news reporting of sporting events or |
24 | | contests; or
|
25 | | (12) knowingly establishes, maintains, or operates an |
26 | | Internet site that
permits a person to play a game of
|
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1 | | chance or skill for money or other thing of value by means |
2 | | of the Internet or
to make a wager upon the
result of any |
3 | | game, contest, political nomination, appointment, or
|
4 | | election by means of the Internet. This item (12) does not |
5 | | apply to activities referenced in items (6) , and (6.1) , |
6 | | (15), or (16) of subsection (b) of this Section.
|
7 | | (b) Participants in any of the following activities shall |
8 | | not be
convicted of gambling:
|
9 | | (1) Agreements to compensate for loss caused by the |
10 | | happening of
chance including without limitation contracts |
11 | | of indemnity or guaranty
and life or health or accident |
12 | | insurance.
|
13 | | (2) Offers of prizes, award or compensation to the |
14 | | actual
contestants in any bona fide contest for the |
15 | | determination of skill,
speed, strength or endurance or to |
16 | | the owners of animals or vehicles
entered in such contest.
|
17 | | (3) Pari-mutuel betting as authorized by the law of |
18 | | this State.
|
19 | | (4) Manufacture of gambling devices, including the |
20 | | acquisition of
essential parts therefor and the assembly |
21 | | thereof, for transportation in
interstate or foreign |
22 | | commerce to any place outside this State when such
|
23 | | transportation is not prohibited by any applicable Federal |
24 | | law; or the
manufacture, distribution, or possession of |
25 | | video gaming terminals, as
defined in the Video Gaming Act, |
26 | | by manufacturers, distributors, and
terminal operators |
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1 | | licensed to do so under the Video Gaming Act.
|
2 | | (5) The game commonly known as "bingo", when conducted |
3 | | in accordance
with the Bingo License and Tax Act.
|
4 | | (6) Lotteries when conducted by the State of Illinois |
5 | | in accordance
with the Illinois Lottery Law. This exemption |
6 | | includes any activity conducted by the Department of |
7 | | Revenue to sell lottery tickets pursuant to the provisions |
8 | | of the Illinois Lottery Law and its rules.
|
9 | | (6.1) The purchase of lottery tickets through the |
10 | | Internet for a lottery conducted by the State of Illinois |
11 | | under the program established in Section 7.12 of the |
12 | | Illinois Lottery Law.
|
13 | | (7) Possession of an antique slot machine that is |
14 | | neither used nor
intended to be used in the operation or |
15 | | promotion of any unlawful
gambling activity or enterprise. |
16 | | For the purpose of this subparagraph
(b)(7), an antique |
17 | | slot machine is one manufactured 25 years ago or earlier.
|
18 | | (8) Raffles and poker runs when conducted in accordance |
19 | | with the Raffles and Poker Runs Act.
|
20 | | (9) Charitable games when conducted in accordance with |
21 | | the Charitable
Games Act.
|
22 | | (10) Pull tabs and jar games when conducted under the |
23 | | Illinois Pull
Tabs and Jar Games Act.
|
24 | | (11) Gambling games conducted on riverboats when
|
25 | | authorized by the Riverboat Gambling Act.
|
26 | | (12) Video gaming terminal games at a licensed |
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1 | | establishment, licensed truck stop establishment,
licensed
|
2 | | fraternal establishment, or licensed veterans |
3 | | establishment when
conducted in accordance with the Video |
4 | | Gaming Act. |
5 | | (13) Games of skill or chance where money or other |
6 | | things of value can be won but no payment or purchase is |
7 | | required to participate. |
8 | | (14) Savings promotion raffles authorized under |
9 | | Section 5g of the Illinois Banking Act, Section 7008 of the |
10 | | Savings Bank Act, Section 42.7 of the Illinois Credit Union |
11 | | Act, Section 5136B of the National Bank Act (12 U.S.C. |
12 | | 25a), or Section 4 of the Home Owners' Loan Act (12 U.S.C. |
13 | | 1463). |
14 | | (15) Interactive fantasy sports contests and |
15 | | participation in interactive fantasy sports contests |
16 | | authorized under the Fantasy Sports Contest Act. |
17 | | (16) Internet wagering when conducted in accordance |
18 | | with the Internet Gaming Act. |
19 | | (c) Sentence.
|
20 | | Gambling is a
Class A misdemeanor. A second or
subsequent |
21 | | conviction under subsections (a)(3) through (a)(12),
is a Class |
22 | | 4 felony.
|
23 | | (d) Circumstantial evidence.
|
24 | | In prosecutions under
this
Section circumstantial evidence |
25 | | shall have the same validity and weight as
in any criminal |
26 | | prosecution.
|
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1 | | (Source: P.A. 98-644, eff. 6-10-14; 99-149, eff. 1-1-16 .)
|
2 | | (720 ILCS 5/28-1.1)
(from Ch. 38, par. 28-1.1)
|
3 | | Sec. 28-1.1. Syndicated gambling.
|
4 | | (a) Declaration of Purpose. Recognizing the close |
5 | | relationship between
professional gambling and other organized |
6 | | crime, it is declared to be the
policy of the legislature to |
7 | | restrain persons from engaging in the business
of gambling for |
8 | | profit in this State. This Section shall be liberally
construed |
9 | | and administered with a view to carrying out this policy.
|
10 | | (b) A person commits syndicated gambling when he or she |
11 | | operates a "policy
game" or engages in the business of |
12 | | bookmaking.
|
13 | | (c) A person "operates a policy game" when he or she |
14 | | knowingly uses any
premises or property for the purpose of |
15 | | receiving or knowingly does
receive from what is commonly |
16 | | called "policy":
|
17 | | (1) money from a person other than the bettor or player |
18 | | whose
bets or plays are represented by the money; or
|
19 | | (2) written "policy game" records, made or used over |
20 | | any
period of time, from a person other than the bettor or |
21 | | player whose bets
or plays are represented by the written |
22 | | record.
|
23 | | (d) A person engages in bookmaking when he or she knowingly |
24 | | receives or accepts more
than five bets or wagers upon the |
25 | | result of any trials or contests of
skill, speed or power of |
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1 | | endurance or upon any lot, chance, casualty,
unknown or |
2 | | contingent event whatsoever, which bets or wagers shall be of
|
3 | | such size that the total of the amounts of money paid or |
4 | | promised to be
paid to the bookmaker on account thereof shall |
5 | | exceed $2,000.
Bookmaking is the receiving or accepting of bets |
6 | | or wagers
regardless of the form or manner in which the |
7 | | bookmaker records them.
|
8 | | (e) Participants in any of the following activities shall |
9 | | not be
convicted of syndicated gambling:
|
10 | | (1) Agreements to compensate for loss caused by the |
11 | | happening
of chance including without limitation contracts |
12 | | of indemnity or
guaranty and life or health or accident |
13 | | insurance;
|
14 | | (2) Offers of prizes, award or compensation to the |
15 | | actual
contestants in any bona fide contest for the |
16 | | determination of skill,
speed, strength or endurance or to |
17 | | the owners of animals or vehicles
entered in the contest;
|
18 | | (3) Pari-mutuel betting as authorized by law of this |
19 | | State;
|
20 | | (4) Manufacture of gambling devices, including the |
21 | | acquisition
of essential parts therefor and the assembly |
22 | | thereof, for transportation
in interstate or foreign |
23 | | commerce to any place outside this State when
the |
24 | | transportation is not prohibited by any applicable Federal |
25 | | law;
|
26 | | (5) Raffles and poker runs when conducted in accordance |
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1 | | with the Raffles and Poker Runs Act;
|
2 | | (6) Gambling games conducted on riverboats when
|
3 | | authorized by the Riverboat Gambling Act;
|
4 | | (7) Video gaming terminal games at a licensed |
5 | | establishment, licensed truck stop establishment,
licensed
|
6 | | fraternal establishment, or licensed veterans |
7 | | establishment
when conducted in accordance with the Video |
8 | | Gaming Act; and
|
9 | | (8) Savings promotion raffles authorized under Section |
10 | | 5g of the Illinois Banking Act, Section 7008 of the Savings |
11 | | Bank Act, Section 42.7 of the Illinois Credit Union Act, |
12 | | Section 5136B of the National Bank Act (12 U.S.C. 25a), or |
13 | | Section 4 of the Home Owners' Loan Act (12 U.S.C. 1463) ; |
14 | | and . |
15 | | (9) Internet wagering when conducted in accordance |
16 | | with the Internet Gaming Act. |
17 | | (f) Sentence. Syndicated gambling is a Class 3 felony.
|
18 | | (Source: P.A. 98-644, eff. 6-10-14; 99-149, eff. 1-1-16 .)
|
19 | | (720 ILCS 5/28-3)
(from Ch. 38, par. 28-3)
|
20 | | Sec. 28-3. Keeping a Gambling Place. A "gambling place" is |
21 | | any real
estate, vehicle, boat or any other property whatsoever |
22 | | used for the
purposes of gambling other than gambling conducted |
23 | | in the manner authorized
by the Riverboat Gambling Act , |
24 | | Internet Gaming Act, or the Video Gaming Act. Any person who
|
25 | | knowingly permits any premises
or property owned or occupied by |
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|
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1 | | him or under his control to be used as a
gambling place commits |
2 | | a Class A misdemeanor. Each subsequent offense is a
Class 4 |
3 | | felony. When any premises is determined by the circuit court to |
4 | | be
a gambling place:
|
5 | | (a) Such premises is a public nuisance and may be proceeded |
6 | | against as such,
and
|
7 | | (b) All licenses, permits or certificates issued by the |
8 | | State of
Illinois or any subdivision or public agency thereof |
9 | | authorizing the
serving of food or liquor on such premises |
10 | | shall be void; and no license,
permit or certificate so |
11 | | cancelled shall be reissued for such premises for
a period of |
12 | | 60 days thereafter; nor shall any person convicted of keeping a
|
13 | | gambling place be reissued such license
for one year from his |
14 | | conviction and, after a second conviction of keeping
a gambling |
15 | | place, any such person shall not be reissued such license, and
|
16 | | (c) Such premises of any person who knowingly permits |
17 | | thereon a
violation of any Section of this Article shall be |
18 | | held liable for, and may
be sold to pay any unsatisfied |
19 | | judgment that may be recovered and any
unsatisfied fine that |
20 | | may be levied under any Section of this Article.
|
21 | | (Source: P.A. 96-34, eff. 7-13-09.)
|
22 | | (720 ILCS 5/28-5) (from Ch. 38, par. 28-5)
|
23 | | Sec. 28-5. Seizure of gambling devices and gambling funds.
|
24 | | (a) Every device designed for gambling which is incapable |
25 | | of lawful use
or every device used unlawfully for gambling |
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1 | | shall be considered a
"gambling device", and shall be subject |
2 | | to seizure, confiscation and
destruction by the Department of |
3 | | State Police or by any municipal, or other
local authority, |
4 | | within whose jurisdiction the same may be found. As used
in |
5 | | this Section, a "gambling device" includes any slot machine, |
6 | | and
includes any machine or device constructed for the |
7 | | reception of money or
other thing of value and so constructed |
8 | | as to return, or to cause someone
to return, on chance to the |
9 | | player thereof money, property or a right to
receive money or |
10 | | property. With the exception of any device designed for
|
11 | | gambling which is incapable of lawful use, no gambling device |
12 | | shall be
forfeited or destroyed unless an individual with a |
13 | | property interest in
said device knows of the unlawful use of |
14 | | the device.
|
15 | | (b) Every gambling device shall be seized and forfeited to |
16 | | the county
wherein such seizure occurs. Any money or other |
17 | | thing of value integrally
related to acts of gambling shall be |
18 | | seized and forfeited to the county
wherein such seizure occurs.
|
19 | | (c) If, within 60 days after any seizure pursuant to |
20 | | subparagraph
(b) of this Section, a person having any property |
21 | | interest in the seized
property is charged with an offense, the |
22 | | court which renders judgment
upon such charge shall, within 30 |
23 | | days after such judgment, conduct a
forfeiture hearing to |
24 | | determine whether such property was a gambling device
at the |
25 | | time of seizure. Such hearing shall be commenced by a written
|
26 | | petition by the State, including material allegations of fact, |
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1 | | the name
and address of every person determined by the State to |
2 | | have any property
interest in the seized property, a |
3 | | representation that written notice of
the date, time and place |
4 | | of such hearing has been mailed to every such
person by |
5 | | certified mail at least 10 days before such date, and a
request |
6 | | for forfeiture. Every such person may appear as a party and
|
7 | | present evidence at such hearing. The quantum of proof required |
8 | | shall
be a preponderance of the evidence, and the burden of |
9 | | proof shall be on
the State. If the court determines that the |
10 | | seized property was
a gambling device at the time of seizure, |
11 | | an order of forfeiture and
disposition of the seized property |
12 | | shall be entered: a gambling device
shall be received by the |
13 | | State's Attorney, who shall effect its
destruction, except that |
14 | | valuable parts thereof may be liquidated and
the resultant |
15 | | money shall be deposited in the general fund of the county
|
16 | | wherein such seizure occurred; money and other things of value |
17 | | shall be
received by the State's Attorney and, upon |
18 | | liquidation, shall be
deposited in the general fund of the |
19 | | county wherein such seizure
occurred. However, in the event |
20 | | that a defendant raises the defense
that the seized slot |
21 | | machine is an antique slot machine described in
subparagraph |
22 | | (b) (7) of Section 28-1 of this Code and therefore he is
exempt |
23 | | from the charge of a gambling activity participant, the seized
|
24 | | antique slot machine shall not be destroyed or otherwise |
25 | | altered until a
final determination is made by the Court as to |
26 | | whether it is such an
antique slot machine. Upon a final |
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1 | | determination by the Court of this
question in favor of the |
2 | | defendant, such slot machine shall be
immediately returned to |
3 | | the defendant. Such order of forfeiture and
disposition shall, |
4 | | for the purposes of appeal, be a final order and
judgment in a |
5 | | civil proceeding.
|
6 | | (d) If a seizure pursuant to subparagraph (b) of this |
7 | | Section is not
followed by a charge pursuant to subparagraph |
8 | | (c) of this Section, or if
the prosecution of such charge is |
9 | | permanently terminated or indefinitely
discontinued without |
10 | | any judgment of conviction or acquittal (1) the
State's |
11 | | Attorney shall commence an in rem proceeding for the forfeiture
|
12 | | and destruction of a gambling device, or for the forfeiture and |
13 | | deposit
in the general fund of the county of any seized money |
14 | | or other things of
value, or both, in the circuit court and (2) |
15 | | any person having any
property interest in such seized gambling |
16 | | device, money or other thing
of value may commence separate |
17 | | civil proceedings in the manner provided
by law.
|
18 | | (e) Any gambling device displayed for sale to a riverboat |
19 | | gambling
operation or Internet gaming operation or used to |
20 | | train occupational licensees of a riverboat gambling
operation |
21 | | or Internet gaming operation as authorized under the Riverboat |
22 | | Gambling Act or Internet Gaming Act is exempt from
seizure |
23 | | under this Section.
|
24 | | (f) Any gambling equipment, devices and supplies provided |
25 | | by a licensed
supplier or licensed Internet gaming vendor in |
26 | | accordance with the Riverboat Gambling Act or Internet Gaming |
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|
1 | | Act which are removed
from a the riverboat or Internet gaming |
2 | | facility for repair are exempt from seizure under this Section.
|
3 | | (g) The following video gaming terminals are exempt from |
4 | | seizure under this Section: |
5 | | (1) Video gaming terminals for sale to a licensed |
6 | | distributor or operator under the Video Gaming Act. |
7 | | (2) Video gaming terminals used to train licensed |
8 | | technicians or licensed terminal handlers. |
9 | | (3) Video gaming terminals that are removed from a |
10 | | licensed establishment, licensed truck stop establishment,
|
11 | | licensed
fraternal establishment, or licensed veterans |
12 | | establishment for repair. |
13 | | (Source: P.A. 98-31, eff. 6-24-13.)".
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