Louisiana’s sweepstakes casino ban takes effect alongside increase in penalties for illegal gambling
Louisiana’s new laws banning dual-currency sweepstakes casinos have entered into force, introducing higher fines.
U.S.- Louisiana’s ban on dual-currency sweepstakes casinos has taken effect following the implementation of House Bill 883 and House Bill 53. Together, the new laws explicitly prohibit the model under state gambling law, introducing some of the toughest penalties adopted by any US jurisdiction.
HB 883, signed by Governor Jeff Landry after passing unanimously in both legislative chambers, raises the maximum fine for illegal online gambling operations from $20,000 to $100,000 while maintaining a maximum prison sentence of five years.
HB 53, signed at the same time, expands Louisiana’s racketeering statute to include gambling offences. The change allows prosecutors to pursue racketeering charges carrying penalties of up to 50 years of hard labour and fines of up to $1m.
Last year, Landry vetoed a similar proposal, arguing that existing law already gave authorities sufficient tools to act against dual-currency platforms. That position was later reinforced by Attorney General Liz Murrill, who issued a legal opinion concluding that sweepstakes casinos already violated Louisiana law. Her office and the Louisiana Gaming Control Board subsequently sent cease-and-desist letters to operators, prompting more than 40 sweepstakes brands to either leave the state or discontinue purchasable coin offerings.
By enacting HB 883 and HB 53, Louisiana has now removed the legal ambiguity surrounding dual-currency sweepstakes casinos, placing the prohibition directly into statute while expanding the range of criminal penalties available.
