A Mississippi Senator has introduced Senate Bill 2510 (SB 2510), a legislative proposal aimed at banning online sweepstakes casinos, as well as other online gambling platforms, throughout the state.
Many states aren’t sure how to approach sweepstakes casinos — New Jersey introduced a bill to regulate them, while other states want to ban them.
Mississippi Sen. Joey Fillingane’s bill, which seeks to amend several provisions of the Mississippi Code of 1972, is designed to enhance the state’s regulatory framework for gambling by targeting online, interactive, and computerised gaming platforms.
The bill defines any online, interactive, or computerised version of gambling activities as illegal and subject to increased criminal penalties. This includes platforms that simulate gambling or allow players to win cash-equivalent prizes.
The proposed legislation explicitly addresses online sweepstakes casinos, online sports pools, and online racebooks, declaring their operation within Mississippi unlawful.
According to the language of the bill, online platforms offering games of chance or digital simulations thereof will be categorised as gambling devices. These devices will fall under the broader prohibitions already established in Mississippi’s gambling laws.
A significant component of SB 2510 involves the enhancement of penalties for violations. Under the proposed amendments, any entity found to be operating an online gambling platform in Mississippi could face felony charges.
Convictions may result in fines of up to $100,000, imprisonment for up to ten years, or both. The bill also introduces provisions for the forfeiture of assets, rights, and privileges used in connection with the illegal activity.
This forfeiture process could be managed by the Mississippi Gaming Commission, which may enter into contingency fee agreements to handle forfeited assets.
Rewriting the code
SB 2510 allows prosecution for violations to occur either in the county where the offence took place or in Hinds County. Hinds County is home to Jackson, the capital city of Mississippi, where lawsuits targeting sweepstakes casinos are active.
As the seat of the state government, it hosts key legal and administrative institutions, including the Mississippi Supreme Court, the Attorney General’s office, and other state agencies.
Centralising legal proceedings in Hinds County ensures proximity to these resources, which can facilitate smoother prosecution of cases.
The bill also proposes amendments to multiple sections of the Mississippi Code, including Sections 97-33-1, 97-33-7, and 97-33-8. These amendments aim to explicitly outlaw online sweepstakes casinos and provide clearer definitions of illegal gambling activities.
For instance, the term “simulated gambling programme” is introduced to cover platforms that predetermine prizes or connect players to cash-equivalent rewards, even when participation is linked to purchases unrelated to the gambling activity itself.
No word games
The bill further emphasises that online sweepstakes platforms often present themselves as offering legitimate promotional activities or contests.
However, under the proposed amendments, such platforms would be treated as gambling operations if they allow participants to play games or participate in sweepstakes for prizes determined by chance.
While the bill broadens the prohibition of online gambling, it does not affect certain legal gambling activities.
For example, gambling conducted aboard cruise vessels and in licensed gaming establishments located in Mississippi’s southern counties, as well as promotional activities conducted by licensed gaming operators, would remain lawful.
The proposed legislation also clarifies that lawful marketing promotions, contests, and prize sweepstakes designed to attract consumers to specific products or services are exempt from the new prohibitions, provided these promotions comply with state laws.
The bill is currently under review in the Mississippi Senate’s Judiciary, Division B Committee. If passed, it would take effect on 1 July 2025.