Bovada has been sent multiple cease-and-desist letters this year from U.S. states, and now restricts access for customers in more than 12 jurisdictions, including recent additions such as Michigan and Ohio.
Oct 3, 2024 • 17:12 ET
• 2 min read
Bovada’s inbox is filling up with correspondence from state regulators and law enforcement agencies that want the offshore sportsbook operator to knock it off in their respective backyards.
Massachusetts is the latest to officially take issue with Bovada’s business operations, as a representative of the Bay State’s chief law enforcement officer is asking the offshore bookmaker to cease and desist from its alleged activities in the commonwealth.
The Massachusetts attorney general’s office sent a letter on Thursday to Curacao-based Harp Media and the Union of the Comoros-based Hove Media, both of which the legal watchdog says do business as Bovada.
The Massachusetts Attorney General’s Office is irked at Bovada’s alleged gambling activities and wants them stopped.
MA AG also takes issue with Bovada presenting itself as legit, including by working w/ “U.S. players and U.S. sports-related content creators” to promote itself. pic.twitter.com/ciEOXXDYOt
— Geoff Zochodne (@GeoffZochodne) October 3, 2024
According to the AG’s office, Bovada is or was recently engaged in the business of offering “unlicensed online gambling and betting products” in Massachusetts without a license from the state gaming commission. This, the AG’s office notes, is illegal.
Bovada also has no license for sports betting or wagering on horse racing, but is offering both on its website, the letter states. The AG’s office additionally has a problem with Bovada presenting itself as legitimate, such as with claims that it is “USA-based” and “America’s No. 1 destination” for online sports betting and gambling.
“Bovada almost exclusively depicts U.S. major league teams and players on its webpages and social media platforms, and collaborates with U.S. players and U.S. sports-related content creators to promote its platform,” Assistant Attorney General Louisa Gibbs wrote. “The inducement of consumers to participate in illegal and unregulated forms of gambling by posing as a legitimate business is a violation of state consumer protection law.”
Due to the various allegations leveled against Bovada, the AG’s office is directing it to stop offering its services to Massachusetts residents and to refund users in the state.
Failure to do so, Gibbs wrote, could lead to the law enforcement agency “seeking injunctive relief, restitution, civil penalties up to $5,000 per violation, and the costs of the investigation and litigation.”
Bovada has been hit with multiple cease-and-desist letters this year from U.S. states, and now restricts access for customers in more than 12 jurisdictions, including recent additions such as Michigan and Ohio.
That’s enough
The pushback for Bovada is part of a broader effort by regulated sportsbook operators and the gaming industry to crack down on offshore entities. Those efforts appear to be paying off, including in Canada, where another brand, Bodog, recently withdrew from another province.
Massachusetts alleges Bovada (which is arguably a business descendent of Bodog) has been holding itself out as a legit operator since 2011, even though it lacks the required licenses to back up the claim. There are now seven Massachusetts sports betting operators licensed for online wagering in the commonwealth, but Bovada is not one of them.
“Unlicensed operators pose a substantial danger to consumers because they do not go through the same rigorous review as licensed operators, have limited or no protections against gambling addiction and underage play, and do not provide consumers with reliable access to their funds since most unlicensed operators are offshore,” the Massachusetts attorney general’s office said in a press release.
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Publish date : 2024-10-03 10:18:00
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