Nevada Attorney General Urges DOJ to Combat Illegal Offshore Gaming

Strategic Insights -

Nevada Attorney General Aaron D. Ford, joined by a bipartisan multistate coalition of 50 attorneys general, has sent a letter to the US Department of Justice (DOJ) urging action against the growing threat of illegal offshore gaming. This coalition seeks to address the harm caused to consumers, the economy, and the rule of law by illicit online gambling operations. The letter highlights the dangers of unregulated online sports betting and gaming, which often operate without proper licensure, neglect consumer protections, and evade tax obligations.

Key Takeaways:

  • The multistate coalition, led by Nevada Attorney General Aaron D. Ford, has sent a letter to the US Department of Justice urging action against illegal offshore gaming operations.
  • Illegal online gaming operations expose users to fraudulent schemes, encourage problem gambling, and have been linked to money laundering, human trafficking, and other illicit conduct.
  • The coalition estimates that illegal online gaming exceeds $400 billion in volume annually, resulting in over $4 billion in lost tax revenue for states.
  • Senate Bill 256, passed in Nevada's 2023 legislative session, increased penalties for illegal online gambling operators.
  • The coalition is urging the DOJ to assist states in deploying robust legal tools and enforcement actions against illegal offshore gaming operations, including pursuing injunctive relief, seizing assets, and coordinating with states and financial institutions to block unlawful transactions.
  • The multistate coalition includes the attorneys general from 50 states, with co-lead attorneys general from Connecticut, Massachusetts, Nebraska, and Utah.

Statistics:

  • Estimated annual revenue from illegal online gaming: over $400 billion
  • Estimated annual loss in tax revenue for states: over $4 billion
  • Number of states participating in the multistate coalition: 50

Sources:

  • "Nevada Attorney General Aaron D. Ford announces call to action for DOJ assistant in combating rampant spread of illegal offshore gaming" released by the office of the Nevada Attorney General
  • Letter to US Attorney General Pam Bondi from AG Ford and the coalition