Louisiana Could Define Sweepstakes Casinos as Racketeering


Published on: February 2, 2026, at 11:35 AM. 

Updated on: February 2, 2026, at 11:35 AM.

  • Online sweepstakes casinos are deemed illegal in Louisiana
  • A state representative is advocating for harsher penalties for breaches of Louisiana’s gaming regulations

Recently proposed legislation in Louisiana aims to impose stricter consequences for operating an unauthorized, unlicensed online sweepstakes casino in the state.

Illegal sweepstakes casinos in Louisiana
Statues of Antoine Fats Domino, Al Jumbo Hirt, and Pete Fountain in New Orleans Musical Legends Park on Bourbon Street. The recent legislative efforts in Louisiana aim to heighten penalties against illegal gambling operations, including online sweepstakes casinos. (Image: Shutterstock)

Despite Governor Jeff Landry’s (R) rejection of a previous bill intended to outlaw dual-currency online sweepstakes platforms that enable gambling-like activities, state Rep. Bryan Fontenot (R-Thibodaux) has introduced House Bill 53. The Louisiana State Legislature is set to reconvene on March 9 for its 2026 session.

HB53 proposes that specific gambling offenses be recognized as predicate offenses for racketeering. If passed, racketeering activities will encompass gambling practices like computer gambling, cockfighting bets, electronic sweepstakes gambling, illegal wagering, and bribing sports participants.

“’Racketeering activity’ encompasses committing, attempting to commit, conspiring to commit, or soliciting others to commit any crime punishable under relevant statutes in Title 14 of the Louisiana Revised Statutes of 1950, the Uniform Controlled Dangerous Substances Law, or the Louisiana Securities Law,” the proposed legislation states.

Governor Landry’s Veto on Sweepstakes Bill

Governor Landry vetoed Senate Bill 181 last June, believing that existing state laws already prohibit online sweepstakes casinos and dual-currency platforms.

“The Louisiana Gaming Control Board is taking proactive measures against illegal gambling in the state, particularly targeting unlawful offshore betting and unlicensed online sweepstakes firms. Our goal is to safeguard Louisiana residents from unregulated gambling that contravenes state laws,” Landry explained in his veto statement.

The governor further articulated, “The Board, alongside its regulatory partners, will act decisively to uphold state gaming regulations and protect players while ensuring the integrity of Louisiana’s gaming sector. This proposed bill seems to be addressing a non-existent problem, as our current system is effectively handling it. Additionally, some of its language is excessively vague, potentially hindering our ongoing enforcement initiatives against these illegal operations.”

The Gaming Control Board has issued cease-and-desist notices to multiple online sweepstakes casinos known to serve customers in Louisiana. Numerous leading platforms, such as Stake, Chumba, and MyPrize, are no longer operational within the state following these actions. 

Determent of Future Offenders 

Fontenot’s proposed legislation aims to dissuade the establishment of online sweepstakes casinos and other dubious gaming operators in Louisiana. Classifying an online sweepstakes casino as a racketeering offense would result in severe legal repercussions for violators.

According to Louisiana law, a person found guilty of racketeering may face penalties of “up to one million dollars in fines, or incarceration for no more than 50 years at hard labor, or both.”

Furthermore, eligibility for parole is eliminated if the racketeering offense surpasses $10,000.



Source link