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Latest Gambling News: UAE Approves Smartplay International As Lottery Vendor, and more

Kat Pilkington

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November 4, 2024

Catch up on six of the stories our gambling compliance analysts have covered lately, and stay up-to-date on the latest news.

UAE Approves Smartplay International As Lottery Vendor

New Jersey-based lottery equipment and systems supplier Smartplay International has been awarded a gaming-related vendor licence in the United Arab Emirates (UAE).

The General Commercial Gaming Regulatory Authority (GCGRA) awarded the licence on October 10, according to a Smartplay statement released last Thursday (October 24).

We're honoured that the GCGRA has awarded this vendor licence and allowed us to supply licensed gaming operators in the UAE, Smartplay vice president of sales Darrell Smith said in the statement.

We see great opportunities in the country and look forward to working with new gaming operators as they are approved by GCGRA, he said.

Unless Smartplay provides wider online services or land-based services to UAE airport-based lottery operations outside the GCGRAs jurisdiction, its sole B2C client will be local lottery monopoly The Game LLC, the federations first gambling licensee.

Smartplay supplies number drawing systems across the United States and to 126 other countries, including the UK, Hong Kong and Canada, according to its website.

The GCGRA confirmed Smartplay's licence on its licensee webpage on Tuesday, along with that to a subsidiary of Australian listco Aristocrat Leisure, the first electronic gaming machine and online games and services supplier in the UAE.

That subsidiary is listed as Aristocrat Technologies Europe (Holdings) Ltd.

Massachusetts Legislature Sets Aside Online Lottery Funding

The Massachusetts Lottery is a step closer to receiving the funding it needs to launch its products online in April 2026, according to a supplemental budget bill that passed by the state's Senate.

House Bill 5077 sets aside $2.5m for start-up costs associated with implementation of an online lottery. The original bill made the state funds available until June 30, 2025, but the Senate Ways and Means Committee amended H 5077 earlier this month to extend the availability of state assistance to June 30, 2026.

The Senate passed the bill on October 24 and has been engrossed by the secretary of the upper chamber. As of Tuesday (October 29), it was unclear when the state's House would take up the changes to the bill.

Lottery executive director Mark William Bracken recently told the Boston Chamber of Commerce that the agency is looking to launch in April 2026. Bracken expects to update the chamber next year, according to States News Service.

Massachusetts has issued a request for vendors to design its new online lottery system. The state legislature authorized an online lottery in the fiscal 2025 budget that Governor Maura Healy, a Democrat, signed on July 29.

Jordan Maynard Named Chair Of Massachusetts Gaming Commission

Governor Maura Healey, a Democrat, has appointed Jordan Maynard as the chair of the Massachusetts Gaming Commission (MGC), a position he has held in an interim capacity since Cathy Judd-Steins retirement in March.

Healey on Monday (October 28) also appointed former Melrose Mayor Paul Brodeur to serve as a commissioner, filling the fifth and final seat on the commission. Brodeur served as mayor from 2019-2024.

Maynard was initially appointed to the commission in August 2022. Prior to joining the commission, Maynard served as chief secretary to the governor.

Under state law, one commissioner is appointed by the governor, one appointed by the attorney general, who must have experience in criminal investigations and law enforcement, one appointed by the state treasurer, who must be proficient in corporate finance and securities, and two appointed by a majority vote of the same three state officials.

The governor designates the chair of the gaming commission.

Iowa Regulators Fine DraftKings, ClutchBet $25,000

The Iowa Racing and Gaming Commission (IRGC) has fined DraftKings $20,000 for self-exclusion violations and for offering impermissible wagers, while ClutchBet operator BlueBet has been fined $5,000 for self-exclusion violations.

Under state gaming regulations, licensees are required to follow a process, established by the IRGC, to allow a person to be voluntarily excluded from gambling on sports, fantasy sports or casino games.

On August 6, ClutchBet downloaded the updated information as required from the self-exclusion database. The next download should have been on or before August 12; however, it was not completed until August 14, resulting in the $5,000 penalty.

DraftKings was fined $10,000 after an update to the company's systems that compare self-excluded persons to DraftKings account-holders did not include the process to search for social security numbers. The update operated for 83 days, which allowed one individual who should have had his account restricted to continue to have access.

In a second settlement, DraftKings was fined $5,000 for additional self-exclusion violations, and $5,000 for accepting 28 mobile wagers totaling $468.71 in handle for an April 7, 2023 Professional Fighters League (PFL) fight between Biaggio All Walsh and Isaiah Figueroa as part of an overall fight card.

The IRGC noted that it was an impermissible event as the PFL categorized it as an amateur fight.

GLPI Reaches Sale, Leaseback Deal With California Tribe

Gaming & Leisure Properties (GLPI) released more information on Friday (October 25) concerning the companys first-of-its-kind sale and leaseback transaction with the Ione Band of Miwok Indians near Sacramento, California.

The deal is the first ever between a real estate investment trust (REIT) and a Native American tribe.

I would say [its] the culmination of a multi-year process that weve been working on to try and come up with a structure that can be utilized where you have land held in trust by a tribe, GLPI CFO Brandon Moore told analysts during a third-quarter earnings call.

Moore said the most important part of the deal is the lease, which has received National Indian Gaming Commission approval. He said the transaction includes a five-year loan to finance the construction of a greenfield development outside Sacramento.

The lease has an initial term of 25 years but can be extended to 45 years. Moore stressed that GLPI has all the protections that a commercial lender would enjoy, including the option to foreclose on the property and can operate everything except the casino.

After 45 years, Moore told analysts, the Ione tribe keeps the land, and both parties would go their separate ways.

We have met with tribes over the last several years, he added. Were in the process of going back to many of those tribes now that we have the (NIGC) letter in hand.

Moore said GLPI has entered into non-disclosure agreements with tribes over the specific structure of the deal.

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