Online Gambling Warnings: Caution About Fraudulent Ads in Restricted iGaming Markets
Online Gambling Risks: Caution Against Fraudulent Ads in Restricted Casinos
- Jake’s 58 warns about fraudulent online casino ads in New York.
- Offshore gaming sites are misusing legitimate casino trademarks.
- iGaming is only legal in seven states in the US.
Land-based casinos in regions where online slots and table games are banned are facing an increasing threat from rogue offshore gaming websites. These outfits are not just targeting players with unregulated options; they are also exploiting the brands of established brick-and-mortar casinos to give their operations an appearance of legitimacy.
Recently, the Jake’s 58 Casino Hotel located on Long Island reported that social media posts falsely advertising online gaming options under their name are circulating. In a public statement, they clarified that:
Please be advised Jake’s 58 does not offer any form of online gambling and we are not affiliated with any websites, apps, or platforms claiming to provide such services. This is a scam aimed at misleading and potentially endangering users.
Owned by Suffolk Regional Off-Track Betting Corp., Jake’s 58 cautioned that its logos and branding are being used unlawfully.
Growing Problem
Offshore gaming companies, often based in jurisdictions friendly to online gambling like Malta and the Isle of Man, are ramping up their marketing efforts. Many casinos across the US have reported their brand images being co-opted in ads for illegal gaming platforms.
These offshore sites, despite typically having a license from another country, present scant protection for players. If a player wins a bet or seeks to withdraw funds, their recourse is minimal. Moreover, these illegal casinos lack oversight for fair play and lack encouragement of responsible gaming practices.
Suffolk OTB President and CEO Phil Boyle stated, “If you’re being solicited to wager on poker or slots online in New York, it’s illegal, and you should not engage with such offers. It’s a scam waiting to take your money.”
Similar concerns have emerged from other casinos. For instance, the Golden Nugget Casino in Danville faced social media ads claiming to be the new Golden Nugget Online Casino, offering free spins for sign-ups. The same patterns have been observed with other prominent casinos, including:
- In Virginia, fake ads for a Caesars-branded online casino have surfaced, misleading players.
- In Massachusetts, Plainridge Park Casino alerted the public about fraudulent ads exploiting their brand.
- MGM’s Beau Rivage has also issued warnings regarding unauthorized online promotions.
- Tribal casinos like Ho-Chunk Gaming and Muckleshoot Casino Resort have been similarly targeted.
iGaming Only Allowed in Seven States
While online sports betting is permitted in 33 states and Washington, DC, iGaming remains restricted to only seven states. Being physically present in one of the following states is a prerequisite for online gambling:
- Connecticut
- Delaware
- Michigan
- New Jersey
- Pennsylvania
- Rhode Island
- West Virginia
Several sites have tried to circumvent these regulations by presenting themselves as “sweepstakes” platforms, which has led to a wave of cease-and-desist letters from state gaming regulators and attorneys general to those sites.
With the rapid expansion of online gaming, players must remain vigilant and informed to avoid falling prey to these deceptive schemes.
Summary: The rise of rogue offshore casinos poses a significant challenge to land-based casinos in states where online gaming is illegal. These fraudulent ads often use legitimate casino branding, misleading players and potentially exposing them to financial risks. While iGaming is gaining ground in the US, only a handful of states offer legal online gambling, underscoring the need for players to stay cautious. It’s essential to stay informed about legitimate platforms and report any suspicious online gambling activities.
