- The AG says risk-free games are illegal.
- Prominent shutdown games on Wednesday.
- Prosecutors are encouraged to take action against the illegal games.
Kentucky Attorney General Russell Coleman recently issued an advisory to prosecutors in the state that warned that new games similar to slot machines are technically illegal gambling devices.
Although the games are being promoted as ‘risk-free,’ Coleman says there is ‘no safe harbor’ for this kind of game within Kentucky gambling laws.
Over 600 Such Games in Operation
Earlier this year, reports began to surface regarding the no-risk games popping up at local gas stations. Officials have stated that over 600 machines are now in operation. Due to legality issues, a bill was passed last year to ban the games, which are known as gray machines.
The gaming machines offer cash prizes and are located in stores, bars, and gas stations across the state. The companies that made the games labeled them as skill games since the wins were determined based on player skill and not chance.
Once the new law was enacted, companies like Prominent Technologies and Pace-O-Matic removed the machines from Kentucky venues. The companies also sued to remove the legislation, claiming it was unconstitutional.
Prominent also decided to create a new game that they say is not outlawed based on the new legislation. Starting this year, the new game was added to gas stations across Kentucky.
Coleman’s Opinion Disputes the No Risk Interpretation
Prominent is now calling the new games risk-free or no-risk, stating that players are informed before each play whether they will or will not win on the next spin. The company has offered to demonstrate gameplay to the AG’s office to prove its position.
Coleman’s advisory this week disputes Prominent’s interpretation of the new games and states that risk-free games are still illegal, just like the gray machines were last year. Coleman stated that the games lure players to continue for a chance to win on the next play.
Local prosecutors have been given guidance on how to act, and they have been given the green light to investigate and prosecute violations of Kentucky’s gambling laws, including those connected to gray machines.
The AG’s office will also provide assistance whenever needed. The gaming companies seem not willing to give up, and there is no doubt that Prominent will try again. The company announced that all games had to be disconnected by 5:30 p.m. yesterday at stores located in Kentucky.
Prominent plans to spend the next few days exploring legal options due to the new advisory. The company sued last year but decided to drop the case over the past summer. Due to the new regulatory outlook in the state regarding gambling games, they may try a similar tactic.
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