Louisiana Latest State to Force Bovada to Close Up Shop
A growing list of jurisdictions are making moves to ban the presence of unregulated, offshore sportsbooks operating within their borders. Bovada has been the biggest target in numerous jurisdictions, and our best sports betting sites available to residents, Louisiana has followed suit.
This month, the Louisiana Gaming Control Board (LGCB) met, and one of the topics discussed was the banning of Bovada in the Louisiana market. That meeting mentioned a cease-and-desist letter dated Aug. 6 sent to the Curacao-based, Harp Media-owned offshore provider.
The Louisiana sports betting market is a thriving legal, licensed, regulated scene.
LGCB Chairman Chris Hebert told his members at an Aug. 15 meeting that, “As we know, there continues to be a bustling illegal online gambling market in the United States. On August 6th of this year, and on behalf of this board, I sent a letter to the Curacao-based company Harp Media BV, doing business as Bovada, ordering the company to immediately cease and desist from operating its unlicensed online casino in our state.”
“Additionally, Bovada must continue to allow all Louisiana customers to withdraw any funds currently held by Bovada. Failure to comply may result in additional civil and/or criminal actions,” Hebert continued.
The issue
Louisiana is among the growing list of U.S. states with its legal retail and mobile sports betting family. All of the current Louisiana sports betting apps were vetted by its Gaming Board, and strict conditions were required to be met prior to licensing.
Each pays a licensing fee and is taxed a portion of their monthly revenues, with funds directed toward needy state and local coffers.
Bovada has essentially been able to operate without such requirements, without the regulatory scrutiny and taxation on its sportsbook and online casino products.
As Chris Hebert noted in his letter, “Bovada is allowing Louisiana residents and/or persons located in the state of Louisiana to place wagers via mobile application and internet websites with online casino services which include sportsbook, iGaming, table games slots, live dealer, poker, horse racing, and hundreds of other gambling options in violation of Louisiana gaming laws and regulations.”
Growing list
With Louisiana added in, 12 U.S. legal sports betting states have restricted Bovada from operating in their states. Michigan sports betting started the most recent march toward individual jurisdictions banning the offshore sportsbook, with Colorado sports betting, Connecticut sports betting, West Virginia sports betting, and most recently, Ohio sports betting taking action against Bovada.
LGCB Chairman Chris Hebert acknowledged other states’ efforts to rid themselves of the illegal, offshore sports betting provider. He said, “Recently our regulatory colleagues in states such as Michigan and Connecticut have sent similar letters, which have caused Bovada to restrict access to its site to residents of those respective states.”
He went on to state, “It is my sincere hope that Louisiana will join the list of restricted states based on our letter, but also that soon the federal government will use its resources to crack down on companies that don’t have in place the regulatory, legal, and financial safeguards necessary to operate within the U.S. betting market.”
With nearly 40 states hosting their own legal, licensed sports betting industries, the list of Bovada-restricted jurisdictions should continue. After all, Bovada is a direct, unregulated threat to the bottom line of Louisiana sports betting apps and the tax coffers that benefit from the Bayou State platform without offering Louisiana sportsbook promos.
