This article from The Topeka Capital-Journal details the arrest of five Kansas residents after they used slot machines in Kansas City, Kansas to launder $200,000 from marijuana sales. According to the article, “The office of U.S. Attorney for Kansas Barry Grissom said Wednesday that investigations showed some members of the group would deposit large sums of money in small denominations into casino slots, cash out without playing and receive a voucher for the money deposited, then cash the voucher at ATM machines throughout the casino, getting their cash back in large denominations.” These residents have been indicted on 12 counts including money laundering and conspiracy to distribute marijuana.
New Ohio Lottery ad promotes the “fun” of scratch tickets
A recent $4.3 million ad campaign from the Ohio Lottery aims to show players how fun and exciting it is to play scratch tickets, even while making no implication as to whether the people in the commercial won anything. Scratch ticket sales in the US totaled $37.5 billion last year, disproportionately from poorer Americans who are playing these instant scratch tickets as a path to wealth. The fact is, even the Lottery realizes that these games are a poor and almost impossible way to achieve wealth, so these ad campaigns are looking to get players to play just for the instantaneous “buzz” or “high” people can get from these games, which, along with their money, is gone in seconds.
Ohio Lottery Trades the Promise of Riches for the Joy of Instant Gratification
Despite casinos’ poor economic record, Philadelphia pushes forward with second casino
Philadelphia is hoping to buoy the economic prospects of its Center City area with a second casino, despite the fact that the state’s first casino has failed to produce economic growth and despite the fact that time and again, casinos hurt, not help, urban economies. This opinion piece from Next City explains why more casinos won’t make their economic effects any less harmful. Philadelphia’s Center City needs a breath of new life but casinos will not and cannot provide it.
Architectural Gimmicks Can’t Make Casinos Safe Economic Bets
System to allow citizens to set spending and time limits on gambling machines abandoned
This article from the CBC News explains the Nova Scotian government’s recent decision to abandon its “My-Play system” where players, using a card to activate the machine, would be able to set spending and time limits on a VLT (video lottery terminal) and see their spending habits. Gambling interests argued that this system wasn’t working because people would use multiple cards- even despite a 2011 study that found that this system is effective. Gambling critics argue that this is the work of gambling interests upset about their bottom lines being hurt. The My-Play system has already been adopted and has been working quite effectively in places like Norway but now, just two years after the system as made mandatory, the system is gone and Nova Scotian gambling interests can continue to profit more and more from problem gamblers.
VLT cards that track gambling habits abandoned in Nova Scotia
The lower your income, the more likely you are to play the Lottery
This article from the Maryland Reporter details why the lower-income communities in Maryland play the Lottery disproportionately. For example, Park Heights, one of Maryland’s poorest neighborhoods with a median income of $35,000, gave the most money to the Lottery in the entire state- a whopping $34 million. A truck driver from Park Heights told the Reporter that, “We play to make some extra money… I want some extra money. We all do.” Lower-income communities disproportionately believe the path to wealth is the Lottery, not responsible saving and spending. However, with every Lottery ticket, as this article explains, residents only fall deeper and deeper into poverty.
Low-income players drive lottery sales as a big source of state revenues
Florida Lottery shuts down more stores after fraud allegations
This article by the Palm Beach Post documents the Lottery’s scramble in Florida to shut down certain stores after a previous investigation by the paper revealed fraud going on between store owners and Lottery players, allowing some players to win an incredible amount of times against all odds. The total of stores that the Lottery has closed down now totals 14 and some of those involved could face criminal charges if these allegations are true.
Florida Lottery suspends sales at 11 more stores after newspaper investigation
Study finds that disadvantaged youth may be more likely to become problem gamblers
This article from The Baltimore Sun summarizes the findings of a new study from Johns Hopkins University that concluded that disadvantaged youth have a higher propensity to become problem gamblers, due in part to their increased level of participation in betting on dice in the streets or betting on sports games, which serves as a gateway to more serious, problem gambling when they are allowed in a casino. These discoveries come on the heels of an increased casino and gambling presence in Maryland, where the study took place.
Disadvantaged urban youth may be more likely to be problem gamblers
Schools in Maryland aren’t seeing the funding promised from casinos
In 2012, faced with a referendum on gambling on which voters would decide the fate of gambling in Maryland, Governor Martin O’Malley promised his constituents that casinos would bring in necessary revenue for education funding. He equated gambling with a win for education. Now, two years later, schools in Maryland are looking for the money they were promised because so far, it hasn’t come. Just as with other states, education funding from casinos has fallen far short of what was promised. This article from the Maryland Reporter explains how once again, schools are losing out on much-needed funding.
Despite campaign promises, casinos, not schools, are big winners from gambling profits
Nebraska Attorney General on instant racing machines
Attached is a copy of the Nebraska attorney general’s opinion regarding a bill that discusses whether or not instant racing machines are legal under the Nebraska constitution. In the end, the attorney general, Jon Bruning, concludes that, “LB 1102’s attempt to authorize wagering on the results of previously run horse races through the use of IRTs [instant racing terminals] resembling slot machines or other video gambling devices does not constitute a form of parimutuel wagering which the Legislature may permit”. In other words, according to the attorney general, under the Nebraska constitution, instant racing machines, or terminals, are not legal methods of gambling.
Maryland attorney general comes out against instant racing machines
Below is a copy of the opinion of Douglas Gansler, the attorney general for the state of Maryland, wherein he explains that he does not believe instant racing machines are legal, due to the fact that they do not use pari-mutuel betting (betting against a pool rather than against the house) and are thus a form of slot machine, which is not allowed at Maryland race tracks. This opinion represents a large development because the legal arm of government has begun not to support these machines.