Indiana lawmakers have rapidly advanced a broad gambling reform bill that tightens oversight of sweepstakes games, sports wagering, and horse racing. The measure now resides with the Senate less than two months after its introduction.
Key Takeaways
- Indiana House Bill 1052 passed the House and advanced to the Senate for consideration.
- The bill tightens the regulation of sweepstakes games, sports wagering, and horse racing.
- Sweepstakes games would be formally defined in state law, with new civil penalties introduced for operators.
Indiana House Bill 1052 (HB 1052), sponsored by Rep. Ethan Manning, moved rapidly through the House after committee amendments, expanding regulatory authority, clarifying wagering prohibitions, and introducing new penalties tied to gaming activities.
The bill was introduced Dec. 5, 2025, and was approved by the Committee on Public Policy on Jan. 20 with a 10-0 vote, and then left the committee on Jan. 27 following several amendments. The full House approved the bill with an 87-11 vote Monday and sent it to the Senate on Tuesday.
Although the legislation includes provisions affecting alcohol and tobacco regulation and age verification for THC products, the core of the bill centers on gambling oversight and enforcement.
The bill would establish a formal statutory definition for sweepstakes games and create civil penalties for individuals or entities that operate them. It would also expand Indiana's voluntary exclusion program, allowing individuals to self-exclude from additional gambling activities beyond existing programs.
The legislation also clarifies wagering restrictions at licensed facilities by explicitly including horse racing. These prohibitions apply to commission members, employees, racing officials, and their spouses. Violations are classified as Class C infractions, with repeat offenses eligible for elevation to a Class A misdemeanor.
There has been some opposition to the bill, however. The Social Gaming Leadership Alliance (SGLA) released a statement after the bill passed the House Committee, expressing its disappointment with the decision and maintaining sweepstakes platforms have been operating lawfully in the state. The SGLA proposed a new framework that could bring Indiana an additional $20 million in revenue from these platforms.
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Tennessee lawmakers move to ban sweeps casinos
As Indiana advanced its legislation, Tennessee lawmakers introduced a separate bill aimed specifically at sweepstakes casinos. House Bill 1885 (HB 1885) was introduced by Rep. Scott Cepicky during the current legislative session and classifies sweepstakes casinos as illegal online gambling.
If enacted, the bill would designate illegal gambling and related activities as violations of the Tennessee Consumer Protection Act of 1977. Operators found in violation could face civil penalties of up to $15,000 per offense.
The measure also proposes expanding the investigative authority of the state's sports wagering council and the attorney general to pursue unlawful gambling activity.
The bill defines sweepstakes casinos as operators using virtual currency systems for casino-style games, where players can exchange virtual currency for cash or other real-world prizes. The legislation states these platforms function as a facade for real-money gambling without a required gaming license.
HB 1885 follows cease-and-desist letters issued by the Tennessee Attorney General to nearly 40 sweepstakes operators in late December. Some operators agreed to exit the state, while others shut down operations entirely.
A companion measure, Senate Bill 2136, was introduced simultaneously. Neither has made its first appearance in its respective chamber.
