A recent bill a lawmaker presented to the Montana Senate seeks to address the proliferation of illegal online gambling websites in the state.
Senate Bill 555 (SB 555), which Sen. Vince Ricci introduced, provides a package of amendments to Montana gaming legislation that extends additional enforcement powers, further delineates illegal gambling, and punishes offenders more harshly.
Key takeaways
● Sen. Vince Ricci introduced SB555 on Thursday.
● Currently, the lottery is the only form of legal gambling in Montana.
● The bill proposes harsher penalties to those who illegally gamble online.
One of SB 555's most significant objectives is to redefine the statutory definition of "internet gambling" in the Montana Code Annotated. As per the amendments, the definition would expand to specifically encompass online casinos and any other form of mobile wagering with conventional money, electronic payment methods, or cryptocurrency.
The bill calls attention to the state's interest in unregulated online gaming, specifically consumer protection and the integrity of the licensed gaming industry. According to statements Sen. Ricci provided, Montana citizens already have no safeguards when they encounter illegal online gambling operators.
SB 555 also addresses the funding arrangement for enforcement efforts. Fines and penalties assessed for violations of the state's gambling laws would now go to the Dept. of Justice's operating budget rather than the general fund.
The shift should give the agency responsible for gambling regulation and law enforcement the funds necessary to fulfill its larger mandate.
Enhanced criminal penalties for designated activities
One of the bill's key provisions is enhanced criminal penalties. Individuals who knowingly solicit or advertise participation in illegal gambling activities could be charged with misdemeanors. More significantly, individuals who run illegal online gambling operations in Montana directly or indirectly through offshore operators would face felony charges.
Offenses under these laws could be penalized by fines of up to $50,000, 10-year sentences, or both. In addition, the Dept. of Justice would revoke any of the convicted parties' gambling licenses or permits and permanently disqualify them from obtaining such licenses.
The bill also makes a number of technical and definitional changes to existing law. These vary from revised definitions of gambling enterprises and gambling devices to more generalized terminology that can encompass cryptocurrency as a valid means of facilitating gambling transactions.
By bringing digital currency within gambling's regulatory ambit, the bill tries to preemptively resolve legal ambiguities operators could exploit using newer technology to circumvent existing laws.
Notably, SB 555 doesn't alter the lawfully licensed status of other gambling already allowed in Montana, such as certified video gambling devices, live card tables, charity raffles organized by organizations, or games of chance operated on Indian reservations by federal policy and tribal regulations.
In addition, it would not affect state-regulated forms of gambling, such as the Montana Lottery or wagering simulcast through sanctioned facilities.
