Michigan Attorney General Dana Nessel has issued a new consumer alert to warn residents about the growing presence of illegal casino-style gaming machines across the state. Often referred to as “skill games,” these unregulated devices pose significant risks to consumers, businesses, and the Michigan economy.
In collaboration with the Michigan Gaming Control Board (MGCB), Nessel emphasized the importance of understanding the dangers associated with these machines. “The gaming industry is strictly regulated to promote a safe and fair gambling environment,” Nessel stated. “It’s crucial gamblers understand the risks associated with illegal gaming machines before using them. My office has worked closely with the MGCB to dismantle illegal gambling operations and remains committed to this partnership to protect Michigan consumers.”
The Threat of Illegal Gaming Machines
Illegal gaming machines mimic traditional casino slot machines, featuring spinning wheels with symbols like cherries, sevens, and bars, as well as pay tables displaying potential prizes. Players insert cash or credits to spin the wheels, and some machines even allow players to adjust the wheels to align symbols. Despite claims that these games require skill, they rely on preset outcomes or random number generators, making them games of chance. Winnings are often paid out in cash, gift cards, or other prizes, which violates Michigan law.
Henry Williams, Executive Director of the MGCB, highlighted the broader impact of illegal gaming. “Illegal gaming remains a serious threat to Michigan residents and their communities. Unregulated machines often result in financial harm and other associated problems. Additionally, these illegal operations cause a loss of state revenue, depriving schools and communities of vital funding,” Williams said. “The MGCB is dedicated to upholding gaming regulations and safeguarding the integrity of our state’s gaming industry. We will continue our efforts to eliminate unauthorized machines and prevent them from being repurposed for unlawful use.”
Legal Consequences and Consumer Risks
Under Michigan law, gambling is defined by three elements:
- Money or something of value;
- A prize; and
- Chance.
Businesses operating illegal gaming machines may be violating the Michigan Consumer Protection Act (MCPA). The Attorney General’s office can seek court orders to halt these activities and impose fines of up to $25,000 for repeat offenses. Consumers who lose money at illegal gaming centers may also have the right to sue for damages.
Using or hosting illegal gaming machines can lead to severe penalties, including criminal charges, civil fines, and risks to business licenses.
How to Protect Yourself
To avoid falling victim to illegal gaming machines, the Attorney General and MGCB recommend the following steps:
- Don’t Play: Avoid machines you suspect are illegal.
- Check Legitimacy: If you encounter a gaming machine, contact the MGCB to verify its legality.
- Report It: Help protect your community by reporting illegal gaming machines to the MGCB or local law enforcement.
Reporting Illegal Gambling
The MGCB encourages the public to report suspected illegal gambling activities by calling their anonymous tip line at 1-888-314-2682 or sending a message through their website. Consumers can also file complaints with the Attorney General’s Consumer Protection Team:
- Mail: P.O. Box 30213, Lansing, MI 48909
- Phone: 517-335-7599 (toll-free: 877-765-8388)
- Fax: 517-241-3771
- Online Complaint Form: Available on the Attorney General’s website
The rise of illegal gaming machines in Michigan poses a significant threat to consumers and the state’s economy. By staying informed and vigilant, residents can help combat this issue and protect their communities. As Nessel and the MGCB continue their efforts to dismantle illegal gambling operations, public cooperation remains essential in ensuring a safe and fair gaming environment for all.
For more information or to report illegal gaming, visit the Michigan Gaming Control Board’s website or contact the Attorney General’s Consumer Protection Team. Together, we can safeguard Michigan’s communities and uphold the integrity of the state’s gaming industry.
