Risk-Free Games Are Unlawful Games of Chance According to Kentucky's Attorney General
Kentucky Cracks Down on Illegal Gambling Machines
Kentucky is maintaining a firm stance against illegal gambling machines, known as "gray machines" and "risk-free play" games. In 2023, a Kentucky state judge upheld the ban on skill-based gambling machines, reinforcing the illegality of such devices in the state.
The illegal "gray machines" refer to gambling devices not authorized by Kentucky law, often disguised as "risk-free play" or skill games to evade gambling regulations. The state has not legalized real-money online casino games or slot machines; only historical horse racing (HHR) machines are permitted under strict regulation at certain horse racing venues.
A Kentucky resident has filed a lawsuit against Aristocrat, alleging that social casinos represent illegal gambling. The lawsuit, filed with the Kentucky Western District Court late last month, argues that through social casinos, companies were able to "smuggle illegal slot machines" into the homes and pockets of millions of Americans.
In response, Attorney General Russell Coleman has reiterated his office's dedication to combatting illegal gray machines and has expressed his intention to provide assistance to state law enforcement and prosecutors investigating or prosecuting violations of Kentucky's gambling laws, including those related to gray machines.
Coleman, in collaboration with law enforcement agencies, has reaffirmed his office's commitment to continuing the fight against unlawful gambling and ensuring businesses and organizations comply with state laws. Law enforcement in each state works to combat illegal gambling, involving efforts by multiple agencies and gambling regulators.
Last year, the General Assembly of Kentucky passed HB 594, a bill that outlawed gray machines. The bill was sponsored by House Speaker David Osborne and Rep. Killian Timoney. Despite this, Kentucky has recently focused on legalizing and regulating sports betting, which became lawful statewide in 2023 with oversight by the Kentucky Horse Racing Commission. This includes retail and online sportsbooks but does not extend to casino-style machines.
In summary, Kentucky prohibits gray machines and risk-free play games, and ongoing efforts primarily consist of maintaining enforcement rather than legalizing or regulating such devices. The state's gambling focus has shifted toward legal sports betting with no concurrent move to legalize these types of gambling machines.
- The illegal social casinos, a potential means to smuggle slot machines, are under scrutiny in Kentucky, with a local resident filing a lawsuit against Aristocrat, alleging they represent illegal gambling.
- As Kentucky continues to combat illegal gambling devices like gray machines, it remains firm on its stance against casino-and-gambling activities, keeping real-money online casino games and slot machines prohibited.
