We Don’t Negotiate with Terrorists
During the podcast, Rocha spoke assertively, stating there is no room for the tribes and sweepstakes sites to work together. There is no discussion or dialogue to be had, as Rocha says, ‘We don’t negotiate with terrorists.’
During the podcast, Jonodev Chaudhuri, the former chair of the National Indian Gaming Commission (NIGC), was on hand to comment. Chaudhuri served as chair from 2013 to 2019 and used the podcast to explore the history of the Indian Gaming Regulatory Act (IGRA).
The Act is federal legislation enacted in 1988 that established the Indian gaming industry framework. The IGRA established the NIGC, one of the federal agencies in charge of tribal gaming.
Chaudhuri stated that the commission is limited in its abilities, and the tribes are the industry’s primary regulators. The NIGC acts as a supplemental organization and a government liaison. In some instances, the individual states also participate in the regulation processes.
Tribal operators must be the primary beneficiaries of gaming and have sole proprietary interests in gaming operations. Clear guidelines protect Indian lands. Gaming on tribal lands that are not operated by the tribe is a violation of federal law.
Enforcement is Available
According to Chaudhuri, if operations are found on tribal lands that are illegal in nature, enforcement is an option. Such enforcement can apply to anyone, including sweepstakes operators. Fines and closure orders are examples of enforcement methods, but how they actually apply to sweepstakes sites is questionable.
Government entities, be it state or federal, have yet to take action against sweepstakes sites in California or across the US. Lawsuits are active, though, as brands like Pulsz Casino and operators like VGW face action against their services.
Sweepstakes casinos operate based on sweepstakes laws, which allow casino-style gaming via virtual currency. Operators utilize a no-purchase-necessary method with Gold and Sweepstakes Coins. Players are not obligated to make purchases, and the definition of gambling in most states includes a monetary component. That is how sweepstakes sites remain in operation across the US.
For tribal operators, compacts with individual states give exclusivity to gaming services. There is no real mention of sweepstakes gaming, as the industry has just started growing in popularity over recent years.
Tribal leaders like Rocha have discussed compacts and their role in the gaming industry. It would be interesting to see if compacts are renegotiated in the future to include mention of sweepstakes operations, giving tribal operators even more exclusivity in specific states.
However, for now, the tribes will need to continue to develop ideas about how to deal with the competitive nature of sweepstakes brands in California and other states where tribal casino gaming is prevalent.
