State Attorneys General Call on DOJ to Crack Down on Illegal Offshore Gambling

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HARRISBURG, PA — Pennsylvania Attorney General Dave Sunday has joined a bipartisan coalition of 50 Attorneys General in calling on the U.S. Department of Justice to take decisive action against the widespread growth of illegal offshore gambling operations.

In a letter addressed to U.S. Attorney General Pam Bondi, the coalition urged the federal government to utilize its enforcement authority to dismantle unlawful gaming websites, freeze assets associated with offshore operators, and disrupt financial transactions facilitated through global networks such as VISA and MasterCard.

Attorney General Sunday emphasized the risks posed by these foreign-run platforms, including the exposure of children to gambling, lack of consumer protections, and the evasion of state tax laws. “Illegal offshore gaming and gambling companies circumvent all state and federal laws with one mission — to increase players and maximize profits — exposing children and other vulnerable Pennsylvanians to gambling without protections offered by legitimate outlets,” Sunday stated.

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The coalition argues that unlicensed online gambling platforms—primarily operated outside the United States—pose serious risks to consumers by failing to verify users’ ages, bypassing state regulatory boundaries, and avoiding taxation. They estimate these illegal operations handle over $400 billion in wagers annually, resulting in more than $4 billion in lost tax revenue for U.S. states.

In Pennsylvania alone, legal gambling produced nearly $6.4 billion in revenue during the 2024–2025 fiscal year, with internet casino gaming accounting for nearly $2.5 billion. State authorities warn that the unregulated offshore market not only threatens public safety and responsible gambling standards but also undermines the legitimate industry.

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To combat the problem, the Attorneys General are calling on the DOJ to take a multi-pronged approach, including pursuing injunctive relief under the Unlawful Internet Gambling Enforcement Act, seizing assets used by noncompliant operators, and coordinating with financial institutions to halt illicit transactions.

The initiative is co-led by Attorneys General from Connecticut, Massachusetts, Nebraska, and Utah.

Consumers are urged to remain vigilant and look for the official Pennsylvania Gaming Control Board logo when engaging in online gaming, and to be cautious of manipulative tactics used by illegal platforms, such as misleading offers of “free play,” obscure payout limitations, and confusing withdrawal requirements.

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