Top Trending: L.A. City Attorney Sues Stake.us, Kick, Evolution in First of a Kind Case

Los Angeles City Attorney Hydee Feldstein Soto has filed a civil enforcement lawsuit against sweepstakes casino Stake.us, its owners, Kick Streaming, and several gaming content suppliers, including Evolution and its subsidiaries, for allegedly operating or aiding an illegal gambling enterprise in California.  Scroll down for all the latest gambling headlines from across the globe.

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With this case, Soto becomes the first US official to take direct legal action against sweepstakes casinos, a controversial model facing mounting scrutiny nationwide.  The filing names over a dozen defendants, including Stake’s owners Ed Craven and Bijan Tehrani. It also sues Easygo Holdings, the parent company of Stake, Kick Streaming, and Twist Gaming.

The complaint also accuses several content providers. They include Evolution and its subsidiaries, including NetEnt, Red Tiger, and NoLimit City. Hacksaw Gaming is also a defendant.

Gaming attorney Daniel Wallach was the first to announce this lawsuit via his X feed. 

“The shared legal counsel of Soto and Susman Godfrey suggests a coordinated effort to challenge the sweepstakes casino industry on multiple fronts. It also could mean that VGW could be next on Soto’s radar.”

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More Headlines Gambling911 is Following

Crime 

• Bookmaker Linked to Shohei Ohtani’s Interpreter Sentenced to Just Over a Year -A Southern California bookmaker who took thousands of sports bets from the former interpreter for baseball star Shohei Ohtani was sentenced Friday to just over a year in prison. Mathew Bowyer, 50, pleaded guilty last year to running an illegal gambling business, money laundering and filing a false tax return. He was sentenced to 12 months and one day in prison and ordered to pay $1.6 million in restitution to the Internal Revenue Service, which his lawyer said he has already paid. “The bottom line is, I am remorseful. I have made many poor choices in my life,” Bowyer told the court, his voice trembling. The case against Bowyer drew international attention because he counted among his clients Ohtani’s former Japanese language interpreter Ippei Mizuhara. Mizuhara was sentenced earlier this year to five years in prison for bank and tax fraud after stealing nearly $17 million from the Los Angeles Dodgers player.

• Russian Criminals Build Scalable Affiliate Network for Slick Crypto Gambling Scams - In July, investigators at KrebsOnSecurity identified a sudden proliferation of what are being called “scambling” sites — online gaming portals that entice players with large promotional credits only to demand cryptocurrency deposits when it’s time to cash out, then vanish with the funds.  ehind the campaign is an affiliate operation known as Gambler Panel, which openly calls itself a “soulless project … made for profit.” The platform supplies its partners with a fully customized “fake casino engine,” designed down to the pixel to appear legitimate even to longtime gamblers, KrebsOnSecurity reports.  This is how the scam works: victims see ads on social media touting an exclusive partnership with athletes or influencers and get offered a $2,500 credit in exchange for signing up with a promo code. Once in, they play the games and appear to win — but when they attempt withdrawal, they’re told a “verification deposit” of roughly $100 in crypto is required. After depositing, users are gently coaxed into making even more wagers, and almost invariably lose everything. (source: Casino.org)
   
• Ducky Bhai to Remain in Custody a Few More Days - A judicial magistrate in Pakistan on Thursday extended the physical remand of YouTuber Saadur Rehman, known as Ducky Bhai, for four more days at the request of the National Cyber Crime Investigation Agency (NCCIA) in a case linked to the promotion of illegal gambling apps on social media.  The next hearing is scheduled for September 1.  Bhai is a popular YouTube influencer who is accused of regularly promoting gambling websites, including bet365. 

Gambling 

• Mass Gaming Commission Approves Rewrite of DraftKings Rules - They approved 5-0 a complete rewrite of DraftKings' House Rules on Aug. 14. One section now says that bets made where bettors beat DK to key public info can be deemed errors & thus voidable. (source: fairplaygov)
   
• What Vegas Downturn?  Casinos Report Revenue Rises at Vegas Strip -  According to data released Friday by the Nevada Gaming Control Board, casinos on the Las Vegas Strip generated more than $749 million in July, a year-over-year increase of 5.6 percent. Downtown Las Vegas casinos posted a 3.6 percent uptick in monthly gaming revenue, bringing in more than $74.4 million from gamblers.  Clark County as a whole reported more than $1.15 billion in gaming revenue in July, a 3.2 percent increase over July 2024.
   
• Audit of Mass. Gambling Regulator Finds Sports Betting Ads Were Sent to Minors and Those Struggling With Addiction - In a review of the commission’s work from 2020 to the summer of 2023, State Auditor Diana DiZoglio’s Office found that 17 sports-wagering advertisements failed to include the number for the state’s problem gaming helpline.   Among the audit's findings is that MGC failed to monitor sports betting advertisements before public release, in accordance with its regulatory authority. Seventeen advertisements lacked required responsible gambling information, including an omission of the Massachusetts Problem Gambling Helpline. These failures risk exacerbating gambling addiction and exposing youth to harmful promotional materials. The audit also found that GameSense agents, who are tasked with supporting individuals affected by gambling addiction, were not fully trained as mandated. Without proper training, these agents are ill-equipped to help individuals struggling with gambling addiction. This undermines the very support systems designed to mitigate gambling-related harm Moreover, the audit found that MGC has no accountability process for reviewing and entering into employee settlement agreements, which could conceal workplace misconduct. Without transparency, public funds may be used to silence victims while shielding wrongdoers, risking erosion of public trust. Finally, during the audit, the State Auditor’s Office learned that two class action lawsuits were filed against Massachusetts gaming establishments. These lawsuits are believed to have arisen from discrepancies between the Massachusetts General Laws, specifically Section 29 of Chapter 23K, and Code of Massachusetts Regulations, 205 CMR 138.13(4), regarding the monthly win/loss statements that should be sent to reward cardholders.

Entertainment

• Odds Now Available on Taylor Swift Engagement Post on Instagram Becoming the Most Liked - Swift's Tuesday announcement of her engagement to Kelce shattered records, garnering over 20 million likes (and counting) along with 1 million reposts in under six hours. It is so far ranking among the most viral moments in Instagram's history. As of early Wednesday afternoon, that number had surpassed 30 million. To date, the Instagram post with the most likes is Lionel Messi's post celebrating Argentina's 2022 FIFA World Cup win. As of late 2024, the post had surpassed 78 million likes, making it the most liked post on the platform. BetOnline has released dozens of Swift-Kelce wedding prop bets following Tuesday's announcement. 
   
• BetOnline Releases Map of US States Most and Least Excited Over Taylor Swift, Travis Kelce Engagement - For example, tracking tweets like, "Taylor Swift is engaged!!!" "So excited for Taylor Swift," "So happy for Taylor Swift," "freaking out about Taylor Swift being engaged," "Taylor Swift's engagement ring is gorgeous," "Taylor Swift's engagement ring is massive," "her ring is beautiful," #TaylorSwiftEngaged, #TaylorKelce, #SwiftKelceEngaged, #TAYVIS, etc. (read more from Gambling911)

Poker 

• Foxwoods to Debut New Poker Room - The casino says the new venue will be a technological upgrade, including automated sign-up kiosks, 37 high-definition TVs showcasing live sports and poker, and nearby DraftKings Sportsbook kiosks.  It’s situated in the Fox Tower.
• ACR Poker Announces $50 Million in Guaranteed Prize Pool for Upcoming Event - The Online Super Series XL (OSS XL) is back—and it’s flexing harder than ever with over $50 million in guaranteed prize pools. We’re talking Main Events stacked higher than your favorite burger and enough multi-flight madness to make your mouse sweat.

Sweepstakes Casinos 

• California’s Sweeps Ban Bill Advances To The Final Senate Stage - During its suspense hearing Friday, the Senate Appropriations Committee voted to remove Assembly Bill 831 from the suspense file and advance it along to the Senate, where it will be put on the schedule for a full vote.  Friday’s hearing did not feature any testimony for any of the bills committee members considered, giving it a different feel than any of the prior three hearings for AB831. Suspense hearings are only meant for votes, where committee members have already made their decisions behind closed doors and are simply making those decisions public.  Up next, AB831 will be voted upon by the full Senate. It needs a simple majority to pass in the Senate, so 21 out of 40 votes. If it passes in the Senate, AB831 will be sent back to its originating chamber, the Assembly, because this current version is entirely different from the original AB831 that passed in the Assembly this spring.  It just needs to pass two hurdles the Assembly Governmental Organization Committee, then the full Assembly, where it would need 41 of 80 votes to pass. From there, AB831 would be sent to Gov. Gavin Newsom’s desk for his signature. (source: Sweepsy)

Betting Markets

• $43 million bet on college football this weekend as of Friday evening, and still counting, at Kalshi
• Kalshi traders see a high likelihood that the Fed will cut rates by 25 bps in September, with “yes” priced at 77¢ (77%).
• Will Trump sue California? - 34% chance - New market (Kalshi)
• Taylor Swift pregnant in 2025 - 16% chance, $70,000 volume (Polymarket)

Sports Betting

• FanDuel Sports Network To Offer VSiN Sports Betting Content - Sports betting network VSiN has entered into a content distribution agreement with FanDuel Sports Network, owned and operated by Main Street Sports Group, that will deliver “credible and actionable” sports betting information to sports fans throughout the U.S. FanDuel Sports Network, will air and stream VSiN By the Books weekday mornings from 7 to 10 a.m. ET.

- Chris Costigan, Gambling911.com Publisher