Legal pressure continues to mount on offshore operator Bovada, which over the past six weeks has pulled its online gambling services, including online poker, from Massachusetts, West Virginia, and on Tuesday, from Tennessee.
In each case, Bovada agreed to withdraw its iGaming platform after being served with one or more cease-and-desist notices by state regulatory agencies, which were in some instances accompanied by the levying of fines, though those fines are unlikely to be collected.
The latest three states' exit over the past six weeks follows Bovada's forced departure in late summer from three other states - Pennsylvania, Kansas, and Louisiana - as US jurisdictions where Bovada will no longer accept online gambling action. All told, Bovada will now block players from 15 states and the District of Columbia, with other states possibly joining that list in the coming months.
In all three states, the enforcement actions focused on sports betting, which is by far the largest revenue for Bovada in revenue terms. However, Bovada's client software integrates sports betting, casino games such as slots, and online poker, meaning that those services are also now unavailable for the barred states. In each recent departure, Bovada has notified its customers to withdraw their funds. The site's online Terms & Conditions page has already been modified to include the latest addition to the no-play list.
Tennessee issued multiple notices and fines
Officials from the Tennessee Sports Wagering Council verified Bovada's departure from the Volunteer State in a Thursday statement. Over the past several months, the TSWC sent three separate C&D notices to Curacao-based Harp Media B.V., Bovada's corporate parent. Each notice was also accompanied by a fine that increased each time and currently totals $50,000, though that will likely go unpaid.
“Our licensed sportsbook operators provide important consumer protections not found in the illegal market, and the closure of Bovada’s virtual doors in Tennessee is an important step toward the eradication of unlicensed, illegal sportsbooks in Tennessee,” said Billy Orgel, the TSWC's chairman. “One of the Council’s primary roles is the protection of the public interest through a safe, regulated environment, and our staff will continue to work closely with our network of law enforcement at the state and federal level to eliminate illegal sports betting.”
