American Gaming Association (AGA) Senior Vice President of Public Affairs Sara Rayme issued the following statement after the California Supreme Court ruled that Internet sweepstakes cafes are illegal: “Today’s ruling affirms what we already knew: Internet sweepstakes cafes are illegal entities that should be shut down. In stark contrast to the legal, highly regulated casino gaming industry – a $240 billion industry that supports 1.7 million jobs and generates $38 billion in taxes across 40 states – illegal gambling operations, such as Internet sweepstakes cafes, fund violent crimes and drug and human trafficking, prey on consumers and don’t pay a penny…

CBS San Francisco – Owners of an Internet cafe in San Francisco’s Excelsior District reached a settlement on Thursday in a lawsuit filed by the city’s attorney that called for the end of allegedly illegal gambling and other criminal activity at the site. As part of the settlement, Net Stop, located at 4458 Mission St., agreed to close the business, which the city attorney claimed allowed customers to play computer slot machine games and buy electronic “points” that could be redeemed for cash, within the next 60 days. The business, owned by Thomas Lacey, also agreed to not open a…

Los Angeles City Attorney Mike Feuer filed suit Thursday against a internet cafe software developer, accusing it of supplying these cafes in Los Angeles with illegal gambling programs. The company, Figure 8 Technologies Inc. in Greenville, N.C., is one of the major developers of software used by Internet “sweepstakes” cafes across the country. The increasingly popularity of the internet cafe claims to offer promotional sweepstakes, but have been accused of violating gambling laws. In addition to Figure 8, the City Attorney’s suit also names owners of five Internet cafes in Los Angeles. Though they are no longer operating, the suit…

An Internet cafe owner in New Jersey which provides technology to so-called internet sweepstakes cafes will cease operations in Ohio. Attorney General Mike DeWine and Cuyahoga County Prosecutor Timothy J. McGinty said five defendants from the New Jersey company agreed to plead guilty to felony charges related to operating a gambling enterprise and money laundering. “This plea agreement is a significant victory for enforcement of Ohio gaming laws,” said Attorney General DeWine. “””Not only will VS2 cease operations in Ohio, but they admit that their facade of facilitating a sweepstakes was a front to conduct illegal gambling in violation of…

From pokerati Gov. Brian Sandoval said Thursday he has held preliminary talks with other state governors on partnering with Nevada on Internet poker. Sandoval didn’t name the states but gaming sources said Texas could be a target. Sandoval, a Republican, supported Texas Gov. Rick Perry’s brief run for the GOP’s presidential nomination last year. Also, the Texas Legislature is considering the Poker Gaming Act of 2013, which would make it legal in the state to play poker online. “I’ve talked with a few governors and I’m introducing the concept of compacting,” Sandoval said following a tour of the new corporate…