California goes after software provider in internet cafe gambling case

According to local press reports Merced County has joined a lawsuit filed by the state of California against a Canadian firm that allegedly supplies gambling software to illegal so-called “sweepstakes cafes”.

Announcing the addition of Merced County to the state’s case case, District Attorney Larry Morse II said the county was one of several intent on pursuing Pong Marketing and Promotions, based in Woodbridge, Ontario.

“The software providers know that they are producing illegal gambling games that are being used in local internet cafes. These illegal gambling operations create a public safety threat to our community,” Morse said in a statement.

“We have partnered up with the Attorney General and several other counties throughout the state to combat and eliminate this recent scourge of illegal gambling.”

Illegal gambling from internet cafes is a major problem nationwide, with the operators estimated to earn over $10 billion a year, according to the District Attorney’s statement.

The suit, filed in Solano County Superior Court, seeks injunctive relief and penalties of approximately $10 million, a press release revealed, claiming that the Canadian company provides software that enables internet cafe owners to operate as mini-casinos, offering interactive gambling-themed games on computer gambling devices to a predominantly vulnerable, low-income clientele.

California Attorney General Kamala Harris’ office notes in the statement that the California Supreme Court has ruled that this practise is illegal and in violation of sections of both the California Penal Code and Business and Professional Code.

Related and similar