Editor
Louisiana’s House of Representatives overwhelmingly passed a bill that aims to ban online sweepstakes gaming. Lawmakers voted 99-0 in favor of passage on April 14, with six abstentions. Rep. Laurie Schlegel authored the bill, which now moves to the Senate and sits on the calendar for a second reading.
The effectively unanimous vote shows the growing consensus in Louisiana that sweepstakes casinos, which operate as online platforms that simulate casino-style gaming using a dual-currency system, aren’t legal in the Pelican State.
What the Bill Does
HB 883 amends Louisiana’s existing “gambling by computer” statute and deems an online platform that uses a “dual-currency payment system” to be a form of illegal gambling.
The bill doesn’t specifically use the term “sweepstakes.” It focuses instead on the model that allows users to purchase one currency (usually called Gold Coins) that lacks real-world value, while providing a second currency (typically Sweeps Coins) as a promotional add-on that players can redeem for cash prizes. Operators claim that this structure falls outside of gambling definitions because players only pay for the valueless play money currency, while the redeemable coins are only ever received for free or as a promotional bonus with a purchase.
HB 883 directly closes this loophole argument. That’s one common tack that states have taken against the sweepstakes casinos. However, some operators have already begun seeking new legal tricks to circumvent such bans. For instance, the poker site ClubWPT Gold stopped using play money chips as its purchasable product and switched to selling credits for a built-in AI strategic analysis tool instead. It has also added a subscription option for markets where that change doesn’t quite work.
The bill also places legal obligations on platform providers that host or store content on their web servers, as well as on merchant payment processors that handle financial transactions. The law expressly prohibits both parties from facilitating anything related to illegal online gambling.
Penalties and Enforcement
The bill also establishes penalties for gaming content suppliers, geolocation providers, media affiliates, and promoters who knowingly support or facilitate online gambling. The law doubles those penalties when the conduct involves people younger than 21 years old.
Current law caps the maximum fine for an operator of illegal online gambling at $20,000. HB 883 raises this to $100,000 and allows courts to impose up to five years in prison as a possible punishment. Regulators treat each wager accepted or forwarded as a separate violation, which means penalties could quickly add up significantly.
The law fines platform providers and payment processors up to $20,000 and allows courts to impose up to 5 years in prison if they fail to comply after receiving a cease-and-desist notice. Courts must also order the forfeiture of any profits, fines, or gross receipts related to violations.
The bill grants the Louisiana Attorney General expansive new authority. The office can send cease-and-desist notices to anyone operating, assisting, or promoting illegal online gambling. The office must also maintain a publicly accessible list on its website that outlines every operator, platform provider, and payment processor that has received a notice.
The Attorney General can also seek temporary restraining orders, preliminary injunctions, and ex parte injunctions to compel platform providers to disable access to illegal gaming and to prevent payment processors from handling transactions for operators.
A Long Road to This Vote
Louisiana lawmakers have aggressively targeted sweepstakes casinos for more than a year. The Louisiana Legislature passed Senate Bill 181 in 2025 and cleared the Senate after a 39-0 vote. The bill proposed a similar prohibition on sweepstakes gambling, although Gov. Jeff Landry vetoed it. He argued that existing laws already give authorities sufficient power to target illegal operators.
That decision triggered an enforcement campaign by the Attorney General’s office and the state’s gaming regulator, which issued over 40 cease and desist letters to sweepstakes operators in June 2025. As a result, most major sweepstakes brands left Louisiana or suspended their Sweeps Coins offering in the state.
HB 883 aims to remove any ambiguity about whether these platforms are legal and to create a durable ban that operators can’t sidestep through clever product design. Lawmakers quickly moved the bill through the House this session, clearing the House Committee on Administration of Criminal Justice with a unanimous 8-0 vote and fast-track it through its first and second readings on the same day.
What Comes Next
Louisiana is not alone in introducing legislation to ban sweepstakes gaming. New York and Connecticut have both advanced legislation with similarly overwhelming votes. With HB 883 now in the Louisiana Senate, proponents of the bill hope a busy Senate calendar and potential amendments don’t slow momentum.
Gov. Landry’s next move remains a key question if the bill progresses through the Senate. His veto last year raises uncertainty about whether he will take a similar approach or change his position this time.
Louisiana would join a growing number of states that formally close the legal door on sweepstakes casinos if the bill becomes law.
