Kentucky AG Warns That Risk-Free Games Are Illegal Gambling

Despite strict regulations regarding gambling, illegal offerings, including unlicensed bookmakers, illegal gambling venues and other unlawful devices can be found across the United States. Law enforcement in each state does its best to combat illegal gambling and that often requires efforts by multiple agencies, including gambling regulators.

In Kentucky, a new form of gambling has been gaining traction. The state estimates that there are more than 500 of the so-called “risk-free play” gambling machines that continue to attract players across Kentucky. Yet, lawmakers did not stand by and sought to combat the unlawful gambling machines.

Earlier this week, the state’s Attorney General, Russell Coleman, reiterated his office’s dedication to combatting the illegal gray machines. Coleman sent legal guidance notices to law enforcement and prosecutors around The Bluegrass State. In his advisory, the Attorney General clarified the illegal status of gambling devices, including the popular “risk-free play” games and grey machines. “To protect families in the Commonwealth and to uphold the law enacted by the General Assembly, General Coleman sent the advisory to Kentucky chiefs of police, sheriffs and Commonwealth’s and County Attorneys,” reads a statement from the Attorney General.

Grey Machines and Risk-Free Games Are Illegal

Last year, the General Assembly successfully passed HB 594, a bill that outlawed gray machines. The proposal was sponsored by House Speaker David Osborne, as well as Rep. Killian Timoney. Following the passing of HB 594, the bill was challenged in court. However, a decision from the Franklin Circuit Court sided with the Attorney General and reaffirmed the ban as of June 2024.

The advisory sent by Attorney General Coleman to prosecutors and law enforcement reads: “You and your office are free to investigate and prosecute any violations of the Commonwealth’s gambling laws, including the laws related to ‘gray machines.'” Moreover, Coleman reaffirmed its intention to provide assistance to state law enforcement and prosecutors who may face issues with the investigation or prosecution of illegal gray gambling machines.

“The law is clear – gray machines and other games like them are illegal gambling devices that have no place in Kentucky.“

Kentucky Attorney General Russell Coleman

Coleman, citing the law, explained that the so-called “risk-free play” games and gray machines are illegal in Kentucky. Last but not least, he reaffirmed the intentions of his office, in collaboration with law enforcement agencies, to continue the fight against unlawful gambling and ensure businesses and organizations comply with state laws.

In a recently filed lawsuit against Aristocrat, a Kentucky resident alleged that social casinos represent illegal gambling. The plaintiff filed the lawsuit late last month with the Kentucky Western District Court, arguing that through social casinos, companies were able to “smuggle illegal slot machines” into the homes and pockets of millions of Americans.