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EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.
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*hb0295*
HOUSE BILL 295
C7, E1 6lr0008
HB 1140/25 – W&M (PRE–FILED) CF SB 112
By: Chair, Ways and Means Committee (By Request – Departmental – Lottery and
Gaming Control Agency)
Requested: September 18, 2025
Introduced and read first time: January 14, 2026
Assigned to: Ways and Means
Committee Report: Favorable with amendments
House action: Adopted
Read second time: March 7, 2026
CHAPTER ______
AN ACT concerning 1
Gaming – Prohibition on Interactive Games and Revenue From Illegal Markets 2
FOR the purpose of prohibiting certain persons from operating, conducting, or promoting 3
certain interactive games; requiring certain license applicants and licensees to report 4
to the State Lottery and Gaming Control Commission any business relationship with 5
certain persons known to support, operate, conduct, or promote certain interactive 6
games; requiring the Commission to deny certain license applications and revoke 7
certain lic enses under certain circumstances; requiring certain license applicants 8
and licensees to submit a certain disclosure under certain circumstances; prohibiting 9
the Commission from issuing a license to certain persons or allowing the person to 10
commence or continue operations if the person or an affiliate of the person knowingly 11
accepts revenue that is directly or indirectly derived from certain jurisdictions; 12
authorizing the Commission to deny certain applications or impose certain sanctions 13
under certain circumstances; and generally relating to interactive games and illegal 14
gaming markets. 15
BY adding to 16
Article – Criminal Law 17
Section 12–115 18
Annotated Code of Maryland 19
(2021 Replacement Volume and 2025 Supplement) 20
BY adding to 21
2 HOUSE BILL 295
Article – State Government 1
Section 9–1A–07(g) and 9–1A–08.1 2
Annotated Code of Maryland 3
(2021 Replacement Volume and 2025 Supplement) 4
BY repealing and reenacting, with amendments, 5
Article – State Government 6
Section 9–1A–07(g) and 9–1E–03(a)(1) 7
Annotated Code of Maryland 8
(2021 Replacement Volume and 2025 Supplement) 9
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 10
That the Laws of Maryland read as follows: 11
Article – Criminal Law 12
12–115. 13
(A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 14
INDICATED. 15
(2) “COMMISSION” MEANS THE STATE LOTTERY AND GAMING 16
CONTROL COMMISSION. 17
(3) (I) “INTERACTIVE GAME ” MEANS A GAME , CONTEST, OR 18
PROMOTION THAT: 19
1. INVOLVES CONSIDERATION, CHANCE, AND REWARD; 20
1. 2. IS AVAILABLE ON THE INTERNET OR ACCESSIBLE ON 21
A MOBILE PHONE, COMPUTER TERMINAL, OR SIMILAR DEVICE; 22
2. 3. UTILIZES MULTIPLE CU RRENCY SYSTEMS OF 23
PAYMENT ALLOWING THE PLAYER TO EXCHANGE THE CURRENCY FOR ANY PRIZE OR 24
AWARD OR CASH OR CASH EQUIVALENTS REWARD; AND 25
3. 4. SIMULATES: 26
A. CASINO–STYLE GAMING , SUCH AS SLOT MACHINE S, 27
VIDEO POKER, AND TABLE GAMES, INCLUDING BLACKJACK, ROULETTE, CRAPS, AND 28
POKER; 29
B. LOTTERY GAMES, INCLUDING DRAW GAMES, INSTANT 30
WIN GAMES, KENO, AND BINGO; OR 31
HOUSE BILL 295 3
C. SPORTS WAGERING. 1
(II) “INTERACTIVE GAME ” DOES NOT INCLUDE A G AME THAT 2
SOLELY AWARDS NONCASH PRIZES: 3
1. IS FREE TO PLAY OR PLAYED WHILE NOT CONNECTED 4
TO THE INTERNET; AND 5
2. DOES NOT INVOLVE CON SIDERATION, CHANCE, AND 6
REWARD. 7
(4) “LICENSE” MEANS THE AUTHORITY ISSUED BY THE COMMISSION 8
TO OFFER OR CONDUCT AN ACTIVITY UNDER TITLE 9, SUBTITLE 1A, 1B, 1D, OR 1E 9
OF THE STATE GOVERNMENT ARTICLE. 10
(5) “REWARD” MEANS ANY AWARD, CASH, CASH EQUIVALENT, PRIZE, 11
OR AN ITEM CONVERTIB LE TO CASH THAT A PLAYER MAY RE CEIVE FROM PLAYING 12
AN INTERACTIVE GAME. 13
(B) THE PURPOSE OF THIS S ECTION IS TO CLARIFY THAT THE 14
COMMISSION’S AUTHORITY TO MAKE A FINAL DETERMINATIO N AS TO WHETHER 15
GAMING IS LEGAL IN T HE STATE UNDER § 12–113 OF THIS SUBTITLE EXT ENDS TO 16
GAMES AVAILABLE ON T HE INTERNET OR ACCESSIBL E ON A MOBILE PHONE , 17
COMPUTER TERMINAL, OR SIMILAR DEVICE. 18
(B) (C) (1) A PERSON MAY NOT OPERATE, CONDUCT, OR PROMOTE AN 19
INTERACTIVE GAME IN THE STATE. 20
(2) AN APPLICANT FOR OR A PERSON HOLDING A LIC ENSE SHAL L 21
REPORT TO THE COMMISSION ANNUALLY A NY BUSINESS RELATION SHIP WITH A 22
FINANCIAL INSTITUTION, PAYMENT PROCESSOR, GEOLOCATION PROVIDER, GAMING 23
CONTENT SUPPLIER, PLATFORM PROVIDER, OR MEDIA AFFILIATE T HAT IS KNOWN 24
TO SUPPORT , OPERATE, CONDUCT, OR PROMOTE AN IN TERACTIVE GAME IN TH E 25
STATE. 26
(C) (D) (1) A PERSON WHO KNOWINGLY VIOLATES THIS SECTIO N IS 27
GUILTY OF A MISDEMEA NOR AND ON CONVICTIO N IS SUBJECT TO IMPR ISONMENT 28
NOT EXCEEDING 3 YEARS OR A FINE NOT LESS THAN $10,000 AND NOT EXCEEDING 29
$100,000 OR BOTH. 30
(2) A PERSON IS KNOWINGLY VIOLATING THIS SECTION IF: 31
4 HOUSE BILL 295
(I) THE COMMISSION ISSUED A W RITTEN OR ELECTRONIC 1
CEASE AND DESIST NOT ICE TO THE PERSON AN D PUBLISHED THE NOTI CE ON THE 2
COMMISSION’S WEBSITE; OR 3
(II) AN APPLICANT FOR OR A PERSON HOLDING A L ICENSE 4
CONTINUES A BUSINESS RELATIONSHIP WITH A PERSON TO WHOM THE COMMISSION 5
ISSUED A WRITTEN OR ELECTRONIC CEASE AND DESIST NOTICE THAT IS PUBLISHED 6
ON THE COMMISSION’S WEBSITE. 7
(3) IF A PERSON IS FOUND IN VIOLATION OF THIS SECTION, THE 8
COMMISSION SHALL DENY THE PERSON ’S LICENSE APPLICATIO N OR REVOKE A 9
LICENSE HELD BY THE PERSON. 10
(4) A FINE IMPOSED UNDER T HIS SUBSECTION SHALL BE 11
DISTRIBUTED TO THE PROBLEM GAMBLING FUND ESTABLISHED UNDER § 9–1A–33 12
OF THE STATE GOVERNMENT ARTICLE. 13
Article – State Government 14
9–1A–07. 15
(G) (1) (I) IN THIS SUBSECTION TH E FOLLOWING WORDS HA VE THE 16
MEANINGS INDICATED. 17
(II) “ILLEGAL INTERACTIVE G AMING MARKET ” MEANS A 18
JURISDICTION IN WHIC H AN INTERACTIVE GAM E IS PROHIBITED BY T HE LAWS OF 19
THAT JURISDICTION. 20
(III) “INTERACTIVE GAME ” HAS THE MEANING STAT ED IN § 21
12–115 OF THE CRIMINAL LAW ARTICLE. 22
(2) ON APPLICATION FOR A LICENSE UNDER THIS S UBTITLE AND 23
ANNUALLY FOLLOWING T HE ISSUANCE OF THE L ICENSE, AN APPLICANT OR A 24
LICENSEE SHALL SUBMIT A DISCLOSURE STATING, FOR THE IMMEDIATE PRECEDING 25
12–MONTH PERIOD, THE JURISDICTIONS IN WHICH THE APPLICANT OR LICENSEE 26
OR ANY AFFILIATE OF THE APPLICANT OR LIC ENSEE DIRECTLY OR IN DIRECTLY 27
ACCEPTED REVENUE FROM THE CONDUCT OF AN INTERACTIVE GAME IN AN ILLEGAL 28
INTERACTIVE GAMING MARKET. 29
(3) A MATERIAL MISREPRESEN TATION OR OMISSION O N THE 30
DISCLOSURE REQUIRED UNDER PARAGRAPH (2) OF THIS SUBSECTION MAY BE THE 31
BASIS FOR THE COMMISSION TO DENY AN APPLICATION FOR A LICENSE UNDER THIS 32
SUBTITLE OR , IN ACCORDANCE WITH § 9–1A–25 OF THIS SUBTITLE , IMPOSE 33
SANCTIONS ON A LICENSEE AND THE LICENSEE’S OFFICERS AND BOARD MEMBERS. 34
HOUSE BILL 295 5
[(g)] (H) (1) [An individual ] A PERSON may not knowingly give false 1
information or make a material misstatement in an application required for any license 2
under this subtitle or in any supplemental information required by the Commission. 3
(2) [An individual ] A PERSON who violates this section is guilty of a 4
misdemeanor and on conviction is subject to imprisonment not exceeding 3 years or a fine 5
not exceeding $5,000 or both. 6
9–1A–08.1. 7
(A) THE COMMISSION MAY NOT IS SUE A LICENSE TO A P ERSON REQUIRED 8
TO BE LICENSED UNDER THIS SUBTITLE IF THE APPLICANT OR ANY OF THE 9
APPLICANT’S AFFILIATES , INCLUDING AN ENTITY UNDER COMMON CONTROL , 10
KNOWINGLY ACCEPTS REVENUE THAT IS DIRECTLY OR INDIRECTLY DERIVED FROM: 11
(1) A HIGH–RISK JURISDICTION SUBJECT TO A CALL FOR ACTION BY 12
THE FINANCIAL ACTION TASK FORCE; 13
(2) A JURISDICTION DESIG NATED AS A STATE SPONSOR OF 14
TERRORISM BY THE UNITED STATES; OR 15
(3) A JURISDICTION IN WH ICH ONLINE CASINO GAMING IS 16
PROHIBITED AND THE REVENUE IS DERIVED FROM ONLINE CASINO GAMING IN THAT 17
JURISDICTION. 18
(B) (1) THE COMMISSION MAY NOT AL LOW A PERSON REQUIRE D TO BE 19
LICENSED UNDER THIS SUBTITLE TO COMMENCE OR CONTINUE OPERATIONS IF THE 20
COMMISSION DETERMIN ES THAT THE PERSON O R ANY OF THE PERSON ’S 21
AFFILIATES, INCLUDING ENTITIES U NDER COMMON CONTROL , KNOWINGLY 22
ACCEPTS REVENUE THAT IS DIRECTLY OR INDIR ECTLY DERIVED FROM A 23
JURISDICTION DESCRIBED UNDER SUBSECTION (A) OF THIS SECTION. 24
(2) THE COMMISSION MAY RE VOKE THE LICENSE OF A LICENSEE 25
THAT IS REQUIRED TO CEASE OPERATIONS UND ER PARAGRAPH (1) OF THIS 26
SUBSECTION IF , AFTER NOTICE AND OPP ORTUNITY FOR A HEARI NG, THE 27
COMMISSION DETERMINES THAT IT WOULD FURTHE R THE PUBLIC INTERES T TO 28
DISCONTINUE THE OPERATION OF THE LICENSEE IN THE STATE. 29
9–1E–03. 30
(a) (1) Unless the context requires otherwise, the requirements under §§ 31
9–1A–04, 9 –1A–06, 9 –1A–07, 9 –1A–08, 9–1A–08.1, 9–1A–12, 9 –1A–14, 9 –1A–18, 32
9–1A–19, 9 –1A–20, and 9 –1A–25 of this title apply to the authority, d uties, and 33
6 HOUSE BILL 295
responsibilities of the Commission, a sports wagering licensee, and an employee or a 1
contractor of a sports wagering licensee under this subtitle. 2
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 3
1, 2026. 4
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.