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In a rather surprising twist of events, Louisiana Governor Jeff Landry has decided not to move forward with the bill to ban online sweepstakes casinos in the Pelican State. Confirming the veto yesterday, the governor labelled the proposal ‘not necessary.’
The state was on track to join Montana as the only other state to officially ban this form of gaming. Senate Bill 181 (SB 181) had received unanimous support in the House, passing with a 99-0 vote on June 2. The subsequent amendments sent back to the Senate also cleared without opposition, receiving a 38-0 vote.
The proposal specifically targeted online games and contests that use a dual-currency system, which is common in sweepstakes casinos. These systems allow users to purchase valueless Gold Coins to play casino-style games, while also providing Sweeps Coins as a bonus that can be redeemed for real-world rewards. The bill aimed to impose serious penalties on violators, including prison sentences of up to five years and fines reaching $100,000.
However, Governor Landry has put an end to the measure. In his veto message sent to the president and secretary of the Louisiana Senate yesterday (12 June), he stated, “I have vetoed Senate Bill 181 of the 2025 Regular Legislative Session.”
Sweepstakes Already Prohibited According to Governor
Governor Jeff Landry expressed concerns that the proposed bill aimed to criminalize internet gambling activities that are already illegal in Louisiana. He pointed out that the Louisiana Gaming Control Board possesses the authority and jurisdiction to oversee all gaming operations under state law.
“Our current Louisiana Gaming Control Board has the regulatory authority, control, and jurisdiction over all aspects of gaming activities and operations pursuant to the Louisiana Gaming Control Law,” he stated.
“The Board is already taking active steps to combat illegal gambling in Louisiana, especially against illegal offshore wagering and illegal online sweepstakes companies operating in Louisiana.
“The Board remains dedicated to promoting a secure and regulated gaming environment in Louisiana. As such, this bill is a solution in search of a problem that is already being solved by our current system, and some of the language in this bill is overly broad and could be interpreted in an adverse manner, which may harm or impede our current enforcement actions taken against these bad actors.”
For these reasons, he concluded that Senate Bill 181 was unnecessary.
SPGA Applauds Veto
The Social and Promotional Games Association (SPGA) commended Governor Landry’s decision to veto the bill, claiming that it protected legal digital entertainment enjoyed by many Louisiana residents.
In a press release after the veto, the group stated, “a bill that would have dramatically restricted lawful digital entertainment platforms enjoyed by hundreds of thousands of Louisiana residents.”
“Governor Landry’s veto is a powerful affirmation that not all online games are gambling and that innovation should not be met with prohibition.”
“This legislation blurred critical legal distinctions and risked punishing legitimate businesses that comply with well-established sweepstakes laws and offer free-to-play experiences.”
The SPGA reiterated that sweepstakes-based games are not gambling and are operated within legal frameworks since they are free to play and don’t require purchase to win. “Conflating these lawful models with illegal gambling operations would have created confusion, harmed innovation, and eroded consumer choice,” the group added.
Despite the potential for enough votes to override the veto, the Louisiana legislature is unlikely to take such action, as there’s a historical reluctance to call veto sessions. Since 1974, the legislature has only held one veto session, which occurred in 2022 under different political dynamics.
Louisiana now joins states like Maryland, Mississippi, and Florida, which have also rejected attempts to ban sweepstakes. Meanwhile, Connecticut is still awaiting the governor’s decision on a similar proposal.
Source: Next.io
