TwinSpires Allegedly Offered Advance Deposit Wagering Without License
TwinSpires has been ordered to halt offering advance deposit wagering by the Michigan Gaming Control Board. The company has apparently defied a prior order from the MGCB.
TwinSpires receives suspension order from MGCB.
Key Facts:
- MGCB is enforcing Horse Racing Law of 1995, even though no race tracks are operating in the state
- TwinSpires is owned by Churchill Downs Technology Initiatives Company
- TwinSpires allegedly failed to comply with December order from MGCB to halt offering advance deposit wagering odds
The Michigan Gaming Control Board (MGCB) has taken swift action against TwinSpires, a brand operated by Churchill Downs Technology Initiatives Company (CDI), by issuing a summary suspension order.
The suspension stems from TwinSpires’ failure to adhere to Michigan’s gaming regulations, specifically provisions outlined in the Horse Racing Law of 1995. This law mandates that advance deposit wagering (ADW) services must be tied to a licensed live racing event.
Other Alleged Offenders Complied With Order
Michigan law requires simulcasting and ADW services to operate in conjunction with active, licensed horse racing events.
However, with no currently operating racetracks in Michigan holding state licenses, ADW operators have been instructed to cease their activities and inform their customers. While Thoroughbred racing in Michigan ended in 2018 at Hazel Park, the MGCB has only recently begun strict enforcement of this requirement.
On December 23, 2024, the MGCB issued directives to the state’s four licensed ADW providers—Xpressbet, TwinSpires, NYRA Bets, and TVG Network—ordering them to suspend operations for Michigan residents by January 1, 2025. While other operators complied, TwinSpires chose to defy the directive.
On December 31, 2024, TwinSpires informed the MGCB of its decision to continue offering ADW services in Michigan, despite clear regulatory prohibitions. In response, the MGCB issued a summary suspension, effectively halting TwinSpires’ operations in the state.
TwinSpires Could be Fined
The suspension’s permanence and any additional penalties will be decided during a virtual hearing.
While the hearing date remains undetermined, the MGCB emphasized the importance of enforcing compliance to uphold Michigan’s gaming laws and protect the integrity of wagering activities.
CDI’s diverse portfolio may mitigate the effects of this setback, though that remains to be seen. The MGCB’s firm stance underscores the critical importance of regulatory compliance in the gaming industry.
For TwinSpires, the forthcoming hearing will be pivotal in determining its ability to operate in Michigan and may have broader implications for its reputation and licensing opportunities. Non-compliance could lead to severe financial penalties, long-term reputational harm, and challenges in obtaining future licenses.
