AGCO Pulls 50 Gaming Machines in Provincewide Sweep
Posted on: September 26, 2025, 12:56h.
Last updated on: September 26, 2025, 01:13h.
- Crackdown the result of a provincewide sweep of 200 licensed establishments in July and August
- AGCO says testing determined that the gaming machines ordinarily rely on chance
- Prime Skill Games submits court application to fight AGCO decision
The Alcohol and Gaming Commission of Ontario (AGCO) released a statement on Friday saying their crackdown on illegal gaming machines has led to 50 devices being removed from restaurants, bars, and lottery retailers over the summer months.
AGCO inspectors went into establishments in July and August, conducting more than 200 inspections at liquor-licensed and lottery retail stores across Ontario. The 50 gaming machines were Prime Slots, which Casino.org has written about previously.
The AGCO said the machines have been operating unlawfully and without regulatory oversight. The machines are not games of skill, which is what the gaming machine manufacturers claim, but are machines that rely on chance.
“Because of this, they are not permitted under Canadian law unless they are from a licensed supplier, approved and used in a regulated space like casino or charitable gaming centre,” Friday’s statement read.
Court Fight
This has been an ongoing legal issue between the AGCO and gaming machine manufacturers like Prime Skill and GotSkill?
While other jurisdictions grapple with the entrenchment of these unlawful gaming machines, the AGCO has taken a proactive stance to ensure they do not take root here in Ontario. Our recent regulatory actions are a clear demonstration of our comprehensive approach and our long-term commitment,” said AGCO CEO Dr. Karin Schnarr.
Despite making modifications to its product, which the company said made it even more of a skill game, GotSkill? lost a decision in the Ontario Superior Court in July, where the judge ruled the machines do in fact constitute gambling.
AGCO Enforcement Measures
Prime Skill has filed an application with the courts and is fighting the AGCO over its decision and actions.
On Friday morning, Prime Skill Games CEO Matt Zamrozniak sent a statement to Casino.org in response to the AGCO statement:
AGCO has never contacted Prime Skill Games directly, nor has it issued any formal order against our company,” he said. “The Commission’s actions have always been aimed at our retail partners, not us. Faced with repeated threats to those partners, we made the responsible decision to temporarily suspend certain operations. This was our choice, not the result of any finding against our machines!
“We remain confident in the legality of our technology. Our machines are built on a real skill component, and we are ready at any time to present them for independent testing. Unfortunately, despite repeated requests, AGCO has never given us that opportunity or provided transparent standards for review.”
A North American Issue
Zamrozniak told Casino.org in July that his company was present in over 200 locations across Ontario, including bars, convenience stores, gas stations, and even a piercing studio.
The AGCO referenced the challenge in policing what some companies call skill games, the supply of which has escalated across North America. The regulator quoted American Gaming Association (AGA) data, that there are now an estimated 625K unregulated gaming machines in the United States, generating US$30 billion ($41.3 billion CDN) in annual revenue.
“Regarding the recent GotSkill? case: while they are technically a competitor, we believe in supporting Canadian companies that pay taxes, employ Canadians, and engage with their communities,” said Zamrozniak.
“We would much rather compete with a legal Canadian business than with truly illegal machines that operate without accountability. We share with GotSkill? the same core principle: that skill-based gaming deserves a fair and transparent evaluation under the law. Our commitment has always been the same: protecting our clients, acting with integrity, and pursuing the clarity that AGCO has so far denied us.”
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