Louisiana Could Classify Online Sweepstakes Casinos as Racketeering Offenses

Posted on: February 2, 2026, 11:35h. 

Last updated on: February 2, 2026, 11:35h.

  • Online sweepstakes casinos are illegal in Louisiana
  • A state lawmaker wants to increase the penalties for violating Louisiana’s gaming law

Prefiled legislation in Louisiana seeks to strengthen penalties for operating an unregulated, unlicensed online sweepstakes casino within the Bayou State.

Louisiana gambling law sweepstakes casinos
The statues of Antoine Fats Domino, Al Jumbo Hirt, and Pete Fountain at New Orleans Musical Legends Park on Bourbon Street. Louisiana legislation seeks to strengthen the penalties against illegal gambling businesses, including online sweepstakes casinos. (Image: Shutterstock)

Unfazed by Louisiana Gov. Jeff Landry’s (R) veto of legislation passed by the State Legislature that sought to ban dual-currency online sweepstakes platforms that effectively allow consumers to gamble, state Rep. Bryan Fontenot (R-Thibodaux) prefiled House Bill 53. The Louisiana State Legislature doesn’t convene until March 9 for its 2026 session.

HB53 adds certain gambling crimes as predicate offenses for racketeering. Racketeering activity, if Fontenot’s bill becomes law, would expand to include gambling, gambling by computer, gambling on cockfights, gambling by electronic sweepstakes, unlawful wagering, and bribery of sports participants.

“‘Racketeering activity’ means committing, attempting to commit, conspiring to commit, or soliciting, coercing, or intimidating another person to commit any crime that is punishable under the following provisions of Title 14 of the Louisiana Revised Statutes of 1950, the Uniform 12 Controlled Dangerous Substances Law, or the Louisiana Securities Law,” the statute reads.

Landry Sweepstakes Veto

Landry vetoed Senate Bill 181 last June on the belief that online sweepstakes casinos and dual-currency platforms are already barred under state law.

The Louisiana Gaming Control 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’s firm stance against such operations is aimed at protecting Louisiana residents from unregulated gambling activities that violate state laws,” Landry explained in his veto to state lawmakers.

“The Board and its regulatory partners will take further action as deemed necessary to enforce state gaming laws, protect patrons and bettors, and maintain the integrity of Louisiana’s gaming industry,” the governor continued. “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.”

The LGCB has issued cease-and-desist orders to various online sweepstakes casinos that have provided access to consumers in Louisiana. Most leading platforms have obliged, with Stake, Chumba, and MyPrize no longer accessible in Louisiana. 

Harsher Penalties 

Fontenot’s bill could deter online sweepstakes casino startups and other unsavory gambling and sports betting conspirators from acting in Louisiana. By grading an online sweepstakes casino platform as a racketeering activity, offenders would be subjected to severe penalties.

Louisiana law allows for a person convicted of racketeering to be punished with a fine of “not more than one million dollars, or imprisoned at hard labor for not more than 50 years, or both.”

The eligibility for parole is removed when the racketeering violation exceeds $10,000.