Illegal casinos face crackdown in Michigan - Again

This is not the first time that Michigan has come down heavy on unregulated casinos. They issued 19 cease and desist orders in early July. 

These orders reinforce Michigan’s intentions to protect players, with the companies being given just two weeks to close down before legal action is taken. 

Why are these casinos in hot water, and what red flags should you look out for before it’s too late? 

Operators ordered to halt activity:

These sites were brought to the attention of MGCB by members of the public. The six guilty parties include: 

• Crypto slots 

• NitroBetting

• NewVegas

• Las Vegas USA Casino 

• Grand Rush Casino 

• Slotgard Casino 

Why these casinos were banned

The operators were all found to be offering casino games or sports betting features without a Michigan license. 

This violated three laws:  

• Lawful Internet Gaming Act

• Lawful Sports Betting Act

• Michigan Penal Code 

Under the Lawful Internet Gaming Act, companies require a “license to provide internet gaming…that directly affects wagering, play”. If an operator does not obtain this license, it is not allowed to host real money casino games on its site.

Each operator was given 14 days to comply or face further legal action, including possible escalation with the Michigan Department of Attorney General. 

Why this matters: your money isn’t safe on illegal sites

While the state regulator continues its enforcement efforts, the real risk remains with players who unknowingly deposit funds on unlicensed platforms. These sites often appear legitimate but lack the legal accountability of Michigan-regulated casinos. 

Here’s what's at stake: 

❌ No guarantee of payouts: winnings can vanish with no recourse

❌ Rigged or unfair games: no game testing or oversight

❌ No fraud protection: identity theft or stolen funds

❌ No support: disputes may be ignored entirely

“Unlike Michigan’s licensed operators, these sites offer no consumer safeguards,” Williams, the MGCB Director, warns. “They’re not held accountable to anyone, and that puts players in a dangerous position”.

It is important that Michigan continues to regulate these sites and that players remain vigilant to avoid being hit by these issues. 

Red flags 

Here are some things to look out for which may suggest you’re playing on an untrustworthy site. 

🚩 Red flag	⚠️ Why it’s a problem
No mention of a Michigan license	Likely operating illegally
Huge, unrealistic bonuses	Tactic to lure in new players
Vague or missing terms	Risk of hidden conditions
No clear customer support info	Poor or no dispute resolution
Accepting players from the US without regulation	Often hosted offshore and unaccountable

These red flags can be found across the sites listed above, as well as ones in previous cease and desist cases. 

To protect yourself, try on play on websites that have good reviews and clearly state their licenses and company information. 

How to protect yourself before it’s too late

As enforcement ramps up, here’s what you can do to stay ahead of the scammers:

• Only play on sites licensed by the MGCB – check Michigan.gov/MGCB ✅ 

• Avoid any gambling site promoted via social media ads or unknown influencers ✅

• Be cautious with crypto casinos that don’t mention regulation ✅

• Use trusted payment methods with chargeback protection ✅

• Report suspicious platforms to the MGCB ✅

Other cases

These companies are just the latest targets of the board, with over 100 cease and desist orders being sent to online casinos over the last year. 

The MGCB Executive Director, Henry Williams, argues that 

“These sites were attempting to exploit Michigan players while operating outside the law… and we will not tolerate it”.

A growing crackdown…but more scams are likely 

It doesn’t seem like these are going to be the last operators hit, as the MGCB “continues to monitor online gaming activity and urges the public to be cautious”. 

🚨Stay smart, stay safe

With over 100 illegal sites already shut down in Michigan, the crackdown is just getting started. If you’re unsure about a gambling site, don’t risk it. Stick with licensed operators, and help report shady ones to the MGCB — your wallet (and your data) will thank you.