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91_SB0788
LRB9100734LDksA
1 AN ACT to amend certain Acts in relation to games of
2 chance.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 1. Short title. This Act may be cited as the
6 Video Gaming Act.
7 Section 5. Definitions. As used in this Act:
8 "Board" means the Illinois Gaming Board.
9 "Credit" means 5, 10 or 25 cents either won or purchased
10 by a player.
11 "Distributor" means an individual, partnership or
12 corporation licensed under this Act to buy, sell, lease, or
13 distribute video gaming terminals to terminal operators.
14 "Terminal operator" means an individual, partnership or
15 corporation that is licensed under this Act and that owns,
16 services, and maintains video gaming terminals for placement
17 in licensed establishments.
18 "Manufacturer" means an individual, partnership, or
19 corporation that is licensed under this Act and that
20 manufactures or assembles video gaming terminals.
21 "Net terminal income" means money put into a video gaming
22 terminal minus credits paid out to players.
23 "Video gaming terminal" means any electronic video game
24 machine that, upon insertion of cash, is available to play or
25 simulate the play of a video game, including but not limited
26 to video poker, keno, and blackjack, authorized by the Board
27 utilizing a video display and microprocessors in which the
28 player may receive free games or credits that can be redeemed
29 for cash. The term does not include a machine that directly
30 dispenses coins, cash, or tokens or is for amusement purposes
31 only.
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1 "Licensed establishment" means any licensed retail
2 establishment where alcoholic liquor is drawn, poured, mixed,
3 or otherwise served for consumption on the premises.
4 Section 10. Licensing and registration. Every
5 individual, corporation, contractor, subcontractor, or
6 partnership offering a licensee goods or services on a
7 regular basis that directly relate to the manufacture,
8 modification, distribution, sale, operation, maintenance, or
9 security of video gaming terminals shall be licensed and
10 registered pursuant to rules of the Board.
11 Section 15. Minimum requirements for licensing and
12 registration. Every video gaming terminal offered for play
13 shall first be tested and approved pursuant to the rules of
14 the Board, and each video gaming terminal offered in this
15 State for play shall conform to an approved model. The Board
16 may contract with an independent outside vendor for the
17 examination of video gaming machines and associated equipment
18 as required by this Section. Each approved model shall, at a
19 minimum, meet the following criteria:
20 (1) It must conform to all requirements of federal
21 law and regulations, including FCC Class A Emissions
22 Standards.
23 (2) It must theoretically pay out a mathematically
24 demonstrable percentage of all amounts played, which must
25 not be less than 80%. Video gaming terminals that may be
26 affected by skill must meet this standard when using a
27 method of play that will provide the greatest return to
28 the player over a period of continuous play.
29 (3) It must use a random selection process to
30 determine the outcome of each play of a game. The random
31 selection process must meet 99% confidence limits using a
32 standard chi-squared test for (randomness) goodness of
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1 fit.
2 (4) It must display an accurate representation of
3 the game outcome.
4 (5) It must not automatically alter pay tables or
5 any function of the video gaming terminal based on
6 internal computation of hold percentage.
7 (6) It must exhibit total immunity to human body
8 electrostatic discharges on all player-exposed areas.
9 (7) The random number generator and random
10 selection process must be impervious to influences from
11 outside the video gaming terminal and must use
12 appropriate communication protocols to protect the random
13 number generator and random selection process from
14 influence by affiliated equipment, such as the central
15 site monitoring equipment.
16 (8) It must be capable of detecting and displaying
17 the following conditions during idle states or on demand:
18 power reset; door open; and door just closed.
19 (9) The program residing in the video gaming
20 terminal must be contained in a storage medium which is
21 not alterable through any use of the circuitry or
22 programming of the video gaming terminal itself.
23 (10) It must have the capacity to display complete
24 play history (outcome, intermediate play steps, credits
25 available, bets placed, credits paid and credits cashed
26 out) for the most recent game played and one game prior
27 thereto.
28 (11) The control program must check for any
29 corruption of random access memory locations used for
30 crucial video gaming terminal functions including, but
31 not limited to, information pertaining to the play and
32 final outcome of the 2 prior games, random number
33 generator outcome, credits available for play, and any
34 error states. These memory areas must be checked for
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1 corruption following game initiation but prior to display
2 of the game outcome to the player. Detection of any
3 uncorrectable corruption shall be deemed to be a game
4 malfunction and must result in a tilt condition.
5 (12) The theoretical payback percentage of a video
6 gaming terminal must not be capable of being changed
7 without making a hardware or software change in the video
8 gaming terminal.
9 (13) Video gaming terminals must be designed so
10 that replacement of parts or modules required for normal
11 maintenance does not necessitate replacement of the
12 electromechanical meters.
13 (14) Video gaming terminals must have an
14 electronically stored digital meter of at least 3 digits
15 for the number of plays since power on and the number of
16 plays since door closure. When the maximum value has
17 been reached, the meters must remain at that value until
18 reset by occurrence of the appropriate event. The video
19 gaming terminal must provide the means for on-demand
20 display of the stored information.
21 (15) Electronically stored meter information
22 required by this Section must be preserved for a minimum
23 of 72 hours after a power loss to the service.
24 (16) Collectible credits may be accumulated from
25 wins or from approved currency acceptors. Collectible
26 credits may be accumulated directly from coin or bill
27 acceptance if the video gaming terminal uses a coin or
28 bill acceptor.
29 (17) It shall have accounting software that keeps
30 an electronic record which includes, but is not limited
31 to, the following: total cash inserted into the video
32 gaming terminal; the value of winning tickets claimed by
33 players; the total credits played; and the total credits
34 awarded by a video gaming terminal.
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1 (18) It shall be linked under a central
2 communications system on a "dial-up" basis to provide
3 auditing program information as approved by the Board. In
4 no event may the communications system approved by the
5 Board limit participation to only one manufacturer of
6 video gaming terminals by either the cost in implementing
7 the necessary program modifications to communicate or the
8 inability to communicate with the central communications
9 system.
10 Section 20. Direct dispensing of receipt tickets only.
11 A video gaming terminal may not directly dispense coins,
12 cash, tokens, or any other article of exchange or value
13 except for receipt tickets. Tickets shall be dispensed by
14 pressing the ticket dispensing button on the video gaming
15 terminal at the end of one's turn or play. The ticket shall
16 indicate the total amount of credits and the cash award, and
17 the player shall turn in this ticket to the appropriate
18 person at the licensed establishment to receive the cash
19 award. The cost of the credit shall be 5 cents, 10 cents, or
20 25 cents, and the maximum wager played per game shall not
21 exceed $2. No cash award for the maximum wager on any
22 individual game shall exceed $500.
23 Section 25. Restriction of licensees.
24 (a) Manufacturer. A person may not be licensed as a
25 manufacturer of a video gaming terminal in Illinois unless
26 the person has a valid manufacturer's license issued under
27 this Act. A manufacturer may only sell video gaming
28 terminals for use in Illinois to persons having a valid
29 distributor's license.
30 (b) Distributor. A person may not sell, service,
31 distribute, or lease or market a video gaming terminal in
32 Illinois unless the person has a valid distributor's license
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1 issued under this Act. A distributor may only sell video
2 gaming terminals for use in Illinois to persons having a
3 valid distributor's or terminal operator's license.
4 (c) Terminal operator. A person may not own, service,
5 maintain, lease, or place a video gaming terminal unless he
6 has a valid terminal operator's license issued under this
7 Act. A terminal operator may only place video gaming
8 terminals for use in Illinois in licensed establishments.
9 No terminal operator may give anything of value to a licensed
10 establishment as any incentive or inducement to locate video
11 terminals in that establishment. The profits from a video
12 gaming terminal shall be divided evenly between a terminal
13 operator and a licensed establishment.
14 (d) Licensed establishment. A valid liquor license
15 shall be prima facie evidence of compliance with the
16 licensing requirements of this Act. No video gaming terminal
17 may be placed in any licensed establishment unless the owner
18 or agent of the owner of the licensed establishment has
19 entered into a written use agreement with the terminal
20 operator for placement of the terminals. A copy of the use
21 agreement shall be on file in the terminal operator's place
22 of business and available for inspection by individuals
23 authorized by the Board. No licensed establishment may have
24 more than 3 video gaming terminals on its premises at any
25 time, unless otherwise authorized by the Board.
26 (e) Residency requirement. Each licensed distributor,
27 terminal operator, and owner of a licensed establishment must
28 be an Illinois resident. However, if an out of state
29 distributor, terminal operator, or owner of a licensed
30 establishment has performed its respective business within
31 Illinois for at least 24 months prior to the effective date
32 of this Act, the out of state person may be eligible for
33 licensing under this Act, upon application to and approval of
34 the Board.
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1 (f) Financial interest restrictions. As used in this
2 subsection (f), "substantial interest" in an organization,
3 association, or business means:
4 (A) When, with respect to a sole
5 proprietorship, an individual or his or her marital
6 community owns, operates, manages, or conducts,
7 directly or indirectly, the organization,
8 association, or business, or any part thereof; or
9 (B) When, with respect to a partnership, the
10 individual or his or her marital community shares in
11 any of the profits, or potential profits, of the
12 partnership activities; or
13 (C) When, with respect to a corporation, an
14 individual or his or her spouse is an officer or
15 director, or the individual or his or her marital
16 community is a holder, directly or beneficially, of
17 5% or more of any class of stock of the corporation;
18 or
19 (D) When, with respect to an organization not
20 covered in (A), (B) or (C) above, an individual or
21 his or her spouse is an officer or manages the
22 business affairs, or the individual or his or her
23 marital community is the owner of or otherwise
24 controls 10% or more of the assets of the
25 organization; or
26 (E) When an individual or his or her marital
27 community furnishes 5% or more of the capital,
28 whether in cash, goods, or services, for the
29 operation of any business, association, or
30 organization during any calendar year.
31 Section 30. Multiple types of licenses prohibited. A
32 video gaming terminal manufacturer may not be licensed as a
33 video gaming terminal distributor or operator or own, manage,
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1 or control a licensed establishment, and shall be licensed
2 only to sell to distributors. A video gaming terminal
3 distributor may not be licensed as a video gaming terminal
4 manufacturer or operator or own, manage, or control a
5 licensed establishment, and shall only contract with a
6 licensed terminal operator. A video gaming terminal operator
7 may not be licensed as a video gaming terminal manufacturer
8 or distributor or own, manage, or control a licensed
9 establishment, and will be licensed only to contract with
10 licensed distributors and licensed establishments. An owner
11 or manager of a licensed establishment may not be licensed as
12 a video gaming terminal manufacturer, distributor, or
13 operator, and shall only contract with a licensed operator to
14 place and service this equipment.
15 Section 35. Display of license; confiscation; violation
16 as felony. Each video gaming terminal shall be licensed by
17 the Board before placement or operation on the premises of a
18 licensed establishment. Each machine shall have the license
19 prominently displayed thereon. Any licensed establishment
20 used for the conduct of gambling games in violation of this
21 Act shall be considered a gambling place in violation of
22 Section 28-3 of the Criminal Code of 1961. Every gambling
23 device found in a licensed establishment operating gambling
24 games in violation of this Act shall be subject to seizure,
25 confiscation, and destruction as provided in Section 28-5 of
26 the Criminal Code of 1961.
27 Section 40. Video gaming terminal use by minors
28 prohibited. No licensee shall cause or permit any person
29 under the age of 21 years to use or play a video gaming
30 terminal. Any licensee who knowingly permits a person under
31 the age of 21 years to use or play a video gaming terminal is
32 guilty of a business offense and shall be fined an amount not
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1 to exceed $5,000.
2 Section 45. Issuance of license.
3 (a) The burden is upon each applicant to demonstrate his
4 suitability for licensure. Each video gaming terminal
5 manufacturer, distributor, operator, and licensed
6 establishment shall be licensed by the Board before any video
7 gaming terminal is manufactured, distributed, sold, or placed
8 for public use in this State. The Board may not issue a
9 license under this Act to any person who, within 10 years of
10 the date of the application, has been convicted of a felony
11 under the laws of this State, any other state, or the United
12 States, or to any firm or corporation in which such a person
13 is an officer, director, or managerial employee.
14 (b) A non-refundable application fee shall be paid at
15 the time an application for a license is filed with the Board
16 in the following amounts:
17 (1) Video gaming terminal manufacturer..........$10,000
18 (2) Video gaming terminal distributor...........$ 5,000
19 (3) Video gaming terminal operator..............$ 2,500
20 (c) The Board shall establish an annual fee for each
21 license not to exceed the following:
22 (1) Video gaming terminal manufacturer..........$10,000
23 (2) Video gaming terminal distributor...........$10,000
24 (3) Video gaming terminal operator..............$ 5,000
25 (4) Video gaming terminal location..............$ 100
26 (5) Video gaming terminal...................... $ 100
27 Section 50. Distribution of license fees. All fees
28 collected under Section 45 shall be deposited in the General
29 Revenue Fund. All licenses issued by the Board under this Act
30 are renewable annually unless sooner cancelled or terminated.
31 No license issued under this Act is transferable or
32 assignable.
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1 Section 55. Precondition for Licensed Establishment. In
2 all cases of application for a licensed establishment, each
3 licensed establishment shall possess a valid liquor license
4 issued by the Illinois Liquor Control Commission in effect at
5 the time of application for, and issuance of, a video gaming
6 terminal license and at all times thereafter during which a
7 video gaming terminal is made available to the public for
8 play at that location.
9 Section 60. Distribution of tax revenues.
10 (a) All tax revenues derived from video gaming terminals
11 by the State shall be deposited by the Gaming Board into the
12 General Revenue Fund.
13 (b) The State shall receive revenues based on net video
14 gaming terminal income (income after payout). The tax will
15 be 20% of this amount. The tax will automatically increase
16 to 25% 2 years after the effective date of this Act.
17 (c) Revenues generated from the play of video gaming
18 terminals shall be deposited by the terminal operator, who is
19 responsible for tax payments, in a specially created,
20 separate bank account maintained by the video gaming terminal
21 operator to allow for electronic fund transfers of monies for
22 tax payment.
23 (d) Each licensed location shall maintain an adequate
24 video gaming fund, with the amount to be determined by the
25 Board.
26 Section 185. The Riverboat Gambling Act is amended by
27 changing Section 5 as follows:
28 (230 ILCS 10/5) (from Ch. 120, par. 2405)
29 Sec. 5. Gaming Board.
30 (a) (1) There is hereby established within the
31 Department of Revenue an Illinois Gaming Board which shall
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1 have the powers and duties specified in this Act, and all
2 other powers necessary and proper to fully and effectively
3 execute this Act for the purpose of administering,
4 regulating, and enforcing the system of riverboat gambling
5 established by this Act. Its jurisdiction shall extend under
6 this Act to every person, association, corporation,
7 partnership and trust involved in riverboat gambling
8 operations in the State of Illinois.
9 (2) The Board shall consist of 5 members to be appointed
10 by the Governor with the advice and consent of the Senate,
11 one of whom shall be designated by the Governor to be
12 chairman. Each member shall have a reasonable knowledge of
13 the practice, procedure and principles of gambling
14 operations. Each member shall either be a resident of
15 Illinois or shall certify that he will become a resident of
16 Illinois before taking office. At least one member shall be
17 experienced in law enforcement and criminal investigation, at
18 least one member shall be a certified public accountant
19 experienced in accounting and auditing, and at least one
20 member shall be a lawyer licensed to practice law in
21 Illinois.
22 (3) The terms of office of the Board members shall be 3
23 years, except that the terms of office of the initial Board
24 members appointed pursuant to this Act will commence from the
25 effective date of this Act and run as follows: one for a
26 term ending July 1, 1991, 2 for a term ending July 1, 1992,
27 and 2 for a term ending July 1, 1993. Upon the expiration of
28 the foregoing terms, the successors of such members shall
29 serve a term for 3 years and until their successors are
30 appointed and qualified for like terms. Vacancies in the
31 Board shall be filled for the unexpired term in like manner
32 as original appointments. Each member of the Board shall be
33 eligible for reappointment at the discretion of the Governor
34 with the advice and consent of the Senate.
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1 (4) Each member of the Board shall receive $300 for each
2 day the Board meets and for each day the member conducts any
3 hearing pursuant to this Act. Each member of the Board shall
4 also be reimbursed for all actual and necessary expenses and
5 disbursements incurred in the execution of official duties.
6 (5) No person shall be appointed a member of the Board
7 or continue to be a member of the Board who is, or whose
8 spouse, child or parent is, a member of the board of
9 directors of, or a person financially interested in, any
10 gambling operation subject to the jurisdiction of this Board,
11 or any race track, race meeting, racing association or the
12 operations thereof subject to the jurisdiction of the
13 Illinois Racing Board. No Board member shall hold any other
14 public office for which he shall receive compensation other
15 than necessary travel or other incidental expenses. No
16 person shall be a member of the Board who is not of good
17 moral character or who has been convicted of, or is under
18 indictment for, a felony under the laws of Illinois or any
19 other state, or the United States.
20 (6) Any member of the Board may be removed by the
21 Governor for neglect of duty, misfeasance, malfeasance, or
22 nonfeasance in office.
23 (7) Before entering upon the discharge of the duties of
24 his office, each member of the Board shall take an oath that
25 he will faithfully execute the duties of his office according
26 to the laws of the State and the rules and regulations
27 adopted therewith and shall give bond to the State of
28 Illinois, approved by the Governor, in the sum of $25,000.
29 Every such bond, when duly executed and approved, shall be
30 recorded in the office of the Secretary of State. Whenever
31 the Governor determines that the bond of any member of the
32 Board has become or is likely to become invalid or
33 insufficient, he shall require such member forthwith to renew
34 his bond, which is to be approved by the Governor. Any
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1 member of the Board who fails to take oath and give bond
2 within 30 days from the date of his appointment, or who fails
3 to renew his bond within 30 days after it is demanded by the
4 Governor, shall be guilty of neglect of duty and may be
5 removed by the Governor. The cost of any bond given by any
6 member of the Board under this Section shall be taken to be a
7 part of the necessary expenses of the Board.
8 (8) Upon the request of the Board, the Department shall
9 employ such personnel as may be necessary to carry out the
10 functions of the Board. No person shall be employed to serve
11 the Board who is, or whose spouse, parent or child is, an
12 official of, or has a financial interest in or financial
13 relation with, any operator engaged in gambling operations
14 within this State or any organization engaged in conducting
15 horse racing within this State. Any employee violating these
16 prohibitions shall be subject to termination of employment.
17 (9) An Administrator shall perform any and all duties
18 that the Board shall assign him. The salary of the
19 Administrator shall be determined by the Board and approved
20 by the Director of the Department and, in addition, he shall
21 be reimbursed for all actual and necessary expenses incurred
22 by him in discharge of his official duties. The
23 Administrator shall keep records of all proceedings of the
24 Board and shall preserve all records, books, documents and
25 other papers belonging to the Board or entrusted to its care.
26 The Administrator shall devote his full time to the duties of
27 the office and shall not hold any other office or employment.
28 (b) The Board shall have general responsibility for the
29 implementation of this Act. Its duties include, without
30 limitation, the following:
31 (1) To decide promptly and in reasonable order all
32 license applications. Any party aggrieved by an action of
33 the Board denying, suspending, revoking, restricting or
34 refusing to renew a license may request a hearing before
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1 the Board. A request for a hearing must be made to the
2 Board in writing within 5 days after service of notice of
3 the action of the Board. Notice of the action of the
4 Board shall be served either by personal delivery or by
5 certified mail, postage prepaid, to the aggrieved party.
6 Notice served by certified mail shall be deemed complete
7 on the business day following the date of such mailing.
8 The Board shall conduct all requested hearings promptly
9 and in reasonable order;
10 (2) To conduct all hearings pertaining to civil
11 violations of this Act or rules and regulations
12 promulgated hereunder;
13 (3) To promulgate such rules and regulations as in
14 its judgment may be necessary to protect or enhance the
15 credibility and integrity of gambling operations
16 authorized by this Act and the regulatory process
17 hereunder;
18 (4) To provide for the establishment and collection
19 of all license and registration fees and taxes imposed by
20 this Act and the rules and regulations issued pursuant
21 hereto. All such fees and taxes shall be deposited into
22 the State Gaming Fund;
23 (5) To provide for the levy and collection of
24 penalties and fines for the violation of provisions of
25 this Act and the rules and regulations promulgated
26 hereunder. All such fines and penalties shall be
27 deposited into the Education Assistance Fund, created by
28 Public Act 86-0018, of the State of Illinois;
29 (6) To be present through its inspectors and agents
30 any time gambling operations are conducted on any
31 riverboat for the purpose of certifying the revenue
32 thereof, receiving complaints from the public, and
33 conducting such other investigations into the conduct of
34 the gambling games and the maintenance of the equipment
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1 as from time to time the Board may deem necessary and
2 proper;
3 (7) To review and rule upon any complaint by a
4 licensee regarding any investigative procedures of the
5 State which are unnecessarily disruptive of gambling
6 operations. The need to inspect and investigate shall be
7 presumed at all times. The disruption of a licensee's
8 operations shall be proved by clear and convincing
9 evidence, and establish that: (A) the procedures had no
10 reasonable law enforcement purposes, and (B) the
11 procedures were so disruptive as to unreasonably inhibit
12 gambling operations;
13 (8) To hold at least one meeting each quarter of
14 the fiscal year. In addition, special meetings may be
15 called by the Chairman or any 2 Board members upon 72
16 hours written notice to each member. All Board meetings
17 shall be subject to the Open Meetings Act. Three members
18 of the Board shall constitute a quorum, and 3 votes shall
19 be required for any final determination by the Board.
20 The Board shall keep a complete and accurate record of
21 all its meetings. A majority of the members of the Board
22 shall constitute a quorum for the transaction of any
23 business, for the performance of any duty, or for the
24 exercise of any power which this Act requires the Board
25 members to transact, perform or exercise en banc, except
26 that, upon order of the Board, one of the Board members
27 or an administrative law judge designated by the Board
28 may conduct any hearing provided for under this Act or by
29 Board rule and may recommend findings and decisions to
30 the Board. The Board member or administrative law judge
31 conducting such hearing shall have all powers and rights
32 granted to the Board in this Act. The record made at the
33 time of the hearing shall be reviewed by the Board, or a
34 majority thereof, and the findings and decision of the
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1 majority of the Board shall constitute the order of the
2 Board in such case;
3 (9) To maintain records which are separate and
4 distinct from the records of any other State board or
5 commission. Such records shall be available for public
6 inspection and shall accurately reflect all Board
7 proceedings;
8 (10) To file a written annual report with the
9 Governor on or before March 1 each year and such
10 additional reports as the Governor may request. The
11 annual report shall include a statement of receipts and
12 disbursements by the Board, actions taken by the Board,
13 and any additional information and recommendations which
14 the Board may deem valuable or which the Governor may
15 request;
16 (11) To review the patterns of wagering and wins
17 and losses by persons on riverboat gambling operations
18 under this Act, and make recommendation to the Governor
19 and the General Assembly, by January 31, 1992, as to
20 whether limits on wagering losses should be imposed; and
21 (12) To assume responsibility for the
22 administration and enforcement of the Bingo License and
23 Tax Act, the Charitable Games Act, and the Pull Tabs and
24 Jar Games Act if such responsibility is delegated to it
25 by the Director of Revenue.
26 (13) To assume responsibility for administration
27 and enforcement of the Video Gaming Act.
28 (c) The Board shall have jurisdiction over and shall
29 supervise all gambling operations governed by this Act. The
30 Board shall have all powers necessary and proper to fully and
31 effectively execute the provisions of this Act, including,
32 but not limited to, the following:
33 (1) To investigate applicants and determine the
34 eligibility of applicants for licenses and to select
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1 among competing applicants the applicants which best
2 serve the interests of the citizens of Illinois.
3 (2) To have jurisdiction and supervision over all
4 riverboat gambling operations in this State and all
5 persons on riverboats where gambling operations are
6 conducted.
7 (3) To promulgate rules and regulations for the
8 purpose of administering the provisions of this Act and
9 to prescribe rules, regulations and conditions under
10 which all riverboat gambling in the State shall be
11 conducted. Such rules and regulations are to provide for
12 the prevention of practices detrimental to the public
13 interest and for the best interests of riverboat
14 gambling, including rules and regulations regarding the
15 inspection of such riverboats and the review of any
16 permits or licenses necessary to operate a riverboat
17 under any laws or regulations applicable to riverboats,
18 and to impose penalties for violations thereof.
19 (4) To enter the office, riverboats, facilities, or
20 other places of business of a licensee, where evidence of
21 the compliance or noncompliance with the provisions of
22 this Act is likely to be found.
23 (5) To investigate alleged violations of this Act
24 or the rules of the Board and to take appropriate
25 disciplinary action against a licensee or a holder of an
26 occupational license for a violation, or institute
27 appropriate legal action for enforcement, or both.
28 (6) To adopt standards for the licensing of all
29 persons under this Act, as well as for electronic or
30 mechanical gambling games, and to establish fees for such
31 licenses.
32 (7) To adopt appropriate standards for all
33 riverboats and facilities.
34 (8) To require that the records, including
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1 financial or other statements of any licensee under this
2 Act, shall be kept in such manner as prescribed by the
3 Board and that any such licensee involved in the
4 ownership or management of gambling operations submit to
5 the Board an annual balance sheet and profit and loss
6 statement, list of the stockholders or other persons
7 having a 1% or greater beneficial interest in the
8 gambling activities of each licensee, and any other
9 information the Board deems necessary in order to
10 effectively administer this Act and all rules,
11 regulations, orders and final decisions promulgated under
12 this Act.
13 (9) To conduct hearings, issue subpoenas for the
14 attendance of witnesses and subpoenas duces tecum for the
15 production of books, records and other pertinent
16 documents in accordance with the Illinois Administrative
17 Procedure Act, and to administer oaths and affirmations
18 to the witnesses, when, in the judgment of the Board, it
19 is necessary to administer or enforce this Act or the
20 Board rules.
21 (10) To prescribe a form to be used by any licensee
22 involved in the ownership or management of gambling
23 operations as an application for employment for their
24 employees.
25 (11) To revoke or suspend licenses, as the Board
26 may see fit and in compliance with applicable laws of the
27 State regarding administrative procedures, and to review
28 applications for the renewal of licenses. The Board may
29 suspend an owners license, without notice or hearing upon
30 a determination that the safety or health of patrons or
31 employees is jeopardized by continuing a riverboat's
32 operation. The suspension may remain in effect until the
33 Board determines that the cause for suspension has been
34 abated. The Board may revoke the owners license upon a
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1 determination that the owner has not made satisfactory
2 progress toward abating the hazard.
3 (12) To eject or exclude or authorize the ejection
4 or exclusion of, any person from riverboat gambling
5 facilities where such person is in violation of this Act,
6 rules and regulations thereunder, or final orders of the
7 Board, or where such person's conduct or reputation is
8 such that his presence within the riverboat gambling
9 facilities may, in the opinion of the Board, call into
10 question the honesty and integrity of the gambling
11 operations or interfere with orderly conduct thereof;
12 provided that the propriety of such ejection or exclusion
13 is subject to subsequent hearing by the Board.
14 (13) To require all licensees of gambling
15 operations to utilize a cashless wagering system whereby
16 all players' money is converted to tokens, electronic
17 cards, or chips which shall be used only for wagering in
18 the gambling establishment.
19 (14) To authorize the routes of a riverboat and the
20 stops which a riverboat may make.
21 (15) To suspend, revoke or restrict licenses, to
22 require the removal of a licensee or an employee of a
23 licensee for a violation of this Act or a Board rule or
24 for engaging in a fraudulent practice, and to impose
25 civil penalties of up to $5,000 against individuals and
26 up to $10,000 or an amount equal to the daily gross
27 receipts, whichever is larger, against licensees for each
28 violation of any provision of the Act, any rules adopted
29 by the Board, any order of the Board or any other action
30 which, in the Board's discretion, is a detriment or
31 impediment to riverboat gambling operations.
32 (16) To hire employees to gather information,
33 conduct investigations and carry out any other tasks
34 contemplated under this Act.
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1 (17) To establish minimum levels of insurance to be
2 maintained by licensees.
3 (18) To authorize a licensee to sell or serve
4 alcoholic liquors, wine or beer as defined in the Liquor
5 Control Act of 1934 on board a riverboat and to have
6 exclusive authority to establish the hours for sale and
7 consumption of alcoholic liquor on board a riverboat,
8 notwithstanding any provision of the Liquor Control Act
9 of 1934 or any local ordinance. The establishment of the
10 hours for sale and consumption of alcoholic liquor on
11 board a riverboat is an exclusive power and function of
12 the State. A home rule unit may not establish the hours
13 for sale and consumption of alcoholic liquor on board a
14 riverboat. This amendatory Act of 1991 is a denial and
15 limitation of home rule powers and functions under
16 subsection (h) of Section 6 of Article VII of the
17 Illinois Constitution.
18 (19) After consultation with the U.S. Army Corps of
19 Engineers, to establish binding emergency orders upon the
20 concurrence of a majority of the members of the Board
21 regarding the navigability of rivers in the event of
22 extreme weather conditions, acts of God or other extreme
23 circumstances.
24 (20) To delegate the execution of any of its powers
25 under this Act for the purpose of administering and
26 enforcing this Act and its rules and regulations
27 hereunder.
28 (21) To take any other action as may be reasonable
29 or appropriate to enforce this Act and rules and
30 regulations hereunder.
31 (d) The Board may seek and shall receive the cooperation
32 of the Department of State Police in conducting background
33 investigations of applicants and in fulfilling its
34 responsibilities under this Section. Costs incurred by the
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1 Department of State Police as a result of such cooperation
2 shall be paid by the Board in conformance with the
3 requirements of subsection 22 of Section 55a of The Civil
4 Administrative Code of Illinois.
5 (Source: P.A. 86-1029; 86-1389; 87-826.)
6 Section 190. The Criminal Code of 1961 is amended by
7 changing Sections 28-1, 28-1.1, and 28-3 as follows:
8 (720 ILCS 5/28-1) (from Ch. 38, par. 28-1)
9 Sec. 28-1. Gambling.
10 (a) A person commits gambling when he:
11 (1) Plays a game of chance or skill for money or
12 other thing of value, unless excepted in subsection (b)
13 of this Section; or
14 (2) Makes a wager upon the result of any game,
15 contest, or any political nomination, appointment or
16 election; or
17 (3) Operates, keeps, owns, uses, purchases,
18 exhibits, rents, sells, bargains for the sale or lease
19 of, manufactures or distributes any gambling device; or
20 (4) Contracts to have or give himself or another
21 the option to buy or sell, or contracts to buy or sell,
22 at a future time, any grain or other commodity
23 whatsoever, or any stock or security of any company,
24 where it is at the time of making such contract intended
25 by both parties thereto that the contract to buy or sell,
26 or the option, whenever exercised, or the contract
27 resulting therefrom, shall be settled, not by the receipt
28 or delivery of such property, but by the payment only of
29 differences in prices thereof; however, the issuance,
30 purchase, sale, exercise, endorsement or guarantee, by or
31 through a person registered with the Secretary of State
32 pursuant to Section 8 of the Illinois Securities Law of
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1 1953, or by or through a person exempt from such
2 registration under said Section 8, of a put, call, or
3 other option to buy or sell securities which have been
4 registered with the Secretary of State or which are
5 exempt from such registration under Section 3 of the
6 Illinois Securities Law of 1953 is not gambling within
7 the meaning of this paragraph (4); or
8 (5) Knowingly owns or possesses any book,
9 instrument or apparatus by means of which bets or wagers
10 have been, or are, recorded or registered, or knowingly
11 possesses any money which he has received in the course
12 of a bet or wager; or
13 (6) Sells pools upon the result of any game or
14 contest of skill or chance, political nomination,
15 appointment or election; or
16 (7) Sets up or promotes any lottery or sells,
17 offers to sell or transfers any ticket or share for any
18 lottery; or
19 (8) Sets up or promotes any policy game or sells,
20 offers to sell or knowingly possesses or transfers any
21 policy ticket, slip, record, document or other similar
22 device; or
23 (9) Knowingly drafts, prints or publishes any
24 lottery ticket or share, or any policy ticket, slip,
25 record, document or similar device, except for such
26 activity related to lotteries, bingo games and raffles
27 authorized by and conducted in accordance with the laws
28 of Illinois or any other state or foreign government; or
29 (10) Knowingly advertises any lottery or policy
30 game, except for such activity related to lotteries,
31 bingo games and raffles authorized by and conducted in
32 accordance with the laws of Illinois or any other state;
33 or
34 (11) Knowingly transmits information as to wagers,
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1 betting odds, or changes in betting odds by telephone,
2 telegraph, radio, semaphore or similar means; or
3 knowingly installs or maintains equipment for the
4 transmission or receipt of such information; except that
5 nothing in this subdivision (11) prohibits transmission
6 or receipt of such information for use in news reporting
7 of sporting events or contests.
8 (b) Participants in any of the following activities
9 shall not be convicted of gambling therefor:
10 (1) Agreements to compensate for loss caused by the
11 happening of chance including without limitation
12 contracts of indemnity or guaranty and life or health or
13 accident insurance;
14 (2) Offers of prizes, award or compensation to the
15 actual contestants in any bona fide contest for the
16 determination of skill, speed, strength or endurance or
17 to the owners of animals or vehicles entered in such
18 contest;
19 (3) Pari-mutuel betting as authorized by the law of
20 this State;
21 (4) Manufacture of gambling devices, including the
22 acquisition of essential parts therefor and the assembly
23 thereof, for transportation in interstate or foreign
24 commerce to any place outside this State when such
25 transportation is not prohibited by any applicable
26 Federal law; or the manufacture, distribution, or
27 possession of video gaming terminals, as defined in the
28 Video Gaming Act, by manufacturers, distributors, and
29 terminal operators licensed to do so under the Video
30 Gaming Act;
31 (5) The game commonly known as "bingo", when
32 conducted in accordance with the Bingo License and Tax
33 Act;
34 (6) Lotteries when conducted by the State of
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1 Illinois in accordance with the Illinois Lottery Law;
2 (7) Possession of an antique slot machine that is
3 neither used nor intended to be used in the operation or
4 promotion of any unlawful gambling activity or
5 enterprise. For the purpose of this subparagraph (b)(7),
6 an antique slot machine is one manufactured 25 years ago
7 or earlier;
8 (8) Raffles when conducted in accordance with the
9 Raffles Act;
10 (9) Charitable games when conducted in accordance
11 with the Charitable Games Act;
12 (10) Pull tabs and jar games when conducted under
13 the Illinois Pull Tabs and Jar Games Act; or
14 (11) Gambling games conducted on riverboats when
15 authorized by the Riverboat Gambling Act; or.
16 (12) Video gaming terminal games at licensed
17 establishments when conducted in accordance with the
18 Video Gaming Act.
19 (c) Sentence.
20 Gambling under subsection (a)(1) or (a)(2) of this
21 Section is a Class A misdemeanor. Gambling under any of
22 subsections (a)(3) through (a)(11) of this Section is a Class
23 A misdemeanor. A second or subsequent conviction under any
24 of subsections (a)(3) through (a)(11), is a Class 4 felony.
25 (d) Circumstantial evidence.
26 In prosecutions under subsection (a)(1) through (a)(11)
27 of this Section circumstantial evidence shall have the same
28 validity and weight as in any criminal prosecution.
29 (Source: P.A. 86-1029; 87-435.)
30 (720 ILCS 5/28-1.1) (from Ch. 38, par. 28-1.1)
31 Sec. 28-1.1. Syndicated gambling.
32 (a) Declaration of Purpose. Recognizing the close
33 relationship between professional gambling and other
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1 organized crime, it is declared to be the policy of the
2 legislature to restrain persons from engaging in the business
3 of gambling for profit in this State. This Section shall be
4 liberally construed and administered with a view to carrying
5 out this policy.
6 (b) A person commits syndicated gambling when he
7 operates a "policy game" or engages in the business of
8 bookmaking.
9 (c) A person "operates a policy game" when he knowingly
10 uses any premises or property for the purpose of receiving or
11 knowingly does receive from what is commonly called "policy":
12 (1) money from a person other than the better or
13 player whose bets or plays are represented by such money;
14 or
15 (2) written "policy game" records, made or used
16 over any period of time, from a person other than the
17 better or player whose bets or plays are represented by
18 such written record.
19 (d) A person engages in bookmaking when he receives or
20 accepts more than five bets or wagers upon the result of any
21 trials or contests of skill, speed or power of endurance or
22 upon any lot, chance, casualty, unknown or contingent event
23 whatsoever, which bets or wagers shall be of such size that
24 the total of the amounts of money paid or promised to be paid
25 to such bookmaker on account thereof shall exceed $2,000.
26 Bookmaking is the receiving or accepting of such bets or
27 wagers regardless of the form or manner in which the
28 bookmaker records them.
29 (e) Participants in any of the following activities
30 shall not be convicted of syndicated gambling:
31 (1) Agreements to compensate for loss caused by the
32 happening of chance including without limitation
33 contracts of indemnity or guaranty and life or health or
34 accident insurance; and
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1 (2) Offers of prizes, award or compensation to the
2 actual contestants in any bona fide contest for the
3 determination of skill, speed, strength or endurance or
4 to the owners of animals or vehicles entered in such
5 contest; and
6 (3) Pari-mutuel betting as authorized by law of
7 this State; and
8 (4) Manufacture of gambling devices, including the
9 acquisition of essential parts therefor and the assembly
10 thereof, for transportation in interstate or foreign
11 commerce to any place outside this State when such
12 transportation is not prohibited by any applicable
13 Federal law; and
14 (5) Raffles when conducted in accordance with the
15 Raffles Act; and
16 (6) Gambling games conducted on riverboats when
17 authorized by the Riverboat Gambling Act; and.
18 (7) Video gaming terminal games at licensed
19 establishments when conducted in accordance with the
20 Video Gaming Act.
21 (f) Sentence. Syndicated gambling is a Class 3 felony.
22 (Source: P.A. 86-1029; 87-435.)
23 (720 ILCS 5/28-3) (from Ch. 38, par. 28-3)
24 Sec. 28-3. Keeping a Gambling Place. A "gambling place"
25 is any real estate, vehicle, boat or any other property
26 whatsoever used for the purposes of gambling other than
27 gambling conducted in the manner authorized by the Riverboat
28 Gambling Act or the Video Gaming Act. Any person who
29 knowingly permits any premises or property owned or occupied
30 by him or under his control to be used as a gambling place
31 commits a Class A misdemeanor. Each subsequent offense is a
32 Class 4 felony. When any premises is determined by the
33 circuit court to be a gambling place:
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1 (a) Such premises is a public nuisance and may be
2 proceeded against as such, and
3 (b) All licenses, permits or certificates issued by the
4 State of Illinois or any subdivision or public agency thereof
5 authorizing the serving of food or liquor on such premises
6 shall be void; and no license, permit or certificate so
7 cancelled shall be reissued for such premises for a period of
8 60 days thereafter; nor shall any person convicted of keeping
9 a gambling place be reissued such license for one year from
10 his conviction and, after a second conviction of keeping a
11 gambling place, any such person shall not be reissued such
12 license, and
13 (c) Such premises of any person who knowingly permits
14 thereon a violation of any Section of this Article shall be
15 held liable for, and may be sold to pay any unsatisfied
16 judgment that may be recovered and any unsatisfied fine that
17 may be levied under any Section of this Article.
18 (Source: P.A. 86-1029.)
19 Section 199. Effective date. This Act takes effect upon
20 becoming law.
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