Louisiana Governor Vetoes Online Gambling Crackdown Bill

BATON ROUGE — Louisiana Governor Jeff Landry has vetoed Senate Bill 181, a measure that would have imposed sweeping restrictions and criminal penalties on online sweepstakes casinos operating in the state. The decision comes as a surprise given the bill's unanimous passage through both chambers of the state legislature, where it faced no formal opposition.

In a letter addressed to Senate President Cameron Henry and Secretary of the Senate Yolanda Dixon, Landry said the bill was “not necessary” and criticized its language as “overly broad.” He pointed instead to the Louisiana Gaming Control Board as the appropriate authority to address illegal gambling activity, noting that the agency is already taking “active steps” in that direction. As an example, Landry referenced a cease-and-desist order recently issued to offshore gaming platform Bovada.

 

The Developments in Lousiana

The veto halts legislation that was widely expected to become law. SB 181 passed the Senate 39-0 on April 29 and later cleared the House 99-0 on June 3. The bill, authored by Sen. Adam Bass (R-Bossier City), targeted illegal online gambling by criminalizing a broad spectrum of participation. It would have made it unlawful for operators, licensees, suppliers, platform providers, and even media affiliates to support the operation or promotion of unauthorized online sweepstakes games within Louisiana.

The proposed penalties were unusually strict. Violators would have faced fines ranging from $10,000 to $100,000 and potential prison sentences of up to five years. Compared to similar measures enacted in other states, Louisiana's bill was considered one of the more aggressive legislative efforts to clamp down on the gray market sweepstakes casino model.

Landry’s decision introduces uncertainty into the state’s approach to online gambling enforcement. While some lawmakers view the Gaming Control Board as capable of addressing illegal gaming through regulatory means, others had pushed for a legislative solution to create clearer criminal penalties. The veto has effectively reset that effort, at least for now.

To override the governor’s decision, lawmakers would need to secure a two-thirds majority in both chambers — 70 votes in the House and 26 in the Senate. A veto session is automatically scheduled to begin on the 40th day after the legislature adjourns, unless a majority of either chamber votes to cancel it. Given the bill’s unanimous support, an override is mathematically possible, though political willingness remains uncertain.

 

This legislation is not necessary. The Louisiana Gaming Control Board is already taking active steps to combat illegal gambling in our state, and the language of this bill is overly broad.

 

The Future

Landry, who took office in January, has aligned his administration closely with enforcement agencies rather than new statutory approaches in several policy areas. His veto of SB 181 continues that trend, signaling trust in existing regulatory bodies and reluctance to add criminal statutes where executive action is already underway.

Still, the lack of dissent during the bill’s legislative journey suggests that many lawmakers saw a need for a stronger legal framework. Whether they will act on that view during a veto session remains to be seen.