New York Attorney General Letitia James announced an $8 million settlement with VGW, the operator of Chumba Casino, Global Poker, and LuckyLand Slots.
The state had accused the Australian company of illegally offering dangerous and damaging online casino gambling to its residents.
The settlement covers disgorgement, restitution, penalties, and costs stemming from VGW’s use of the “dual-coin” sweepstakes casino model.
Online gambling, including the sweepstakes form, is associated with high risks of suicide.
The Attorney General did not disclose how much money VGW took from New Yorkers or what monetary relief the state might have sought had the case gone to court.
Harmful Sweepstakes Model
VGW users could purchase packages containing virtual “gold coins” alongside “sweeps coins.” Players could then gamble the sweeps coins on slots, blackjack, roulette, craps, and other casino games before redeeming them for cash or gift cards.
Although VGW characterized the sweeps coins as free, the Attorney General’s investigation found that players generally received roughly one redeemable coin for every dollar spent. There was also no limit on how frequently users could purchase coin packages.
Some New Yorkers lost tens of thousands of dollars gambling on VGW’s platforms, according to James’ office.
“Online sweepstakes casinos like Chumba Casino, Global Poker, and Luckyland Slots posed a dangerous threat to New Yorkers and their financial and mental health,” James said.
Long History in New York
VGW had operated Chumba Casino in New York since 2012, followed by Global Poker in 2016, and LuckyLand Slots in 2018.
The Attorney General warned VGW in April 2025 that its sweepstakes gambling was illegal. The company stopped offering sweepstakes coins to New Yorkers in June 2025.
New York later enacted a statutory ban on dual-currency sweepstakes casinos in December 2025.
Under the agreement, VGW neither admitted nor denied the Attorney General’s findings.
It must also allow certain former New York customers who were not previously notified about the shutdown to request redemption of eligible sweepstakes coins for one year.
