A judge ruled Friday that slot machines that have operated for years in bars, restaurants, and convenience stores in Missouri are illegal under state law, the Missouri Independent reported Monday.
In October, a federal jury ordered Torch Electronics, a gaming operator, to pay $500,000 to a competitor which successfully sued, alleging Torch had driven business away by claiming Torch machines were not gambling devices and therefore lawful.
Judge Ross wrote that based on that verdict, Torch machines meet the statutory definition of gambling devices and are illegal when played outside a licensed casino.
Attorney General Catherine Hanaway has started to file lawsuits against retail shops alleging they were operating illegal gambling machines on their premises.
The Missouri House is considering legislation that would replace current Missouri Lottery games with a state-run video lottery system. Companies profiting from unregulated convenience store slot machines would have one year to pull their games off the market. The Missouri Lottery would have authority to license video games for installation in retail locations across the state. Such licensed machines would have to pay out at least 80% of the money wagered as prizes, and one third of the profits to state education programs. There would be a 3% tax to aid local governments.
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