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Internet Sweepstakes Cafe Agrees To Punitive Fines

Internet sweepstakes cafe software designer VS2 Worldwide Communications has announced that it has struck a deal with Ohio prosecutors and will pay a series of fines to settle the case.

The deal will see the group who designs software to run the cafes fined heavily, paying out more than $625,000 in fines. Those fines include $10,000 related to charges of money laundering and gambling in the Buckeye State. Additionally, the judge overseeing the case demanded that VS2 pay more than $615,000. The owners of the New Jersey software group were also charged with misdemeanors and fined $1,000 each.

Internet sweepstakes cafes allow players to gamble through computers in a way that is similar to online gambling, but keeps the entire operation on site, as the games are hosted by a server located within the premises. The cafes often skirted gambling laws in the various states they operated in, as there were not many states who covered sweepstakes betting cafes in their laws.

Of course, this has since changed with states like Ohio outlawing the act and seeing the owners prosecuted.