Current through Register Vol. 41, No. 3, September 23, 2024
A. In addition to
any other permissible enforcement action, the director may impose sanctions on
a permit holder, licensee, or registrant.
B. Permissible sanctions against a permit
holder include:
1. Suspension or revocation
of the permit; and
2. A monetary
penalty of up to $1,000 per day per violation.
C. Permissible sanctions against a licensee
or registrant include suspension or revocation of the license or
registration.
D. The director may
impose sanctions on a permit holder, licensee, or registrant for violations
committed by its principals, suppliers, vendors, or employees.
E. The director may impose a sanction for any
violation of the sports betting law or this chapter or other chapters in this
title related to sports betting, including:
1.
Any basis for the denial of a permit, license, or registration under
11VAC5-70-110;
2. Knowingly making
a false statement of material fact to the director;
3. Having been suspended or denied from
operating a gambling game, gaming device, gaming or sports betting operation or
having had a license revoked by any governmental authority responsible for the
regulation of gaming activities in any jurisdiction;
4. Having been convicted of or pled guilty to
a felony or misdemeanor in any jurisdiction that could affect the suitability
of the permit holder, licensee, or registrant, as determined by the
director;
5. Having been convicted
of or pled guilty to a gambling-related, theft, embezzlement, or fraud offense;
6. Having been arrested, charged,
indicted, convicted, or received notice of civil or criminal investigation or
threat of prosecution for illegal or offshore sports betting activities that
serviced the United States or otherwise accepted wagers in violation of state
or federal law from individuals located inside the United States;
7. Failure to fully and timely submit a tax,
fee, or penalty as required by the board, the Commonwealth of Virginia or any
applicable subdivision;
8. Failure
to submit a report as required to the director;
9. Failure to participate in an investigation
as required by the director;
10.
Failure to maintain reserves, insurance, or bond as required by the
director;
11. Failure to adhere to
the internal control standards approved by the director;
12. Knowing, or grossly negligent, failure to
prevent prohibited conduct from occurring within a sports betting platform; or
13. Any other activity or failure
to act that the director determines requires the imposition of a sanction in
order to maintain the integrity of the sports betting program and the interests
of the Commonwealth of Virginia.
F. The procedure for imposing a sanction
shall parallel the procedure established in 11VAC5-70-110 for the denial of a
permit, license, or registration, including judicial review of the board's
final action on the imposition of a sanction.
G. In addition to the requirements set out in
subdivision F of this section, a permit holder shall be afforded at least 15
days' notice and a hearing before the board prior to the imposition of a
sanction.
H. If the director
determines that it is in the best interests of the Commonwealth of Virginia,
the director may negotiate and reach an agreed-upon settlement of a violation
with a permit holder, licensee, or registrant, and the sanctions imposed in
that settlement shall not be subject to appeal.
Statutory Authority: §§
58.1-4007,
58.1-4015.1,
and
58.1-4030 through
58.1-4047
of the Code of Virginia.
