Professional Documents
Culture Documents
OF CHANCE
Presented by the
Pennsylvania State Police
Bureau of Liquor Control Enforcement
1
OVERVIEW
Gambling
Definition
Legal vs. Illegal Gambling
Licensed Premises
Small Games of Chance Act
Origin and Purpose
Permitted Games
Use of Proceeds
Prize Limits
2
OVERVIEW
(CONTINUED)
3
GAMBLING
4
GAMBLING
5
GAMBLING
THE PENNSYLVANIA COURTS HAVE
DETERMINED THAT GAMBLING CONSISTS
OF THREE BASIC ELEMENTS:
(PLCB V. PPC CIRCUS BAR, INC.)
CONSIDERATIO + + REWARD
N CHANCE =
6
GAMBLIN
ELEMENTS OF GAMBLING
A look at each of the three elements
individually:
Consideration
Chance
Reward
7
CONSIDERATION
COST TO BEGIN PLAY OR EVENT
BET
WAGER
EXAMPLES
BLOCK PURCHASE IN POOL
BUY-IN IN POKER TOURNAMENT
PURCHASE OF PULL TAB
MONEY IN SLOT MACHINE
8
CHANCE
EVENT OUTCOME BASES WHOLLY OR
PREDOMINANTLY ON CHANCE
LITTLE OR NO SKILL
EXAMPLES
ROLL OF DICE OR TURN OF CARD
RESULT OF RACE OR SPORTING EVENT
SKILL MOST ARGUED DEFENSE
TO BE CONSIDERED A SKILL, A PERSON WOULD HAVE
TO BE ABLE TO MASTER THE GAME
DARTS, BILLIARDS, ETC.
PLAYING POKER MAY INVOLVE SOME SKILL OR
KNOWLEDGE, HOWEVER THE CARDS ARE STILL DEALT
RANDOMLY
9
REWARD
RETURN TO PLAYER FOR WINNING
EVENT
MAY BE CASH, MERCHANDISE, SERVICE
OR ANYTHING OF VALUE
IF VALUE OF PRIZE IS LESS THAN OR
EQUAL TO THE CONSIDERATION
THEN THE CONTEST IS NOT
GAMBLING
E.G. DUCK POND GAME
10
Legal vs. Illegal Gambling
Currently, the authorized and only legal
forms of gambling in Pennsylvania are:
Gambling activities conducted pursuant to the
Horse Racing Industry Reform Act.
Pennsylvania Lottery
Bingo conducted pursuant to the Bingo Law
Gambling activities conducted pursuant to the
Local Option Small Games of Chance Act
Gambling activities conducted pursuant to the
Pennsylvania Race Horse Development and
Gaming Act (slots).
11
Legal vs. Illegal Gambling
(continued)
12
COMMON ILLEGAL GAMBLING
ACTIVITIES
Texas Holdem Tournaments
Night at the Races
50/50 Drawings
Casino Nights
Pools football, basketball, NASCAR, etc.
Various dice games
Chuck-a-luck Wheel
Video Gambling Devices - video poker or slots
NONE OF THESE ACTIVITIES ARE AUTHORIZED
BY THE SMALL GAMES OF CHANCE ACT
13
GAMBLING ON LICENSED
PREMISES
Generally, the five forms of gambling
previous described are permitted on
licensed premises with the proper
license or authority.
State Lottery, Horse Racing, Bingo, SGOC
& Slots
However, these are the only forms of
gambling (legal or illegal) permitted on
a licensed premises.
14
GAMBLING ON LICENSED
PREMISES
(continued)
16
ORIGIN AND PURPOSE
17
LEGISLATIVE INTENT
312. Legislative intent
19
OPERATION OF GAMES
Only licensed eligible organizations or
auxiliary group managers, officers, directors,
bar personnel or bona fide members of the
licensed eligible organization may conduct
games of chance.
A person may not be compensated
conducting games of chance.
No person under the age of 18 may operate
or participate in S.G.O.C.
No one visibly intoxicated may purchase or
sell a chance.
20
OPERATION OF GAMES
(CONTINUED)
Manage S.G.O.C.
Set-up S.G.O.C.
Supervise S.G.O.C.
Participate in the operation of S.G.O.C.
21
USE OF PROCEEDS
The proceeds from the operation of
small games of chance may be used
only for two purposes:
purchase of small games of chance.
public interest purposes.
25
APPROPRIATE USE OF
PROCEEDS
Support of youth programs e.g. sports,
youth centers, etc.
Donations to food pantries
Community projects
Donation to certain charitable or non-profit
organizations
Purchase of fire and rescue equipment
Required building repairs and maintenance.
If structure is used for Public Interest Purposes.
26
PRIZE LIMITS
General Prize limits All games of
chance EXCEPT weekly drawings:
$500 for single chance.
$5,000 total for operating week.
27
PRIZE LIMITS
(CONTINUED)
29
DAILY DRAWINGS
Term includes Sign-in Drawings and Half-and
Half Drawings.
Requirements:
Chances may only be purchased by bona fide
members.
May only be sold on the licensed premises.
No more than $1 per chance.
No more than one chance per member.
One drawing per operating day.
No requirement that person be present.
May not reduce prize if winner is not present .(901.784)
May not be conducted during a week in which a
30 weekly drawing is conducted.
DAILY DRAWINGS
(CONTINUED)
EXCEPTIONS:
Prize may exceed the $500 per chance limit if a
portion of the prize is a carryover of a
drawing with no winner.
Not applicable if no drawing is held or if
chances are sold for more than $1.
32
DAILY DRAWINGS
(CONTINUED)
34
WEEKLY DRAWINGS
(CONTINUED)
EXCEPTION
Prize may exceed the $5,000 per week limit if a portion of
the prize is a carryover of a drawing with no winner.
Not applicable if no drawing is held or if chances are sold
for more than $1.
A weekly drawing may also exceed the $5,000 prize limit if
it is set up to pay out 100% of the revenues generated.
In this case, the prizes are not added when calculating the
organizations weekly prize total.
35
PUNCHBOARDS
A Punchboard must comply with the
following:
Must be purchased from licensed distributor.
Minimum 60% payout.
Winning punchboard plays should be perforated
or punched when redeemed.
Prize for individual punch may not exceed $500.
Flare provided by manufacturer must be unaltered
and on display.
Substitute flare may be displayed if it meets all
requirements.
36
PULL-TABS
A pull-tab deal must comply with the
following:
Must be purchased from licensed distributor.
Minimum 65% payout.
Prize for individual pull-tab may not exceed $500.
Flare provided by manufacturer must be unaltered
and on display.
Substitute flare may be displayed if it meets all
requirements.
No more than 4,000 pull-tabs per deal.
Only one flare displayed per deal.
Winners and prizes must be predetermined by the
manufacturer.
37
PULL-TABS
(CONTINUED)
38
RAFFLES
Two types:
Regular Raffle
Prizes counted towards $5,000 weekly limit
Limited to $5,000 per month in prizes.
Special Permit Raffle
Licensed organizations may apply for two per year.
Three for fire, ambulance and rescue organizations.
May award a total of $100,000 in prizes per year total.
Prizes do not count towards weekly prize limits.
39
RAFFLES
(CONTINUED)
Tickets (cont)
Must list the cost of the ticket and the available prizes.
There must be a winner in a raffle.
Drawing must be conducted in plain view of
players present.
Use of state lottery number is permissible.
Only when tickets sales equal the total possible
numbers.
E.g. 1000 tickets must be sold to utilize the daily number.
Winners need not be present.
Tickets do not have to be purchased from
licensed distributors.
41
LICENSED PREMISES AND
LOCATION OF GAMES
GENERAL RULE
42
LICENSED PREMISES AND
LOCATION OF GAMES
(CONTINUED)
43
LICENSED PREMISES AND
LOCATION OF GAMES
(CONTINUED)
EXCEPTIONS
Raffle tickets may be sold in any
municipality that has approved a small
games of chance referendum.
EXCEPTIONS: (CONTINUED)
Annual Carnivals, Fairs, Picnics or
Banquets
Upon notice to the District Attorney and
licensing authority of the county in which
licensed, an organization may conduct SGOC
off its licensed premises when such games are
part of an annual Carnival, Fair, Picnic or
Banquet held by the organization on a historic
basis.
46
RECORD KEEPING
47
REQUIRED RECORDS
GENERAL REQUIREMENTS
48
REQUIRED RECORDS
(CONTINUED)
50
REQUIRED RECORDS
(CONTINUED)
52
REQUIRED RECORDS
(CONTINUED)
53
ENFORCEMENT
54
ENFORCEMENT
District Attorneys and other law enforcement
officials investigate criminal violations of the
Act.
The Act provides for criminal penalties and
SGOC permit suspensions for violations.
BLCE handles most violations
administratively.
Egregious or continued violations may result in
criminal charges against individuals and/or the
eligible organization.
55
ENFORCEMENT
(CONTINUED)
ACCESS TO RECORDS
The Liquor Code gives BLCE officers access to
the business records of all establishments
licensed by the PLCB.
Records must be maintained on site.
May be reviewed without a warrant.
These include all small games of chance records.
The SGOC Act permits the District Attorney or an
authorized representative to review the records of
licensed organizations, distributors and
manufacturers without a warrant.
56
ENFORCEMENT
(CONTINUED)
58
PENALTIES
Eligible organizations
An eligible organization violating the act is
guilty of a summary offense, and shall pay a
fine of up to $1000 and:
1st offense forfeit its license for remainder of the
license term or six months, whichever is longer.
2nd or subsequent offense - forfeit its license for
the remainder of the license term and be ineligible
to be licensed for the following license term
3rd or subsequent offense, forfeit its license and
be ineligible for a license renewal for 30 months
thereafter.
59
PENALTIES
Individuals
A person who conducts, or who assists in
the conduct of games of chance in violation
of the act is guilty of:
1st offense - a summary
2nd offense - a misdemeanor of the third degree
3rd offense - a misdemeanor of the first degree
60
PENALTIES
Rigging games or accepting
contingency fees on the operation of
games in a Misdemeanor of the First
Degree.
61
QUESTIONS?
62