LitigationLawsuit filed
Florida AG sues Stake, VGW and payment firms over sweepstakes casinos
Attorney General James Uthmeier filed two lawsuits in Hillsborough County alleging that Stake.us and VGW's sweepstakes sites are illegal gambling, naming payment processors and Stake's co-founders as defendants.
- Plaintiff
- Florida Attorney General
- Court
- Hillsborough County Circuit Court
- Operators
- Stake (Stake.us); VGW (Chumba, LuckyLand, Global Poker)
- Payment firms
- Worldpay, Trustly, Praxis, Breeze Labs
- Claims
- Florida gambling law; Deceptive and Unfair Trade Practices Act
Florida Attorney General James Uthmeier filed two civil suits on Aug. 19 accusing the operators of Stake.us and of VGW's Chumba Casino, LuckyLand and Global Poker of running illegal online casinos in the state. Both complaints were filed in Hillsborough County Circuit Court.
The cases reach beyond the operators. Payment processors Worldpay, Trustly, Praxis and Breeze Labs are accused of facilitating sweepstakes transactions, and Stake co-founders Ed Craven and Bijan Tehrani are named individually over their alleged control of the company's marketing and expansion, Casino.org reported.
The state calls the dual-currency structure a legal fiction, arguing that the Stake Cash or Sweeps Coins included with Gold Coin purchases can be converted into cash, gift cards or crypto after only a little play. The complaints also point to celebrity and influencer promotions built around big wins. Uthmeier said operators use the sweepstakes label "as if that's some sort of talismanic cure-all."
Florida is asking the court for permanent injunctions barring the companies from operating or soliciting in the state, forfeiture and recovery of money Floridians lost, disgorgement, restitution, civil penalties under the Florida Deceptive and Unfair Trade Practices Act, and attorneys' fees.
Florida has no statute that names the dual-currency model, so the cases will test how far existing gambling law reaches. They followed a similar suit against VGW filed by Kentucky's attorney general in June.
What it means for players
- No court order bars Stake.us or VGW sites in Florida yet; the cases are at an early stage.
- If the state wins injunctions, Florida access to the named sites could end.
- Keep records of purchases and redemptions in case of restitution or sudden account closures.
Sources
This summary is for information only and isn't legal advice. Laws and operator policies change; check the primary sources above and each casino's current sweepstakes rules.