Baltimore Files Lawsuit Against VGW And Other Social Casino Operators

Baltimore officials have filed a lawsuit against several social casino companies, alleging the operators offer illegal online gambling to city residents. The legal complaint claims platforms using virtual currency systems allow players to wager purchased coins for real cash prizes without authorization under Maryland law.

Good to Know

• Baltimore lawsuit targets several social casino operators offering sweepstakes style games
• City claims dual currency systems allow users to convert purchased coins into real money prizes
• Officials seek civil penalties, consumer restitution, and recovery of alleged profits

Baltimore filed the complaint in partnership with law firm DiCello Levitt. The case accuses operators of violating Baltimore Consumer Protection Ordinance by presenting gambling products as legal sweepstakes casinos even though real money transactions occur within the platforms.

Defendants listed in the lawsuit include B2 Services, Blazesoft Ltd., High 5 Entertainment, Stake.us, VGW Holdings, and Yellow Social Interactive Limited.

Many of the companies operate outside the United States. City attorneys argue that platform access remained widely available to Baltimore residents even though no authorization exists to provide gambling services within Maryland.

Mayor Brandon M. Scott said:

“This lawsuit is about drawing a clear line: illegal gambling operations are not welcome in Baltimore.

“These companies are targeting our communities, including young people and minors, and profiting while ignoring the law. No company, especially those operating from overseas, gets to profit here while flouting our laws and endangering our residents.”

Lawsuits Focus On Dual Currency Casino Systems

City attorneys point to a dual currency model used by many social casino platforms. Players often receive free virtual coins for gameplay, yet additional credits can be purchased with real money.

Purchased credits can unlock sweepstakes style rewards that include real cash prizes. Legal filings argue that structure effectively replicates online casino gambling while being promoted as free social gaming.

Marketing materials cited in the complaint allegedly include video game style graphics and advertising campaigns across social media platforms. Officials claim those promotions appeal to younger audiences and may reach minors.

Baltimore seeks several remedies through the lawsuit. Requests include civil penalties, restitution for consumers who used the platforms, injunctive relief preventing further operation, and recovery of profits city attorneys believe were generated unlawfully.

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