Tennessee Lawmakers Pass Bill To Ban Sweepstakes Casinos, Governor to Decide Next

Tennessee lawmakers have approved SB 2136, a bill aimed at banning sweepstakes casinos and online casino style platforms that use virtual currency models. The measure now heads through formal enrollment before it reaches Gov. Bill Lee.

Good to Know

• SB 2136 passed both chambers after House and Senate members settled final language.
• The bill targets sweepstakes casino apps that use virtual or multi-currency systems.
• Gov. Bill Lee has 10 days to act once the measure reaches his desk.

Tennessee Restores Sweepstakes Casino Language In SB 2136

Tennessee could soon join the growing list of states banning sweepstakes casinos. Lawmakers approved a revised version of SB 2136 on Thursday after a joint House and Senate committee settled earlier disagreements over the wording.

The bill focuses on online applications that look and play like casino gambling platforms. It covers apps available through mobile devices where users can play with virtual currencies, including credits received for free that later may be redeemed for cash or prizes.

The Senate passed an earlier version in March without opposition. The House later changed the bill by removing direct references to sweepstakes casinos and leaning more toward broad gambling enforcement. Senators rejected that version, so both chambers sent members into a committee to create one final draft.

The approved bill brought back the original sweepstakes gaming language. It also places violations under the Tennessee Consumer Protection Act of 1977, giving authorities another path to pursue operators and promoters.

Under SB 2136, running or promoting covered sweepstakes casino platforms would become a felony. Regulators and prosecutors could also seek civil penalties alongside gambling charges. Once enacted, the law would take effect immediately.

Gov. Bill Lee now gets the next decision. If he takes no action within 10 days after receiving the bill, SB 2136 becomes law without his signature.

The post Tennessee Lawmakers Pass Bill To Ban Sweepstakes Casinos, Governor to Decide Next appeared first on iGaming.org.