Playgon Halts Las Vegas Gambling Shows To Comply With NGCB Order

Posted on: July 28, 2024, 09:01h. 

Last updated on: July 28, 2024, 09:01h.

Ed Silverstein @casinoorgedsilv Read More
Expertise: Legal, Tribal Gaming.

Playgon Games stopped producing live gambling programs on Friday after the Nevada Gaming Control Board (NGCB) issued an order to curtail the content which originated at the company’s Las Vegas studio.

Playgon Games
Vegas Lounge is one of the programs from Playgon Games. The company halted Las Vegas programs after a NGCB cease-and-desist order. (Image: Playgon)

The Canadian-based company was told the allegedly illegal programs had to stop by Friday afternoon, according to a July 18 NGCB letter.

The company announced on Friday it would cease the shows immediately and it’s begun looking for another location from which to hold its programs.

It continues to insist it complied with relevant Nevada laws.

We are deeply disappointed by the NGCB’s sudden decision, particularly given our history of operation and compliance in Nevada,” Darcy Krogh, CEO of Playgon Games Inc., said in a statement.

“The limited time frame provided by the NGCB has left us with no viable option to contest the order or seek a resolution without total disruption to our business for an extended period so we are forced to pursue other options for a studio location.”

Complied With Law

Krogh also pointed out that Playgon, before starting the programs, undertook “a thorough legal review conducted by a leading specialist in Nevada gaming law.”

The comprehensive legal opinion assured us that our business model was in full compliance with Nevada state laws,” according to the company statement. “It is important to emphasize that our business is exclusively outside the US and does not target Nevada or any U.S. state operators or players. The expert legal counsel advised that we were operating in a manner that did not fall under the state’s gaming jurisdiction.”

Since receiving the cease-and-desist order from the NGCB, Playgon hired additional attorneys who specialize in gambling law. “While our legal advisors maintain that our operations were within the bounds of the law, they have advised that challenging the NGCB’s authority would be complex and unlikely to succeed in a timely manner,” the statement added.

The NGCB sent Playgon, and an affiliate, Bitrate Productions, the cease-and-desist order as part of the July 18 letter, the agency revealed on Thursday. If the company ignored the order, it could have faced legal consequences.

Dealers didn’t have appropriate Nevada licenses, the NGCB claims. The NGCB called the programming a “criminal violation” of the Nevada Gaming Control Act.

Bitrate would need a license from the Nevada Gaming Commission (NGC) to legally produce and broadcast the gambling shows, the NGCB explained.

Bitrate used live dealers in Las Vegas to deal games such as baccarat and roulette, and then send the content to online casinos globally, the NGCB said in a statement.

Wants To Resume Programs Soon

Playgon is “actively exploring all available options to ensure minimal disruption to our services. This includes accelerating our plans to expand our studio operations to other jurisdictions where we can maintain our quality of service and compliance standards,” the statement said.

“We are committed to resuming operations as soon as possible, ensuring that our clients continue to receive the high-quality service they expect from Playgon,” the statement added.

The company also revealed its revenues will be hurt by stopping the programs. The NGCB order will also impact 79 local Playgon employees and their families, according to Playgon.

Playgon is a Vancouver-based Software as a Service tech company. It develops and licenses digital iGaming content.

Its platform includes live dealer casino, e-table games, and daily fantasy sports. Online casinos, sportsbook operators, land-based operators, media groups, and database companies are among its customers.