MGCB Released a Warning for Gamblers About Illegal Betting Platforms

Warning About Unlicensed Platforms Online Betting

MGCB Warns Bettors About Risks of Unlicensed Platforms

By Blake Roberts Founder & Editor in Chief Updated: 22 December 2021

Blake Roberts Founder & Editor in Chief

Blake Roberts is the founder of Betting.US and is currently heading the creative team as Editor in Chief. Born and raised in Morgantown, West Virginia, Blake is a great sports fan, with football and basketball being his favorite. He’s our trusted voice for all betting-related matters.

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Following a range of complaints relating to the non-payment of winnings by bettors, the Michigan Gaming Control Board has issued a warning to sports fans about using unlicensed and illegal betting platforms. A statement was recently released by the executive director of the MGCB, Henry Williams, who said that fans needed to be more careful and mindful of the risks involved.

This came after the board received a number of complaints from people who said that they were having difficulties being paid their winnings. In addition, some said that they were struggling to get back funds that they had deposited in their accounts with betting sites that were unlicensed in the state of Michigan.

An Ongoing Problem in Many States

The issue with illegal betting platforms has become a big problem in many states over recent years.

In some places where sports betting has been legalized, it has become less of an issue but there are still people who do use unlicensed, unregulated, and illegal platforms to place their bets. This then means that they have no protection and could even put their personal data at risk.

According to Williams, some unregulated platforms could take the personal information provided by bettors and then sell it on the black market for criminal use. For instance, this type of information could be used to obtain loans, file taxes fraudulently, obtain healthcare, and much more. It could lead to identity theft and huge issues if the information falls into the wrong hands. Williams said:

If you share personal information with an unregulated gambling site, there are no guarantees your information won’t be sold to or used by criminals. Identity theft is the most common complaint received by the Federal Trade Commission.

On top of the risk of identity theft is the fact that bettors do not have any protection in place when it comes to their finances. This is why many people are raising complaints due to non-payment of winning and difficulties in getting their deposited funds back.

The fact that they are using an unregulated or unlicensed platform means that they do not have the same legal protection in place as they would with a betting platform that is licensed and regulated.

In his statement, Williams said that despite the number of complaints from those affected by these issues, there was nothing that the MGCB could do. He said that they did not have the power to pursue complaints against betting sites that were not regulated and licensed in Michigan, and this meant that consumers were left in a very difficult position.

Identity Theft Flagged as a Big Issue

Identify theft has been flagged as a huge problem in Michigan and in other states around the country. In 2020, around 24,000 cases of ID theft were reported in the state according to Williams.

The risk of falling victim to this sort of crime is heightened when using unregulated platforms such as illegal betting sites, and this could lead to huge problems for those involved.