May 18, 1999, Introduced by Reps. Koetje, Bishop, Gosselin, Hart, Patterson, Rick Johnson, Birkholz, Pappageorge, Voorhees, Garcia, Law, Richner, Tabor and Toy and referred to the Committee on Gaming and Casino Oversight.
A bill to amend 1931 PA 328, entitled
"The Michigan penal code,"
(MCL 750.1 to 750.568) by adding section 315b.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
SEC. 315B. (1) AS USED IN THIS SECTION:
(A) "BET" OR "WAGER" MEANS TO DIRECTLY OR INDIRECTLY TAKE, RECEIVE, OR ACCEPT MONEY OR ANY VALUABLE THING WITH THE UNDERSTANDING OR AGREEMENT THAT THE MONEY OR VALUABLE THING WILL BE PAID OR DELIVERED TO A PERSON IF THE PAYMENT OR DELIVERY IS CONTINGENT UPON THE RESULT OF A RACE, CONTEST, OR GAME OR UPON THE HAPPENING OF AN EVENT NOT KNOWN TO BE CERTAIN. BET OR WAGER DOES NOT INCLUDE THE PURCHASE, SALE, OR TRADE OF SECURITIES OR COMMODITIES UNDER STATE OR FEDERAL LAW.
(B) "GAMBLING BUSINESS" MEANS A BUSINESS THAT IS CONDUCTED AT A GAMBLING ESTABLISHMENT OR INVOLVES THE PLACING, RECEIVING, OR MAKING OF BETS OR WAGERS OR OFFERS TO ENGAGE IN THE PLACING, RECEIVING, OR MAKING OF BETS OR WAGERS.
(C) "INTERNET" MEANS THE INTERNATIONAL COMPUTER NETWORK OF BOTH FEDERAL AND NONFEDERAL INTEROPERABLE PACKET SWITCHED DATA NETWORKS.
(D) "INTERACTIVE COMPUTER SERVICE" MEANS A SERVICE, SYSTEM, OR NETWORK OR ACCESS SOFTWARE PROVIDER THAT USES PUBLIC COMMUNICATION INFRASTRUCTURE OR OPERATES TO PROVIDE OR ENABLE COMPUTER ACCESS BY MULTIPLE USERS TO A COMPUTER SERVER, INCLUDING, BUT NOT LIMITED TO, A SERVICE OR SYSTEM THAT PROVIDES ACCESS TO THE INTERNET.
(E) "PERSON" MEANS AN INDIVIDUAL, ASSOCIATION, PARTNERSHIP, JOINT VENTURE, CORPORATION, OR A DIRECTOR, EXECUTIVE, OR OFFICER OF AN ASSOCIATION, PARTNERSHIP, JOINT VENTURE, OR CORPORATION, A POLITICAL SUBDIVISION OF THIS STATE, OR A DEPARTMENT, AGENCY, OR INSTRUMENTALITY OF THIS STATE, OR ANY OTHER GOVERNMENT, ORGANIZATION, OR ENTITY, INCLUDING, BUT NOT LIMITED TO, AN INDIAN TRIBE.
(F) "STATE" MEANS THIS STATE, INCLUDING, BUT NOT LIMITED TO, A TERRITORY, POSSESSION, COUNTY, AND LAND OWNED, OCCUPIED, OR HELD IN TRUST FOR AN INDIAN TRIBE, WHETHER OR NOT FEDERALLY RECOGNIZED AS AN INDIAN TRIBE.
(2) EXCEPT AS OTHERWISE PROVIDED IN SUBSECTION (10), A PERSON ENGAGED IN A GAMBLING BUSINESS SHALL NOT USE THE INTERNET OR AN INTERACTIVE COMPUTER SERVICE TO BET OR WAGER.
(3) EXCEPT AS PROVIDED IN SUBSECTION (10), A PERSON SHALL NOT ESTABLISH A LOCATION OR SITE IN THIS STATE FROM WHICH TO CONDUCT A GAMBLING BUSINESS ON OR OVER THE INTERNET OR AN INTERACTIVE COMPUTER SERVICE.
(4) A VIOLATION OF THIS SECTION OCCURS IF THE VIOLATION ORIGINATES OR TERMINATES, OR BOTH, IN THIS STATE. EACH INDIVIDUAL BET OR WAGER OFFERED IN VIOLATION OF SUBSECTION (2) OR FROM A LOCATION OR SITE THAT VIOLATES SUBSECTION (3) CONSTITUTES A SEPARATE VIOLATION.
(5) A PERSON WHO VIOLATES THIS SECTION IS GUILTY OF A FELONY PUNISHABLE AS FOLLOWS:
(A) FOR A FIRST OFFENSE, BY IMPRISONMENT FOR NOT MORE THAN 2 YEARS OR A FINE OF NOT MORE THAN $5,000.00, OR BOTH.
(B) FOR A SECOND OR SUBSEQUENT OFFENSE, BY IMPRISONMENT FOR NOT MORE THAN 5 YEARS OR A FINE OF NOT MORE THAN $25,000.00, OR BOTH.
(6) THE ATTORNEY GENERAL OR THE PROSECUTING ATTORNEY FOR THE COUNTY IN WHICH A VIOLATION UNDER THIS SECTION OCCURRED MAY PROSECUTE VIOLATIONS OF THIS SECTION.
(7)THE ATTORNEY GENERAL MAY NOTIFY A GAMBLING BUSINESS THAT ITS WEB SITE IS ILLEGAL IN THIS STATE AND LIST THE PENALTIES FOR VIOLATING THIS SECTION.
(8) THE ATTORNEY GENERAL OR PROSECUTING ATTORNEY MAY SEEK, AND THE COURT MAY ENTER, A PRELIMINARY RESTRAINING ORDER ENJOINING A PERSON FROM TRANSMITTING BETS OR WAGERS OR INFORMATION TO ASSIST IN THE PLACING OF BETS OR WAGERS AS A CONDITION OF BOND PENDING TRIAL OR OTHER DISPOSITION OF THE CASE.
(9) IF THE PERSON IS FOUND GUILTY OR PLEADS GUILTY TO A CHARGE BROUGHT UNDER THIS SECTION, THE ATTORNEY GENERAL OR PROSECUTING ATTORNEY MAY SEEK, AND THE COURT MAY ENTER, A PERMANENT INJUNCTION AGAINST THE PERSON OR GAMBLING BUSINESS ENJOINING THE PERSON OR GAMBLING BUSINESS FROM TRANSMITTING BETS OR WAGERS OR INFORMATION TO ASSIST IN THE PLACING OF BETS OR WAGERS.
(10) THIS SECTION DOES NOT APPLY TO ANY OF THE FOLLOWING:
(A) THE BUREAU OF STATE LOTTERY AND ITS AGENTS AND LICENSEES, WHO ARE ENGAGED IN CONDUCT IN FURTHERANCE OF ACTIVITY EXPRESSLY AUTHORIZED, LICENSED, AND REGULATED UNDER THE MCCAULEY-TRAXLER-LAW-BOWMAN-MCNEELY LOTTERY ACT, 1972 PA 239, MCL 432.1 TO 432.47, INCLUDING, BUT NOT LIMITED TO, THE LAWFUL SALE OF A LOTTERY TICKET PLACED, RECEIVED, OR MADE INTERSTATE FOR A MULTISTATE LOTTERY OPERATED JOINTLY BETWEEN 2 OR MORE STATES WHERE A MULTISTATE LOTTERY IS EXPRESSLY AUTHORIZED, LICENSED, AND REGULATED UNDER STATE LAW.
(B) A LICENSEE UNDER THE HORSE RACING LAW OF 1995, 1995 PA 279, MCL 431.301 TO 431.336, WHO IS ENGAGED IN CONDUCT IN FURTHERANCE OF ACTIVITY EXPRESSLY AUTHORIZED, LICENSED, AND REGULATED UNDER THE HORSE RACING LAW OF 1995, 1995 PA 279, MCL 431.301 TO 431.336.
(C) A LICENSEE UNDER THE MICHIGAN GAMING CONTROL AND REVENUE ACT, THE INITIATED LAW OF 1996, MCL 432.201 TO 432.226, WHO IS ENGAGED IN CONDUCT IN FURTHERANCE OF ACTIVITY EXPRESSLY AUTHORIZED, LICENSED, AND REGULATED UNDER THE MICHIGAN GAMING CONTROL AND REVENUE ACT, THE INITIATED LAW OF 1996, MCL 432.201 TO 432.226.
(D) A LICENSEE UNDER THE TRAXLER-MCCAULEY-LAW-BOWMAN BINGO ACT, 1972 PA 382, MCL 432.101 TO 432.120, WHO IS ENGAGED IN CONDUCT IN FURTHERANCE OF ACTIVITY EXPRESSLY AUTHORIZED, LICENSED, AND REGULATED UNDER THE TRAXLER-MCCAULEY-LAW-BOWMAN BINGO ACT, 1972 PA 382, MCL 432.101 TO 432.120.