Delaware Orders VGW Luckyland to Halt Operations

The Delaware Division of Gaming Enforcement conducted an investigation and found that the company was offering slot-style online games under the guise of a sweepsngakes platformImage Source: Shutterstock.com

Delaware State regulatorshave ngaken action to stop VGW Luckyland Inc.from operating in Delawareafter they discovered illegal online gambling activity.

VGW Luckyland Banned in Delaware for Running Illegal Slot Games

The Delaware Division of Gaming Enforcement (DGE)led an investigation that revealed the company — a US branch of Australian-based VGW Holdings Ltd. — was running online slot-style games while claiming to be a sweepsngakes platform. These games seemed to offer promotional fun, but players could buy virtual coins to play and win real money, which violates several state laws.

The DGE found that VGW Luckyland’s business modelbroke the Delaware Constitution, the state’s penal code, and the Delaware Gaming Competitiveness Actof 2012. This led to a cease-and-desist order, which bannedall Delaware residents from accessing the platform starting April 2.

State officials emphasized that the enforcement action aims to protect residents from the risks of unregulated gambling. The DGEworking with the Delaware State Lottery, pointed out that unlicensed sites lack consumer safeguards and expose users to cyber threats like identity theft, data breaches, and unauthorized money transfers.

Law enforcementpointed out that unlawful gambling sites often copy the look of approved casino web pages using similar titles, layouts, and URLs to trick players. This sneaky tactic makes it hard for users to spot the difference between legal and illegal operators.

States Ramp Up Efforts Against Illegal Gaming, Highlighting Risks and Lost Tax Dollars

Besides the dangers to consumers, the state highlighted lost tax moneyas another effect of unlawful gaming. Cash that should back public services through regulated gambling channels ends up in the pockets of these unauthorized platforms instead.

The DGEstressed that just because you can download an app or visit a website, it does not mean it is legal. Officials urged residents to check gaming platforms on the Delaware Lottery’s official pageto make sure they follow state law.

In a similar move that shows a wider crackdown, Maryland’s Lottery and Gaming Control Agencytold VGW to stop all operations on March 12, 2025. The order made the company shut down its sweepsngakes business in the state. State officials found that VGW’s platforms, including Chumba Casinoand LuckyLand Slots, were running as gambling sites without licenses under Maryland law. The state pointed out that only sports betting and fantasy contests can run online, while sweepsngakes games are not allowed. 

Delaware and Maryland’s decisionsfit into a bigger picture as more US states crack down on unregulated gaming to protect players from companies that try to get around standard gambling rules.