The Michigan Gaming Control Board (MGCB) has issued a cease-and-desist letter to Costa Rica-headquartered Ace23.
The regulator issued the order after finding that Ace23, which operates the Ace23.gg website, was offering unlicensed online sports betting and gaming in the Wolverine State.
An investigation by the MGCB found that the site enabled account holders, known as agents, to establish bookmaking operations using different designs and web pages.
The agents were then able to accept sports bets and make payouts to players, with Ace23 charging agents a weekly fee of $10 per active player.
The site also offers casino-style games but does not take money or make payouts itself, as those are handled by the agents.
The per-customer fees are charged through cryptocurrencies or approved retailer gift cards.
“The Michigan Gaming Control Board is committed to safeguarding the integrity of legal gaming in the state and protecting consumers from illicit offshore operations like Ace23,” said MGCB executive director Henry Williams.
“Our regulatory efforts are focused on promoting responsible gaming practices and upholding the laws that govern the industry. To that end, we ask all Michigan residents to stay informed and stay safe by reporting any suspected illegal gambling activities to the agency because we take every tip very seriously.”
Ace23 and parent company Ace Per Head have 14 days from the receipt of the letter to cease all gambling activity in the state.