Michigan’s gambling regulator is taking aim at Churchill Downs Incorporated (CDI) for continuing to provide advance deposit wagering in the state.
The Michigan Gaming Control Board (MGCB) has issued a summary suspension order against CDI’s TwinSpires advance deposit wagering (ADW) business, requiring it to withdraw its service from the state, with those services now considered illegal.
Under the state’s Horse Racing Law of 1995, simulcast and ADW wagering must be tied to a live race meet and a licensed track, however, there are currently no active tracks in Michigan.
As a result, the MGCB ordered all ADW operators to withdraw their services from the state by the end of 2024, an order that all operators have complied with, except for TwinSpires.
“As of Jan. 1, 2025, all licensed third-party ADW facilitators were ordered to stop offering account wagering to Michigan residents because a necessary racetrack license for pari-mutuel wagering has not yet been secured under Michigan state law,” said the MGCB.
“TwinSpires’ continued violation of legal regulations prompted the MGCB to intervene and enforce compliance with the established laws governing simulcast racing by issuing the summary suspension order.”
The summary suspension order was issued on Thursday and will be followed by a virtual hearing before an Administrative Law Judge to determine whether the summary suspension should continue, or if other fines and penalties should be imposed.
The other ADW operators that have ceased serving the market are Xpressbet, NYRAbets, and TVG Network.
Shares in Churchill Downs Incorporated (NASDAQ:CDI) closed 1.71 per cent lower on the news at $126.86 per share in New York Friday.