Michigan Busts Alleged Illegal Gambling Operation

The Michigan Gaming Control Board announced a crackdown on an alleged illegal gambling operation.

State investigators in Michigan seized 36 machines, including computers used as slot-style gaming machines, freestanding slot-style gaming machines, table-mounted gaming machines, a coin pusher machine, and more than $23,000 in related cash on Feb. 16 from an alleged illegal gaming operation, Cozy Barcade, in Delta Township.

Following an investigation by the Michigan Department of Attorney General and Michigan Gaming Control Board, search warrants were served at the business with assistance from the Eaton County Sheriff’s Department and Lansing Police Department.

“Illegal gaming locations prey on vulnerable people and don’t offer the patron protections required for legal, regulated gaming,” said Henry Williams, Michigan Gaming Control Board executive director. “The MGCB will continue to work hard to protect Michigan communities from crime by eliminating illegal gambling. We appreciate the public’s help in identifying possible illegal gambling locations.”

“Illegal gambling diverts taxes and revenue from our communities which is otherwise used to support our state and schools,” said Michigan Attorney General Dana Nessel. “I am grateful for the work of the Michigan Gaming Control Board in putting a stop to these unlawful actions.”

The investigation began after the MGCB received several anonymous tips about the alleged illegal gambling location.

“We have received several complaints from residents in the area about this place,” said Captain Rob Block, Eaton County Office of the Sheriff. “These establishments breed other types of crimes such as robberies, assaults and drug activity.”

Alleged illegal gambling takes a bite out of regulated gambling in the Wolverine State. The three Detroit casinos reported $103.5 million in monthly aggregate revenue in January. Table games and slots generated $103.4 million in revenue, while retail sports betting produced $111,000.

During January, the three Detroit casinos paid $8.4 million in gaming taxes to the state of Michigan compared with $8 million for the same month last year. The three Detroit casinos reported submitting $16.3 million in wagering taxes and development agreement payments to the City of Detroit during January.