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New regulations that take effect Sept. 1 for charitable gaming events that raise funds for nonprofits are on hold, for now, after a Michigan judge signed a restraining order this week against the Michigan Gaming Control Board.Ingham County Circuit Judge Clinton Canady signed a temporary restraining order against the Control Board and its executive director , Rick Kalm, to block a set of licensing and regulation updates issued on July 29.The new regulations, among other things, roll back the curfew on charitable gaming events from 2 a.m. to midnight, forbid dealers and other game operators from accepting game chips as tips, and limit the number of chips in play on a single game to $15,000.Nineteen nonprofits brought a lawsuit against the Control Board and Kalm challenging the regulations, claiming the updates violate state law and mean millions in lost revenue for charitable organizations. Canady scheduled a  hearing Sept. 5 to consider a possible preliminary or permanent injunction.The Gaming Control Board took over the issuance of “Millionaire Party Licenses” from the Bureau of State Lottery last October. That board has issued just 2,612 such licenses between Jan. 1 and June 24, compared with 8,573 for the same period in 2012 under the lottery bureau. That’s a decline of about 69 percent, according to data the control board released to the association last month in response to a Freedom of Information Act request.“When things like this are implemented without either the (state) Administrative Procedures Act or the Michigan Constitution being honored, that’s a problem,“said Stephanie Van Koevering, owner of SVK Communications in DeWitt and spokesman for the Michigan Charitable Gaming Association. „This is supposed to push the pause button on the process by which this occurred.” Van Koevering said that decline is a result of tighter regulations the board has already enforced against charities, which may be motivated in part by the competition they create for Detroit’s three for-profit casinos and tribal casinos.Kalm could not be immediately reached Friday for comment about the Canady order.State investigations since early 2012 have led to suspension of charity licenses to host games at locations that are either breaking the law or have fallen out of compliance with current regulations, namely a moratorium imposed two years ago on new millionaire party locations and licensed suppliers or game operators.One new regulation that took immediate effect last month called for any computer utilized for maintaining records at millionaire party events to have no remote access capability or contain any remote access software. Canady’s order does not specifically address that rule, but the order applies to all of the July 29 updates, so presumably it is suspended until the hearing.“Unlike philanthropy, where organizations approach mainly the wealthy to make donations, charitable gaming also engages people from all walks of life. They’re just out having a good time, and giving their support,” Van Koevering said. “And that’s a benefit to the state as well, because it reduces the number of illegal gaming events that are otherwise hosted within homes.” Related LinksHouse bill would reverse recent changes to charitable gaming rulesJudge lifts restraining order against gaming board hermes birkin replica , letting charity poker rules take effect

Judge puts new regulations for charitable gaming on hold, for now

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