11 Va. Admin. Code § 5-70-120

Current through Register Vol. 41, No. 8, December 2, 2024

Section 11VAC5-70-120 - Sanctions

A. In addition to any other permissible enforcement action, the director may impose sanctions on a permit holder, licensee, or registrant.

B. Permissible sanctions against a permit holder include:

1. Suspension or revocation of the permit; and

2. A monetary penalty of up to $1,000 per day per violation.

C. Permissible sanctions against a licensee or registrant include suspension or revocation of the license or registration.

D. The director may impose sanctions on a permit holder, licensee, or registrant for violations committed by its principals, suppliers, vendors, or employees.

E. The director may impose a sanction for any violation of the sports betting law or this chapter or other chapters in this title related to sports betting, including:

1. Any basis for the denial of a permit, license, or registration under 11VAC5-70-110;

2. Knowingly making a false statement of material fact to the director;

3. Having been suspended or denied from operating a gambling game, gaming device, gaming or sports betting operation or having had a license revoked by any governmental authority responsible for the regulation of gaming activities in any jurisdiction;

4. Having been convicted of or pled guilty to a felony or misdemeanor in any jurisdiction that could affect the suitability of the permit holder, licensee, or registrant, as determined by the director;

5. Having been convicted of or pled guilty to a gambling-related, theft, embezzlement, or fraud offense;

6. Having been arrested, charged, indicted, convicted, or received notice of civil or criminal investigation or threat of prosecution for illegal or offshore sports betting activities that serviced the United States or otherwise accepted wagers in violation of state or federal law from individuals located inside the United States;

7. Failure to fully and timely submit a tax, fee, or penalty as required by the board, the Commonwealth of Virginia or any applicable subdivision;

8. Failure to submit a report as required to the director;

9. Failure to participate in an investigation as required by the director;

10. Failure to maintain reserves, insurance, or bond as required by the director;

11. Failure to adhere to the internal control standards approved by the director;

12. Knowing, or grossly negligent, failure to prevent prohibited conduct from occurring within a sports betting platform; or

13. Any other activity or failure to act that the director determines requires the imposition of a sanction in order to maintain the integrity of the sports betting program and the interests of the Commonwealth of Virginia.

F. The procedure for imposing a sanction shall parallel the procedure established in 11VAC5-70-110 for the denial of a permit, license, or registration, including judicial review of the board's final action on the imposition of a sanction.

G. In addition to the requirements set out in subdivision F of this section, a permit holder shall be afforded at least 15 days' notice and a hearing before the board prior to the imposition of a sanction.

H. If the director determines that it is in the best interests of the Commonwealth of Virginia, the director may negotiate and reach an agreed-upon settlement of a violation with a permit holder, licensee, or registrant, and the sanctions imposed in that settlement shall not be subject to appeal.

11 Va. Admin. Code § 5-70-120

Derived from Virginia Register Volume 37, Issue 04, eff. 10/12/2020.

Statutory Authority: §§ 58.1-4007, 58.1-4015.1, and 58.1-4030 through 58.1-4047 of the Code of Virginia.