Authority to withhold prizes

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  • (a) If a licensee has reason to believe that the result of an approved Internet game or approved Internet gambling has been affected by an illegal activity or malfunction of equipment, the licensee may withhold a prize in the approved Internet game or approved Internet gambling.

  • (b) If a licensee withholds a prize pursuant to this section, the licensee shall:

    • (1) immediately inform the Commission and the player of the circumstances of the incident; and

    • (2) not conduct a further approved Internet game or approved Internet gambling if a recurrence of the illegality or malfunction is likely.

  • (c) After investigating the incident, the Commission may, by notice in writing to the licensee and the player:

    • (1) direct the licensee to pay the prize; or

    • (2) confirm the licensee's decision to withhold the prize, but direct the licensee to refund amounts wagered in the approved Internet game or approved Internet gambling.

  • (d) The licensee shall comply with the directive of the Commission pursuant to subsection (c) of this section.


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