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Understanding Canadian Gambling Laws

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Published by:

Mike Chelbet

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Reviewed by:

Alistair Vigier

Last Modified: 2024-06-02

Canadian gambling laws can take some time. Gambling is prevalent in Canada — a booming $11 billion industry. However, beginners may have difficulty understanding their country’s gambling laws.

Although more relaxed compared to other countries, some aspects of the gambling law in Canada can be confusing. With this thought in mind, we’ll be helping you understand the rules and regulations in every Canadian province.

Yes, it is. Since 1985, Canadian provinces have had the right to regulate casinos within their territories. As such, multiple forms of gambling are legal in the country.

With the rise of online casinos, the situation became more complicated.

Online casinos are a grey area in Canadian gambling law. While not illegal, the law requires them to be owned by provincial governments.

These licences are scarce, forcing players to opt for off-shore casinos. Most of those casinos are licensed by other gambling commissions, so they are safe.

Canada Gambling Commissions

Canada has two central gambling commissions that are responsible for issuing online gambling licences. Look at them below and learn what is required to become licensed by these entities.

Until recently, the Kahnawake Gambling Commission was Canada’s only regulatory body for online gambling. They’re responsible for issuing licences for every web-based casino in the country.

Operating out of a Mohawk territory in Quebec, this gambling commission also regulates three land-based casinos in the province.

To receive a Kahnawake licence, online casinos must feature the best software providers in the industry, include a detailed “About Us” section, and use clear, concise terms.

On top of that, they need to employ encryption technologies such as 128-bit SSL.

iGaming Ontario

Recently, the government of Ontario announced its plans to issue gambling licences. Through iGaming Ontario, the province aims to provide a safe gambling market to players.

Casinos must be registered with iGO before they can start offering their services on April 4, 2022. To begin operations, casinos must comply with the commission’s terms.

Other lesser-known gaming authorities exist, such as the Liquor and Gaming Authority of Manitoba and the British Columbia Lottery Corporation.

Gambling in Canadian Provinces

Since each of the 10 Canadian provinces is self-governing, gambling activities are regulated differently nationwide. Here are the significant differences in every Canadian province.

Ontario

Ontario is the most populated Canadian province, and as such, it has a wide variety of casinos and gambling halls.

The province has 25 land-based casinos, racetracks, sports-based lottery centres, both online and offline, national lotteries, and other types of gambling.

Quebec Gambling Laws

Quebec was one of the first provinces to move towards legal gambling.

Here, you’ll find nine brick-and-mortar casinos, a horse racetrack, several lotteries, offshore and Quebec-based online casinos and an online/offline legal sportsbook called Mise-O-Jeu.

Nova Scotia

Despite its small size, the inhabitants of Nova Scotia are huge gambling fans. Gambling activities are legal for residents from the age of 19.

The province has two land-based casinos, three racetracks, and a state-owned sportsbook.

While no online casinos are licensed here, gamblers can opt for thousands of offshore casinos without issues.

New Brunswick

New Brunswick doesn’t have many gambling options. The province only has a government-owned casino, a state-regulated sportsbook called Pro-Line, and several lotteries.

When it comes to online casinos, the people of New Brunswick must resort to offshore casinos.

Canadian Gambling Laws – Manitoba

Gambling in Manitoba is overseen by a special commission – Manitoba’s Liquor and Gaming Authority. This authority regulates a gambling site and two land-based casinos.

There is still a horse racetrack, several lotteries and a legal sportsbook. Players may only bet a maximum amount of CAD 250 in the latter.

British Columbia

In British Columbia, players have many options, including 15 casinos, a legal bookmaker, a horse track, and a state-based lottery. There’s also a legal gambling site that’s been online since 2004, one of the first in the nation.

Prince Edward Island

Despite being the smallest province in the North American nation, PEI has allowed gambling since 1976. The province features the Pro-Line sportsbook for players 19 or older, a lottery, two horse tracks and one casino.

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Newfoundland

Land-based casinos, except tribal ones, aren’t legal in Newfoundland. Still, the province regulates many forms of gambling, including a lottery, horse racing and the Pro-Line betting service.

Their laws mean gambling fans must resort to offshore casinos. Although unregulated, playing at offshore casinos isn’t illegal.

Canadian Gambling Laws – Saskatchewan

Saskatchewan residents are the biggest gamblers in Canada per capita. The province has eight casinos, six of which are considered tribal.

There’s also a lottery, three horse racetracks, and a special sportsbook called Sports Select.

Alberta

Over 3% of the government’s revenue comes from gambling. With three horse tracks, 25 land-based casinos and several lotteries, Alberta residents have access to any form of gambling.

The province also has the Sports Select sportsbook and is pretty lax regarding online casinos.

Illegal Gambling In Canada Legal Cases

Illegal gambling has been a severe issue in several countries, including Canada. Despite the stringent measures in place to curb illegal gambling, it remains a recurring issue. This narrative has been repeatedly reflected in numerous high-profile legal cases that garnered media attention.

The “Platinum Sports Book” saga is one of the most publicized cases. Platinum Sports Book was an illegal online sports gambling operation. Dramatic events, including the notorious Super Bowl party bust in 2013, led to its uncovering.

It was considered one of North America’s most extensive illegal sports bookmaking operations. The ring leaders, Paul Carbone and Bill Miller set up an elaborate operation that extended its network across borders.

They made millions off unsuspecting gamblers. However, in 2013, during a massive Super Bowl party organized by Platinum Sports Book, Canadian police swooped in, leading to multiple arrests.

The ring leaders were each sentenced to substantial prison terms. This case threw a spotlight on the dark underbelly of illegal online sports gambling in Canada and created a sense of urgency for regulatory reforms.

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Canadian Gambling Laws

Another significant case that caught the public’s attention was the infamous E-Pirate investigation. The E-Pirate case revolved around an illegal money laundering operation linked to illegal gambling, among other illicit activities.

At the center of this controversy was the Richmond-based company Silver International. Under the guise of a legitimate financial services company, Silver International facilitated large-scale money laundering tied to organized crime syndicates.

Police alleged that Paul Jin, the man behind Silver International, managed an extensive illegal gambling operation. This operation allegedly involved hundreds of millions of dollars. This case was significant due to its scale, connections to organized crime, and potential national security risks.

Illegal gambling operations in Canada

Although a series of unfortunate errors led to the collapse of the prosecution, this case remains an important example of the gravity of illegal gambling operations in Canada.

The Canadian media was enthralled by the Casino Rama case in 2019. Unlike previous cases involving clandestine operations, this one revolved around a legal and well-known casino.

Casino Rama was embroiled in a lawsuit after a massive data breach that leaked the personal information of thousands of its patrons. The breach was linked to an illegal offshore gambling website, where the stolen data was found.

This high-profile legal battle shed light on the complex interconnections between legal gambling establishments, illegal gambling sites, and cybercrime.

The “Project Sindacato” case in 2019 is worth mentioning. This case resulted in the arrest of nine individuals linked to the ‘Ndrangheta, an influential Italian organized crime syndicate, who were charged with illegal gambling and other crimes.

This operation was one of the largest mafia crackdowns in Canadian history. The members were accused of running online and offline illegal gambling operations that raked in millions of dollars. The case highlighted the scale of organized crime’s involvement in illegal gambling in Canada.

Canadian Gambling Laws Conclusion

Although there weren’t many laws regarding online gambling in Canada, the situation has started to change. Soon, players can enjoy online casinos without resorting to off-shore operators.

Until now, few online casinos in Canada have been regulated or owned by governments, meaning players have had to search for other options.

With the release of iGaming Ontario, we believe the province is taking a step in the right direction.

Please remember that while we can introduce you to the basics of Canadian gambling laws, only a specialized law firm can advise you.

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