SGLA Challenges Illinois Gaming Board Over Cease-and-Desist Orders

The Social Gaming Leadership Alliance (SGLA) has publicly responded to cease-and-desist orders issued by the Illinois Gaming Board (IGB) regarding multiple gaming operators in the state. The IGB accused these parties of conducting illegal activities that jeopardize bettors, as they lack the necessary licenses to operate in Illinois. In a statement released shortly after the IGB’s warning, SGLA Managing Director Sean Ostrow directly challenged the regulator’s claims.

On February 5, 2026, the Illinois Gaming Board announced it had sent over 60 cease-and-desist letters to various operators, citing their involvement in “illegal online casino and/or online sweepstakes gaming platforms in Illinois.” In his rebuttal, Ostrow emphasized the responsible practices implemented by SGLA operators, which include stringent age verification and safeguards designed to protect consumers.

Clarifying Misunderstandings in Gaming Terminology

Ostrow stated that the IGB’s labeling of certain operators as illegal was misguided. He highlighted that the board’s enforcement actions improperly grouped responsible operators of “Social Plus” games alongside illegal offshore gambling sites. According to Ostrow, this reflects a significant misunderstanding of the social gaming industry.

“The inclusion of legitimate Social Plus games operators in the same context as illegal gambling sites indicates a fundamental misunderstanding by the Illinois Gaming Board of our industry and the consumer protections our partners provide,” Ostrow remarked. This assertion responds to the IGB’s categorization of several high-profile companies, including Stake and VGW, in their enforcement communications.

Opportunities for Collaboration

Despite the tension, Ostrow expressed openness to a collaborative approach with the IGB. He indicated that SGLA is willing to work together with Illinois regulators, the Attorney General, and lawmakers to foster a clearer understanding of social gaming.

“SGLA would welcome the opportunity to work constructively with Illinois regulators to ensure our industry continues to provide legal, safe entertainment for adults while maintaining the highest standards of consumer protection,” Ostrow concluded.

As the landscape of online gaming evolves, the outcome of this dialogue remains uncertain. Other states, including New York, Virginia, and Tennessee, have begun exploring similar sweepstakes options outside traditional betting frameworks in 2026.

The developments in Illinois highlight the ongoing complexities in the regulation of online gaming and the differing interpretations of legality among various states. As both sides navigate this challenging landscape, the focus on consumer safety and industry standards will be paramount.