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ARTICLE
9-A LOCAL
OPTION FOR CONDUCT OF GAMES
OF CHANCE BY CERTAIN ORGANIZATIONS Section: § 185.
Short title; purpose of
article. This article shall be known and
may be cited as the games of chance licensing law.
The legislature
hereby declares that the raising of funds for the promotion of bona fide
charitable, educational, scientific, health,
religious and patriotic causes
and undertakings, where the beneficiaries are undetermined, is in
the public interest. It hereby finds that, as conducted prior
to the
enactment of
this article,
games of
chance were
the subject
of exploitation
by professional gamblers, promoters,
and commercial
interests. It
is hereby
declared to be the policy of the legislature
that all phases of the supervision, licensing and regulation of games of chance and of the
conduct of
games of
chance, should
be closely
controlled and
that the laws and regulations pertaining thereto should
be strictly construed and rigidly enforced; that the conduct of the game
and all attendant activities should
be so
regulated and
adequate controls so
instituted as to discourage commercialization of gambling in all its forms,
including the rental of commercial premises for games of
chance, and to ensure a maximum availability of the
net proceeds
of games
of chance
exclusively for application
to the worthy causes and undertakings specified herein; that the only
justification for this
article is
to foster and support such worthy causes and undertakings,
and that the mandate of section
nine of
article one
of the state
constitution, as amended, should be carried out by rigid regulations to
prevent commercialized gambling, prevent participation by
criminal and
other undesirable
elements and prevent the diversion of funds from the
purposes herein authorized. § 186. Definitions. As used in this article, the following
terms shall have the following
meanings: 1.
"Municipality" shall
mean any city, town or
village within this state. 2.
"Board" shall mean New York state racing and wagering board. 3. "Games of chance" shall mean and include only the games known as "merchandise wheels", "coin boards", "merchandise boards", "seal cards", "raffles", and "bell jars" and such other specific games as may be authorized by the board, in which prizes are awarded on the basis of a designated winning number or numbers, color or colors, symbol or symbols determined by chance, but not including games commonly known as "bingo or lotto" which are controlled under article fourteen-H of this chapter and also not including "bookmaking", "policy or numbers games" and "lottery" as defined in section 225.00 of the penal law. No game of chance shall involve wagering of money by one player against another player. 3-a.
"Bell jars" shall mean
and include
those games
in which
a participant
shall draw
a card from a jar, vending machine, or other suitable device or container which contains numbers, colors
or symbols
that are
covered and
which, when uncovered, may
reveal that a prize shall be
awarded on the basis of a designated winning number,
color or
symbol or
combination of
numbers, colors or symbols. Bell jars shall
also include seal cards, coin boards, and merchandise boards. 3-b.
"Raffle" shall mean and include those games of chance in which
a participant
pays money
in return for a ticket or other receipt and in which a prize is awarded on the basis of a winning
number or
numbers, color
or colors,
or symbol
or symbols
designated on the ticket or receipt,
determined by chance as a result of a drawing from among
those tickets or receipts
previously sold. 3-c. "Coin board" and "merchandise board" shall mean a board used in conjunction with bell jar tickets which contains and displays various coins and/or merchandise as prizes. A player having a bell jar ticket with a number matching a pre-designated number reflected on the board for a prize wins that prize. 3-d.
"Seal cards"
shall mean a board or placard used in conjunction
with a deal of the same
serial number
which contains
one or more concealed
areas that,
when removed or opened,
reveal a predesignated winning
number, letter, or symbol located on the board or placard. 4.
"Authorized organization" shall mean
and include
any bona
fide religious or charitable
organization or bona fide educational, fraternal
or service
organization or
bona fide
organization of
veterans or volunteer
firemen, which by its charter, certificate
of incorporation,
constitution, or act of the
legislature, shall have among its dominant
purposes one or more of the lawful purposes as defined in this
article, provided
that each
shall operate
without profit to its members, and provided
that each such organization has engaged in serving one or
more of
the lawful purposes as defined in this article for a period of three
years immediatley prior to applying for a license under this article.
No organization shall be deemed an authorized organization which
is formed primarily for the
purpose of conducting games of chance and which
does not devote at least seventy-five percent of its activities to other than conducting
games of chance. No political party shall be deemed an
authorized organization. 5.
"Lawful purposes" shall mean one or more of the
following causes,
deeds or activities: (a)
Those which shall benefit needy or deserving persons indefinite in
number by
enhancing their
opportunity for
religious or educational advancement,
by relieving them from disease, suffering or
distress, or by
contributing to their
physical wellbeing,
by assisting them in establishing themselves in life as worthy and
useful citizens,
or by
increasing their
comprehension of and devotion to the principles upon which this
nation was
founded and
enhancing their loyalty to their governments.
(b) Those which shall initiate, perform or foster worthy public
works or
shall enable
or further
the erection
or maintenance of public
structures.
(c) Those which shall otherwise lessen the burdens borne by government
or which are voluntarily undertaken by
an authorized
organization to
augment or supplement services which government would normally render to
the people,
including, in the case of
volunteer firemen's activities, the purchase, erection or maintenance of a
building for
a firehouse, activities
open to the public for the enhancement of membership, and the
purchase of
equipment which can reasonably be expected to increase the
efficiency of response to fires, accidents, public calamities and
other emergencies.
d. Those
which shall
initiate, perform or foster the provisions of services to veterans by encouraging the gathering of such
veterans and
shall enable
or further the erection or
maintenance of facilities for use by such veterans which shall be used
primarily for
charitable or
patriotic purposes,
or those
purposes which shall be authorized by a
bona fide organization of veterans, provided however that such
proceeds are
disbursed pursuant
to section
one hundred
eighty-nine of this article.
6. "Net proceeds" shall mean (a) in relation
to the
gross receipts
from one
or more license
periods of games of chance, the amount that
shall remain
after deducting
the reasonable
sums necessarily
and actually
expended for supplies
and equipment, prizes, security-personnel,
stated rental if
any, bookkeeping
or accounting
services according
to a
schedule of
compensation prescribed by the board,
janitorial services and utility supplies if
any, license
fees, and
the cost
of bus
transportation, if
authorized by the clerk or department
and (b) in relation to
the gross
rent received
by an authorized games
of chance lessor for the use of its premises by a game of chance licensee, the amount that shall
remain after
deducting the
reasonable sums
necessarily and
actually expended
for janitorial
services and utility supplies directly attributable thereto if any.
7. "Net lease" shall mean a written agreement
between a
lessor and
lessee under
the terms
of which
the lessee
is entitled
to the
possession, use or occupancy of the whole or part of any
premises from
any non-commercial or non-profit authorized games of chance lessor for
which the lessee pays rent to the lessor and likewise undertakes to
pay substantially all of
the regularly recurring expenses incident to the
operation and maintenance of such leased premises.
8. "Authorized games of
chance lessor"
shall mean
an authorized
organization which
has been granted a lessor's license pursuant to the
provisions of this article or a municipality.
9. "Single type of game" shall mean
the games of
chance known
as merchandise
wheels, coin boards,
merchandise boards, raffles, and bell jars
and each other specific game of chance authorized by the board.
10. "Operation" shall mean the play of a single type of game of
chance necessary to determine the
outcome or winners each time wagers are made.
A single drawing of a winning ticket or other receipt in a raffle
shall be deemed one
operation.
11. "Single prize" shall mean the sum of money or fair market
value of merchandise
or coins
awarded to
a participant by a games of
chance licensee in any one
operation of a single type of game
of chance
in excess of his wager.
12. "Series
of prizes" shall mean
the total amount of single prizes minus
the total amount of wagers lost during the
successive operations
of a single type of game of chance, except that for merchandise
wheels and raffles, "series of
prizes" shall mean the sum of cash and the fair market
value of
merchandise awarded
as single
prizes during
the successive operations of
any single merchandise wheel or raffle. In
the game
of raffle, a series of
prizes may include a percentage of the sum
of cash received from the sale of raffle tickets.
13. "Authorized supplier of games of chance equipment" shall
mean any
person, firm,
partnership, corporation or organization licensed by the
board to sell or lease games of chance equipment or paraphernalia
which meets
the specifications
and regulations
established by the board. Nothing herein shall prevent an authorized organization from
purchasing common
articles, such as cards and
dice, from normal sources of supply of
such articles or from constructing equipment
and paraphernalia for games
of chance
for its
own use.
However, no
such equipment or paraphernalia, constructed or owned by an authorized
organization shall
be sold or leased to any
other authorized organization, without written
permission from the board.
14. "One occasion" shall mean the successive
operations of
any one
single type of game of
chance which results in the awarding of a series
of prizes amounting to five hundred
dollars or
four hundred
dollars during
any one
license period,
in accordance with the provisions of
subdivision eight of section one hundred eighty-nine of this article, as
the case may be. For
purposes of
the game
of chance
known as
a merchandise
wheel or a raffle, "one occasion" shall mean the successive operations of any one such merchandise wheel or
raffle for
which the
limit on
a series of prizes provided by subdivision six of section one
hundred eighty-nine of this article shall apply.
For purposes
of the game of
chance known
as a
bell jar, "one
occasion" shall mean the successive
operation of any one such bell jar, seal card, coin board, or
merchandise board which results in the awarding of a
series of
prizes amounting
to three
thousand dollars. For the
purposes of the game of chance
known as raffle "one occasion" shall mean a calendar year
during which successive
operations of such game are conducted.
15. "License
period" shall
mean a period of
time not to exceed fourteen consecutive hours and, for purposes of the game of
chance known as a bell jar and a
raffle, "license period" shall mean a period of time
running from January first to December thirty-first of each year.
16. "Clerk" shall mean the clerk of a municipality outside the
city of New York.
17. "Officer" shall mean the
chief law
enforcement officer
of a
municipality outside
the city
of New
York, or if such municipality exercises
the option set forth in subdivision two of section one hundred
ninety-four of this article, the chief law enforcement
officer of
the county.
18. "Department"
shall mean the New York City Department of Consumer
Affairs.
19. "Premises" shall mean a designated area within a
building, hall,
tent, or
grounds reasonably
identified for
the conduct of games of chance.
Nothing herein shall require such area to be enclosed.
20. "Games of chance currency" shall mean legal tender or
a form
of scrip
or chip authorized by the
board, any of which may be used at the discretion
of the games of chance licensee.
21. "Flare" shall mean a poster description
of the
bell jar
game, which shall include a
declaration of the number of winners and amount of
prizes in each
deal, the number of prizes
available in the deal, the number
of tickets in each deal which
contain the
stated prize;
the manufacturer's game form
number, and the serial number of the deal which
shall be
identical to
the serial number
imprinted on each ticket
contained in the deal. § 187.
Local option. Subject to the
provisions of this article, and pursuant
to the direction contained in subdivision two of
section nine
of article one of the
constitution of the state, the legislature hereby gives and grants to every municipality the right, power and
authority to authorize the conduct
of games of chance
by authorized
organizations within
the territorial limits
of such
municipality. A local law or ordinance
adopted by a town shall be operative in any village or
within any
part of any village located
within such town if, after adoption of such
local law or ordinance, the board
of trustees
of such
village adopts
a local
law or resolution subject to a permisive referendum as
provided in article nine of the village law authorizing the issuance
of licenses by the town for
games of chance within such village. Such local
law or resolution
may be
repealed only by a local law or resolution
which shall also be subject to a permissive referendum, or by
enactment of
a local
law authorizing games of chance as provided in section one
hundred eighty-eight of this article. § 188. Local laws and ordinances. 1. The common
council or other local legislative
body of
any municipality may,
either by
local law or ordinance,
provide that
it shall
be lawful
for any
authorized organization,
upon obtaining a license therefor as hereinafter provided,
to conduct games
of chance
within the
territorial limits of such
municipality, subject to the provisions of such local law or
ordinance, the
provisions of
this article,
and the provisions set forth by the
board. 2.
No such local law or ordinance shall become operative or
effective unless
and until
it shall
have been
approved by a majority of the electors
voting on a proposition submitted
at a
general or
special election
held within
such municipality who are
qualified to vote for officers of such
municipality. 3.
The time,
method and
manner of
submission, preparation
and provision
of ballots and ballot labels, balloting by voting machine and
conducting the election, canvassing the result and making and filing the
returns and all other procedure with reference to the submission of
and action
upon any
proposition for the approval of any such local law or
ordinance shall be the same as in the case of any other
proposition to
be submitted
to the
electors of
such municipality at a
general or special election in such
municipality, as provided by law. § 188-a.
Powers and
duties of the board. The
board shall have the power and it
shall be its duty to: 1.
Supervise the administration of the games of chance
licensing law
and to
adopt, amend
and repeal
rules and regulations governing the
issuance and amendment of licenses thereunder
and the
conducting of
games under
such licenses, which rules
and regulations shall have the force
and effect of law and shall be binding
upon all
municipalities issuing
licenses, and upon licensees of the board, to the end that such
licenses shall be issued to qualified
licensees only,
and that
said games shall be fairly
and properly conducted for the purposes and in the
manner of
the said
games of
chance licensing law prescribed and to
prevent the games of chance thereby
authorized to
be conducted
from being
conducted for
commercial purposes or
purposes other than those therein
authorized, participated in by criminal
or other
undesirable elements
and the
funds derived from the games being diverted from the
purposes authorized, and to provide uniformity in the administration
of said
law throughout
the state,
the board
shall prescribe forms of application
for licenses, licensees, amendment of licenses,
reports of
the conduct of games and other matters incident to the administration of
such law. 2.
Conduct, anywhere
in the
state, investigations
of the
administration, enforcement and potential or actual
violations of
the games
of chance
licensing law and of the rules and regulations of the
board. 3.
Reveiw all determinations and actions of the clerk or department in
issuing an initial license and it may review the issuance of
subsequent licenses
and, after hearing, revoke
those licenses which do not in all respects
meet the requirements
of this
article and
the rules
and regulations of the
board. 4.
Suspend or
revoke a license, after hearing, for any violation of
the provisions of this article or the
rules and
regulations of
the board. 5.
Hear appeals
from the
determinations and action of
the clerk, department or officer in
connection with the refusing to issue licenses, the suspension and revocation of licenses and the imposition
of fines in the manner prescribed
by law and the action and
determination of the
board upon
any such appeal shall be binding upon the clerk, department
or officer and all parties thereto. 6.
Carry on continuous study of the operation of the games
of chance
licensing law
to ascertain
from time
to time
defects therein
jeopardizing or threatening to jeopardize the purposes of this
article, and
to formulate and recommend changes in such law and in other laws of
the state which the
board may
determine to
be necessary
for the
realization of
such purposes, and to the same end to make a continuous
study of the operation and administration of similar laws which
may be
in effect in other states of the United States. 7.
Supervise the disposition of all funds derived from the conduct of
games of chance by authorized organizations not
currently licensed
to conduct such games. 8.
Issue an
identification number
to an applicant authorized
organization if it shall determine that
the applicant
satisfies the
requirements of
the games
of chance licensing law and
the rules and regulations of the
board. 9.
The board shall have the power to approve and establish a standard set
of games of chance equipment and shall by its rules and regulations
prescribe the manner in which such equipment is
to be reproduced and
distributed to licensed
authorized organizations. The
sale or
distribution to a licensed authorized
organization of
any equipment
other than
that contained
in the standard set
of games of chance equipment shall constitute a violation of this section. § 189.
Restrictions upon conduct of games of chance. The conduct of
games of chance authorized by local law or ordinance shall be subject to
the following restrictions irrespective of whether the restrictions
are contained
in such
local law or ordinance, but nothing herein shall be
construed to prevent the inclusion within such local law or ordinance of
other provisions imposing additional restrictions upon the conduct
of such games: 1.
No person,
firm, partnership, corporation or organization, other
than a licensee under the provisions of section one
hundred ninety-one
of this
article, shall
conduct such game or shall lease or otherwise make available
for conducting
games of
chance premises
for any
consideration whatsoever, direct or indirect. 2.
No game of chance shall be held, operated or conducted on or within
any leased premises if
rental under such lease is to be paid, wholly or
partly, on the basis of a percentage of
the receipts
or net
profits derived from the
operation of such game. 3.
No authorized
organization licensed under the provisions of this
article shall purchase, lease, or receive
any supplies
or equipment
specifically designed
or adapted
for use in the conduct of
games of chance from other than a
supplier licensed by the board or from another
authorized organization.
Lease terms and conditions shall be subject to
rules and regulations promulgated by the board. The provisions
of this
article shall
not be
construed to authorize or
permit an authorized organization
to engage in the business
of leasing
games of
chance, supplies, or
equipment. Furthermore, no organization shall purchase bell
jar tickets,
or deals
of bell
jar tickets from any other person or
organization other than those specifically authorized under sections one
hundred ninety-five-n and one hundred ninety-five-o of this article. 4.
The entire net proceeds of any game of chance shall be
exclusively devoted
to the lawful purposes of the organization permitted to conduct
the same and the net proceeds of any rental derived therefrom
shall be
exclusively devoted
to the lawful purposes of
the authorized games of chance
lessor. 5.
No single prize awarded by games of chance other than raffle shall exceed
the sum
or value of
three hundred dollars,
except that for merchandise wheels,
no single prize shall exceed the sum or value of two
hundred fifty dollars. No single prize awarded by
raffle shall
exceed the
sum or
value of fifty thousand dollars, except that an authorized
organization may award by raffle a single prize having a value of up
to and
including one
hundred thousand
dollars if its application for a license
filed pursuant to section one hundred ninety
of this
article includes
a statement of its intent to
award a prize having such value. No
single wager shall exceed six dollars and for bell jars, coin boards,
or merchandise boards, no single prize shall exceed five hundred dollars
provided, however, that such limitation shall not apply to the amount of
money or value paid by the participant in
a raffle
in return
for a ticket or
other receipt.
For coin boards and merchandise boards, the value
of a prize shall be determined by its
costs to
the authorized organization
or, if donated, its fair market value.
6.
No
authorized
organization
shall
award
a
series
of
prizes
consisting of cash or of merchandise with an aggregate value
in
excess
of
ten
thousand
dollars
during
the successive operations of any one
merchandise wheel, and three
thousand
dollars
during
the
successive
operations
of any bell jar, coin board, or merchandise board. No series
of prizes awarded by raffle shall have an aggregate value in
excess
of
one
hundred
thousand
dollars. For coin boards and merchandise boards,
the value of a prize shall be determined by its cost to
the
authorized organization or, if donated, its fair market value.
7. In
addition to merchandise wheels, raffles and bell jars, no more
than five other single types of games
of chance
shall be
conducted during any one
license period.
8. Except
for merchandise wheels and raffles, no series of prizes on
any one occasion shall aggregate more than four hundred dollars when the
licensed authorized organization conducts five single types of games
of chance
during any
one license period. Except
for merchandise wheels, raffles and bell jars, no series of prizes on
any one
occasion shall
aggregate more
than five hundred dollars
when the licensed authorized organization
conducts less than five single types of games
of chance,
exclusive of
merchandise wheels, raffles and bell jars, during any one
license period. No authorized organization shall award by raffle
prizes with an aggregate
value in excess of one hundred thousand dollars during
any one license period.
9. Except
for the limitations on the
sum or value for single prizes and
series of prizes, no limit shall be imposed on the sum or
value of
prizes awarded to any one participant during any occasion or any license
period.
10. No
person except
a bona fide member of the licensed authorized organization shall participate in the management
of such
games; no
person except
a bona
fide member
of the licensed authorized
organization, its auxiliary
or affiliated
organization, shall
participate in
the operation of such game, as set forth in section one
hundred ninety-five-c of this article.
11. No person shall receive any remuneration for participating in
the management or operation
of any such game.
12. No
authorized organization shall extend
credit to a person to participate
in playing a game of chance.
13. No game of chance shall be conducted on other than the premises of
an authorized organization or an authorized
games of
chance lessor.
Nothing herein
shall prohibit the sale of raffle tickets to the public
outside the premises of an authorized
organization or an
authorized games
of chance lessor; or in
municipalities which have passed a local law,
ordinance or resolution in accordance with
sections one
hundred eighty-seven and one hundred eighty-eight of this article approving the
conduct of games of chance that are located in the county in
which the
municipality issuing
the license is located and
in the counties which are contiguous to the county
in which
the municipality
issuing the
raffle license is located, provided those municipalities have authorized
the licensee,
in writing,
to sell
such raffle tickets therein
and provided, however, that no sale
of raffle tickets shall be made
more than
one hundred
eighty days
prior to
the date scheduled for the occasion
at which the raffle will be conducted. The winner of any single
prize in a raffle shall not be required to be present at the
time such
raffle is conducted.
13-a. No person licensed to
manufacture, distribute, or sell games of chance
supplies or
equipment, or
their agents,
shall conduct,
participate in,
or assist in the
conduct of games of chance. Nothing herein
shall prohibit a licensed distributor from selling, offering for
sale, or
explaining a
product to
an authorized
organization or installing or
servicing games of chance equipment upon the
premises of
games of chance licensees.
14. The unauthorized conduct
of a game of chance shall constitute and be
punishable as a misdemeanor.
15. No coins or merchandise from a coin
board or merchandise
board shall
be redeemable or convertible
into cash directly or indirectly by the
authorized organization. § 189-a. Authorized supplier of games of chance equipment.
No person, firm,
partnership, corporation or organization, shall sell or distribute
supplies or
equipment specifically
designed or
adapted for use in
conduct of games of chance without
having first
obtained a
license therefor
upon written
application made,
verified and filed with the board
in the form prescribed by the rules and regulations of the
board. As
a part
of its determination concerning the applicant's suitability
for licensing as a games of chance supplier, the board shall require the
applicant to furnish to the board
two sets
of fingerprints.
Such fingerprints shall be
submitted to
the division of criminal justice services
for a state criminal
history record
check, as
defined in subdivision one
of section three thousand thirty-five of the education
law, and may be submitted to the federal bureau of investigation
for a national criminal
history record
check. Manufacturers of bell jar
tickets shall be considered suppliers of such equipment.
In each
such application
for a
license under this section shall be stated the name
and address of the applicant; the names and addresses of
its officers,
directors, shareholders
or partners;
the amount
of gross receipts
realized on the sale and rental
of games
of chance
supplies and
equipment to
duly licensed
authorized organizations
during the last preceding calendar
or fiscal year, and such other information
as shall
be prescribed
by such rules and
regulations. The fee for such license shall
be a sum equal to twenty-five dollars plus an amount equal to
two per
centum of
the gross sales and rentals, if any, of games of chance equipment and
supplies to authorized organizations or authorized games of
chance lessors by the
applicant during the preceding calendar year,
or fiscal year if the applicant maintains his accounts on a fiscal
year basis.
No license
granted pursuant to the
provisions of this section shall be effective for a period of more than one year. (a)
The following shall be ineligible for such a license: (1)
a person convicted of a crime who has not received
a pardon,
a certificate
of good
conduct or
a certificate
of relief
from disabilities; (2)
a person who is or has been a professional
gambler or
gambling promoter or who for
other reasons is not of good moral character; (3)
a public officer or employee; (4)
an authorized games of chance lessor; (5)
a firm
or corporation in which a
person defined in subdivision (1),
(2), (3)
or (4) above
has greater
than a
ten per
centum proprietary,
equitable or credit interest
or in which such a person is active
or employed. (b)
The board shall have power to examine or cause to be examined the books
and records
of any applicant for a license, under this section.
Any information so received shall not be disclosed except so far as
may be
necessary for
the purpose
of carrying out the provisions of this
article. (c)
Any solicitation of an organization licensed to conduct games of
chance, to
purchase or induce the purchase of games of chance supplies
and equipment, other than by a person licensed or
otherwise authorized
pursuant to this section shall constitute a violation of this section. (d)
Any person who willfully
shall make any material false statement in
any application for a license authorized to be issued
under this
section or
who willfully
shall violate any of the provisions of this
section or of any
license issued
hereunder shall
be guilty
of a misdemeanor and,
in addition
to the penalties in such
case made and provided, shall
forfeit any license issued to him or
it under
this section
and be ineligible to apply for a license under this section for
one year thereafter.
(e) At
the end of
such period
specified in
the license,
a recapitulation
shall be
made as between the licensee and the board in respect of the gross sales and rentals actually recorded
during that
period and
the fee
paid therefor, and any
deficiency of fee thereby shown to
be due
shall be paid by the
licensee and any excess of fee thereby
shown to have been paid shall be credited to
said licensee
in such manner as the board
by the rules and regulations shall prescribe. § 189-b. Declaration of state's exemption from operation of
provisions of 15 U.S.C.
(1172). Pursuant to section two of an Act of Congress of
the United States
entitled "An
act to
prohibit transportation of gambling
devices in interstate and
foreign commerce," approved January second,
nineteen hundred fifty-one, being chapter 1194, 64
Stat. 1134,
and also
designated as
15 U.S.C. (1171-1177), the state of New York,
acting by and through the duly elected
and qualified
members of
its legislature,
does hereby, in accordance with and in compliance with the
provisions of section two of said Act of Congress, declare and
proclaim that
it is
exempt from
the provisions of section two of said Act of
Congress. § 189-c.
Legal shipments of gaming
devices into New York state. All shipments
into this state of gaming devices, excluding slot machines and
coin operated gambling devices, as defined
in subdivision
seven-a of
section 225.00 of the penal law, the registering, recording and labeling
of which
has been
duly had by the manufacturer
or dealer thereof in accordance
with sections three and four of an Act of
Congress of
the United States
entitled "An act to
prohibit transportation of gambling devices
in interstate and foreign commerce," approved
January second,
nineteen hundred fifty-one,
being chapter 1194, 64 Stat. 1134, and also designated as 15 U.S.C. (1171-1177),
shall be
deemed legal
shipments thereof into this
state. § 190.
Application for
license. 1. To conduct games of chance. (a)
Each applicant for a license shall, after
obtaining an
identification number
from the
board, file
with the clerk or department, a written
application therefor in a form to be
prescribed by
the board,
duly executed and verified,
in which shall be stated: (1)
the name
and address of the applicant
together with sufficient facts
relating to its incorporation and
organization to enable
such clerk
or department, as the case may be, to determine whether or not it
is a bona fide authorized organization; (2)
the names and addresses of its
officers; the
place or
places where,
the date
or dates
and the
time or times when the applicant intends
to conduct games under the license applied for; (3)
the amount of rent to be paid or other consideration to
be given directly
or indirectly for each licensed period for use of the premises of
an authorized games of chance lessor; (4)
all other items of expense intended to be
incurred or
paid in
connection with
the holding, operating and conducting of such games of
chance and the names and addresses of
the persons
to whom,
and the
purposes for which, they are to be paid; (5)
the purposes to which the entire net proceeds of such games are to be devoted and in what manner; that no commission, salary,
compensation, reward or recompense
will be paid to any person for conducting such game
or games
or for assisting therein
except as in this article otherwise provided;
and such other information as shall
be prescribed
by such
rules and regulations. (6)
the name
of each single type of game
of chance to be conducted under the
license applied for and the number of merchandise
wheels and
raffles, if any, to be operated. (b)
In each application there
shall be designated not less than four bona
fide members of the applicant organization under whom the game
or games of chance will be
managed and to the application shall be appended
a statement executed
by the members so
designated, that they will be responsible for the management of such games in
accordance with
the terms
of the license, the
rules and regulations of the
board, this article and the
applicable local laws or ordinances. 2.
Authorized games of chance lessor: Each applicant for a license to lease
premises to a licensed organization for the purposes of conducting games of
chance therein
shall file
with the clerk or department, a written
application therefor in a form to be prescribed by
the board
duly executed
and verified, which shall set forth the name and address
of the applicant; designation and address of the premises intended to be
covered by the license sought; a statement that
the applicant
in all
respects conforms with the specifications contained in the definition of
"authorized organization" set forth in section one hundred
eighty-six of this
article; a
statement of
the lawful
purposes to which the net proceeds
from any rental are to be devoted by the applicant,
and such
other information as shall be prescribed by the board. 3.
In counties
outside the
city of New York,
municipalities may, pursuant to
section one hundred eighty-eight of this article,
adopt an
ordinance providing
that an authorized organization having obtained an
identification number from the board and having applied for no more than
one license to conduct games of chance during the period not
less than
twelve nor more than eighteen months immediately preceding may file with
the clerk or department a summary application in a form to be prescribed
by the board duly
executed and
verified, containing the
names and addresses of the
applicant organization and its officers, the date, time
and place or places where the applicant intends to conduct games under
the license
applied for, the purposes to which the entire net proceeds of such games
are to be
devoted and
the information
and statement
required by paragraph (b) of
subdivision one of this section in lieu of
the application required under subdivision one of this section.
4. Notwithstanding and in lieu of the licensing requirements set forth
in this article, an
authorized organization defined in subdivision four
of section one hundred eighty-six of this article may
file a verified statement,
for which
no fee
shall be
required, with the clerk or
department and the board attesting that such organization
shall derive
net proceeds
or net profits from raffles in an amount less than thirty
thousand dollars during one occasion or part thereof
at which
raffles are
to be conducted. Such
statement shall be on a
single page form prescribed by the
board and
shall be
deemed a
license to
conduct raffles:
(a) under
this article; and (b) within the municipalities in
which the authorized organization are
domiciled which
have passed
a local
law, ordinance
or resolution
in accordance with sections
one hundred eighty-seven
and one
hundred eighty-eight of this
article approving
the conduct
of games of chance, and in municipalities which
have passed a local law, ordinance or
resolution in
accordance with
sections one
hundred eighty-seven and one hundred eighty-eight of this
article approving the conduct of games of chance that are located in the
county in which the municipality issuing the license is located
and in
the counties which
are contiguous
to the
county in
which the
municipality issuing the raffle license is
located, provided
those municipalities have authorized
the licensee, in writing, to sell such
raffle tickets therein. An
organization that
has filed
a verified
statement with the clerk or department and the board attesting that such
organization shall derive net proceeds or net profits from raffles in an
amount less
than thirty
thousand dollars during one occasion or part
thereof that in fact derives net
proceeds or
net profits exceeding
thirty thousand dollars during any one occasion or part thereof shall be
required to
obtain a license as required
by this article and shall be subject
to the provisions of section one hundred ninety-five-f
of this
article. § 190-a.
Raffles; license
not required.
1. Notwithstanding
the licensing requirements
set forth
in this
article and
their filing
requirements set forth in subdivision four of section one hundred ninety
of this article, an authorized organization may conduct a raffle without
complying with such
licensing requirements or such filing requirements,
provided, that such organization shall derive net proceeds from raffles in
an amount less than five
thousand dollars during the conduct of one
raffle and shall derive net proceeds from raffles in an amount less than
twenty thousand dollars during one calendar year. 2.
(a) For the purposes of this
section, "authorized
organization" shall
mean and
include any
bona fide
religious or
charitable organization or
bona fide educational, fraternal or service organization
or bona fide organization of veterans or volunteer firefighter, which by
its charter, certificate of incorporation, constitution, or act
of the
legislature, shall
have among its dominant purposes one or more of the
lawful purposes as defined in this article,
provided that
each shall
operate without
profit to
its members,
and provided that each such organization
has engaged in serving one or more of the lawful
purposes as defined in this
article for a period of three years immediately prior
to being granted
the filing
requirement exemption
contained in
subdivision one of this section. (b)
No organization shall be deemed an authorized
organization which
is formed
primarily for the purpose of
conducting games of chance and which
does not devote at least seventy-five percent of its activities to
other than conducting games of chance.
No political
party shall
be deemed an authorized
organization. 3.
No person
under the age of eighteen
shall be permitted to play, operate
or assist in any raffle conducted pursuant to this section. 4.
No raffle shall be conducted pursuant to this section except within a municipality in which the authorized organization
is domiciled
that has
passed a
local law,
ordinance or resolution in
accordance with sections one
hundred eighty-seven and one hundred eighty-eight
of this
article approving the
conduct of games of chance, and in municipalities
which have passed a local law, ordinance or resolution
in accordance
with sections
one hundred eighty-seven and one hundred eighty-eight of
this article approving the conduct of games of chance that
are located
within the county or
contiguous to the county in which the organization
is domiciled. § 191.
Investigation; matters to be determined; issuance of license;
fees; duration of license. 1. The clerk
or department
shall make
an investigation
of the qualifications of each applicant and the merits of each application,
with due
expedition after
the filing
of the
application. (a)
Issuance of licenses to conduct games of chance. If such clerk or
department shall determine that the applicant is duly
qualified to
be licensed
to conduct games of chance under this article; that the member
or members of the applicant designated
in the application to
manage games
of chance
are bona fide active members of the applicant and are
persons of good moral character and
have never
been convicted
of a crime, or,
if convicted, have received a pardon, a certificate of good
conduct or a certificate of relief from disabilities;
that such
games are
to be conducted in
accordance with the provisions of this article
and in accordance with the rules
and regulations
of the
board and
applicable local laws or ordinances and that the proceeds thereof are to
be disposed
of as provided by
this article,
and if such clerk or department
is satisfied that no commission, salary, compensation, reward
or recompense whatever will be paid or given to any
person managing,
operating or
assisting therein
except as
in this article otherwise provided;
it shall issue a license to the applicant for the
conduct of
games of chance upon payment of a license fee of twenty-five dollars for
each license period. (b)
Issuance of
licenses to authorized games
of chance lessors. If such clerk or
department shall determine that the applicant
seeking to
lease premises
for the conduct of games of chance to a games of chance
licensee is duly qualified to be licensed under this article;
that the
applicant satisfies
the requirements for an authorized organization as
defined in section one hundred eighty-six
of this
article; that
the applicant
has filed its proposed rent
for each license period and that the
clerk or department has approved the
proposed rent
as fair
and reasonable; that the net
proceeds from any rental will be devoted to the
lawful purposes
of the
applicant; that there is no
diversion of the funds of the
proposed lessee from the lawful purposes as defined in this
article; and that such leasing of premises for the conduct of such games
is to be in accordance with the provisions of
this article, with
the rules
and regulations
of the board and
applicable local laws and
ordinances, it shall issue a license permitting the applicant
to lease
said premises
for the
conduct of
such games to the games of chance licensee
or licensees specified in the application
during the
period therein
specified or
such shorter period as such
clerk or department shall
determine, but not to exceed twelve license
periods during
a calendar
year, upon payment of a license fee of fifty dollars.
Nothing herein shall be
construed to require the applicant to be licensed
under this article to
conduct games of chance. (c)
Issuance of license upon
summary application. If, upon the basis of
a summary application as
prescribed under
subdivision three
of section
one hundred
ninety of
this article, the clerk or department
shall determine that the applicant is duly qualified to be
licensed to
conduct games
of chance
under this article, said clerk or department
shall forthwith issue said license. In the event the clerk or department
has reason to believe that
the applicant
is not
so qualified
the applicant
shall be
directed to
file an
application pursuant
to subdivision one of
section one hundred ninety of this article. 2.
On or before the thirtieth day of each month, the treasurer of the municipality
in which the licensed property is located shall transmit to the state
comptroller a
sum equal to fifty percent of all authorized
games of chance lessor license fees and the sum of fifteen
dollars per
license period
for the
conduct of games of chance
collected by such clerk or
department pursuant
to this
section during
the preceding
calendar month.
3. No
license shall
be issued
under this section which
shall be effective for a period of
more than one year. § 192.
Hearing; amendment
of license.
1. No application for the
issuance of a license to conduct games of chance or lease premises to an
authorized organization shall be denied
by the clerk or
department, until after a
hearing, held on due notice to the applicant, at which the
applicant shall be
entitled to be heard upon the qualifications of the
applicant and the merits of the application. 2.
Any license
issued under
this article
may be
amended, upon
application made
to such
clerk or department which issued it, if the subject matter of the proposed amendment
could lawfully
and properly
have been
included in
the original license and upon payment of such
additional license fee if any, as would have been payable if it had been
so included.
§ 193.
Form and
contents of
license; display of license. 1. Each
license to conduct games of chance shall be in such
form as
shall be
prescribed in
the rules and regulations
promulgated by the board, and shall
contain a statement of the name and address of
the licensee,
of the names and
addresses of the members of the licensee under whom the
games will be managed, of the place or places
where and
the date
or dates
and time or times when such
games are to be conducted and of the purposes
to which the entire net proceeds
of such
games are
to be devoted; the
name of each single type of game to be conducted under the
license and the number of merchandise wheels and raffles, if any, to
be operated;
and any other information which may be required by said rules and
regulations to be contained therein, and each license issued for the
conduct of any games shall be conspicuously displayed at the place where
same is to be conducted at all times during the conduct thereof. 2.
Each license to lease premises for conducting games of chance will be
in such form as shall be
prescribed in the rules and regulations of
the board and shall contain a statement of the name and address
of the
licensee and
the address of
the leased
premises, the
amount of
permissible rent and any information which may be required by said rules
and regulations to be contained therein, and each such license shall
be conspicuously displayed upon
such premises
at all times during the
conduct of games of chance. § 194.
Control and supervision; suspension of identification numbers
and licenses; inspection of premises.
1. The officer
or department,
shall have
and exercise
rigid control and close supervision over all games of chance conducted under such license, to the end that
the same are
fairly conducted in accordance with the provisions of such license,
the provisions of the rules and regulations promulgated by the
board, and
the provisions of this
article. Such officer or department and the
board shall have the power and the authority to temporarily suspend
any license
issued by
the clerk or
department and/or impose
fines for violations not to exceed
one thousand dollars. Temporary suspension
of licenses
shall be promptly followed
by a hearing, and after notice and hearing,
the clerk, department, or board may suspend or revoke the
same and
declare the violator ineligible to apply for a license for a period
not exceeding twelve months thereafter. Any fines tendered to the clerk,
department, or board shall not be paid
from funds
derived from
the conduct
of games of chance. The officer and the department or the board
shall additionally have the right of entry, by their respective officers
and agents, at all times into any premises where any game of
chance is
being conducted
or where
it is intended that any such
game shall be conducted, or where
any equipment being used or intended to be
used in
the conduct
thereof is found, for the
purpose of inspecting the same. Upon
suspension or revocation of any license or upon
declaration of
ineligibility to
apply for a license, the
board may suspend or revoke the
identification number issued
pursuant to
section one
hundred eighty-eight-a
of this article. An agent of
the appropriate officer or department
shall make an on site inspection during the
conduct of
all games of chance licensed
pursuant to this article. 2.
A municipality may, by local
law or ordinance enacted pursuant to the
provisions of section one hundred
eighty-eight of
this article,
provide that the powers and
duties set forth in subdivision one of this
section, shall be exercised by the chief law enforcement officer of the county.
In the
event a municipality
exercises this option the fees provided
for by subdivision two of section one hundred ninety-five-f
of this
article, shall
be remitted
to the chief fiscal officer
of the county. 3.
Service of alcoholic
beverages. Subject
to the
applicable provisions
of the
alcoholic beverage control law, beer may be offered
for sale during the conduct of games
of chance
on games
of chance
premises as such premises are defined in subdivision nineteen of section
one hundred eighty-six of
this article; provided, however, that nothing
herein shall be construed to limit the offering for sale
of any
other alcoholic
beverage in areas other than
the games of chance premises or the
sale of any other alcoholic beverage in
premises where
only the
games of chance known as bell jar or raffles are conducted. § 195.
Sunday; conduct of games on. Except as provided in section one
hundred ninety-five-b of this article,
no games
of chance
shall be
conducted under
any license issued under this article on the first day
of the week, commonly known and designated as Sunday, unless it shall be
otherwise provided in the license issued
for the conducting
thereof, pursuant
to the provisions of a local
law or an ordinance duly adopted by
the governing body of the municipality wherein the license is issued,
authorizing the conduct of games of chance under this
article on
that day
only between
the hours of noon and
midnight. Notwithstanding the foregoing
provisions of this
section no
games of
chance shall
be conducted on Easter
Sunday or Christmas Day. § 195-a.
Participation by persons under eighteen. No person under the
age of eighteen years shall be permitted to play any game
or games
of chance
conducted pursuant
to any
license issued under this article. Persons
under the age of eighteen years may be permitted to attend games
of chance at the discretion of the games of chance licensee.
No person
under the
age of eighteen years shall be permitted to operate any game
of chance conducted pursuant to any license issued under this article or to assist therein. § 195-b.
Frequency of
games. No game or games of
chance, shall be conducted under
any license issued under this article more
often than
twelve times in any calendar
year. No particular premises shall be used
for the conduct of games of chance on
more than
twenty-four license
periods during
any one
calendar year. Games shall
be conducted only between the hours
of noon and midnight on Monday, Tuesday, Wednesday and
Thursday, and only between the hours of noon on Friday
and two
A.M. Saturday,
and only
between the hours of noon on Saturday and two A.M.
Sunday. The two A.M. closing period shall also apply to a legal holiday.
The above restrictions shall not apply when only
the games
of chance
known as bell jar and/or raffle are conducted. § 195-c.
1. Persons
operating games;
equipment; expenses;
compensation. No person shall operate any
game of
chance under
any license
issued under
this article
except a bona fide member of
the authorized organization to
which the license is issued, or a bona
fide member
of an
organization or association which is an auxiliary to the
licensee or a bona fide member of an
organization or
association of
which such
licensee is
an auxiliary
or a
bona fide member of an
organization or association which is affiliated
with the
licensee by
being, with
it, auxiliary
to another
organization or association. Nothing
herein shall be construed to limit the number of games of chance
licensees for whom such persons may
operate games
of chance
nor to prevent non-members
from assisting the licensee
in any activity other than managing or operating games. No game of chance shall
be conducted
with any
equipment except
such as
shall be owned or leased by
the authorized organization so
licensed or
used without
payment of
any compensation therefor
by the licensee. However, in no event shall bell
jar tickets be transferred from one authorized organization to
another, with
or without payment of any
compensation thereof. The head or heads of
the authorized organization shall upon request certify,
under oath,
that the
persons operating any game of chance are bona fide members of
such authorized organization, auxiliary or affiliated organization. Upon
request by an officer or the department any such person involved in such
games of chance shall certify that he or she has no criminal record.
No items
of expense
shall be
incurred or
paid in connection with the conducting
of any game of chance pursuant to any license
issued under
this article
except those
that are
reasonable and are
necessarily expended for games of
chance supplies and equipment,
prizes, security
personnel, stated
rental if
any, bookkeeping or
accounting services according to
a schedule
of compensation
prescribed by
the board, janitorial
services and utility
supplies if any, and license fees, and the
cost of
bus transportation,
if authorized
by such
clerk or
department. No
commission, salary,
compensation, reward or recompense shall
be paid or given to any person for the sale or assisting with
the sale of raffle tickets. 2.
For the purpose of the sale of tickets for the game of raffle, the
term "operate" shall not include the sale of such tickets by
persons of
lineal or
collateral consanguinity
to members
of an authorized
organization licensed to conduct a raffle. § 195-d.
Charge for
admission and participation; amount of prizes;
award of prizes. A fee may be charged by any licensee for
admission to
any game
or games
of chance conducted under any license issued under
this article. The clerk or department
may in its discretion
fix a
minimum fee.
With the exception of bell jars, coin boards, seal cards,
merchandise boards, and raffles, every winner shall
be determined
and every
prize shall be awarded and delivered within the same calendar day
as that upon which the game was played. No alcoholic beverage shall be
offered or given as a prize in any game of chance. § 195-e.
Advertising games. A
licensee may advertise the conduct of games of chance to the general public by means of
newspaper, circular,
handbill and poster, and by
one sign not exceeding sixty square feet in
area, which may be displayed on or adjacent to
the premises
owned or
occupied by a licensed authorized organization, and when an organization
is licensed
to conduct
games of chance on premises
of an authorized games of chance
lessor, one additional such sign may be displayed on
or adjacent
to the premises in
which the
games are to be conducted.
Additional signs may be displayed
upon any
fire fighting
equipment belonging
to any licensed authorized
organization which is a volunteer fire
company, or upon any equipment of a first aid or rescue squad
in and
throughout the
community served by such volunteer fire company or
such first aid or rescue squad, as the case may be.
All advertisements shall
be limited to the
description of such event as "Games of chance"
or "Las Vegas Night", the name of the authorized organization
conducting such games,
the license
number of
the authorized
organization as
assigned by
the clerk or department and the date, location and time of
the event. § 195-f.
Statement of receipts, expenses; additional license fees. 1. Within seven days after the conclusion of any license period
other than a license period
for a raffle, or as otherwise prescribed by the board, the authorized organization which conducted the same,
and its
members who
were in charge thereof, and when applicable the authorized games of
chance lessor which rented its premises therefor, shall each furnish
to the
clerk or department a
statement subscribed by the member in charge
and affirmed by him as true, under the penalties of perjury, showing the
amount of the gross receipts derived therefrom and each item of
expense incurred, or paid,
and each item of expenditure made or to be made other
than prizes, the name and
address of each person to whom each such item
of expense has been paid, or is to be paid, with a detailed
description of
the merchandise purchased or the services rendered therefor, the net
proceeds derived from the conduct of games of chance during such license
period, and the use to which such proceeds
have been
or are
to be applied
and it shall be the duty of
each licensee to maintain and keep such
books and
records as
may be necessary
to substantiate
the particulars of each such
statement. 2.
Within thirty days after the conclusion of an occasion during which a raffle
was conducted,
the authorized organization
conducting such raffle and the
members in charge of such raffle, and, when
applicable, the
authorized games
of chance
lessor which
rented its
premises therefor, shall
each furnish to the clerk or department a statement on a form prescribed by the board, subscribed by the
member in
charge and
affirmed by
him as
true, under the penalties of perjury, showing the
number of tickets printed, the number of tickets sold,
the price,
and the
number of
tickets returned
to or
retained by
the authorized organization
as unsold, a description and statement of the
fair market
value for each prize
actually awarded, the amount of the gross receipts
derived therefrom, each item of expenditure made or
to be made
other than
prizes, the name and address of each person to whom each such item
of expense has been paid, or is to be paid, a detailed description
of the
merchandise purchased
or the services rendered
therefor, the net proceeds derived
from the raffle at such occasion, the use to which
the proceeds
have been
or are to be applied and shall be the duty of each
licensee to maintain and keep such books and records as may be necessary
to substantiate the particulars
of each
such statement,
provided, however,
where the cumulative net
proceeds or net profits derived from the
conduct of a raffle or raffles are less than thirty thousand dollars
during any one occasion, in such case, the reporting
requirement shall
be satisfied by the filing
within thirty days of the conclusion of such
occasion a verified statement prescribed by the board attesting
to the amount of such
net proceeds or net profits and the distribution thereof for lawful purposes with the clerk or department and
a copy
with the
board, and provided further,
however, where the cumulative net proceeds
derived from the conduct of a raffle
or raffles
are less
than five
thousand dollars
during any one occasion and less than twenty thousand
dollars during one calendar year, no reporting shall be required. 3.
Any authorized organization required to file an annual report
with the
secretary of state pursuant to article seven-A of the executive law
or the attorney general pursuant to article eight of the estates, powers
and trusts law shall include with such
annual report
a copy
of the statement required
to be filed with the clerk or department pursuant to
subdivision one or two of this section. 4.
Upon the
filing of
such statement
of receipts
pursuant to
subdivision one
or two
of this section, the authorized organization
furnishing the same shall pay to the clerk or department as and
for an
additional license
fee a sum based upon the
reported net proceeds, if
any, for the license period, or in the case of raffles, for the occasion
covered by such
statement and
determined in
accordance with
such schedule
as shall
be established
from time to time by the
board to defray the actual
cost to municipalities or counties of administering
the provisions of this article, but such additional
license fee
shall not exceed five
percent of the net proceeds for such license period. The
provisions of this
subdivision shall not apply to the net proceeds from
the sale of bell jar tickets. No fee shall be required where
the net
proceeds or net profits
derived from the conduct of a raffle or raffles
are less than thirty thousand dollars during any one occasion.
§ 195-g. Examination of books and records;
examination of officers and employees;
disclosure of
information. The clerk or department and the
board shall have power to examine or cause to be examined the books and records of: 1.
Any authorized
organization which
is or has been licensed to conduct
games of chance, so far as they may relate to
games of
chance including
the maintenance,
control and
disposition of net proceeds derived from games of chance or from the use of its premises
for games
of chance, and to examine
any manager, officer, director, agent, member
or employee thereof under oath in relation to the conduct
of any such game
under any
such license,
the use
of its premises for games of chance,
or the disposition of net proceeds derived from games of chance,
as the case may be. 2.
Any authorized games of chance lessor so far as they may relate to leasing
premises for games of chance
and to examine said lessor or any manager,
officer, director, agent or employee
thereof under
oath in
relation to such leasing. Any
information so
received shall not be disclosed except so far as
may be necessary for the purpose of carrying out the provisions of
this article. § 195-h.
Appeals from the decision of an officer, clerk or department to board. Any applicant for, or holder of, any license issued
or to
be issued under
this article aggrieved by any action of an officer, clerk
or department, to which such application has been made or by which
such license
has been issued, may appeal to the board from the determination
of said officer, clerk, or department
by filing
with such
officer, clerk, or
department a written notice of appeal within thirty days after the determination
or action appealed from, and upon the hearing of such appeal, the evidence, if any,
taken before
such officer,
clerk, or
department and
any additional
evidence may be produced and
shall be considered in arriving at
a determination of the matters in issue,
and the
action of
the board
upon said appeal shall be binding upon such
officer, clerk, or department and all parties to said appeal. § 195-i.
Exemption from
prosecution. No person, firm, partnership,
corporation or organization lawfully conducting, or participating in the
conduct of games of chance or permitting the conduct upon
any premises
owned or leased by him or it
under any license lawfully issued pursuant
to this article, shall be
liable to
prosecution or
conviction for
violation of
any provision of
article two hundred twenty-five of the penal
law or any other law or ordinance to the extent that such conduct is
specifically authorized by this article, but this immunity shall not
extend to
any person
or corporation
knowingly conducting or participating
in the
conduct of
games of
chance under any license obtained
by any false pretense or by any false statement
made in
any application for license or otherwise, or permitting the
conduct upon any premises
owned or
leased by him or it of any game of chance conducted
under any license known to him or it to have been obtained by any such
false pretense or statement. § 195-j.
Offenses; forfeiture of license; ineligibility to apply for
license. Any person, firm,
partnership, corporation or organization who
or which shall: (1)
make any material false statement
in any
application for
any license authorized to be
issued under this article; (2)
pay or receive, for the use
of any premises for conducting games of
chance, a rental in excess of the amount specified as the permissible
rent in the license provided for in
subdivision two
of section one
hundred ninety-three of this article; (3)
fail to
keep such
books and records as shall
fully and truly record all
transactions connected with the conducting of games of chance or the leasing of premises to be
used for
the conduct
of games
of chance; (4)
falsify or make any false entry in any books or records so far as
they relate in any manner to the conduct of
games of
chance, to
the disposition
of the proceeds thereof and to the application of the rents
received by any authorized organization; (5)
divert or pay any portion of the net
proceeds of
any game of
chance to
any person, firm,
partnership, corporation, except
in furtherance of one or
more of
the lawful purposes
defined in
this article;
shall be guilty of a
misdemeanor and shall forfeit any license issued
under this article and be ineligible to apply for a license
under this
article for at least one year thereafter. § 195-k.
Unlawful games
of chance.
1. Any person, association, corporation
or organization holding, operating, or conducting a game
or games of
chance is
guilty of
a misdemeanor, except when operating,
holding or conducting: (a)
In accordance with
a valid
license issued
pursuant to
this article; (b)
On behalf
of a bona fide organization of persons sixty years of
age or over, commonly referred to as senior citizens, solely
for the
purpose of
amusement and
recreation of
its members where (i)
the organization has applied for
and received an identification number from
the board,
(ii) no player or other
person furnishes anything of value for
the opportunity to participate, (iii) the prizes awarded or to
be awarded are nominal, (iv)
no person other than a bona fide active member
of the organization participates in the conduct of the games, and (v) no
person is paid for conducting or assisting in the conduct of the game or
games; or (c)
A raffle pursuant to section one hundred ninety-a of this article. 2.
The provisions
of this section shall apply to all municipalities
within this state, including those municipalities where this article
is inoperative. § 195-l.
Article inoperative
until adopted
by voters. Except as
provided in section one hundred
ninety-five-k of
this article,
the provisions
of this article shall remain inoperative in any municipality
unless and until a proposition therefor
submitted at
a general or
special election in such municipality shall be approved by a vote of the majority of the qualified electors in such municipality
voting thereon. § 195-m.
Amendment and repeal of local laws and ordinances. Any such
local law or ordinance may be amended, from time to time, or repealed by
the common council or other local legislative body of
the municipality which
enacted it by a two-thirds vote of such legislative body and such
amendment or repeal, as the case may
be, may
be made
effective and
operative not
earlier than thirty days following the date of enactment
of the local law or ordinance effecting such amendment or repeal, as the
case may be; and the approval of a majority
of the electors of
such municipality
shall not be a condition prerequisite to the taking effect
of such local law or ordinance. § 195-n.
Manufacturers of bell
jars; reports
and records.
1. Distribution;
manufacturers. For
business conducted
in this
state, manufacturers
licensed by the board to sell bell jar tickets shall sell
only such tickets to distributors licensed by the
board. Manufacturers
of bell jar tickets, seal cards, merchandise boards, and coin boards may
submit samples,
artists' renderings, or
color photocopies of proposed bell
jar tickets, seal cards, merchandise boards,
coin boards,
payout cards, and
flares for review and
approval by the board. Within thirty days
of receipt of such sample or rendering, the board shall approve
or deny
such bell jar tickets. Following approval of a rendering of a bell
jar ticket, seal card, merchandise board, or coin board
by the board,
the manufacturer shall
submit to the board a sample of the printed bell
jar ticket, seal card, merchandise board, coin board, payout
card, and
flare for such game. Such sample shall be submitted prior to the sale of
the game to any licensed
distributor for resale in this state. For coin
boards and
merchandise boards,
nothing herein
shall require
the submittal
of actual
coins or
merchandise as
part of the approval
process. Any licensed manufacturer who willfully violates the provisions
of this section shall: (a) upon such first offense, have
their license
suspended for
a period
of thirty days; (b) upon such second offense,
participate in a hearing to be conducted by
the board,
and surrender
their license for such
period as recommended by the board; and (c) upon
such third or subsequent offense, have their
license suspended for
a period
of one
year and
shall be
guilty of
a class E felony. Any unlicensed
manufacturer who violates the
provisions of
this section
shall be guilty of a class E felony. 2.
Bar codes. The manufacturer
shall affix to the flare of each bell jar
game a bar code that provides all
information prescribed
by the
board and
shall require that the bar code include the serial number of
the game the flare describes. A manufacturer shall
also affix to
the outside
of the
container or wrapping
containing a deal of bell jar
tickets a bar code providing all information prescribed by the board and
containing the same information as the bar code affixed
to the flare. The board
may also prescribe additional bar code requirements. No person may alter
the bar code that appears on
the flare or on the outside of the
container or wrapping containing
a deal
of bell
jar tickets.
Possession of
a deal of bell jar tickets that has a bar code different
from the serial number of the deal inside the container or wrapping as
evidenced on
the flare is prima facie evidence that the possessor has
altered the bar code on the container or wrapping. 3.
Bell jar flares. (a) A manufacturer shall not ship or cause to be
shipped into this state any
deal of bell jar tickets that does not have
its own individual flare as required for that deal by rule of the board.
A person other than a
licensed manufacturer
shall not
manufacture, alter,
modify, or
otherwise change
a flare
for a deal of bell jar tickets
except as authorized by this article or rules and regulations
promulgated by the board. (b)
The flare for each deal of bell jar tickets sold by a manufacturer in this state
shall be placed inside the wrapping of the deal which the flare describes. (c)
The bar code affixed to the flare of each bell jar game shall bear the serial number of such game as prescribed by the board. (d)
The flare of each bell jar game shall have affixed a bar code that provides: (1) the game code; (2) the serial number of the
game; (3) the name of
the manufacturer; and (4)
other information the board by rule may
require. The serial number included on the bar
code shall be
the same
as the
serial number
of the
tickets included in the
deal. A manufacturer who
manufactures a deal of bell jar tickets shall affix
to
the outside of the container or wrapping containing the bell jar tickets
the same bar code that is affixed to the flare for that deal.
(e) No person shall alter
the bar code that appears on the outside of
a container
or wrapping
containing a
deal of
bell jar
tickets. Possession of a
deal of bell jars that has a bar code different from the bar code
of the
deal inside the container or wrapping is prima facie
evidence that the possessor has altered the bar code on the box.
4. Reports of sales. A manufacturer who sells
bell jar tickets
for resale
in this state shall file with the board, on a form prescribed by
the board, a report of all bell jar tickets sold to distributors in
the state.
The report
shall be filed quarterly on or before the twentieth
day of the month succeeding the end of the quarter in which the sale was
made. The board may require that the report be
submitted via
magnetic media or electronic
data transfer.
5. Inspection. The board may inspect the premises, books, records, and
inventory of
a manufacturer without
notice during the normal business hours
of the manufacturer. § 195-o.
Distributor of
bell jars;
reports and
records. 1.
Distribution; distributors. Any distributor licensed in accordance
with section one hundred
eighty-nine-a of this article to distribute bell jar tickets shall purchase bell jar tickets only from licensed
manufacturers and
may manufacture
coin boards
and merchandise
boards only
as authorized in subdivision
one-a of this section. Licensed
distributors of bell
jar tickets
shall sell such tickets only
to not-for-profit, charitable or
religious organizations
registered by
the board. Any
licensed distributor
who willfully
violates the
provisions of this section shall: (a) upon such first offense, have their
license suspended for a period of
thirty days; (b) upon such second offense,
participate in
a hearing to be conducted by the board, and surrender their
license for such period as
recommended by the board; and (c) upon such third
or subsequent
offense, have
their license suspended for
a period of one year and shall be
guilty of a class E felony. Any unlicensed distributor
who violates this section shall be guilty of a class E felony. 1-a.
Coin boards and merchandise boards.
Distributors of bell
jar tickets
may manufacture coin boards and merchandise boards only if such
boards have been approved by the board and have a bar
code affixed
to them
setting forth
all information required by the board. Except that
for coin boards and merchandise boards,
delineation of
the prize
or prize
value need not be included on the game ticket sold in conjunction
with a coin board or merchandise board. In lieu of such requirement, the
distributor shall be required to disclose the prize
levels and
the number
of winners
at each
level and shall print clearly on the game
ticket that a ticket holder may obtain the prize
and prize
value for
each prize
level by referencing the flare. Such coin boards shall only
be sold by licensed distributors to
licensed authorized
organizations registered
by the board in
accordance with
the provisions of this article. 2.
Business records. A distributor shall
keep at
each place
of business
complete and
accurate records
for that place of business,
including itemized invoices of bell jar tickets held and purchased.
The records
must show the names and
addresses of purchasers, the inventory at
the close of each period for which a return is required, all bell jar
tickets on hand, and other pertinent papers and
documents relating to
the purchase,
sale, or
disposition of
bell jar
tickets as may be required
by the board. Books, records,
itemized invoices,
and other
papers and documents required by this section shall be kept for a period of at
least four years after the date of the documents, or the date of
the entries appearing in the records, unless
the board
authorizes in
writing their
destruction or disposal at an earlier date. A person who
violates this section shall be guilty of a misdemeanor. 3.
Sales records. A distributor shall maintain a record
of all bell jar
tickets that
it sells. The record shall
include, but need not be limited
to: (a)
the identity
of the manufacturer from
whom the
distributor purchased the
product; (b)
the serial number of the product; (c)
the name,
address, and
license or exempt permit number of the
organization or person to which the sale was made; (d)
the date of the sale; (e)
the name of the person who ordered the product; (f)
the name of the person who received the product; (g)
the type of product; (h)
the serial number of the product; (i) the account number identifying the sale from the manufacturer to distributor and the account number identifying the sale from the distributor to the licensed organization; and
(j) the
name, form number, or other identifying information for each
game.
4. Invoices. A distributor shall supply with each sale of a
bell jar
product an itemized invoice
showing the distributor's name and address,
the purchaser's name, address, and license number, the date of the sale,
the account number
identifying the
sale from
the manufacturer to distributor
and the
account number
identifying the
sale from the
distributor to the licensed organization, and
the description
of the deals, including
the form number, the serial number and the ideal gross
from every deal of bell jar or similar game.
5. Reports. A distributor shall report quarterly to the
board, on
a form prescribed by the
board, its sales of each type of bell jar deal or
tickets. This report shall be filed quarterly on or before the twentieth
day of the month succeeding the end of the quarter in which the sale was
made. The
board may
require that a distributor
submit the quarterly report and
invoices required by this
section via
magnetic media
or electronic data transfer.
6. The
board may inspect the premises, books, records, and inventory
of a distributor without notice during the normal business hours of
the distributor.
7. Certified physical
inventory. The board may, upon request, require
a distributor to furnish a certified physical inventory of all bell
jar tickets
in stock. The inventory shall contain the information requested
by the board. § 195-p.
Transfer restrictions.
Not-for-profit, charitable
or religious
organizations authorized
to sell
bell jar
tickets in
accordance with
this article shall purchase bell jar tickets only from
distributors licensed by the board.
No not-for-profit, charitable,
or religious
organization shall sell,
donate, or otherwise transfer bell jar
tickets to
any other not-for-profit,
charitable or
religious organization. § 195-q.
Bell jar compliance and
enforcement. In the case of
bell jars, the licensee,
upon filing
financial statements
of bell
jar operations,
shall also tender to the
board a sum in the amount of five percent
of the net proceeds as defined in this paragraph, from the
sale of
bell jar tickets, seal cards, merchandise board, and coin boards, if
any, for that portion of license period covered by such
statement. For
the purposes
of this section, "net proceeds" shall mean the difference
between the ideal handle from the sale of bell jar tickets, seal cards, merchandise
boards, and coin boards less the amount of money paid out in
prizes and less the purchase price of the bell jar deal, seal card deal,
merchandise board deal, or coin board deal. Additionally, a credit shall
be permitted against
the net
proceeds fee tendered to the board for
unsold tickets of the bell jar deal as long as the unsold
tickets have
the same
serial number
as the tickets for which the fee is rendered. Such unsold tickets must be kept on file by the selling
organization for inspection by the
board for a period of one year following the date upon
which the relevant financial statement was received by the board. 1.
One-half of one percent of such
fee received
from authorized
volunteer fire
companies shall be paid to the New York state emergency
services revolving
loan account
established pursuant
to sectionninety-seven-pp
of the state finance law. 2.
The racing and wagering
board shall submit to the director of the division
of the budget an annual plan that details the amount
of money
the racing
and wagering board deems
necessary to maintain operations, compliance
and enforcement of the provisions of this article and
the collection
of the
license fee authorized by
this section. Contingent upon the
approval of the director of the division of
the budget,
the racing
and wagering board shall pay into an account, to be known as the
bell jar collection account, under the joint custody of the
comptroller and
the board,
the total amount of license fees collected pursuant to
this section. With the approval of the director of the division
of the budget, monies
to be utilized to maintain
the operations necessary to enforce
the provisions of this article and the collection of the license
fee imposed by this section shall be paid out of
such account
on the
audit and
warrant of the comptroller on vouchers certified or approved
by the director of the division of the budget
or his duly
designated official.
Those monies
that are
not utilized to maintain operations
necessary to enforce the provisions of this article and
the collection
of the license fee
authorized by this section shall be paid out of such
amount on the audit and warrant of the state comptroller
and shall
be credited to the general
fund. § 195-r.
Severability. If any
provision of this article or the application
thereof to any municipality, person or circumstances
shall be adjudged
unconstitutional by any court of competent jurisdiction, the
remainder of
this article
or the
application thereof
to other
municipalities, persons and circumstances shall not be affected thereby, and the legislature hereby declares that
it would
have enacted
this article
without the
invalid provision or application, as the case may
be, had such invalidity been apparent. |