Tournament Illegal?

spicychili · #1 03-22-2005, 05:47 PM

I have a questions for all the 2+2ers.

The basic question: Is this legal?

I have been asked to run a tournament in a restaurant/bar for the purpose of a fund raiser for a youth baseball team. The entry fee will be fifty dollars, of which all of the money will go towards the baseball team. Now this baseball team is a charity. I myself will not be charging anything to run this tournament.

My gut says that this is still illegal since out of all of the money being raised none of the money is going back out to the players. I know that in the home games as long as ALL the money goes out to the players it is legal.

Since this is a fundraiser and everyone knows that it is a fundraiser is it still illegal.

I am thinking that it still is.

I am in the process of looking for the Colorado Gaming Commission phone number right now but I wanted to hear your thoughts.

Thanks

Precept2 · #2 03-22-2005, 06:50 PM

Does the restaurant/bar get anything for hosting this tournament? If so, that's illegal.

I recently played in a tournament put on by the local University that was a fundraiser for Cancer Research. No money went out and prizes were donated. Since it was held on campus, the facility cost nothing.

I would check with the local police to cover your hide. If they say it's illegal, find someone with a large home.

Apoc · #3 03-22-2005, 07:40 PM

I don't know about Colorado, but I chair a fundraising Casino Night for a local charity here in Illinois. The state requires that both the charity and the venue have a charitable gaming license, and we have to file a dealer list with the state so that they can do background checks. It may be the same in Colorado, in which case you'll need to make sure the restaurant/bar and the baseball team has a license (~$200 here in IL).

Hope that helps,
Apoc

savage_here · #4 03-22-2005, 07:51 PM

You have to be really careful in places of business. I'm not sure about Colorado, but I know that various places have been raided even if the only "benefit" to the bar/restaurant was increased alcohol or food sales because of the tourney being there.

The laws are really screwy and subject to various interpretations. It all comes down to whether or not the DA has a predisposition to prosecute or wants to make an example out of somebody.

ThinkQuick · #5 03-22-2005, 10:19 PM

I think you're for sure going to have to call the GC.
In Alberta here someone organized a tournament in support of the Canadian Heart Association, but at the last minute had to change it so that the whole pot went to the players when she was informed that an organizer cannot legally take any portion of the prize money for any reason.

dachord · #6 03-22-2005, 11:26 PM

The gaming commission in your state should provide you with all of the correct information, but I'll add my 2 cents in also. Most states also require that the event be sponsored by a sanctioned, tax-exempt charity (like my state). Otherwise, even if ALL of the proceeds go toward the ball team, you'll be responsible for paying taxes on the proceeds.

iluzion · #7 03-22-2005, 11:45 PM

i cant comment on the legality of this, other than you need to talk to someone in your area certefied to tell you if this is right/wrong. but i do have a suggestion. if you want to make money for this baseball team, why not do liek a 40+10 tournament. all of the $50 buyins go to the prize pool NONE coming out to you or the restraunt, then the $10 will go to the charity, im thinking you should get a LOT more entries, i dont see many people wanting to pay $50 for a tournament with no chance of getting anything back.

Coleman · #8 03-23-2005, 12:02 AM

A charity tournament benefitting a baseball team was recently busted in Brunswick (near Cleveland).
The event was held in a party center, and was broken up because the center was selling beer!
In other words: if they want you, they'll get you.

Leonard · #9 03-23-2005, 12:42 AM

My wife recently looked into holding a charity poker tournament in Texas. She called the local Sheriff's office, who directed her to the local DA's office. The DA's office sent her to the state Attorney General's office. The AG's office told her that they knew whether or not such an event was legal, but they could not tell her (I kid you not). The AG is the state's lawyer, but not the public's, as I understand it (which is not very well). They recommended that she hire a private attorney to look into it.

In the end, we just scrapped that idea all together.

My sister, who is a DA in Oklahoma, says that by strict interpretation of the law, in Oklahoma, even raffles are illegal. Any kind of poker, in home or out, can get you busted.

Good luck,
Leonard