Regulation & Legal

VGW political spending tops $1m amid legal battles

VGW, the operator behind Chumba Casino, LuckyLand Casino and Global Poker, has spent more than $1 million on political activity across six US states as the sweepstakes casino operator faces mounting legal challenges to its business model.

The spending, calculated by Gaming America using Transparency USA data, spans Florida, Alabama, Texas, Arizona, Tennessee and Kentucky, with Florida and Alabama accounting for the largest reported amounts. It comes alongside far larger legal costs: New York recently secured an $8 million settlement from VGW after the company stopped offering sweepstakes coin play in the state.

VGW has spent more than $1 million lobbying across six U.S. states while facing an $8 million New York settlement and a Florida lawsuit over its sweepstakes model.

Florida and Alabama draw the largest sums

Transparency USA records currently show VGW LuckyLand Inc with $412,500 in contributions during the 2026 Florida election cycle, though totals can change as new filings enter the database. Gaming America reported spending linked to Florida gubernatorial candidate Byron Donalds and Alabama gubernatorial candidate Tommy Tuberville. VGW declined to comment to the outlet about its political spending.

In Alabama, Transparency USA currently lists VGW LuckyLand Inc with $230,500 in contributions during the 2026 cycle. Separately, VGW’s direct donations to Tuberville’s campaign specifically now total $130,000 for the year, according to a September disclosure, after the company donated $100,000 to the campaign in September on top of $30,000 donated earlier in the year. Tuberville has not publicly commented on VGW’s business model, and no gambling bill is currently under consideration in Alabama; he has previously suggested the legislature should decide on gambling matters, including a potential referendum.

Lobbying in Alabama extends beyond the governor’s race, with campaign finance disclosures showing money directed to political action committees and state legislative candidates. Alabama is among the jurisdictions where sweepstakes regulations could change, giving VGW an incentive to build support with lawmakers who could shape future rules.

New York settlement and ongoing litigation

New York Attorney General Letitia James announced the $8 million settlement with VGW on 9 September, covering disgorgement, penalties and costs. The state said Chumba Casino, Global Poker and LuckyLand Slots offered casino games through virtual sweepstakes coins redeemable for cash or prizes. New York authorities had sent VGW a cease-and-desist letter in June 2025, after which the company stopped offering sweepstakes coin gambling in the state; New York later enacted a formal sweepstakes casino ban in December 2025.

In August, Florida Attorney General James Uthmeier filed a lawsuit against VGW and several related entities, alleging they were offering illegal online gambling by masking casino-style products as sweepstakes or social casinos. That lawsuit remains ongoing. VGW also faces litigation in Alabama and California, with one Alabama case remaining in arbitration proceedings during 2026.

Different U.S. states have taken varying stances on where VGW’s dual-currency offerings fall within existing gambling law, and several jurisdictions have prohibited sweepstakes casinos entirely.

Leadership change amid scrutiny

VGW has also undergone a leadership change this year. Founder Laurence Escalante resigned as chief executive and executive chairman in July after taking leave earlier in the year. VGW said charges brought against Escalante in Australia were unrelated to the company.

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