Alabama is getting ready to crack down on illegal gambling in 2025 with stricter penalties and bigger fines.
After trying to legalize some types of gambling in 2024 but not succeeding, lawmakers are now focusing on stopping the illegal operations that are still going strong.
The new law will make it clear: illegal gambling is no longer going to be ignored.
Here’s what’s happening and how these changes could finally make a difference.
Key Takeaways
- Alabama is planning to ramp up penalties for illegal gambling, shifting offenses from minor charges to felonies.
- New fines will hit illegal gaming operations hard, focusing on electronic gambling devices and unlicensed lotteries.
- Lawmakers on both sides agree illegal gambling is a big problem, and these changes are long overdue.
Alabama’s New Plan to Shut Down Illegal Gambling
Illegal gambling is a big issue in Alabama, and lawmakers are finally stepping up their game to deal with it.
You’d think the 2024 legislative session would have fixed things when they tried to legalize certain types of gambling.
But nope—it all fell apart, leaving illegal gambling operations untouched.
Now, Alabama’s coming back with a new approach in 2025.
This time, they’re making the penalties much tougher, so illegal gambling will no longer be a slap on the wrist.
State Rep. Matthew Hammett is leading the charge with his new proposal, House Bill 41 (HB41), and he’s not messing around.
He’s making sure those who profit from illegal gambling will face some real consequences.
“No matter what side of the gambling issue you were on last session, whether yes or no, everybody can agree we have a problem with illegal gaming in this state,” Hammett said.
And this new bill will make sure that problem gets tackled head-on.
Tougher Penalties: Say Goodbye to Just a Slap on the Wrist
Right now, if someone gets caught running an illegal gambling operation in Alabama, they usually just get hit with a misdemeanor.
Essentially, they get a minor punishment, and before you know it, they’re back in business.
But HB41 wants to change that.
The bill will turn these crimes into felonies, which means way more serious consequences.
First-time offenders face a Class C felony, and if they get caught again, it bumps up to a Class B felony.
On top of that, the fines are going through the roof.
Illegal operators could be fined $1,000 per gaming machine and up to $2,500 if they’re caught with more than 100 illegal lottery tickets.
To deter illegal activity, the new fines are designed to hit shady businesses where it hurts the most—their wallets.
As Rep. Hammett described, “This bill just enhances the penalties. If you get caught with a slot machine operation or a running scratch-offs or something like that, instead of a misdemeanor, it’s going to go to a felony.”
So, there’s no more skating by with just a warning.
The penalties are getting real.
Why Lawmakers Are Pushing for Change
Illegal gambling has been spreading across Alabama for years, and lawmakers are fed up.
They tried to deal with it in 2024 when they almost passed a bill to legalize certain types of gambling, like a state lottery and casinos.
But after lots of debate and confusion, it didn’t pass.
Now, with the rise of illegal operations, lawmakers are doubling down.
State Sen. Sam Givhan supports tougher penalties, saying they are the only way to prevent these operations from taking over.
“I think we’re going to have to make a felony to stop anything,” he said.
And he’s got a point.
At the moment, illegal operators know they’re not facing serious consequences, so they keep doing it.
They can make a ton of money quickly, and if they get caught, the current laws don’t scare them.
These machines pay for themselves fast; once they do, it’s all profit.
Givhan explained that many operators are willing to “take a chance” because the current penalties aren’t enough to stop them.
But with the new felony charges on the table, it will be a whole different story.
Focus on the Operators
Rep. Hammett emphasizes that this new bill targets the operators behind illegal gambling rings rather than low-level clerks or employees.
Hammett explained that this bill isn’t about cracking down on low-level workers but on those who are profiting from illegal gaming.
Additionally, the bill will give the state the power to destroy or sell any illegal gambling equipment they seize during raids.
And the money from those sales will cover things such as court costs and law enforcement expenses.
So, not only are the operators losing their machines, but they’ll also have to pay for breaking the law.
Hammett believes these changes will finally make these illegal operators think twice before starting up another shady operation.
“We’re not going after these people that are operating under a constitutional amendment, like dog or horse tracks. That’s not the purpose of this bill. It’s strictly for these illegal operations outside of the CAs,” he said.
Looking for a Complete Solution to the Problem
Despite the proposed increases in penalties, some lawmakers believe that a more comprehensive approach is necessary to fully tackle the issue of illegal gambling in Alabama.
Rep. Sam Jones (D-Mobile) has voiced his support for a broader bill that addresses illegal and legal gambling.
Jones explained that smaller efforts often get stuck in court battles, slowing down any real progress.
“You see a lot of piecemeal efforts, and then those efforts are challenged at the Supreme Court and they’re challenged in court for years. And we still don’t get what we’re looking for,” Jones said.
It’s a frustrating process, and many lawmakers agree that a more complete solution might be needed to finally solve Alabama’s gambling issues.
In 2024, lawmakers came really close to passing a bill that would have created a commission to regulate and enforce gambling laws.
Unfortunately, it failed by just one vote.
However, with this new push in 2025, lawmakers hope the 2025 session will provide a fresh opportunity to pass more comprehensive legislation.
Can Alabama’s New Penalties Stop Illegal Gambling?
So, what’s the bottom line?
Alabama is done playing games with illegal gambling.
With stricter penalties, such as felony charges and huge fines, lawmakers are sending a strong message to illegal operators: it’s time to stop.
While the new rules in HB41 are a step in the right direction, some lawmakers believe an even bigger fix is needed to finally get the gambling situation under control in the state.
Either way, it’s clear that Alabama is ready to crack down on illegal gambling in 2025—and this time, they mean business.
