1.1                          A bill for an act 
  1.2             relating to gambling; regulating and prohibiting 
  1.3             certain activities with respect to gambling; 
  1.4             regulating shipment of gambling devices; providing 
  1.5             penalties; amending Minnesota Statutes 1998, sections 
  1.6             299L.07, subdivision 10; 349.2125, subdivision 1; 
  1.7             609.75, by adding subdivisions; 609.76, subdivision 2, 
  1.8             and by adding subdivisions; and 609.762, subdivision 
  1.9             1; proposing coding for new law in Minnesota Statutes, 
  1.10            chapters 240; and 609. 
  1.11  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.12     Section 1.  [240.35] [DANGEROUS WEAPONS PROHIBITED.] 
  1.13     (a) Whoever possesses a dangerous weapon, as defined by 
  1.14  section 609.02, subdivision 6, at an establishment licensed by 
  1.15  the commission, is guilty of a felony.  This section does not 
  1.16  apply to a peace officer or a person licensed by the commission 
  1.17  to carry a weapon if a weapon is required in the performance of 
  1.18  the person's duty. 
  1.19     (b) Every licensee of the commission must display notice in 
  1.20  a conspicuous location in the gambling establishment.  The 
  1.21  notice must be clearly legible, in boldface type, in 
  1.22  substantially this form: 
  1.23     "STATE LAW PROHIBITS A PERSON FROM POSSESSING A DANGEROUS 
  1.24  WEAPON ON THESE PREMISES UNLESS THAT PERSON IS A PEACE OFFICER 
  1.25  OR IS OTHERWISE AUTHORIZED BY LAW TO DO SO.  ANY PERSON FOUND IN 
  1.26  VIOLATION OF THIS LAW IS SUBJECT TO CRIMINAL PENALTIES AND THE 
  1.27  WEAPON IS SUBJECT TO SEIZURE AND FORFEITURE." 
  1.28     Sec. 2.  [240.37] [DETENTION OF SUSPECTS.] 
  2.1      Subdivision 1.  [GENERALLY.] (a) A licensee of the 
  2.2   commission may detain a person if the licensee has reasonable 
  2.3   cause to believe the person detained has violated section 240.35 
  2.4   or section 609.76, subdivisions 3 to 7.  For purposes of this 
  2.5   section, a "licensee" includes any officer, agent, or employee 
  2.6   of the licensee. 
  2.7      Subd. 2.  [CIRCUMSTANCES JUSTIFYING DETENTION.] A licensee 
  2.8   may detain a person to: 
  2.9      (1) require the person to provide identification or to 
  2.10  verify identification; 
  2.11     (2) inquire as to whether the person possesses any 
  2.12  contraband as provided by section 609.762, subdivision 1; 
  2.13     (3) inform a peace officer; or 
  2.14     (4) institute criminal proceedings against the person.  
  2.15     (b) The person detained must be promptly informed of the 
  2.16  purpose of the detention and must not be subjected to 
  2.17  interrogation against the person's will.  If at any time the 
  2.18  person detained requests the licensee to summon a peace officer, 
  2.19  the licensee must notify a peace officer immediately.  A 
  2.20  licensee of the Minnesota racing commission must not detain a 
  2.21  person for more than one hour unless: 
  2.22     (1) the licensee is waiting to surrender the person to a 
  2.23  peace officer, in which case the person may be detained until 
  2.24  the peace officer has accepted custody of or released the 
  2.25  person; or 
  2.26     (2) the person is a minor and the licensee is waiting to 
  2.27  surrender the minor to a peace officer or the minor's parent, 
  2.28  guardian, or custodian, in which case the minor may be detained 
  2.29  until the peace officer, parent, guardian, or custodian has 
  2.30  accepted custody of the minor. 
  2.31     Subd. 3.  [ARREST.] Upon a charge being made by a licensee, 
  2.32  a peace officer may arrest a person without a warrant if the 
  2.33  officer has reasonable cause to believe that the person has 
  2.34  committed or attempted to commit an offense described in section 
  2.35  240.35 or 609.76. 
  2.36     Subd. 4.  [IMMUNITY.] No licensee or peace officer is 
  3.1   criminally or civilly liable for any action authorized by this 
  3.2   section if reasonable cause exists for the arresting person's 
  3.3   action. 
  3.4      Subd. 5.  [POSTING NOTICES REQUIRED.] No licensee is 
  3.5   entitled to immunity from liability, as provided in subdivision 
  3.6   4, unless the licensee has displayed notice in a conspicuous 
  3.7   place in the gambling establishment.  The notice must be clearly 
  3.8   legible, in boldface type, in substantially this form: 
  3.9      "STATE LAW AUTHORIZES ANY LICENSEE OF THE MINNESOTA RACING 
  3.10  COMMISSION, OR ANY OFFICER, EMPLOYEE, OR AGENT OF THE LICENSEE, 
  3.11  WHO HAS REASONABLE CAUSE TO BELIEVE THAT A PERSON IN THE 
  3.12  ESTABLISHMENT IS VIOLATING MINNESOTA STATUTES, SECTION 609.76, 
  3.13  PROHIBITING CHEATING IN GAMBLING, TO DETAIN THAT PERSON IN THE 
  3.14  ESTABLISHMENT OR ITS SURROUNDING GROUNDS." 
  3.15     Sec. 3.  Minnesota Statutes 1998, section 299L.07, 
  3.16  subdivision 10, is amended to read: 
  3.17     Subd. 10.  [TRANSPORTATION OF GAMBLING DEVICES.] In 
  3.18  addition to the requirements of this section, the transportation 
  3.19  of gambling devices into or out of Minnesota must be in 
  3.20  compliance with United States Code, title 15, sections 1171 to 
  3.21  1177, as amended. 
  3.22     Sec. 4.  Minnesota Statutes 1998, section 349.2125, 
  3.23  subdivision 1, is amended to read: 
  3.24     Subdivision 1.  [CONTRABAND DEFINED.] The following are 
  3.25  contraband: 
  3.26     (1) all pull-tab or tipboard deals or paddleticket cards 
  3.27  not stamped or bar coded in accordance with this chapter or 
  3.28  chapter 297E; 
  3.29     (2) all pull-tab or tipboard deals in the possession of any 
  3.30  unlicensed person, firm, or organization, whether stamped or 
  3.31  unstamped; 
  3.32     (3) any container used for the storage and display of any 
  3.33  contraband pull-tab or tipboard deals as defined in clauses (1) 
  3.34  and (2); 
  3.35     (4) all currency, checks, and other things of value used 
  3.36  for pull-tab or tipboard transactions not expressly permitted 
  4.1   under this chapter, and any cash drawer, cash register, or any 
  4.2   other container used for illegal pull-tab or tipboard 
  4.3   transactions including its contents; 
  4.4      (5) any device including, but not limited to, motor 
  4.5   vehicles, trailers, snowmobiles, airplanes, and boats used, with 
  4.6   the knowledge of the owner or of a person operating with the 
  4.7   consent of the owner, for the storage or transportation of more 
  4.8   than five pull-tab or tipboard deals that are contraband under 
  4.9   this subdivision.  When pull-tabs and tipboards are being 
  4.10  transported in the course of interstate commerce between 
  4.11  locations outside this state, the pull-tab and tipboard deals 
  4.12  are not contraband, notwithstanding the provisions of clauses 
  4.13  (1) and (12); 
  4.14     (6) any unaffixed registration stamps except as provided in 
  4.15  section 349.162, subdivision 4; 
  4.16     (7) any prize used or offered in a game utilizing 
  4.17  contraband as defined in this subdivision; 
  4.18     (8) any altered, modified, or counterfeit pull-tab or 
  4.19  tipboard ticket; 
  4.20     (9) any unregistered gambling equipment except as permitted 
  4.21  by this chapter; 
  4.22     (10) any gambling equipment kept in violation of section 
  4.23  349.18; 
  4.24     (11) any gambling equipment not in conformity with law or 
  4.25  board rule; 
  4.26     (12) any pull-tab or tipboard deal in the possession of a 
  4.27  person other than a licensed distributor or licensed 
  4.28  manufacturer for which the person, upon demand of a licensed 
  4.29  peace officer or authorized agent of the commissioner of revenue 
  4.30  or director of alcohol and gambling enforcement, does not 
  4.31  immediately produce for inspection the invoice or a true and 
  4.32  correct copy of the invoice for the acquisition of the deal from 
  4.33  a licensed distributor; ~~and~~ 
  4.34     (13) any pull-tab or tipboard deals or portions of deals on 
  4.35  which the tax imposed under chapter 297E has not been paid; and 
  4.36     (14) any device prohibited by section 609.76, subdivisions 
  5.1   4 to 6.  
  5.2      Sec. 5.  [609.652] [LAWFUL GAMBLING FRAUD.] 
  5.3      A person is guilty of a felony if the person does any of 
  5.4   the following with intent to defraud the state of Minnesota, a 
  5.5   licensed gambling organization, or a person participating in an 
  5.6   authorized gambling activity: 
  5.7      (1) places or uses false information on a prize receipt or 
  5.8   on any other form approved for use by the gambling control board 
  5.9   or the alcohol and gambling enforcement division; 
  5.10     (2) plays or redeems a pull-tab from a pull-tab game if the 
  5.11  player or redeemer of the pull-tab is involved with the sale of 
  5.12  the pull-tab; or 
  5.13     (3) otherwise claims or wins a prize from a lawful gambling 
  5.14  activity conducted under chapter 349, by means of fraud, deceit, 
  5.15  or misrepresentation. 
  5.16     Sec. 6.  Minnesota Statutes 1998, section 609.75, is 
  5.17  amended by adding a subdivision to read: 
  5.18     Subd. 4a.  [ASSOCIATED EQUIPMENT.] Associated equipment 
  5.19  means any equipment used in connection with gambling that would 
  5.20  not be classified as a gambling device, including but not 
  5.21  limited to: cards, dice, computerized systems of betting at a 
  5.22  race book or sports pool, computerized systems for monitoring 
  5.23  slot machines or games of chance, devices for weighing or 
  5.24  counting money, and links which connect progressive slot 
  5.25  machines. 
  5.26     Sec. 7.  Minnesota Statutes 1998, section 609.75, is 
  5.27  amended by adding a subdivision to read: 
  5.28     Subd. 10.  [GAME.] A game means any game played with cards, 
  5.29  dice, equipment, or any mechanical or electronic device or 
  5.30  machine for money or other value, whether or not approved by 
  5.31  law, and includes, but is not limited to:  card and dice games 
  5.32  of chance, slot machines, banking or percentage games, video 
  5.33  games of chance, sports pools, pari-mutuel betting, and race 
  5.34  book.  "Game" does not include any private social bet. 
  5.35     Sec. 8.  Minnesota Statutes 1998, section 609.75, is 
  5.36  amended by adding a subdivision to read: 
  6.1      Subd. 12.  [AUTHORIZED GAMBLING ACTIVITY.] An authorized 
  6.2   gambling activity means any form of gambling authorized by and 
  6.3   operated in conformance with law. 
  6.4      Sec. 9.  Minnesota Statutes 1998, section 609.75, is 
  6.5   amended by adding a subdivision to read: 
  6.6      Subd. 13.  [AUTHORIZED GAMBLING ESTABLISHMENT.] An 
  6.7   authorized gambling establishment means any premises where 
  6.8   gambling authorized by law is occurring. 
  6.9      Sec. 10.  Minnesota Statutes 1998, section 609.76, 
  6.10  subdivision 2, is amended to read: 
  6.11     Subd. 2.  [~~FELONY GAMBLING~~ SPORTS BOOKMAKING.] Whoever 
  6.12  engages in sports bookmaking is guilty of a felony.  
  6.13     Sec. 11.  Minnesota Statutes 1998, section 609.76, is 
  6.14  amended by adding a subdivision to read: 
  6.15     Subd. 3.  [CHEATING.] Whoever cheats in a game, as 
  6.16  described in this subdivision, is guilty of a felony.  A person 
  6.17  cheats in a game by intentionally: 
  6.18     (1) misrepresenting the outcome of a game or event on which 
  6.19  wagers have been made, after the outcome is determined, but 
  6.20  before the outcome is revealed to the players; 
  6.21     (2) placing, canceling, increasing, or decreasing a bet 
  6.22  after acquiring knowledge, not available to other players, of 
  6.23  the outcome of the game or subject of the bet, or of events 
  6.24  affecting the outcome of the game or subject of the bet; 
  6.25     (3) claiming or collecting money or anything of value from 
  6.26  a game or authorized gambling establishment not won or earned 
  6.27  from the game or authorized gambling establishment; 
  6.28     (4) manipulating a gambling device or associated equipment 
  6.29  to affect the outcome of the game or the number of plays or 
  6.30  credits available on the game; or 
  6.31     (5) otherwise altering the elements of chance or methods of 
  6.32  selection or criteria which determine the result of the game or 
  6.33  amount or frequency of payment of the game. 
  6.34     Sec. 12.  Minnesota Statutes 1998, section 609.76, is 
  6.35  amended by adding a subdivision to read: 
  6.36     Subd. 4.  [CERTAIN DEVICES PROHIBITED.] (a) Whoever uses or 
  7.1   possesses a probability-calculating or outcome-affecting device 
  7.2   at an authorized gambling establishment is guilty of a felony.  
  7.3   For purposes of this subdivision, a "probability-calculating" or 
  7.4   "outcome-affecting" device is any device to assist in: 
  7.5      (1) projecting the outcome of a game; 
  7.6      (2) keeping track of or counting cards used in a game; 
  7.7      (3) analyzing the probability of the occurrence of an event 
  7.8   relating to a game; or 
  7.9      (4) analyzing the strategy for playing or betting in a game.
  7.10     (b) Whoever uses, or possesses with intent to use, a key or 
  7.11  other instrument for the purpose of opening, entering, and 
  7.12  affecting the operation of any game or gambling device or for 
  7.13  removing money, chips, tokens, or other contents from therein, 
  7.14  is guilty of a felony.  This paragraph does not apply to an 
  7.15  agent or employee of an authorized gambling establishment acting 
  7.16  within the scope of employment. 
  7.17     Sec. 13.  Minnesota Statutes 1998, section 609.76, is 
  7.18  amended by adding a subdivision to read: 
  7.19     Subd. 5.  [COUNTERFEIT CHIPS PROHIBITED.] (a) Whoever 
  7.20  intentionally uses counterfeit chips or tokens to play a game 
  7.21  designed to be played with or operated by chips or tokens is 
  7.22  guilty of a felony.  For purposes of this subdivision, 
  7.23  counterfeit chips or tokens are chips or tokens not approved by 
  7.24  the state for use in an authorized gambling activity. 
  7.25     (b) Whoever intentionally uses currency of the United 
  7.26  States in a game, not in the same denomination as intended to be 
  7.27  used in that game, is guilty of a felony. 
  7.28     Sec. 14.  Minnesota Statutes 1998, section 609.76, is 
  7.29  amended by adding a subdivision to read: 
  7.30     Subd. 6.  [MANUFACTURE, SALE, AND MODIFICATION 
  7.31  PROHIBITED.] (a) Whoever manufactures, sells, distributes, or 
  7.32  otherwise provides cards, chips, tokens, dice, or other 
  7.33  equipment or devices intended to be used to violate this 
  7.34  section, is guilty of a felony. 
  7.35     (b) Whoever intentionally marks, alters, or otherwise 
  7.36  modifies lawful associated equipment or gambling devices for the 
  8.1   purpose of violating this section is guilty of a felony. 
  8.2      Sec. 15.  Minnesota Statutes 1998, section 609.76, is 
  8.3   amended by adding a subdivision to read: 
  8.4      Subd. 7.  [INSTRUCTION.] Whoever instructs another person 
  8.5   to violate the provisions of this section, with the intent that 
  8.6   the information or knowledge conveyed be used to violate this 
  8.7   section, is guilty of a felony. 
  8.8      Sec. 16.  Minnesota Statutes 1998, section 609.76, is 
  8.9   amended by adding a subdivision to read: 
  8.10     Subd. 8.  [VALUE OF CHIPS OR TOKENS.] The value of chips or 
  8.11  tokens approved for use in a game designed to be played with or 
  8.12  operated by chips or tokens, as the term "value" is used in 
  8.13  section 609.52, is the amount or denomination shown on the face 
  8.14  of the chip or token representing United States currency. 
  8.15     Sec. 17.  Minnesota Statutes 1998, section 609.762, 
  8.16  subdivision 1, is amended to read: 
  8.17     Subdivision 1.  [FORFEITURE.] The following are subject to 
  8.18  forfeiture:  
  8.19     (a) Devices used or intended for use, including those 
  8.20  defined in section 349.30, subdivision 2, as a gambling device, 
  8.21  except as authorized in sections 349.11 to 349.23 and 349.40; 
  8.22     (b) All moneys, materials, and other property used or 
  8.23  intended for use as payment to participate in gambling or a 
  8.24  prize or receipt for gambling; 
  8.25     (c) Books, records, and research products and materials, 
  8.26  including formulas, microfilm, tapes, and data used or intended 
  8.27  for use in gambling; ~~and~~ 
  8.28     (d) Property used or intended to be used to illegally 
  8.29  influence the outcome of a horse race; 
  8.30     (e) Devices prohibited by section 609.76, subdivisions 4 to 
  8.31  6; and 
  8.32     (f) Dangerous weapons prohibited under section 240.35. 
  8.33     Sec. 18.  [EFFECTIVE DATE.] 
  8.34     Sections 1, 5, 11, 12, 13, 14, and 15 are effective August 
  8.35  1, 2000, and apply to crimes committed on or after that date.