The Michigan Gaming Control Board (MGCB) has issued a summary suspension order against TwinSpires, a brand owned by Churchill Downs Technology Initiatives Company (CDI), due to non-compliance with Michigan’s gaming laws. TwinSpires reportedly violated the Horse Racing Law of 1995, which mandates that advance deposit wagering (ADW) activities must be linked to a licensed live race meet.
Only TwinSpires Defied Regulations
In Michigan, statutory requirements dictate that simulcasting and ADW must be connected to live horse racing events. However, with no active racetracks currently operating and holding a state-issued license, ADW operators were ordered to cease their activities and promptly notify their customers. The last Thoroughbred race in Michigan was at Hazel Park in 2018, although the MGCB only recently started enforcing this law.
On December 23, 2024, the MGCB issued a formal notice directing the state’s four licensed ADW operators—Xpressbet, TwinSpires, NYRA Bets, and TVG Network—to immediately cease offering wagering services to Michigan residents, effective January 1, 2025. Operators begrudgingly complied and stopped providing ADW services. However, TwinSpires decided to remain active.
On December 31, 2025, TwinSpires informed the MGCB of its intent to continue offering its ADW products to Michigan residents despite the regulatory directives prohibiting such activity. The MGCB responded to TwinSpires’ non-compliance by enacting a summary suspension order, effectively halting the company’s operations within the state.
An Upcoming Hearing Will Determine Potential Penalties
A virtual hearing before an Administrative Law Judge will determine whether the suspension will continue and whether TwinSpires will face additional fines or penalties. A hearing date has not yet been set. The MGCB noted that its actions were essential to maintaining compliance with Michigan law and protecting the integrity of wagering activities.
This development could become a significant setback for CDI as it temporarily loses access to a jurisdiction that once provided valuable revenues. However, the company’s diversified portfolio should help it overcome short-term challenges. Recent investments, such as the Rose Casino Hotel in Dumfries, Virginia, are expected to yield significant returns, potentially offsetting the effect of TwinSpires’ Michigan troubles.
The MGCB’s strict enforcement sends a message to operators about the importance of regulatory compliance in the gaming industry. For TwinSpires, the upcoming hearing will be instrumental in determining its future in Michigan and its regulatory standing. In the worst-case scenario, its defiance could lead to reputational damage, financial penalties, and the potential loss of future licensing opportunities.
