Missouri Attorney General

Added: 2026-05-13

[00:06:08]Keep us right here.

[00:06:10]>> Yep.

[00:06:13]Good afternoon everyone.

[00:06:19]Well, this afternoon I want to introduce to you um the people standing behind me.

[00:06:24]The Dallas County Sheriff Darren Cheek, Missouri State Highway Patrol Sergeant Nick Matthews, Columbia Police Chief Jill Schluty, uh Ashlin Police Chief, and Ashlin Police Chief Scott Young.

[00:06:43]Today we're here to talk about the next phase of our enforcement actions against those who are illegally operating uh slot machines around the state. Um yesterday we had a uh an enforcement action that went into several counties and I'm going to cite the numbers for you because they're pretty impressive.

[00:07:07]In four different counties, 35 different devices were seized, 25 were illegal slot machines, five were so-called gray market machines, five were payment kiosks, and they contained nearly $60,000 in cash.

[00:07:26]And just so that you have some sense of this, the common practice, as we understand it in the industry, is that these machines are collected on once a week. So $60,000 is just one week's take. Um we will seek a civil forfeite of these assets. Um charges have been brought 21 felony counts um for firstdegree promoting gambling for four of the locations.

[00:07:56]Five misdemeanor counts of secondderee promoting gambling um for the fifth location.

[00:08:03]This remains a high priority for our office in conjunction with the highway patrol and all these local departments because these machines are illegal but also they become an attractive place for other criminal activity. Often these same locations are selling hemp products are selling products. They also become gathering places and gross, you know, in the in the overall take, we believe it's a billion-dollar industry that's unregulated, untaxed, and it's a cash industry where there are likely to be other crimes hidden beneath the surface. With that, I'd like to call on Chief Schludy to make a few more remarks. Chief, thank you.

[00:08:55]>> Good afternoon. I want to begin by thanking Attorney General Katherine Hanoway and Colonel Turner with the Missouri State Highway Patrol for their leadership in addressing illegal gaming operations across our state. Their efforts have sent a clear message that Missouri will not ignore unlawful gambling activity operating in our communities. Illegal gaming is not a victimless issue. These machines are often placed in convenience stores, bars, and other businesses under labels like skill games. But the reality is simple. They are illegal gambling devices. They operate outside Missou's regulated gaming system without oversight, without consumer protections, and without accountability. Unlike licensed casinos, these locations do not have the robust security measures, surveillance systems, trained staff, or regulatory controls that are designed to protect patrons and deter criminal activity. Instead, they create environments where large amounts of cash are exchanged with little security and minimal safeguards. In Colombia, we have seen firsthand how widespread this problem has become. In February of 2026, the Columbia Police Department conducted an audit of businesses throughout the city and identified 25 separate locations operating illegal gaming machines. Earlier this month, we conducted a follow-up audit and found that number had been reduced to just two locations. One of those locations was the site of yesterday's enforcement action conducted in partnership with the Missouri State Highway Patrol where four machines and a cash kiosk containing nearly $17,000 were seized. That dramatic reduction did not happen by accident. Attorney General Hathaway's strong Hannahway's strong and consistent focus on enforcement has had a direct impact on businesses choosing to remove these illegal machines rather than risk criminal prosecution and asset seizure.

[00:10:40]It also demonstrates what we can be what can be accomplished through coordinated enforcement and a clear commitment to upholding the law. The public safety concerns tied to these machines are real. On April 9th, 2025 in Colombia, a man playing one of these machines at a convenience store was followed to his vehicle and robbed at gunpoint after cashing out his winnings. The suspect later pleaded guilty to first-degree robbery and received a 10-year prison sentence. Incidents like this demonstrate that these locations can become magnets for criminal activity and even violence. Attorney General Hanoway has also highlighted the scale of this illegal industry statewide, estimating it generates nearly 1 billion annually.

[00:11:19]That is an enormous amount of unregulated cash moving through businesses with little transparency or oversight. Where illegal gambling flourishes, other criminal activity often follows. The Missouri legislature has now made its position clear. Efforts to create a pathway for these machines to operate legally failed this session and the law remains unchanged. These devices are illegal under Missouri law regardless of how they are marketing.

[00:11:43]Enforcements actions are not just about seizing machines. They are about protecting legitimate businesses, reducing opportunities for crime and maintaining public confidence that laws will be enforced fairly and consistently. The Columbia Police Department will continue working alongside the Attorney General's Office and the Missouri State Highway Patrol to ensure these illegal operations do not return to our community. And I'd like to turn it back over to Attorney General Hanway.

[00:12:12]>> And before we get started with questions, I just want to follow up and say, look, this the number one priority of this attorney general's office is to reduce crime in Missouri. This is going to be a long and challenging fight to shut down these illegal slot machines.

[00:12:29]Uh we could not do it without great partnership from the highway patrol and the departments behind me. Um I would hope that by now anyone who has one of these machines in their convenience store or small business is on notice that we are coming. We're we're not going to back off of this. So the best thing that they can do to avoid trouble with the law is to voluntarily unplug those machines no matter what the person sort of selling them that machine or placing that machine in their business says to them. I'd be happy to take questions.

[00:13:05]>> Hi um Olivia Hayes, ABC17 News. So within the last hour, charges have dropped for Anthony Greer of Eagle Stop in Colombia and then Keith Winscott for Woodies in Ashlin tied to this illegal gaming. Can you touch on both of those situations um and what brought those charges forward? Yeah. So, it was the uh search warrants that were served yesterday where uh illegal slot machines, gray machines, and these cash machines were discovered and they've been charged with the felony of promoting a gambling device. And uh we're going to, you know, obviously pursue those charges. Hopefully, we can work to resolution as quickly as possible. Um, nobody in this office relishes the idea of having to go after these small business owners, but when they're not heeding the warnings that these machines are illegal and pulling them out of their stores, um, there's got to be consequences for that conduct.

[00:14:06]>> And I guess just a quick followup, what does resolution look like in this situation?

[00:14:10]>> Well, we I you know, we have to have some discussions with their lawyers.

[00:14:14]It's too soon to to tell.

[00:14:18]Uh Jake Gman with the Missouri Times. Uh so the criminal proceeding in Franklin County is about six years old now. Um but in that proceeding, two highway patrol members uh gave depositions where they said under oath that these machines were not illegal gaming machines. I just didn't know has the highway patrol's position changed on those machines since then or are they still holding to that position?

[00:14:40]>> I don't know if you want to address that. I don't want to speak.

[00:14:44]Um sir, our our position has not changed. We um we have stated that we believe these uh machines are illegal and as far as my knowledge um that's been our stance since day one.

[00:14:55]>> Okay. Well, Senator Moon gave was speaking on the Senate floor and said that read out the admissions uh that they gave under oath and they both said that they weren't illegal at the time.

[00:15:05]So, >> okay. I can't speak to what other officers have testified to, but to my knowledge um our stance has been that these uh games are illegal. Thank you.

[00:15:18]>> Hey, General Hanway. John Murphy with KMU8 News. I know we've done some stories on these recently. Chief Schludy mentioned a specific crime in Colombia that happened where it was an armed robbery after someone won winnings from these machines. What are when you say the focus of your office is crime prevention, what are some of these other like specific types of crimes that you see affiliated with these machines operating?

[00:15:41]>> Yeah. Well, obviously it's always a threat that somebody's going to rob the person who's carrying the cash from one location to another or someone who has won and it's been observed. There's been reports of counterfeiting winning tickets. There's been embezzlement by employees. And then we, you know, I I don't want to speculate about what's being done with the cash, but history would teach us that um if you have a lot of cash that's unaccounted for, unregulated, it often gets spent for other illegal activities.

[00:16:17]>> Thank you.

[00:16:19]>> Hi, Pa with the St. Louis Post Dispatch.

[00:16:21]You mentioned 21 felony counts and five misdemeanor counts, and another reporter mentioned two individuals. Are those the same? Uh >> they are >> okay.

[00:16:29]>> They are there's and let me I think there's uh five individuals total who've been charged. Let me just double check that so you you've got it right. Um yeah, so five individuals total. So 21 of the counts were against four individuals, the the felony counts and five misdemeanors against the fifth individual.

[00:16:52]>> Thank you for clarifying. And are these people operating the kind of convenience store locations?

[00:16:57]>> Yeah, for the most part they they are the owners of those locations.

[00:17:01]>> Thank you.

[00:17:04]>> And uh as you just mentioned, these are the owners of these locations. What are you guys planning on bringing forth any um charges against employees of these locations that aren't I don't know if they are mandated reporters, but um that don't report these crimes or this illegal gambling activity. No, we don't have any intention of going after employees of these stores unless we have some evidence that they've committed some other crime or were directly intimately involved in promoting illegal gaming.

[00:17:37]Mark Zinn from NextStar Techna. Uh just wanted to ask you is there any idea how many slots illegal slots are left with torch out of the business now and how do you guys go about collecting those especially from you know smaller companies?

[00:17:51]>> Yeah. So um we think that we estimate that Torch was roughly 60% of the machines in the state and we think they're pretty close to having all of theirs shut off. although I do continue to get some reports that they're not all shut off. Um, from there we've developed a list of the others who we think own machines. Um, none of these machines that were subject to these warrants were owned by Torch. Um, the patrol obviously has been investigating these machines for about four years.

[00:18:29]They have literally hundreds of probable cause statements that um, haven't been acted on. And so we're working our way through. We have sent a communication to sort of the next five biggests, asking them to come in and communicate with us.

[00:18:45]It may be more than that at this point.

[00:18:48]They have been coming in. Um we have been having those conversations.

[00:18:53]Um, for some who when they saw Judge Ross's opinion come out and shut down operations right away and pulled their machines, I think they're probably done dealing with our office and done dealing with the US attorney's offices. Um, for others who are recalcitrant, obviously the penalties could be up to and including um criminal charges that could result in jail time.

[00:19:25]Annaise with the Missouri Independent.

[00:19:27]Where are we on a final settlement with Torch?

[00:19:31]Um, we're still working through it.

[00:19:32]We're meeting every week in part to check on progress on getting the machines shut down. Um, we've, you know, we've exchanged drafts, let's put it that way. Um, but we did give them a certain time period during which we would go back and forth on negotiations.

[00:19:51]We thought the most important thing was to get the machines shut down.

[00:19:56]Obviously, that's going to have the biggest economic consequence for them is that they can't be generating revenue from these machines.

[00:20:07]>> And you spoke on uh touched on criminal penalties. Can you go into different I know there's misdemeanor and felonies involved in this. Can you touch on those different avenues of punishment? And then I guess for Chief Schluty, I know there's an illegal gambling ordinance kind of moving through in discussion with the city right now. Can those proposed penalties if it's passed be applied after in this situation?

[00:20:35]I am not a lawyer, but I will say we are still looking at some municipal ordinances. Uh the council has been discussing that at length. That still may happen. Uh obviously state charges, federal charges are always going to supersede a city ordinance violation and so we would defer to that. The penalties, frankly, are much harsher. Uh so they are much scarier if they're talking about uh facing some type of criminal or civil penalty, either one.

[00:21:01]Um, I I foresee the con that conversation continuing with the council. I think it's something they're still interested in looking at just to make sure we have some layers very similar to what they did in Springfield, Missouri.

[00:21:15]So, the charges right now are promoting a gambling device, which is a class E felony. Obviously, uh there are potential other state charges related to taxation. Um, and certainly federal charges could include the promotion of gambling, could include um, perhaps even some bank fraud or money laundering charges. None of those charges have been made yet against anybody. I want to be really clear on that. But we have a lot of tools in the tool box. Um, the best thing for Missouri and Missurrians is if the proprietors of these machines will stop engaging in criminal activity, shut it down. If you get it shut down, you're going to have many fewer problems. If the state and the federal government have to spend huge resources chasing you and get getting you to shut down, the penalties are going to be much more harsh.

[00:22:25]Hi uh Natan again from the Post Dispatch. Uh there's a measure in the uh general assembly that would codify some of the enforcement actions your office is taking against pornography sites that don't require age verifications. Can you clarify your your office is taking this action. Why is it important to put that in statute?

[00:22:43]>> Well, right now it's a it's a regulation. Um, it is always helpful to have a statutory provision. It's harder to change a statute. You know, the next AG could change a regulation all by themselves. Um, okay. To the extent that there's any challenges to it, you're just on a little firmer ground with the statute.

[00:23:03]>> Understood. Thank you.

[00:23:07]>> Thank you all very much. Appreciate the coverage.