N.Y. Comp. Codes R. & Regs. tit. 9 § 5103.5

Current through Register Vol. 46, No. 45, November 2, 2024

Section 5103.5 - Bonding of video lottery gaming agents

(a) The commission shall require each video lottery gaming agent to provide to the commission a bond or other surety agreement, including without limitation a letter of credit, issued by a surety company or banking institution authorized to transact business in the State and approved by the Department of Financial Services as to solvency and responsibility, in such amount as the commission may determine, so as to avoid monetary loss to the State because of the video lottery gaming agent's activities or those of a third party. For each video lottery gaming agent, the commission shall set th e minimum amount of such bond or other surety agreement, which amount shall be not less than the total of five days of estimated average daily net win at such video lottery gaming agent's facility, as the commission may determine as appropriate, less an amount equal to the vendor's fee for such video lottery gaming agent set forth in Tax Law section 1612(b)(1)(ii).

The bond or other surety agreement shall name as beneficiaries the commission and the State.

(b) The commission may seek additional bond, surety or other guarantee of financial security consistent with the purposes of these regulations or video lottery gaming law, as the commission may deem appropriate.

(c) The failure of the video lottery gaming agent to post such bond or surety agreement in the amount required by the commission shall be a violation of the requirements of such video gaming agent's license.

N.Y. Comp. Codes R. & Regs. Tit. 9 § 5103.5

Amended New York State Register February 8, 2017/Volume XXXIX, Issue 06, eff. 2/8/2017