S2364

An Act concerning the conduct of unauthorized amusement games and supplementing P.L.1959, c.109 (C.5:8-100 et seq.).

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. Whenever it shall appear to the control commission that a violation of a law, including the unlicensed conduct or practice of an activity regulated under P.L.1954, c.109 (C.5:8-100 et seq.), or regulation administered by the control commission has occurred, is occurring, or will occur, the control commission, in addition to any other proceeding authorized by law, may seek and obtain in a summary proceeding in Superior Court an injunction prohibiting such action, conduct, or practice. In any such proceeding the court may assess a civil penalty in accordance with the provisions of section 2 of P.L. , c. (C. ) (pending before the Legislature as this bill), may order restoration to any person in interest of any monies or property, real or personal, acquired by means of an unlawful action, conduct, or practice and may enter such orders as may be necessary to prevent the performance of an unlawful action, conduct, or practice in the future and to remedy any past unlawful activity. In any action brought pursuant to this section, the court shall not suspend or revoke any license or registration certificate issued by the control commission.

2. Any person violating any provision of a law or regulation administered by the control commission shall, in addition to any other sanctions provided in section 12 of P.L.1959, c.109 (C.5:8-111), be liable to a civil penalty of not more than $7,500 for the first offense and not more than $15,000 for the second and each subsequent offense. For the purpose of construing this section, each statutory violation shall constitute a separate offense, except that a second and subsequent offense shall not be deemed to exist unless an administrative or court order has been entered in a prior, separate, and independent proceeding. In lieu of an administrative proceeding or an action in the Superior Court, the Attorney General may bring an action in the name of the control commission for the collection or enforcement of civil penalties for the violation of any provision of a law or regulation administered by the control commission. Such action may be brought in a summary manner pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.), and the rules of court governing actions for the collection of civil penalties in the municipal court or Superior Court where the offense occurred. Process in such action may be a summons or warrant and in the event that the defendant in such action fails to answer such action, the court shall, upon finding an unlawful action, conduct, or practice to have been committed by the defendant, issue a warrant for the defendant's arrest in order to bring such person before the court to satisfy the civil penalties imposed. In any action commenced pursuant to this section, the court may order restored to any person in interest any monies or property, real or personal, acquired by means of an unlawful action, conduct or practice. Any action alleging the unlicensed conduct or practice of an activity regulated by any law or regulation administered by the control commission shall be brought pursuant to this section, or where injunctive relief is sought, by an action commenced in Superior Court. In any action brought pursuant to P.L.1959, c.109 (C.5:8-100 et seq.), the control commission or the court may order the payment of costs to the State.

Organizations registered with the control commission, holding a valid identification number, and not suspended or revoked at the time of any such action, conduct, or practice shall not be subject to the provisions of this section.

3. This act shall take effect immediately.

STATEMENT

This bill authorizes the Legalized Games of Chance Control Commission to seek and obtain in a summary proceeding in Superior Court an injunction prohibiting any action, conduct, or practice in violation of the Amusement Games Licensing Law, or related regulations.

The bill also establishes civil penalties for violations of such law and regulations that shall not be more than $7,500 for the first offense and $15,000 for the second and each subsequent offense. The Attorney General may bring an action in the name of the control commission for the collection or enforcement of civil penalties for the violation of any provision of a law or regulation administered by the control commission.