Mass. Gen. Laws ch. 23N, sec. 5 — MA Code / Part I / Title II / Chapter 23N / Section 5
License required to engage in sports wagering activity
Status: in_force

Section 5. (a) A person shall not engage in any activity in connection with sports wagering in the commonwealth unless all required licenses have been obtained in accordance with this chapter and the rules and regulations of the commission. (b) The commission shall not grant an operator license until it determines that each person who has control of the applicant meets all qualifications for licensure. For the purposes of this chapter, the following shall be considered to have control of an applicant: (i) a person who owns 10 per cent or more of a corporate applicant; provided, however, that a bank or other licensed lending institution that holds a mortgage or other lien acquired in the ordinary course of business shall not be considered to have control of an applicant; (ii) a person who holds a beneficial or proprietary interest of 10 per cent or more of an applicant's business; (iii) if the applicant is a corporation: (A) president; (B) chief executive officer; (C) chief operating officer; (D) chief financial officer; (E) treasurer; (F) secretary; (G) each inside director; and (H) chair of the board of directors; (iv) if the applicant is a limited liability corporation: (A) each member; (B) each manager; and (C) any transferee of a member's interest; and (v) if the applicant is a partnership, each partner. (c)(1) The commission may obtain a state and national fingerprint-based criminal background check, as authorized by Public Law 92–544, to determine the suitability of any applicant for an operator license under this section and any person who has control of an operator licensee as defined in paragraph (b) and any applicant for an occupational license as defined in section 3. (2)(i) Fingerprints shall be submitted to the identification section of the department of state police for a state criminal history check and forwarded to the Federal Bureau of Investigation for a national criminal history check, according to the policies and procedures established by the identification section and by the department of criminal justice information services. Fingerprint submissions may be retained by the Federal Bureau of Investigation, the state identification section and the department of criminal justice information services to assist the commission to ensure the continued suitability of these licensees and persons subject to criminal background checks under this section. The department of criminal justice information services may disseminate the results of the state and national criminal background checks to commission-authorized commission staff. (ii) Notwithstanding subsections 9 and 91/2 of section 4 of chapter 151B, if the commission receives information from a fingerprint-based check that does not include a final disposition or is otherwise incomplete, the commission may request that an applicant, including new and renewing applicants, provide additional information to assist the commission in determining the suitability of the individual for licensure, certification, approval or employment. (3) The commission may receive all available criminal offender record information, juvenile adjudications and delinquency matters, sealed records and the results of checks of state and national criminal history information databases under said Public Law 92–544. Upon receipt of the results of the state and national criminal background checks, the commission and its authorized staff shall treat the information according to sections 167 to 178, inclusive, of chapter 6 and the regulations thereunder regarding criminal offender record information. Information obtained by the commission under this section may be used only for such purposes. (4) There shall be a fee charged for fingerprint-based background checks under this section, established by the secretary of administration and finance in consultation with the secretary of public safety and security and the commissioner, to offset the costs of operating and administering a fingerprint-based criminal background check system. The secretary of administration and finance, in consultation with the secretary of public safety and the commissioner, may increase the fee accordingly if the Federal Bureau of Investigation increases its fingerprint background check service fee. Any fees collected from fingerprinting activity under this chapter shall be deposited into the Fingerprint-Based Background Check Trust Fund established under section 2HHHH of chapter 29. (5) Upon receipt of the results of a state and national criminal background check for an applicant, the commissioner shall review the results and determine the suitability of the applicant for said license. Any applicant convicted of any disqualifying offense, as determined by the commission, shall not be licensed. (6) The commission may promulgate regulations necessary to carry out this subsection. (d) Each person licensed under this chapter shall give the commission written notice not more than 30 days after any change to any material information provided in the application for a license or renewal. (e) A commission employee shall not be an applicant for any license issued under this chapter.

Section 5. (a) A person shall not engage in any activity in connection with sports wagering in the commonwealth unless all required licenses have been obtained in accordance with this chapter and the rules and regulations of the commission.

(b) The commission shall not grant an operator license until it determines that each person who has control of the applicant meets all qualifications for licensure. For the purposes of this chapter, the following shall be considered to have control of an applicant:

(i) a person who owns 10 per cent or more of a corporate applicant; provided, however, that a bank or other licensed lending institution that holds a mortgage or other lien acquired in the ordinary course of business shall not be considered to have control of an applicant;

(ii) a person who holds a beneficial or proprietary interest of 10 per cent or more of an applicant's business;

(iii) if the applicant is a corporation: (A) president; (B) chief executive officer; (C) chief operating officer; (D) chief financial officer; (E) treasurer; (F) secretary; (G) each inside director; and (H) chair of the board of directors;

(iv) if the applicant is a limited liability corporation: (A) each member; (B) each manager; and (C) any transferee of a member's interest; and

(v) if the applicant is a partnership, each partner.

(c)(1) The commission may obtain a state and national fingerprint-based criminal background check, as authorized by Public Law 92–544, to determine the suitability of any applicant for an operator license under this section and any person who has control of an operator licensee as defined in paragraph (b) and any applicant for an occupational license as defined in section 3.

(2)(i) Fingerprints shall be submitted to the identification section of the department of state police for a state criminal history check and forwarded to the Federal Bureau of Investigation for a national criminal history check, according to the policies and procedures established by the identification section and by the department of criminal justice information services. Fingerprint submissions may be retained by the Federal Bureau of Investigation, the state identification section and the department of criminal justice information services to assist the commission to ensure the continued suitability of these licensees and persons subject to criminal background checks under this section. The department of criminal justice information services may disseminate the results of the state and national criminal background checks to commission-authorized commission staff.

(ii) Notwithstanding subsections 9 and 91/2 of section 4 of chapter 151B, if the commission receives information from a fingerprint-based check that does not include a final disposition or is otherwise incomplete, the commission may request that an applicant, including new and renewing applicants, provide additional information to assist the commission in determining the suitability of the individual for licensure, certification, approval or employment.

(3) The commission may receive all available criminal offender record information, juvenile adjudications and delinquency matters, sealed records and the results of checks of state and national criminal history information databases under said Public Law 92–544. Upon receipt of the results of the state and national criminal background checks, the commission and its authorized staff shall treat the information according to sections 167 to 178, inclusive, of chapter 6 and the regulations thereunder regarding criminal offender record information. Information obtained by the commission under this section may be used only for such purposes.

(4) There shall be a fee charged for fingerprint-based background checks under this section, established by the secretary of administration and finance in consultation with the secretary of public safety and security and the commissioner, to offset the costs of operating and administering a fingerprint-based criminal background check system. The secretary of administration and finance, in consultation with the secretary of public safety and the commissioner, may increase the fee accordingly if the Federal Bureau of Investigation increases its fingerprint background check service fee. Any fees collected from fingerprinting activity under this chapter shall be deposited into the Fingerprint-Based Background Check Trust Fund established under section 2HHHH of chapter 29.

(5) Upon receipt of the results of a state and national criminal background check for an applicant, the commissioner shall review the results and determine the suitability of the applicant for said license. Any applicant convicted of any disqualifying offense, as determined by the commission, shall not be licensed.

(6) The commission may promulgate regulations necessary to carry out this subsection.

(d) Each person licensed under this chapter shall give the commission written notice not more than 30 days after any change to any material information provided in the application for a license or renewal.

(e) A commission employee shall not be an applicant for any license issued under this chapter.