TITLE 28

Sports and Amusements

CHAPTER 15. DELAWARE BOARD OF CHARITABLE GAMING

Subchapter III. Licensing


(a) The Board may license an organization as defined in article II, § 17A or § 17B of the state Constitution to conduct the games, provided the organization is located in and seeks to conduct the game in a district which has approved the licensing of games by referendum.

(b) The Board may designate to the Director of the Division of Professional Regulation the authority to issue permits and licenses administratively using specified criteria agreed upon by the Board and the Director.

28 Del. C. 1953, § 1130; 51 Del. Laws, c. 65, § 1; 64 Del. Laws, c. 100, §§ 4-6; 77 Del. Laws, c. 22, § 3; 79 Del. Laws, c. 199, § 4.;

(a) Each applicant for a permit or license shall file with the Board a written application in the form prescribed in its rules and regulations, duly executed and notarized, in which shall be stated the name and address of the applicant together with sufficient facts relating to its organization to enable the Board to determine whether or not it is a bona fide organization eligible to conduct games within the meaning of article II, § 17A or § 17B of the state Constitution. The applicant shall supply such other facts as the Board may require.

(b) In each application there shall be designated the active member or members of the organization under whom the games are to be conducted. To the application shall be appended a statement by the applicant to indicate that if a permit or license is granted the undersigned will be responsible for the conduct of such game in accordance with the terms of this chapter, the permit or license and the rules and regulations governing the conduct of such games.

(c) Proof that contributions are considered tax deductible under § 170 of the Internal Revenue Code of the United States (26 U.S.C. § 170) shall be prima facie evidence that the applicant is an eligible organization within the meaning of article II, § 17A or § 17B of the state Constitution, but the Board may require any additional information from the applicant which may be pertinent to the question of its eligibility.

28 Del. C. 1953, § 1131; 51 Del. Laws, c. 65, § 1; 64 Del. Laws, c. 100, §§ 4-6; 77 Del. Laws, c. 22, §§ 4-8; 79 Del. Laws, c. 199, § 4.;

(a) The Board or its designee shall make a review of the qualifications of each applicant and the merits of each application.

(b) The Board or its designee may issue a permit or license only after it determines that:

(1) The applicant is duly qualified to conduct games under the state Constitution and of this chapter and the rules and regulations governing the conduct of games; and

(2) The persons who intend to conduct the games are persons of good moral character and have never been convicted of crimes or crimes involving moral turpitude; and a bona fide active member shall be on the premises during the conduct of the event; and

(3) Such games are to be conducted in accordance with the provisions of the state Constitution and this chapter and in accordance with the rules and regulations governing the conduct of games; and

(4) The proceeds are to be disposed of as provided in the state Constitution and by this chapter; and

(5) No unreasonable salary, compensation or reward whatever will be paid or given to any member under whom the game is conducted.

28 Del. C. 1953, § 1132; 51 Del. Laws, c. 65, § 1; 64 Del. Laws, c. 100, §§ 4, 5; 69 Del. Laws, c. 216, §§ 2, 4; 71 Del. Laws, c. 444, § 5; 77 Del. Laws, c. 22, §§ 9-16; 77 Del. Laws, c. 112, § 2; 78 Del. Laws, c. 102, § 2; 79 Del. Laws, c. 199, § 4.;

(a) There shall be a permit or license fee of $15 for each occasion upon which bingo or charitable gambling are to be conducted under such permit or license.

(b) The Board or its designee may issue a permit or license without fee to any bona fide organization eligible to conduct games within the meaning of article II, § 17A or § 17B of the state Constitution, provided such organization conducts games for recreational purposes, does not intend to make a profit, does not make a profit, does not charge a fee for participation and offers no prize in excess of $5.00 for any single game.

28 Del. C. 1953, § 1133; 51 Del. Laws, c. 65, § 1; 54 Del. Laws, c. 102; 55 Del. Laws, c. 160; 62 Del. Laws, c. 17, § 1; 64 Del. Laws, c. 93, § 1; 64 Del. Laws, c. 100, §§ 4-6; 67 Del. Laws, c. 16, §§ 3, 4; 77 Del. Laws, c. 22, §§ 17, 18, 20-23; 78 Del. Laws, c. 102, § 2; 79 Del. Laws, c. 199, § 4.;

(a) No permit or license shall be effective for a period of more than 1 year from the date it was issued.

(b) No license shall be effective after the organization to which it was granted has become ineligible to conduct the game under any provision of article II, § 17A or § 17B of the state Constitution.

(c) No license shall be effective after the voters in any district designated in article II, § 17A or § 17B of the state Constitution have decided against games in a referendum held pursuant to that section and this title.

28 Del. C. 1953, § 1134; 51 Del. Laws, c. 65, § 1; 64 Del. Laws, c. 100, §§ 4, 6; 77 Del. Laws, c. 22, §§ 24, 25; 79 Del. Laws, c. 199, § 4.;

No properly submitted application for a license shall be refused by the Board or its designee until a hearing is held after proper notice to the applicant. At any such hearing the applicant shall be entitled to be heard upon the qualifications of the applicant and the merits of the application. The burden of proof shall be on the applicant.

28 Del. C. 1953, § 1135; 51 Del. Laws, c. 65, § 1; 64 Del. Laws, c. 100, § 5; 77 Del. Laws, c. 22, §§ 26, 27; 79 Del. Laws, c. 199, § 4.;

Any permit or license issued under this chapter may be amended by the Board or its designee if the subject matter of the proposed amendment could lawfully and properly have been included in the original license upon application and payment of an additional license fee.

28 Del. C. 1953, § 1136; 51 Del. Laws, c. 65, § 1; 64 Del. Laws, c. 100, § 5; 77 Del. Laws, c. 22, §§ 28-30; 79 Del. Laws, c. 199, § 4.;

(a) Each permit shall be in the form prescribed in the rules and regulations of the Board and shall contain:

(1) The name and address of the permit holder;

(2) The number of times and the hours during which such games are to be conducted;

(3) The prize or prizes to be offered or given and the maximum wagering limit or limits;

(4) Any other information which may be required by the rules and regulations.

(b) Each permit or license shall be conspicuously displayed at the place where the game is to be conducted for the duration of the event.

28 Del. C. 1953, § 1137; 51 Del. Laws, c. 65, § 1; 64 Del. Laws, c. 100, § 5; 77 Del. Laws, c. 22, §§ 31-35; 79 Del. Laws, c. 199, § 4.;

(a) The Board shall exercise control and supervision over all games to the end that the games are fairly conducted in accordance with the provisions of the permit or license, the rules and regulations of the Board, the provisions of the state Constitution and of this chapter.

(b) After investigation reveals that a licensee or permittee has committed a violation of this chapter or of the rules of the Delaware Board of Charitable Gaming which the Board believes does not warrant formal action, the Board may endeavor to obtain compliance by a written letter of concern. Such letter shall be provided to the licensee or permittee, shall specify the violation and propose a time for correction of the violation. It may also provide an opportunity for a public hearing at which the Board shall hear and consider any submission relevant to the violation, corrective action, or the time frame for correcting the violation. Receipt of 3 letters of concern within a 1-year period by the same licensee or permittee shall constitute a violation warranting formal action.

(c) The Board, its officers and agents shall have the right of entry at all times into any place where any such game is being conducted or where it is intended that any such game shall be conducted or where any equipment being used or intended to be used in the conduct thereof is found, for the purpose of inspecting the same.

28 Del. C. 1953, § 1138; 51 Del. Laws, c. 65, § 1; 64 Del. Laws, c. 100, § 5; 77 Del. Laws, c. 22, §§ 36, 37; 78 Del. Laws, c. 102, § 1; 79 Del. Laws, c. 199, § 4.;

(a) Bingo and charitable games conducted shall not commence prior to 12:00 p.m. The operation of a game shall be limited to 6 consecutive hours, except as permitted by regulation. Instant or sealed games are permitted during any event sponsored by the entity that is licensed to conduct it, regardless of the day or time. No bingo or charitable gaming may take place after 1:00 a.m.

(b) No person under the age of 18 years shall be permitted in the area where the game is played.

(c) No item of expense shall be incurred or paid in connection with the conduct of the game except such as are bona fide items of a reasonable amount for merchandise furnished or services rendered which are reasonably necessary for the conduct of the game.

28 Del. C. 1953, § 1139; 51 Del. Laws, c. 65, § 1; 58 Del. Laws, c. 335; 59 Del. Laws, c. 367, § 1; 61 Del. Laws, c. 355, § 1; 62 Del. Laws, c. 325, § 1; 64 Del. Laws, c. 100, §§ 4, 5, 7-9; 67 Del. Laws, c. 16, §§ 5, 6; 69 Del. Laws, c. 216, §§ 1, 3; 71 Del. Laws, c. 444, §§ 1-4; 77 Del. Laws, c. 22, §§ 38-46, 48-50; 77 Del. Laws, c. 112, § 1; 78 Del. Laws, c. 102, §§ 2, 5; 79 Del. Laws, c. 199, § 4; 80 Del. Laws, c. 416, § 2.;

(a) Within 30 days after the conclusion of any game, the organization which conducted the game and its member or members who were in charge shall furnish to the Board a duly sworn statement showing:

(1) The gross receipts derived from each game;

(2) Each item of expense incurred or paid;

(3) The name and address of each person to whom each such item has been, or is to be paid, with a description of the merchandise purchased or the services rendered therefor;

(4) The net profit derived for each such game;

(5) The general uses to which such net profit has been or is to be applied; and

(6) A list of prizes offered and given, with the respective values thereof.

(b) Each licensee shall maintain the records to substantiate the particulars of the reports.

(c) The Board may examine or cause to be examined the records of any organization to which any license is issued so far as they may relate to any transactions connected with games and examine any manager, officer, director, agent or employee thereof under oath in relation to the conduct of any games.

28 Del. C. 1953, § 1140; 51 Del. Laws, c. 65, § 1; 64 Del. Laws, c. 100, §§ 4, 5; 67 Del. Laws, c. 16, § 7; 77 Del. Laws, c. 22, §§ 51-54; 79 Del. Laws, c. 199, § 4.;