Virginia Code 58.1-4114: Supplier’s permits; penalty
A. The Board may issue a supplier‘s permit to any person upon application and payment of a nonrefundable application fee set by the Board, a determination by the Board that the applicant is eligible for a supplier’s permit, and payment of a $5,000 initial permit fee. A supplier’s permit shall be renewed at a fee to be determined by the Department, not to exceed $5,000 per year of licensure. Such fees shall be deposited by the Department into the Gaming Regulatory Fund established pursuant to § 58.1-4048. The Board shall prescribe by regulation the criteria for the issuance, duration, and renewal of supplier’s permits.
Attorney's Note
Under the Virginia Code, punishments for crimes depend on the classification. In the case of this section:| Class | Prison | Fine |
|---|---|---|
| Class 4 felony | 2 to 10 years | up to $100,000 |
Terms Used In Virginia Code 58.1-4114
- Board: means the Virginia Lottery Board established in the Virginia Lottery Law (§ 58. See Virginia Code 58.1-4100
- Casino gaming establishment: means the premises, including the entire property located at the address of the licensed casino, upon which lawful casino gaming is authorized and licensed as provided in this chapter. See Virginia Code 58.1-4100
- Contract: A legal written agreement that becomes binding when signed.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Department: means the independent agency responsible for the administration of the Virginia Lottery created in the Virginia Lottery Law (§ 58. See Virginia Code 58.1-4100
- Director: means the Director of the Virginia Lottery. See Virginia Code 58.1-4100
- Entity: means a person that is not a natural person. See Virginia Code 58.1-4100
- Gaming operation: means the conduct of authorized casino gaming within a casino gaming establishment. See Virginia Code 58.1-4100
- Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Person: means an individual, partnership, joint venture, association, limited liability company, stock corporation, or nonstock corporation and includes any person that directly or indirectly controls or is under common control with another person. See Virginia Code 58.1-4100
- Principal: means any individual who solely or together with his immediate family members (i) owns or controls, directly or indirectly, five percent or more of the pecuniary interest in any entity that is a licensee or (ii) has the power to vote or cause the vote of five percent or more of the voting securities or other ownership interests of such entity, and any person who manages a gaming operation on behalf of a licensee. See Virginia Code 58.1-4100
- State: when applied to a part of the United States, includes any of the 50 states, the District of Columbia, the Commonwealth of Puerto Rico, Guam, the Northern Mariana Islands, and the United States Virgin Islands. See Virginia Code 1-245
- Supplier: means any person that sells or leases, or contracts to sell or lease, any casino gaming equipment, devices, or supplies, or provides any management services, to a licensee. See Virginia Code 58.1-4100
- United States: includes the 50 states, the District of Columbia the Commonwealth of Puerto Rico, Guam, the Northern Mariana Islands and the United States Virgin Islands. See Virginia Code 1-255
B. The holder of a supplier’s permit may sell or lease, or contract to sell or lease, casino gaming equipment and supplies, or provide management services, to any licensee involved in the ownership or management of gaming operations to the extent provided in the permit.
C. Gaming equipment, devices, and supplies shall not be distributed unless such equipment, devices, and supplies conform to standards adopted by the Department.
D. A person is ineligible to receive a supplier’s permit if:
1. The person has been convicted of a felony under the laws of the Commonwealth or any other state or of the United States;
2. The person has submitted an application for a license under this chapter that contains false information;
3. The person is a Board member, employee of the Department, or a member of the immediate household of a Board member or Department employee;
4. The person is an entity in which a person described in subdivision 1, 2, or 3 is an officer, director, principal, or managerial employee;
5. The firm or corporation employs a person who participates in the management or operation of casino gaming authorized under this chapter; or
6. A prior permit issued to such person to own or operate casino gaming establishments or supply goods or services to a gaming operation under this chapter or any laws of any other jurisdiction has been revoked.
E. Any person that supplies any casino gaming equipment, devices, or supplies to a licensed gaming operation or manages any operation, including a computerized network, of a casino gaming establishment shall first obtain a supplier’s permit. A supplier shall furnish to the Department a list of all management services, equipment, devices, and supplies offered for sale or lease in connection with the games authorized under this chapter. A supplier shall keep books and records for the furnishing of casino gaming equipment, devices, and supplies to gaming operations separate and distinct from any other business that the supplier might operate. A supplier shall file a quarterly return with the Department listing all sales and leases for which a permit is required. A supplier shall permanently affix its name to all its equipment, devices, and supplies for gaming operations. Any supplier’s equipment, devices, or supplies that are used by any person in an unauthorized gaming operation shall be forfeited to the Commonwealth.
F. A licensed operator may operate its own equipment, devices, and supplies and may utilize casino gaming equipment, devices, and supplies at such locations as may be approved by the Department for the purpose of training enrollees in a school operated by the licensee to train individuals who desire to become qualified for employment or promotion in gaming operations. The Board may promulgate regulations for the conduct of any such schools.
G. Each holder of an operator’s license under this chapter shall file an annual report with the Department listing its inventories of casino gaming equipment, devices, and supplies related to its operations in Virginia.
H. Any person who knowingly makes a false statement on an application for a supplier’s permit is guilty of a Class 4 felony.
2020, cc. 1197, 1248; 2021, Sp. Sess. I, c. 7; 2023, cc. 586, 587.