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State of Play’s TL;DR
- Torch Electronics has been accused of restarting slot machines in Missouri businesses.
- A federal court last winter ruled that Torch’s machines were illegal gambling devices.
TNT Amusements alleges Torch Electronics restarted slot machines at six Missouri locations after suspending operations in April.
The allegation follows a February federal court ruling that declared Torch’s machines illegal gambling devices.
Torch says it is complying with government requests.
TNT alleges machines returned after April shutdown
According to the St. Louis Post-Dispatch, TNT filed court documents this week alleging that Torch reactivated machines despite an ongoing criminal investigation by the US Department of Justice and the Missouri attorney general’s office.
TNT’s filing says Torch representatives confirmed during a deposition earlier this month that some machines had been reactivated after the April shutdown. A deposition is testimony given under oath outside the courtroom.
“Torch has thumbed its nose at the jury’s verdict, this court’s declaratory judgment ruling, and now even at the Missouri Attorney General and US Department of Justice,” TNT’s attorneys wrote.
Torch owner Steven Miltenberger referred questions to Scott Rosenblum, who responded by text:
“Torch is in complete compliance with all government requests to date.”
Missouri ruling followed years of slot operations
Under Missouri law, slot machines are legal only in casinos. Torch once operated an estimated 6,000 machines at gas stations and bars across the state.
A jury verdict last October found that Torch misled the public through false advertising, claiming its games were not gambling devices. The February ruling by a St. Louis federal court subsequently sparked Missouri’s first statewide crackdown on illegal slot machines.
Torch told customers in April that it was suspending operations. Most of its machines disappeared from St. Louis gas stations shortly afterward.
Court documents estimated Torch’s profits last year at $68 million. Much of the company’s financial information remains redacted under a protective order, which limits disclosure of information in the case. The amount TNT is seeking and the amount Missouri consumers spent on the machines were also redacted.
The supplied reporting does not identify a next hearing or establish whether the alleged restarts will result in additional civil or criminal action.
Based on reporting by STLtoday.com.
