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In many jurisdictions, an unlicensed poker game may still be legal if the game is played in a residence, the 🧾 host does not profit, and/or the buy-in fees do not exceed a certain threshold. Even if the game itself is 🧾 illegal, in some jurisdictions it is not illegal to just play such a game. In such cases, only the organizers 🧾 of such games are civilly and/or criminally responsible. The zeal from local law enforcement agencies also varies by location. Often, 🧾 players and hosts of underground poker games worry more with being targeted for armed robbery than being targeted with legal 🧾 action.
An underground poker room usually generates revenue by collecting rake or other house fees while not being a licensed gaming 🧾 operator. Organized crime groups, such as the American Mafia, often host, provide protection for, or are otherwise involved in high-stakes 🧾 underground poker games. Underground poker venues can also generate revenue by selling food and beverages or by offering side games 🧾 such as blackjack or craps.
Canada [ edit ]
Under the Criminal Code, any game of poker that is not specifically licensed 🧾 by the relevant provincial or territorial gaming regulator is covered by either Section 201 or Section 204 of the Code. 🧾 Section 201(1) makes it an indictable offence for to "(keep) a common gaming house or common betting house" with a 🧾 maximum penalty of two years' imprisonment, while Section 201(2) makes it a summary offence to be "found, without lawful excuse, 🧾 in a common gaming house or common betting house" with a maximum penalty of six months' imprisonment and/or aR$5,000 fine.[1] 🧾 On the other hand, Section 204(1)(b) provides that "a private bet between individuals not engaged in any way in the 🧾 business of betting" is exempt from the provisions of Section 201, and thus is not unlawful.[2] This has been consistently 🧾 interpreted to mean that a poker game taking place in a dwelling house is legal in Canada, so long as 🧾 the host is not taking "rake" or otherwise directly profiting from hosting the game. Whether a poker game played on 🧾 a similar "not for profit" basis somewhere other than a dwelling house (for example, in the warehouse of a small 🧾 business) also enjoys the exemption of Section 204(1)(b) is disputed.
The laws governing gaming in Canada were written prior to the 🧾 invention of internet gaming. Notably, Section 201(2) makes no distinction with regards to whether individuals present in an illegal poker 🧾 room are actually playing poker, while on the other hand there has never been (as of 2013) a prosecution in 🧾 Canada simply for participating in Internet gaming not licensed in Canada.
Chip Romig, MMR 423
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