Section 2 also grants the Chair of the Board discretion to require a licensee to submit a new application for licensure or to hExisting law requires a licensee who participates in foreign gaming to file certain documents, reports and other information with the Board at certain periodic times.

(NRS 463.710) Section 3 of this bill:

(1) removes the requirement to file any amendments to the accounting and internal control systems utilized in the foreign gaming operation as soon as such amendments are made;

and (2) revises the time for filing of certain reports and information to require instead that such reports and information be filed during the regular auditing of the regulatory compliance procedures of the licensee.

Existing law defines the term “global risk management” as an operation, by a person who has been issued a license to operate a race book or sports pool, of certain risk management services between and among permissible jurisdictions through communications technology for the purposes of providing the management, or consultation or instruction in the management, of wagering pools and the transmission of information relating to wagering pools or other Assembly Amendment No.

325 to Assembly Bill No.

405 Page 4 the definition for purposes relating to the adoption of regulations governing global riskson to management.] Existing law makes it unlawful for a person to engage in certain actions relating to gaming and provides that a person who engages in such actions is guilty of:

(1) a category C felony for the first offense;

and (2) a category B for a second or subsequent offense.

and (2) with the intent that such an agreement is made to use less than the best efforts of the person to win, judge, referee, manage, coach or officiate, to limit a margin of victory or to adversely affect the outcome of a sporting event.

EXPLANATIONofficiate, –to Matterlimit ina boldedmargin italicsof isvictory new;THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

matterSection between1. brackets [omitted material] is material to be omitted.

THE[The PEOPLELegislature OFhereby THEfinds STATEand OFdeclares NEVADA,that: REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Sections1. 1-4.

(DeletedNevada byis amendment.)recognized Sec.internationally as the gaming capital of the world.

4.5.2.

NRSNevada 463.710 is herebya amendedleader toin readregulatory asstructure follows:and the integrity of the gaming industry is of paramount importance.

3.

It is the intent of the Legislature:

(a) To facilitate economic and efficient delivery of documentation in the gaming industry through means of reliable electronic messages.

(b) To enhance public confidence in the use of digital and electronic signatures in the gaming industry.

(c) To minimize the incidence of forged digital and electronic signatures and fraud in electronic commerce.

(d) To foster the development of electronic commerce through the use of digital and electronic signatures.

(e) To lend authenticity and integrity to writings in any electronic medium, including in the largest industry of this State.] (Deleted by amendment.) Sec.

2.

[Chapter 463 of NRS is hereby amended by adding thereto a new section to read as follows:

1.

An affiliated company which is a publicly traded corporation may apply for approval of a continuous or delayed public offering of its securities if such an affiliated company:

(a) Has a class of securities listed on either the New York Stock Exchange, the American Stock Exchange, the National Association of Securities Dealers Automatic Quotation System or has stockholders’ equity in an amount of $10 million or more as reported in its most recent report on Form 10-K or Form 10-Q filed with the United States Securities and Exchange Commission immediately preceding the application;

and (b) Has filed all reports required to be filed by section 13 or section 15(d) of the Federal Securities Exchange Act, or in the case of a foreign issuer or foreign private issuer, pursuant to Regulations 13d-16 and 15a-16 of the Federal Securities Exchange Act, during the immediately preceding 12 months or for any shorter period that the affiliated company is required to file such reports.

2.

The Commission may, without a hearing, grant an approval of a continuous or delayed offering for a period of not more than 5 years.

An approval granted pursuant to this section does not constitute an approval of other related transactions for which a separate Board or Commission approval is otherwise required pursuant to this chapter or the regulations adopted by the Assembly Amendment No.

325 to Assembly Bill No.

405 Page 5 Commission.

Upon such an approval, the Chair of the Board retains the discretion to require a new application for a license, or a hearing, or both, upon any investigation which is presented to the Board not less than 6 months before the expiration of the approval.

3.

If an application is approved, the affiliated company shall notify the Board of its intent to make the public offering and identify the type and amount of securities it proposes to sell and the date on which it is anticipated the sale will occur.

If such notification is not written, it must be followed, as soon as practicable, with a written confirmation which need not precede such sale.] (Deleted by amendment.) Sec.

3.

[NRS 463.710 is hereby amended to read as follows:

As soon as participation in foreign gaming beginsbegins: [:

(a) All]All , all documents filed by the licensee or by an affiliate with the foreign jurisdictionjurisdiction; .

[;and (b) The systems of accounting and internal control utilized in the foreign gaming operation .

and[and (b) The systems of accounting and internal control utilized in the foreign gaming operation and any amendments to the systems as soon as made.] - 81st Session (2021) – 2 – 2.

Annual[Annual operationaloperational] andDuring regulatorythe reportsregular describingauditing complianceof withthe regulations,regulatory procedurescompliance for audit, and procedures forof surveillance relating to the foreignlicensee: gaming operation.

(a) Operational and regulatory reports describing compliance with regulations, procedures for audit, and procedures for surveillance relating to the foreign gaming operation [.

Quarterly reports regarding any of the following information whi(a)which Anyis changeswithin inthe ownershipknowledge or control of any interest in the foreignlicensee: gaming operation;

(b)(a)] Any; changes in officers, directors or key employees of the foreign gaming operation;

(c)(b) AllAny complaints,changes disputes, orders to showthe causesystems and disciplinary actions, related to gaming, instituted or presided over by an entity of theaccounting Unitedand States,internal acontrol stateutilized orin any other governmental jurisdiction concerning the foreign gaming operation;

(d)(c) Any arrestchanges ofin anownership employee of the foreign gaming operation involving cheating or theft,control relatedof toany gaming,interest in the foreign jurisdiction;gaming operation;

and[(b)] (e)(d) Any arrestchanges orin convictionofficers, ofdirectors anor officer, director, key employeeemployees or owner of equity in the foreign gaming operationoperation; for an offense that would constitute a gross misdemeanor or felony in this state.

[(c)] (e) All complaints, disputes, orders to show cause and disciplinary actions, related to gaming, instituted or presided over by an entity of the United States, a state or any other governmental jurisdiction concerning the foreign gaming operation;

[(d)] (f) Any arrest of an employee of the foreign gaming operation involving cheating or theft, related to gaming, in the foreign jurisdiction;

and [(e)] (g) Any arrest or conviction of an officer, director, key employee or owner of equity in the foreign gaming operation for an offense that would constitute a gross misdemeanor or felony in this state.

[4.] 3.

Such other information as the Commission requires by regulation.] (Deleted by amendment.) Sec.

Such[NRS other463.810 informationis ashereby theamended Commissionto requiresread byas regulation.follows:

Sec.463.810 1.

As used in this section and NRS 463.820, unless the context otherwise requires, “global risk management” means the operation, by a person who has been issued a license to operate a race book or sports pool, or an affiliate of such a person, of risk management services between and among permissible jurisdictions through communications technology for the purposes of providing the management, or consultation or instruction in the management, of wagering pools and the transmission of information relating to wagering pools or other similar information.

The term:

(a) Includes, without limitation:

Assembly Amendment No.

325 to Assembly Bill No.

405 Page 6 (1) The management of risks associated with a wagering pool for a race or sporting event or any other event for which a wager may be accepted.

(2) The setting or changing of bets or wagers, cutoff times for bets or wagers, acceptance or rejection of bets or wagers, pooling or laying off of bets or wagers, lines, point spreads, odds or other activity relating to betting or wagering.

(3) The use, transmittal and accumulation of information and data for the purpose of providing risk management services.

(b) Does not include:

(1) The transmission or placement of a bet or wager for a race or sporting event or any other event for which a wager may be accepted between or among permissible jurisdictions.

(2) The provision of any information service, as defined by NRS 463.01642.

2.

As used in this section:

(a) “Communications technology” has the meaning ascribed to it in NRS 463.016425.

(b) “Permissible jurisdiction” means any jurisdiction in which global risk management or the betting or wagering on a race or sporting event is lawful or not otherwise expressly prohibited under the laws of that jurisdiction.

(c) “Wagering pool” means a pool or a combination of multiple pools for the placement of bets or wagers for a race or sporting event or any other event for which a wager may be accepted and which is located in a permissible jurisdiction.] (Deleted by amendment.) Sec.

course2. of play after acquiring knowledge, not available to allhe players, of the outcome of the game or any event that affects the outcome of the game or which is the subject of the bet or to aid anyone in acquiring such knowledge for the purpose of placing, increasing or decreasing a bet or determining the course of play contingent upon that event or outcome.

To place, increase or decrease a bet or to determine the course of play after acquiring knowledge, not available to all players, of the outcome of the game or any event that affects the outcome of the game or which is the subject of the bet or to aid anyone in acquiring such knowledge for the purpose of placing, increasing or decreasing a bet or determining the course of play contingent upon that event or outcome.

- 81st Session (2021) – 3 – 5.

To manipulate, with the intent to cheat, any component of a gaming device in a manner contrary to the designed and normal operational purpose for the component, including, but not limited to, varying the pull of the handle of a slot machine, with knowledge that the manipulation affects the outcome of the game or with kno8.edgToknowledge offer, promise or give anything of valueany toevent anyone for the purpose of influencing the outcome of a race, sporting event, contest or game upon which a wager may be made, or to place, increase or decrease a wager after acquiring knowledge, not available to the general public, that anyoneaffects has been offered, promised or given anything of value for the purpose of influencing the outcome of the race,game. sporting event, contest or game upon which the wager is placed, increased or decreased.

Assembly Amendment No.

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405 Page 7 8.

To offer, promise or give anything of value to anyone for the purpose of influencing the outcome of a race, sporting event, contest or game upon which a wager may be made, or to place, increase or decrease a wager after acquiring knowledge, not available to the general public, that anyone has been offered, promised or given anything of value for the purpose of influencing the outcome of the race, sporting event, contest or game upon which the wager is placed, increased or decreased.

To violate any provision of this section through any agreement with a player, participant, judge, referee, manager,manager , coach or other official,official if such an agreement is made with the intent for the player, participant, judge, referee, manager,manager , coach or other official to use less than his or her best efforts to win, judge, referee, manage,manage , coach or officiate, to limit a margin of victory or to adversely affect the outcome of a sporting event.

(Deleted[1. by amendment.) ~~~~~ 21 - 81st Session (2021)

This section and section 4 of this act become effective upon passage and approval.

2.

Sections 1, 2, 3, 5 and 6 of this act becomes effective on October 1, 2021.

] (Deleted by amendment.)