Cease-and-desist letters have been sent to Daily Fantasy Sports leaders FanDuel and DraftKings. State Attorney General Eric Schneiderman says the companies have five days to stop accepting bets in New York.
Speaking to Susan Arbetter on Wednesday's The Capitol Pressroom, Schneiderman said both companies are engaged in illegal gambling.
"Any type of gambling that wants to operate in New York has to get an exception or exemption the same way the horse track guys got it. The same way the casino industry got it. So [this is not] me drawing the line. This is holding the law steady so that it's unfair to everyone else who went through the whole process of getting an exemption," Schneiderman said.
Schneiderman says the ever-present ads for both sites also mislead sports fans into thinking they'll win a pile of cash. He adds addiction counselors point out that many gamblers are getting hooked on daily fantasy sports.
The AG's action does not implicate traditional season-long fantasy sports.