Subchapter 26 - GAMES OF CHANCE

Section 20-433

Section 20-433

  §  20-433 Short title. This subchapter shall be known and may be cited
as the New York city games of chance licensing law.

Section 20-434

Section 20-434

  §  20-434  Legislative  intent.  The  council hereby declares that the
raising of funds for the promotion of bona fide charitable, educational,
scientific, health, religious, and patriotic  causes  and  undertakings,
where  the beneficiaries are undetermined, is in the public interest. It
hereby  finds  that,  as  conducted  prior  to  the  enactment  of  this
subchapter,  games  of  chance  were  the  subject  of  exploitation  by
professional gamblers, promoters and commercial interests. It is  hereby
declared to be the policy of the council that all phases of supervision,
licensing  and regulation of games of chance and the conduct of games of
chance should  be  closely  controlled  and  that  the  local  laws  and
regulations  pertaining thereto should be strictly construed and rigidly
enforced; that the conduct of the games  and  all  attendant  activities
should  be  so  regulated  and  adequate  controls  so  instituted as to
discourage commercialization in all its forms, including the  rental  of
commercial  premises  for  games  of  chance,  and  to  ensure a maximum
availability of the net proceeds of  games  of  chance  exclusively  for
application to the worthy causes and undertakings specified herein; that
the only justification for this subchapter is to foster and support such
worthy  causes and undertakings, and that the mandate of section nine of
article one of the state constitution, as amended, and of article nine-A
of the general municipal law, should be carried out by rigid regulations
to prevent commercialized gambling, prevent  participation  by  criminal
and  other  undesirable elements and prevent the diversion of funds from
the purposes herein authorized.

Section 20-435

Section 20-435

  §  20-435 Definitions. As used in this subchapter, the following terms
shall have the following meanings:
  1. "Board" shall mean New York state racing and wagering board.
  2. "Games of chance" shall mean and include specific games of  chance,
in  which prizes are awarded on the basis of a designated winning number
or numbers, color or colors, symbol or symbols determined by chance, but
not including games  commonly  known  as  "bingo  or  lotto"  which  are
controlled under article fourteen-H of the general muncipal law and also
not  including  "slot  machines",  "bookmaking",  and "policy or numbers
games" as defined in section 225.00 of the penal law. No game of  chance
shall involve wagering of money by one player against another player.
  3.  "Authorized  organization"  shall  mean  and include any bona fide
religious or charitable organization or bona fide educational or service
organization  or  bona  fide  organization  of  veterans  or   volunteer
firefighters,  which  by  its  charter,  certificate  of  incorporation,
constitution, or act of the legislature, shall have among  its  dominant
purposes  one  or  more  of  the  lawful  purposes  as  defined  in this
subchapter, provided that each  shall  operate  without  profit  to  its
members, and provided that each such organization has engaged in serving
one  or  more of the lawful purposes as defined in this subchapter for a
period of three years immediately prior to applying for a license  under
this subchapter.
  No  organization  shall  be deemed an authorized organization which is
formed primarily for the purpose of conducting games of chance  and  the
distribution of the proceeds thereof to itself or any other organization
and  which  does  not  devote  at  least  seventy-five  percent  of  its
activities to other purposes set forth in this subdivision. No political
party shall be deemed an authorized organization.
  4. "Lawful purposes" shall mean one or more of the  following  causes,
deeds or activities:
  (a) Those which shall benefit needy or deserving persons indefinite in
number  by  enhancing  their  opportunity  for  religious or educational
advancement, by relieving them from disease, suffering or  distress,  or
by  contributing  to  their  physical  well-being,  by assisting them in
establishing themselves in life as worthy and  useful  citizens,  or  by
increasing  their  comprehension  of  a  devotion to the principles upon
which this nation was founded  and  enhancing  their  loyalty  to  their
governments.
  (b)  Those which shall initiate, perform or foster worthy public works
or shall enable  or  further  the  erection  or  maintenance  of  public
structures;
  (c) Those which shall otherwise lessen the burdens borne by government
or  which  are  voluntarily  undertaken by an authorized organization to
augment or supplement services which government would normally render to
the people.
  5. "Net proceeds" shall mean (a) in relation  to  the  gross  receipts
from  one  or  more  occasions of games of chance, the amount that shall
remain after deducting the  reasonable  sums  necessarily  and  actually
expended  for  supplies  and  equipment,  prizes,  stated rental if any,
bookkeeping  or  accounting  services  according  to   a   schedule   of
compensation  prescribed  by  the board, janitorial services and utility
supplies if any, license fees, and the cost of  bus  transportation,  if
authorized  by  the board and (b) in relation to the gross rent received
by an organization licensed to conduct such games for  the  use  of  its
premises  by  another  licensee,  the  amount  that  shall  remain after
deducting the reasonable sums  necessarily  and  actually  expended  for
janitorial  services  and utility supplies directly attributable thereto
if any.

  6. "Net lease" shall mean a written agreement  between  a  lessor  and
lessee  under  the  terms  of  which  the  lessee  is  entitled  to  the
possession, use or occupancy of the whole or part of any  premises  from
any  non-commercial or non-profit organization for which the lessee pays
rent  to  the lessor and likewise undertakes to pay substantially all of
the regularly recurring expenses to the  operation  and  maintenance  of
such leased premises.
  7.  "Authorized  games  of  chance  lessor"  shall  mean an authorized
organization which has been granted a lessor's license pursuant  to  the
provisions of this subchapter.
  8. "Prize" shall mean a sum of money or item or merchandise awarded by
the  authorized  organization  to  a participant in any one operation or
conducting of a game of chance in which  participants  utilize  currency
for participation and in which those who are not winners surrender their
participating currency at the conclusion of the single operation of such
game of chance. No prize for any one participant in any one operation or
conducting  of  such  single  game of chance shall exceed the sum of one
hundred dollars. If a prize is awarded based on odds, only that  portion
in  excess  of  the  winning  participant's bet shall be considered as a
prize. For the purposes of this subdivision, the value of a prize  which
consists  of  merchandise  shall  be the actual cost of the item of such
merchandise.
  9. "Authorized supplier of games of chance equipment" shall  mean  any
person,  firm, partnership or organization licensed by the board to sell
or lease games of chance equipment  or  paraphernalia  which  meets  the
specifications  and regulations established by the board. Nothing herein
shall  prevent  an  authorized  organization  from   purchasing   common
articles,  such as cards and dice, from normal sources of supply of such
articles or from constructing equipment and paraphernalia for  games  of
chance  for  its  own  use.  However, no such equipment or paraphernalia
constructed by an authorized organization shall be sold or leased to any
other authorized organization without written permission from the board.
  10. "One occasion" shall mean the conducting of any one type  of  game
of  chance during any one license period. No series of prizes on any one
occasion shall aggregate more than one thousand dollars.
  11. "Licensed period" shall mean  a  period  of  time  not  to  exceed
fourteen consecutive hours.

Section 20-436

Section 20-436

  §  20-436 Conduct of games of chance. 1. No person, firm, association,
corporation or organization, other than a licensee under the  provisions
of  this subchapter, shall conduct such game or shall lease or otherwise
make available for conducting games of chance a hall or  other  premises
for any consideration whatsoever, direct or indirect, except as provided
in section 20-437 of this subchapter.
  2. No game of chance shall be held, operated or conducted on or within
any  leased premises if rental under such lease is to be paid, wholly or
partly, on the basis of a percentage of  the  receipts  or  net  profits
derived from the operation of such game.
  3.  No  authorized  organization licensed under the provisions of this
subchapter  shall  purchase  or  receive  any  supplies   or   equipment
specifically  designed  or  adapted  for  use in the conduct of games of
chance from other than a supplier licensed by the board or from  another
authorized organization.
  4.  The  entire  net  proceeds of any game of chance and of any rental
shall be exclusively devoted to the lawful purposes of the  organization
permitted to conduct the same.
  5.  No  prize  shall exceed the sum or value of one hundred dollars in
any operation or conducting of a single game of  chance  as  defined  in
section  20-435  of  this  subchapter.  No single wager shall exceed ten
dollars.
  6. No series of prizes on any one occasion of games  of  chance  shall
aggregate more than one thousand dollars as defined in section 20-435 of
this subchapter.
  7.  No  person except a bona fide member of any such organization, its
auxiliary  or  affiliated  organization,  shall   participate   in   the
management  or operation of such game, as set forth in section 20-444 of
this subchapter.
  8. No person shall receive any remuneration for participating  in  the
management or operation of any such game.
  9.  The  unauthorized conduct of a game of chance shall constitute and
be punishable as a misdemeanor.

Section 20-437

Section 20-437

  §  20-437  Application for license. 1. To conduct games of chance. (a)
Each applicant for a license shall, after  obtaining  an  identification
number  from  the board, file with the department, a written application
therefor in form to be  prescribed  by  the  board,  duly  executed  and
verified, in which shall be stated:
  (1)  the  name  and  address of the applicant together with sufficient
facts relating to its incorporation  and  organization  to  enable  such
department  to  determine  whether  or  not it is a bona fide authorized
organization;
  (2) the names and addresses of  its  officers;  the  place  or  places
where,  the  date  or  dates  and  the  time or times when the applicant
intends to conduct games under the license applied for;
  (3) the amount of rent to be paid or other consideration to  be  given
directly  or  indirectly  for  each  occasion for use of the premises of
another  authorized  organization  licensed  under  this  subchapter  to
conduct such games or for the use of the premises of an authorized games
of chance lessor;
  (4)  all  other  items  of  expense intended to be incurred or paid in
connection with the holding, operating and conducting of such  games  of
chance  and  the  names  and  addresses  of the persons to whom, and the
purposes for which, they are to be paid;
  (5) the purposes to which the entire net proceeds of such games are to
be devoted and in what manner; that no commission, salary, compensation,
reward or recompense will be paid to any person for conducting such game
or games or for assisting therein except as in this subchapter otherwise
provided; and such other information as  shall  be  prescribed  by  such
rules and regulations of the board.
  (b)  In  each application there shall be designated not less than four
active members of the applicant organization  under  whom  the  game  or
games  of  chance  will  be  conducted  and  to the application shall be
appended a statement executed by the members so  designated,  that  they
will be responsible for the conduct of such games in accordance with the
terms  of the license, and the rules and regulations of the board and of
this subchapter.
  2. Authorized games of chance lessor. Each applicant for a license  to
lease  premises to a licensed organization for the purpose of conducting
games of chance  therein  shall  file  with  the  department  a  written
application  therefor,  in  a  form  to be prescribed by the board, duly
executed and verified, which shall set forth the name and address of the
applicant; designation and  address  of  the  premises  intended  to  be
covered  by  the  license  sought; a statement that the applicant in all
respects conforms with the specifications contained in the definition of
"authorized  organization"  set  forth  in  section   20-435   of   this
subchapter,  and  such  other  information as shall be prescribed by the
board.

Section 20-438

Section 20-438

  §  20-438    Investigation;  matters  to  be  determined;  issuance of
license; fees; duration of license. 1.   The department  shall  make  an
investigation  of the qualifications of each applicant and the merits of
each  application,  with  due  expedition  after  the  filing   of   the
application.
  (a)  Issuance  of  licenses  to  conduct  games  of  chance.   If such
department shall determine that the applicant is duly  qualified  to  be
licensed  to  conduct  games  of  chance under this subchapter; that the
members of the applicant designated in the application to conduct  games
of  chance are bona fide active members of the applicant and are persons
of good moral character and have never been convicted of a crime, or, if
convicted, have received a pardon or a certificate of good conduct; that
such games are to be conducted in accordance with the provisions of this
subchapter and in accordance with the rules and regulations of the board
and that the proceeds thereof are to be disposed of as provided by  this
subchapter;  and  if  such  department  is satisfied that no commission,
salary, compensation, reward or recompense  whatever  will  be  paid  or
given to any person holding, operating or conducting or assisting in the
holding,  operation  and  conduct  of  any  such games except as in this
subchapter otherwise provided; and that no prize will be given in excess
of the sum or value of one hundred dollars in any single game  and  that
the  aggregate  of  all prizes given on one occasion, under said license
shall not  exceed  the  sum  or  value  of  one  thousand  dollars,  the
department  shall  issue  a  license to the applicant for the conduct of
games of chance upon payment of a license fee of twenty-five dollars for
each license period.
  (b) Issuance of licenses to authorized games of chance  lessors.    If
such  department  shall  determine that the applicant seeking to lease a
hall or premises for the conduct of games of  chance  to  an  authorized
organization  is  duly  qualified  to be licensed under this subchapter;
that the applicant satisfies the requirements for an authorized games of
chance lessor as defined in section 20-435 of this subchapter that  such
department shall find and determine that there is a public need and that
public  advantage  will  be served by the issuance of such license; that
the applicant has filed its  proposed  rent  for  each  game  of  chance
occasion; that there is no diversion of the funds of the proposed lessee
from  the  lawful  purposes as defined in this subchapter; and that such
leasing of a hall or premises for the conduct of such games is to be  in
accordance with the provisions of this subchapter and in accordance with
the  rules  and  regulations  of  the  board,  it  shall issue a license
permitting the applicant to lease said premises for the conduct of  such
games  to  the authorized organization or organizations specified in the
application during the period therein specified or such  shorter  period
as  such  department  shall  determine, but not to exceed one year, upon
payment of a license fee of fifty dollars.
  2.  On or before the thirtieth day  of  each  month,  the  comptroller
shall  transmit to the state comptroller a sum equal to fifty percent of
all authorized games of chance  lessor  license  fees  and  the  sum  of
fifteen  dollars  per  license period for the conduct of games of chance
collected by  such  department  pursuant  to  this  section  during  the
preceding calendar month.
  3.    No  license shall be issued under this subchapter which shall be
effective for a period of more than one year.

Section 20-439

Section 20-439

  §  20-439  Hearing;  amendment  of  license. 1. No application for the
issuance of a license to an authorized organization shall be  denied  by
the  department,  until  after  a  hearing,  held  on  due notice to the
applicant, at which the applicant shall be entitled to be heard upon the
qualifications of the applicant and the merits of the application.
  2. Any license issued under  this  subchapter  may  be  amended,  upon
application  made  to  such  department  which issued it, if the subject
matter of the proposed amendment could lawfully and properly  have  been
included  in  the  original  license and upon payment of such additional
license fee if any, as would  have  been  payable  if  it  had  been  so
included.

Section 20-440

Section 20-440

  §  20-440  Form  and  contents of license; display of license. 1. Each
license to conduct games of chance shall be in such  form  as  shall  be
prescribed  in  the  rules and regulations promulgated by the board, and
shall contain a statement of the name and address of  the  licensee,  of
the  names  and addresses of the member or members of the licensee under
whom the games will be conducted, of the place or places where  and  the
date  or dates and time or times when such games are to be conducted and
of the purposes to which the entire net proceeds of such games are to be
devoted; if any prize or prizes are to be given in cash, a statement  of
the  amounts  of  the  prizes  authorized  so to be given; and any other
information which may be required by said rules and  regulations  to  be
contained  therein, and each license issued for the conduct of any games
shall be conspicuously displayed at  the  place  where  same  is  to  be
conducted at all times during the conduct thereof.
  2.  Each license to lease premises for conducting games of chance will
be in such form as shall be prescribed in the rules and  regulations  of
the  board  and shall contain a statement of the name and address of the
licensee  and  the  address  of  the  leased  premises,  the  amount  of
permissible rent and any information which may be required by said rules
and  regulations to be contained therein, and each such license shall be
conspicuously displayed upon such  premises  at  all  times  during  the
conduct of games of chance.

Section 20-441

Section 20-441

  §  20-441  Control and supervision; suspension of licenses; inspection
of premises; rulemaking. 1. The department shall have and exercise rigid
control and close supervision over all games of chance  conducted  under
such  license,  to  the  end  that  the  same  are  fairly  conducted in
accordance with the provisions of such license, the  provisions  of  the
rules  and  regulations  promulgated  by the board and the provisions of
this subchapter, and the department and the board shall have  the  power
and   authority  to  temporarily  suspend  any  license  issued  by  the
department  pending  a  hearing  and,  after  notice  and  hearing,  the
department  and  the board may suspend or revoke same, and additionally,
impose a fine not exceeding one thousand dollars for  violation  of  any
such  provisions,  and the department and the board shall have the right
of entry, by their respective officers and agents, at all times into any
premises where any game of chance is being  conducted  or  where  it  is
intended  that  any such game shall be conducted, or where any equipment
being used or intended to be used in the conduct thereof is  found,  for
the  purpose  of  inspecting  the same. An agent of the department shall
make an on-site inspection during the conduct of  all  games  of  chance
licensed pursuant to this subchapter.
  2.   Service   of  alcoholic  beverages.  Subject  to  the  applicable
provisions of the alcoholic beverage control law, beer  may  be  offered
for  sale  during the conduct of games of chance but the offering of all
other alcoholic beverages is prohibited.
  3. The commissioner of the department may promulgate  such  rules  and
regulations  as  deemed  necessary  for  the  proper  implementation and
enforcement of this subchapter and which are not inconsistent with those
rules and regulations promulgated by the board.

Section 20-442

Section 20-442

  §  20-442 Participation by persons under eighteen. No person under the
age of eighteen years shall be permitted to play any game  or  games  of
chance  conducted  pursuant to any license issued under this subchapter.
No person under the age of eighteen years shall be permitted to  conduct
or assist in the conduct of any game of chance conducted pursuant to any
license issued under this subchapter.

Section 20-443

Section 20-443

  §  20-443  Frequency  of  games.  No  game or games of chance shall be
conducted under any license issued under this subchapter more often than
twelve times in any calendar year. Games shall be conducted only between
the hours of noon and midnight on Monday, Tuesday, Wednesday,  Thursday,
and  Sunday;  and  between  the  hours  of  noon  on Friday and two a.m.
Saturday; and between the hours of noon on Saturday and two a.m. Sunday.
The two a.m. closing  period  shall  also  apply  to  a  legal  holiday.
Notwithstanding  the  foregoing  provisions  of this section no games of
chance shall be conducted on Easter Sunday, Christmas  Day,  New  Year's
Eve, and the days of Rosh Hashanah and Yom Kippur.

Section 20-444

Section 20-444

  §  20-444 Persons operating and conducting games; equipment; expenses;
compensation. No person shall hold, operate  or  conduct  any  games  of
chance  under  any license issued under this subchapter except an active
member of the authorized organization to which the  license  is  issued,
and  no  person  shall assist in the holding, operating or conducting of
any game of chance under such license except such an active member or  a
member  of  an  organization or association which is an auxiliary to the
licensee or a member of an organization or  association  of  which  such
licensee  is  an  auxiliary  or member of an organization or association
which is affiliated with the licensee by being, with  it,  auxiliary  to
another  organization  or  association.  No  game  of  chance  shall  be
conducted with any equipment except such as shall be owned or leased  by
the  authorized  organization so licensed or used without payment of any
compensation therefor by the licensee. At least two officers, directors,
trustees or clergy of the authorized  organization  shall  upon  request
certify, under oath, that the persons assisting in holding, operating or
conducting  any  game of chance are bona fide members of such authorized
organization, auxiliary or affiliated organization. Upon request by  the
department,  any  such  person  involved  in  such games of chance shall
certify that he or she has no criminal record. No items of expense shall
be incurred or paid in connection with the conducting  of  any  game  of
chance pursuant to any license issued under this subchapter except those
that  are  reasonable  and  are necessarily expended for games of chance
supplies and equipment, prizes stated  rental  if  any,  bookkeeping  or
accounting  services  according to a schedule of compensation prescribed
by the board, janitorial services and utility supplies if  any,  license
fees,  and  the  cost  of  bus  transportation,  if  authorized  by such
department.

Section 20-445

Section 20-445

  §  20-445  Charge  for  admission and participation; amount of prizes;
award of prizes. Not more than two  dollars  shall  be  charged  by  any
licensee  for  admission to any room or place in which any game or games
of chance are to be  conducted  under  any  license  issued  under  this
subchapter.  The  department  may  in  its discretion fix a minimum fee.
Every winner shall be determined and every prize shall  be  awarded  and
delivered  within  the same calendar day as that upon which the game was
played. No alcoholic beverage shall be offered or given as  a  prize  in
any game of chance.

Section 20-446

Section 20-446

  §  20-446  Advertising  games.  No  game  of chance conducted or to be
conducted in this city shall be advertised as to its location, the  time
when  it  is  to  be  or has been played, or the prizes awarded or to be
awarded, or transportation facilities to be provided to  such  game,  by
means  of  newspapers,  radio, television or sound trucks or by means of
billboards, posters or handbills or any other  means  addressed  to  the
general  public, except that one sign not exceeding sixty square feet in
area may be displayed on or adjacent to the premises owned  or  occupied
by  a  licensed  authorized  organization,  and  when an organization is
licensed to conduct games of chance on premises of an  authorized  games
of  chance  lessor,  one  additional  such  sign  may be displayed on or
adjacent to the premises  in  which  the  games  are  to  be  conducted.
Additional  signs  may  be  displayed  upon  any fire fighting equipment
belonging to any licensee, which is a volunteer fire  company,  or  upon
any first-aid or rescue squad equipment belonging to any licensee, which
is  a  first-aid  or  rescue  squad,  in and throughout the community or
communities served by such volunteer fire company or such  first-aid  or
rescue squad, as the case may be.

Section 20-447

Section 20-447

  §  20-447 Statement of receipts, expenses; additional license fees. 1.
Within seven days after  the  conclusion  of  any  license  period,  the
authorized  organization  which  conducted the same, and its members who
were in charge thereof, and when applicable the authorized  organization
which rented its premises therefor, shall each furnish to the department
a  statement  subscribed  by the member in charge and affirmed by him or
her as true, under the penalties of perjury, showing the amount  of  the
gross  receipts  derived therefrom and each item of expense incurred, or
paid, and each item of expenditure made or to be made other than prizes,
the name and address of each person to whom each such  item  of  expense
has  been  paid,  or  is  to be paid, with a detailed description of the
merchandise  purchased  or  the  services  rendered  therefor,  the  net
proceeds  derived  from  the  conduct of the games of chance during such
license period, and the use to which such proceeds have been or  are  to
be  applied  and a list of prizes offered and given, with the respective
values thereof, and it shall be the duty of each  licensee  to  maintain
and  keep such books and records as may be necessary to substantiate the
particulars of each such statement.
  2. Upon the filing of  such  statement  of  receipts,  the  authorized
organization  furnishing the same shall pay to the department as and for
an additional license fee a sum based upon the reported net proceeds, if
any, for the license period covered by such statement and determined  in
accordance  with such schedule as shall be established from time to time
by the board to defray the actual cost to the city of administering  the
provisions of this subchapter, but such additional license fee shall not
exceed five percent of the net proceeds for such occasion.

Section 20-448

Section 20-448

  § 20-448 Examination of books and records; examination of officers and
employees;  disclosure  of  information. 1. The department and the board
shall have power to examine or  cause  to  be  examined  the  books  and
records of:
  a.  Any  authorized  organization  which  is  or  has been licensed to
conduct games of chance, so far as they may relate to  games  of  chance
including  the  maintenance,  control  and  disposition  of net proceeds
derived from games of chance or from the use of its premises  for  games
of  chance, and to examine any manager, officer, director, agent, member
or employee thereof under oath in relation to the conduct  of  any  such
game  under  any  such  license,  the  use  of its premises for games of
chance, or the disposition of net proceeds derived from games of chance,
as the case may be.
  b. Any authorized games of chance lessor so far as they may relate  to
leasing  premises  for games of chance and to examine said lessor or any
manager, officer, director, agent or  employee  thereof  under  oath  in
relation to such leasing.
  2.  Any  information received pursuant to subdivision one shall not be
disclosed except so far as may be necessary for the purpose of  carrying
out the provisions of this subchapter.

Section 20-449

Section 20-449

  § 20-449 Appeals from the decision of the department to the board. Any
applicant  for,  or  holder of, any license issued or to be issued under
this subchapter aggrieved by any action of the department may appeal  to
the  board from the determination of said department by filing with such
department a written notice of  appeal  within  thirty  days  after  the
determination  or  action  appealed  from,  and upon the hearing of such
appeal, the evidence, if any,  taken  before  such  department  and  any
additional evidence, may be produced and shall be considered in arriving
at  a determination of the matters in issue, and the action of the board
upon said appeal shall be binding upon such department and  all  parties
to said appeal.

Section 20-450

Section 20-450

  §  20-450  Offenses; forfeiture of license; ineligibility to apply for
license. Any person, association, corporation  or  organization  who  or
which shall:
  (1)  make  any  material  false  statement  in any application for any
license authorized to be issued under this subchapter;
  (2) pay or receive, for the use of any premises for  conducting  games
of chance, a rental in excess of the amount specified as the permissible
rent in the license provided for in subdivision two of section 20-440 of
this subchapter;
  (3)  fail  to  keep  such  books  and records as shall fully and truly
record all transactions connected with the conducting of games of chance
or the leasing of premises to be  used  for  the  conduct  of  games  of
chance;
  (4)  falsify or make any false entry in any books or records so far as
they relate in any manner to the conduct of  games  of  chance,  to  the
disposition  of the proceeds thereof and to the application of the rents
received by any authorized organization;
  (5) divert or pay any portion of the  net  proceeds  of  any  game  of
chance  to any person, association or corporation, except in furtherance
of one or more of the lawful purposes defined in this subchapter;  shall
be  guilty  of  a misdemeanor and shall forfeit any license issued under
this subchapter and be ineligible to apply  for  a  license  under  this
subchapter for at least one year thereafter.

Section 20-451

Section 20-451

  §   20-451   Unlawful   games  of  chance.  Any  person,  association,
corporation or organization holding, operating, or conducting a game  or
games  of  chance  is  guilty  of  a misdemeanor, except when operating,
holding or conducting:
  (a) in accordance  with  a  valid  license  issued  pursuant  to  this
subchapter, or
  (b)  on  behalf  of a bona fide organization of persons sixty years of
age or over, commonly referred to as senior  citizens,  solely  for  the
purpose  of  amusement  and  recreation  of  its  members  where (i) the
organization has applied for and received an identification number  from
the  board,  (ii)  no player or other person furnishes anything of value
for the opportunity to participate, (iii) the prizes awarded  or  to  be
awarded are nominal, (iv) no person other than a bona fide active member
of the organization participates in the conduct of the games, and (v) no
person is paid for conducting or assisting in the conduct of the game or
games.