SB 1519: Gambling Control Act.

Existing law, the Gambling Control Act, establishes the California Gambling Control Commission, which is responsible for licensing and regulating various gambling activities and establishments. Existing law requires the commission to deny a license application for several enumerated reasons, including the applicant being under 21 years of age, having associations with organized crime, making false or misleading statements or omissions on the application, or failing to clearly establish eligibility and qualification.

Existing law prohibits a licensee from contracting with or employing a person who has been denied a license. Existing law prohibits a person who has been denied a license from retaining an interest in or receiving profits from a licensed gambling entity, and requires that person to divest themselves of any such interest at fair market value and within a specified time period.

This bill would authorize the commission to not apply these provisions to a person whose license was denied solely because the person failed to clearly establish eligibility and qualification for licensure, as specified.

Existing law also requires the commission to deny a license application if the applicant has a conviction for a felony or a conviction, within 10 years of application, for a misdemeanor involving dishonesty or moral turpitude unless that misdemeanor conviction has been expunged, as specified.

This bill would clarify that an applicant with an out-of-state conviction, within 10 years of application, for a misdemeanor involving dishonesty or moral turpitude, may also be considered for licensure if the conviction has been expunged under the laws of the state in which the conviction occurred.