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Michigan Attorney General Dana Nessel has asked the Ingham County Circuit Court to hold Kalshi in contempt, alleging the company sent targeted advertisements to Michigan residents after a Sept. 1 preliminary injunction prohibited them.
Judge Rosemarie Aquilina granted Nessel’s request for a show-cause hearing, according to SBC Americas. The scheduling decision is not a finding that Kalshi violated the order.
Michigan filing cites ads received by three people
Nessel’s ex parte motion cites three people who received Kalshi advertisements through email, social media and YouTube after the injunction.
Two saw ads touting “markets you don’t want to miss.” A third saw an advertisement reading “Kalshi: Trade Football and More,” with an invitation to download the app to bet on NFL football, according to the filing as reported by SBC Americas.
“Instead of complying with the terms of the preliminary injunction, Kalshi elected to thumb its nose at the Court,” Nessel’s filing states.
The motion asks the court to find Kalshi in contempt, impose a fine and require reimbursement of enforcement costs and attorney’s fees. The supplied reporting does not include Kalshi’s response to the motion.
Injunction covers sports-wagering promotion in Michigan
The Sept. 1 order bars Kalshi from activity connected with sports wagering in Michigan, including advertising, promoting, marketing or soliciting participation in internet sports betting contracts to people located in Michigan or using a Michigan address.
The restrictions cover websites, mobile apps, email, push notifications, social media, influencers, affiliates and paid placements.
Kalshi previously agreed to stop offering sports event contracts in Michigan following court setbacks. It had faced potential fines of up to $500,000 per day if it did not geoblock Michigan users from its platform. That potential penalty is separate from the fine requested in the contempt motion.
Aquilina scheduled the show-cause hearing for Nov. 24.
If you or someone you know has a gambling problem, call 1-800-GAMBLER, which connects to Michigan’s Problem Gambling Helpline 24/7.
More from playmichigan.com – MGCB Investigates Kalshi, Robinhood as More Offshore Casinos Get Banned – Coinbase Agrees to Halt Sports Event Contracts in Michigan – AGA Projects Flat NFL Betting as Michigan Blocks Kalshi Sports Contracts
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Source: As reported by SBC Americas.
