Illinois 'actively investigating' whether fantasy sports are gambling

One of the state's top gambling officials says Illinois is “actively investigating” whether to regulate the controversial daily fantasy sports websites that have faced increasing heat in recent months.

Illinois Gaming Board Chairman Don Tracy said Friday, “We don't want to rush to judgment, but we do have concerns about it.”

The top question the state faces, he says, is one others have grappled with: Are fantasy sports a game of skill or gambling? A fantasy sports participant picks a lineup of players and wins or loses based on how they perform in games.

“If in fact it is gambling, which is something that hasn't been determined for certain, it needs to be banned or regulated,” Tracy said after a board meeting in Springfield.

“We suspect that it is, but we have not taken a formal position on that,” he said.

Nevada last month declared daily fantasy sports gambling, which means they'll now need a license to operate there.

“This decision stymies innovation and ignores the fact that fantasy sports is a skill-based entertainment product loved and played by millions of sports fans,” a statement from FanDuel, one of the biggest daily fantasy sites, read after that decision.

Illinois gambling interests have long been at odds with each other, with the horse-racing industry being hurt by casinos and now casinos seeing profit drops with video gambling machines in bars and restaurants. Some lawmakers have floated the idea of legalizing online gambling in Illinois, but the plan hasn't gotten much traction.

Still, Illinois was among the first states to start selling lottery tickets on the Internet.