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Can I collect financial information from participants in Virginia? What are the requirements?

Here are the requirements for collecting financial information from participants in Virginia:

Financial Information Collection Requirements in Virginia

If you are collecting financial information from participants in Virginia, you must comply with the following requirements:

  1. A permit holder shall engage a certified public accountant to prepare an annual audit of the financial transactions and condition of the permit holder’s sports betting operation and submit that audit to the director [1.1].
  2. A permit holder shall establish and maintain books, records, and documents, including electronic storage media, in accordance with generally accepted accounting principles and practices that sufficiently and properly reflect all revenues and expenditures of funds associated with its sports betting operation [1.1].
  3. A permit holder shall retain all records, financial records, supporting documents, statistical records, and any other documents, including electronic storage media, pertinent to its sports betting operation for at least five years from their creation [1.1].
  4. Books and records pertaining to a permit holder’s sports betting operation shall be subject to inspection, review, and audit by the director or department staff at any time within the sole discretion of the director [1.1].
  5. A permit holder shall deliver all data requested by the director either by report or data file in the form and frequency required by the director while achieving compliance with the standards of integrity, security, and control [1.1].
  6. A permit holder shall generate reports necessary to record all the components of the adjusted gross revenue calculation over a specific period as required by the director [1.1].
  7. All requested data shall be made available in the report formats and database formats required by the director [1.1].
  8. All required reports shall be generated by the permit holder even if the period specified contains no data to be presented, in which case the report shall indicate all required information and contain an indication of “No Activity” or similar message [1.1].
  9. A permit holder shall generate reports for each day of operation in order to calculate the adjusted gross revenue and to ensure the integrity of its sports betting platform [1.1].
  10. An applicant for a license must provide the most recently audited financial statement showing the applicant’s current assets, including investments in affiliated entities, loans and accounts receivable, fixed assets, current liabilities, including loans and accounts payable, long-term debt and equity, contingent tax liability, and statement of income and expenses, and statement of cash flow [2.2].
  11. A licensee shall maintain in its approved offices such books, accounts, and records as the bureau may reasonably require in order to determine whether the licensee is complying with the Act and this chapter [5.1].
  12. When the bureau requests a written response, books, records, documentation, or other information from a licensee in connection with the bureau’s investigation, enforcement, or examination of compliance with applicable laws, the licensee shall deliver a written response as well as any requested books, records, documentation, or information within the time period specified in the bureau’s request [5.1].
  13. A licensee shall not provide any false, misleading, or deceptive information to the bureau [5.1].

Conclusion

Based on the above requirements, if you are collecting financial information from participants in Virginia, you must comply with the applicable regulations and maintain accurate records of all financial transactions.

Source(s):
Jurisdiction

Virginia