Utah files 14 criminal charges against Kalshi and its executives

Utah has filed 14 criminal charges against prediction market Kalshi, its CEO Tarek Mansour and COO Luana Lopes Lara. The charges include 12 counts of illegally promoting online gambling, according to The Salt Lake Tribune and the Associated Press.

The case escalates a broader dispute over prediction market platforms such as Kalshi and Polymarket. Utah had already sued Kalshi, joining New York, Nevada, New Mexico, Washington, Connecticut and other states that have taken legal action against the company. New York and Kentucky have also sued Polymarket.

Arizona became the first state to file criminal charges against Kalshi in March, but a federal judge later blocked that case. The Commodity Futures Trading Commission (CFTC) has argued that it has “exclusive jurisdiction” over prediction markets. Two federal appeals courts recently ruled against Kalshi and Polymarket in their efforts to fight state oversight. In April, however, the 3rd Circuit Court of Appeals ruled that the CFTC has exclusive authority to regulate prediction markets in New Jersey. The state has asked the Supreme Court to take up its case.

Kalshi called Utah’s charges a “crazy overreach” in a statement to the Associated Press and said it looked forward to challenging them in court, as it did in Arizona.