Utah sues Kalshi to block event contracts and recover proceeds

Utah filed a civil lawsuit against Kalshi and related companies on October 20, seeking to stop them from offering five categories of event contracts to state residents and recover money the state alleges was generated through illegal gambling. The complaint names Kalshi entities and two Susquehanna firms as defendants and asks for preliminary and permanent injunctions covering sports, election, politics, culture and mention contracts. Utah Attorney General Derek Brown said the state is seeking restitution, damages and the return of proceeds. The complaint also asks the court to require the defendants to use a court-approved geolocation provider to enforce any injunction. The allegations have not been resolved in the new case. Utah estimates that Kalshi collected roughly $30 million to $61 million in fees or profits connected to Utah accounts through October 19. The calculation uses assumptions about the share of platform positions associated with Utah and fees per wager. The state says Kalshi holds the actual wager data, which could change the estimate. The complaint also estimates that Utah residents lost about $5.5 million. That figure applies an assumed Utah share to...