New York Gaming Commission asks court to compel Kalshi subpoena compliance
The New York State Gaming Commission filed a verified petition in Manhattan court on October 22 seeking to force Kalshi Inc. and KalshiEX to comply with investigative subpoenas. The filing escalates a state-level regulatory probe into the CFTC-regulated prediction market platform. The commission alleges Kalshi is unlawfully refusing to comply with investigative demands. No details on the subpoenas' substance or Kalshi's response were available.
Kalshi now faces regulatory pressure on two levels simultaneously, with New York's gaming regulator joining state attorneys general in Utah, Ohio, and Tennessee who have already sued the platform. The commission's subpoena enforcement bid signals that state gaming agencies, not just AGs, see Kalshi's federal registration as inadequate cover.
Kalshi, each new front demands separate legal spend and distinct compliance postures. The gaming commission's civil enforcement tools differ from criminal or consumer-protection frameworks AGs wield, potentially exposing different business records. Kalshi must defend its federal preemption claim against yet another state actor while the CFTC's swap-rule proposal remains in White House review.
Joins a multi-state legal campaign against Kalshi that already includes Utah, Ohio, and Tennessee, with Polymarket and Underdog facing parallel suits in Missouri and Tennessee.