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More than $2 million seized in Galveston-area illegal gambling investigation

Investigators seized more than $2 million in an operation targeting alleged illegal gambling at Galveston County businesses.
Provided by the Galveston Police Department
/
Provided by the Galveston Police Department
Investigators seized more than $2 million in an operation targeting alleged illegal gambling at Galveston County businesses.
Investigators seized more than $2 million in an operation targeting alleged illegal gambling at Galveston County businesses.
Provided by the Galveston Police Department
/
Provided by the Galveston Police Department
Investigators seized more than $2 million in an operation targeting alleged illegal gambling at Galveston County businesses.
Investigators seized more than $2 million in an operation targeting alleged illegal gambling at Galveston County businesses.

The Galveston Police Department Vice and Narcotics Unit served 21 search-and-arrest warrants across Galveston County on Thursday. Law enforcement officials said they targeted alleged illegal gambling operations with electronic eight-liners, similar to slot machines, in the City of Galveston, Texas City and La Marque.

Investigators seized more than $2 million in the operation, though that amount is not final as officials continue documenting and accounting for evidence, according to Galveston Police Chief Doug Balli.

At a Friday morning news conference, Balli said the investigation started after law enforcement received a tip about suspected illegal gambling in June. A formal investigation began in the days following the tip.

According to a news release from the Galveston Police Department on Oct. 29, four people were arrested in connection with the alleged illegal gambling operations and charged with engaging in organized criminal activity. Each of the individuals’ bonds were set at $250,000.

Law enforcement executed search warrants at 14 different businesses, storage facilities and venues that were identified as being tied to the alleged criminal activity, according to the release:

  • Jake's Place — 1706 23rd St., Galveston, TX
  • Lucky Lounge — 904 Seawall Blvd, Galveston, TX
  • 3 Doors Down — 102 20th St., Galveston, TX
  • Union Public House — 114 20th St., Galveston, TX
  • Alibi Bar — 2325 Ave. F, Galveston, TX
  • Gizmo Bar — 2102 26th St., Galveston, TX
  • Island Time Bar — 3102 Seawall Blvd, Galveston, TX
  • Corner Pocket Bar — 5227 Ave S, Galveston, TX
  • Storage Unit — 5227 Ave. S (Rear), Galveston, TX
  • Midtown Tavern — 5806 Stewart Road, Galveston, TX
  • Home Team Storage — 6615 Stewart Road, Galveston, TX
  • Roll – N – Bar — 8305 Stewart Road, Galveston, TX
  • Dizzy Dorado — 3802 Cove View Blvd., Galveston, TX
  • Spankies — 9002 FM 2004, Santa Fe, TX

Representatives with Home Team Storage and Corner Pocket Bar both told Houston Public Media the businesses would continue operating at their normal hours but declined to comment on the allegations. All of the other businesses did not immediately respond to a request for comment.

Game rooms are permitted by Texas law as long as they do not contain any illegal gambling devices. Texas law doesn’t allow gambling devices such as eight-liner gaming machines to award cash prizes. However, there is a part of the law called the "fuzzy animal" exception that allows operators to award non-cash prizes worth less than $5, according to the Texas State Law Library.

However, Galveston County and municipalities such as League City, Dickinson and La Marque decided to ban eight-liner gaming machines altogether following a Texas appeals court ruling that determined eight-liner machines were unconstitutional lotteries, according to reporting by theGalveston County Daily News. Galveston and Hitchcock have not yet banned eight-liner machines outright.

The search warrants served on Thursday follow multiple other crackdowns on alleged illegal gambling operations around Galveston County. In February, the Galveston County Organized Crime Task Forceexecuted search warrants at 20 locations suspected to be operating unlawful gambling establishments in Hitchcock,which is located roughly 40 miles southeast of Houston.

Galveston County law enforcement also executed search warrants in June to dismantle alleged illegal game room operations at multiple locations in La Marque.

"This is a continuing effort in the county,” Galveston County District Attorney Kenneth Cusick said at Friday's news conference. “It seems like people are not getting the message after Hitchcock and La Marque. These eight-liners, this illegal gambling, is not going to be tolerated,"

Balli said the investigation is active and ongoing.

Copyright 2026 Houston Public Media News 88.7